Trade Minister and Bridgestone Discuss Strategy to Boost National Tyre Exports
Trade Minister Budi Santoso held a meeting with the management of Bridgestone Indonesia at the Ministry of Trade office in Jakarta on Tuesday to discuss strategies for increasing national tyre exports and strengthening investment. The meeting also addressed various obstacles faced by tyre industry players in maintaining competitiveness in the global market.
Minister Budi Santoso emphasised the Ministry’s commitment to supporting business actors, including the tyre industry, in strengthening exports. He discussed with Bridgestone Indonesia’s management plans to increase exports, the parent company’s support for adding product types and export destination markets, and various trade barriers faced by tyre businesses internationally.
“The Ministry of Trade is committed to continuously facilitating the expansion of export markets for Indonesian products, including Bridgestone tyres, through ongoing and upcoming trade negotiations. The Ministry also welcomes the participation of various quality tyre products from Indonesia in international trade promotions and business matching with potential buyers through our overseas trade representatives,” said Minister Budi Santoso after the meeting.
Minister Budi Santoso explained that Indonesia currently has 20 implemented trade agreements, 15 in the ratification process, and 11 still under negotiation, including the completion of the Indonesia-European Union Comprehensive Economic Partnership Agreement (IEU-CEPA). “We want to continue building communication with the business community. If there are obstacles in export or investment activities, please inform us so we can find solutions together. Moreover, the more trade agreements Indonesia has, the greater the market opportunities for national products,” he stated.
The Minister also conveyed that the Ministry of Trade remains committed to improving the ease of export services, including through an automated system for issuing Certificates of Origin for partner countries of trade agreements, making the export process more efficient.
Bridgestone Indonesia’s management in attendance included President Director Mukiat Sutikno, Head of LSCM Division Andre Susilo, Head of Logistic and External Affair Yudi Lesmana, Manager of Trade Compliance & External Affair Bastiyan Dios Karunia, and Senior Supervisor of Trade Compliance & External Affair Hermansyah Nasution. Accompanying the Minister were Director General of National Export Development Fajarini Puntodewi and Director General of International Trade Negotiations Johni Martha.
During the meeting, Mukiat Sutikno expressed appreciation for the government’s support for national export development and the Ministry’s success in pursuing trade agreements with various partner countries. Mukiat explained that Bridgestone Indonesia currently exports its products to around 70 countries, with Australia, Japan, and Malaysia as the main export markets. One of the challenges faced is the limited supply of domestic natural rubber raw materials. The decline in national rubber production means the company still has to rely partly on imported raw materials to meet production needs. Additionally, the mandatory enforcement of the Indonesian National Standard (SNI) for several components that cannot yet be produced domestically also has the potential to affect production continuity.
Bridgestone Indonesia also faces export challenges to the European Union due to the implementation of the European Union Deforestation Regulation (EUDR). Therefore, Bridgestone Indonesia hopes the completion of the IEU-CEPA can further enhance the competitiveness of Indonesian products, including through reduced import duty tariffs.
Following up on these inputs, Minister Budi Santoso affirmed that the Ministry of Trade will coordinate with relevant ministries and agencies to address the various challenges faced by Bridgestone Indonesia, including efforts to improve market access. Bridgestone Indonesia has been operating since 1973 with production facilities located in Bekasi and Karawang, West Java. The company upholds the Bridgestone E8 Commitment sustainability framework, encompassing eight values: Energy, Ecology, Efficiency, Extension, Economy, Emotion, Ease, and Empowerment, as a foundation to enhance competitiveness and create value for society. Bridgestone Indonesia is also optimising the use of its Authorised Economic Operator (AEO) facility to improve logistics efficiency and strengthen export competitiveness to various destination countries.