Indonesia Seeks Alternative Imports for Plastic Raw Materials from the US to Africa

The rising prices of plastic raw materials due to the closure of the Strait of Hormuz have prompted Indonesia to seek alternative imports from outside the Middle East. There are several options, including from Africa, Central Asia, and the United States (US). “We have already held several meetings, both from Africa, from Central Asia, and from America. However, the challenge is the delivery time,” said Fajar Budiono, Secretary General of the Indonesia Olefin, Aromatic and Plastic Industry Association (Inaplas), quoted from Kontan on Tuesday (7/4/2026). Namely, shipments are much longer, potentially taking 50 days compared to just two weeks from the Middle East. “If we ship from the Middle East, it only takes 10 to 15 days, but if it’s from outside that region, whether from Africa, America, or Central Asia, the fastest is 50 days for arrival,” he explained. “From now until 50 days ahead, we are trying to create a new supply chain, a new supply chain pattern because besides the long delivery time, other costs will automatically rise,” Fajar stated. 22 percent of the global petrochemical supply comes from the Middle East, which must pass through the Strait of Hormuz. “There are 193 active petrochemical complexes in the Middle East, handling 22% of the global supply, and all rely on the Strait of Hormuz for shipping their products,” explained CNBC on Saturday (28/3/2026). “Our plastic suppliers in China have raised prices by about 15% recently, and they cite rising raw material costs and general market uncertainty as the reason,” said Stanislav Krykun, CEO of DST-Pack, a Poland-based packaging company. Plastic prices are likely to continue climbing if tensions in the Middle East do not subside.