Indonesian Steel Products Receive US Tax Exemption

The United States has decided to exempt 19 Indonesian steel products, namely carbon and alloy and stainless steels, from its 25 percent tariffs, Commerce Secretary Enggartiasto Lukita said.

The US government’s decision was taken on August 2, Enggartiasto said, claiming it was the result of an Indonesian visit to Washington from July 23-27.

Led by the minister himself, a trade meeting was organized with US Secretary of Commerce Wilber Ross.

“In addition to trying to convince the US government, we also reached out to the business communities for support, especially from importers of Indonesian steel products,” Enggartiasto said in a statement Monday.

He said the mission was to convince the US government that Indonesia still deserves to be part of the Generalized System of Preferences (GSP).

“We tried to convince the US government that Indonesia still deserves to participate in the GSP because the characteristics of Indonesian products differ from those of the US,” he added.

Oke Nurman, director general of international trade at the ministry, said 12 Indonesian steel products, totaling 336,688 tonnes per year, are still seeking exemption from the United States.

He said the Indonesian government will continue to communicate with the United States. “Direct contact with trading partners such as the US is important, especially in the context of the ongoing trade war,” he added.