New Rule: Reusable Packaging Exempt from Import Duty and Taxes

The Ministry of Finance has officially issued a new regulation governing the treatment of export and import traffic for reusable packaging within the Indonesian customs area. The rule is stipulated in Minister of Finance Regulation (PMK) Number 52 of 2026 concerning Temporary Imports and Temporary Exports of Reusable Packaging. Signed by Minister of Finance Purbaya Yudhi Sadewa on 15 July 2026, the regulation was enacted on 31 July 2026 and will become effective 60 days later, around the end of September 2026. This rule targets businesses that use returnable packaging in cross-border supply chains, such as drums, pallets, special containers, baskets, or transport racks that are used repeatedly and are not consumed in a single use. The regulation was established because previous rules, namely PMK 178/2017 on Temporary Imports as amended up to PMK 175/2021, did not specifically regulate the movement of reusable packaging in and out of the customs area. The aim is to provide ease, uniformity, and legal certainty for customs services and supervision regarding the entry and exit of returnable packages. Under the regulation, a Returnable Package is defined as an item used to package, protect, store, and/or group goods, which can be used repeatedly, but excludes shipping containers. These are divided into Foreign Returnable Packages (RPLN) originating from abroad entering Indonesia under temporary import status, and Domestic Returnable Packages (RPDN) originating domestically and sent abroad under temporary export status. To qualify, the packaging must not be consumed in function or form, must not fundamentally change shape, and must remain identifiable as the same item upon re-export or re-import. The government provides several fiscal incentives, including exemption from import duty, exemption from Value Added Tax (VAT) and Sales Tax on Luxury Goods, and exemption from Article 22 Income Tax on imports. These facilities are granted without the obligation to provide a customs bond, differing from standard temporary import schemes. The packaging can be used by the official permit holder, a legal entity, for importing or exporting goods, or by other legal entities solely for the transport and/or packaging of export goods. Permit applications are processed electronically via the Customs and Excise Service Computer System (SKP), with a maximum processing time of five working days. The issued permit is valid for one year and can be extended. Permit holders are required to submit quarterly reports to the issuing customs office by the 10th of the first month of the following quarter, detailing the number of packages, realisation of movements, and remaining balances. The temporary import period for RPLN is a maximum of three years from the registration date of the first import document, after which the packaging must be re-exported. A 30-day grace period is granted if the deadline is missed. If packaging is damaged or lost due to negligence, the business must pay the applicable import duty and taxes plus a 100 per cent fine. However, if damage or loss is caused by force majeure, proven by an official letter from an authorised agency, the business is exempted from all duties, taxes, and sanctions. The government may revoke the permit if the packaging is misused, reporting obligations are neglected for two consecutive periods, or a criminal customs violation is committed.