APHINDO

Indonesian plastics converters seek zero duty on six resin tariff lines

Indonesia's downstream plastics industry federation FLAIPHI has asked the government to add six HS tariff codes covering polypropylene and polyethylene resin inputs to its zero import duty scheme. The group says current relief covers only about 6% of national PP demand and 19% of PE demand by import volume, leaving packaging converters exposed to rising feedstock costs.

Why this mattersWider resin duty relief would ease input costs for food, beverage and agricultural packaging converters and could slow pass-through price rises to brand owners.

• FLAIPHI requests zero duty on six HS codes: 3902.10.40, 3902.30.90, 3901.20.00, 3901.40.00, 3901.10.92, 3901.90.90
• Current relief under Finance Ministry Regulation No. 68 of 2026 covers liquid raw materials for other processing industries, not plastics converters
• Existing duty-free PP imports equal about 6% of Indonesian domestic PP demand, PE about 19%, by federation estimate
• Indonesia's 2024 domestic resin supply gap versus demand was about 64% of national need per government data cited by the federation
• Middle East supply disruption earlier in 2026 prompted Indonesia's original tariff relief on plastics feedstock
• Federation members include APHINDO, GIATPI (woven plastics), ABOFI (BOPP film) and ROTOKEMAS (flexible packaging)

Relevant to you? Yes No