Yarn Imports Subject to Extended Safeguard Duty with Revised Tariffs
Finance Minister Purbaya Yudhi Sadewa has officially extended the safeguard import duty (BMTP) on synthetic and artificial staple fiber yarn products, excluding sewing thread, under Regulation No. 37 of 2026 (PMK 37/2026), effective from 22 May 2026. The regulation updates previous provisions under PMK 46/2023.
“The domestic industry still requires additional time to complete structural adjustments, necessitating an extension of the safeguard import duty on imported yarn (excluding sewing thread) from synthetic and artificial staple fibers,” according to the preamble of PMK 37/2026, Tuesday, 26 May 2026.
Article 2 of PMK 37/2026 specifies the safeguard duty applies to yarn under tariff codes 5509.22.00, 5509.32.00, 5509.51.00, 5509.53.00, 5510.12.00, and 5510.90.00. The duty is imposed in addition to standard Most Favoured Nation import tariffs or preferential rates under international agreements.
Tariff rates have been adjusted to Rp324 per kilogram for the period 22 May 2026 to 21 May 2027, and Rp308 per kilogram for the subsequent year (22 May 2027 to 21 May 2028), down from previous rates of Rp766, Rp553, and Rp340 per kilogram over three years.
The safeguard duty applies to all yarn imports except sewing thread from all countries, except for 123 specified nations listed in the regulation. These exempted countries include Afghanistan, Albania, Angola, Antigua and Barbuda, Argentina, Armenia, Bahrain, Bangladesh, Barbados, Belize, Benin, Bolivia, Botswana, Brazil, Brunei Darussalam, Burkina Faso, Burundi, Cabo Verde, Cambodia, Cameroon, Central African Republic, Chad, Chile, Colombia, Comoros, Congo, Costa Rica, Côte d’Ivoire, Cuba, Democratic Republic of the Congo, Djibouti, Dominica, Dominican Republic, Ecuador, Egypt, El Salvador, Eswatini, Fiji, Gabon, Gambia, Georgia, Ghana, Grenada, Guatemala, Guinea, Guinea-Bissau, Guyana, Haiti, Honduras, Hong Kong (China), India, Israel, Jamaica, Jordan, Kazakhstan, Kenya, Republic of Korea, Kuwait, Kyrgyz Republic, Lao People’s Democratic Republic, Lesotho, Liberia, Macao (China), Madagascar, Malawi, Malaysia, Maldives, Mali, Mauritania, Mauritius, Mexico, Moldova, Mongolia, Montenegro, Morocco, Mozambique, Myanmar, Namibia, Nepal, Nicaragua, Niger, Nigeria, North Macedonia, Oman, Pakistan, Panama, Papua New Guinea, Paraguay, Peru, Philippines, Qatar, Rwanda, Saint Kitts and Nevis, Saint Lucia, Saint Vincent and the Grenadines, Samoa, Saudi Arabia, Senegal, Seychelles, Sierra Leone, Singapore, Solomon Islands, South Africa, Sri Lanka, Suriname, Chinese Taipei, Tajikistan, Tanzania, Thailand, Timor-Leste, Togo, Tonga, Trinidad and Tobago, Tunisia, Türkiye, Uganda, United Arab Emirates, Uruguay, Vanuatu, Venezuela, Yemen, Zambia, and Zimbabwe.