President Prabowo's Directive: Duty-Free LPG Imports

Jakarta, CNBC Indonesia - The government has exempted import duties on liquefied petroleum gas (LPG) and plastic raw materials. This policy serves as an incentive for the business sector to respond to the current situation.

“Following the President’s directive, due to the uncertain situation, the government is providing incentives for LPG and plastic raw material imports,” revealed Coordinating Minister for Economic Affairs Airlangga Hartarto during a press conference on Monday (22/6/2026).

“The government has set a 0% import duty for LPG imports for the petrochemical industry,” he clarified.

Airlangga stated that this incentive could have an impact worth Rp2.2 trillion. “With this, it is hoped that economic benefits worth Rp2.2 trillion can be obtained, in the form of reduced industrial costs and a multiplier effect,” Airlangga explained.

Airlangga added that the geopolitical and geo-economic situation remains filled with uncertainty. The war involving the United States and Israel with Iran is disrupting global logistics flows, coinciding with the closure of the Strait of Hormuz.

“We must safeguard the domestic economy, and these are proactive steps to prevent external risks,” he said.