Official: Plastic Import Duty Cut to 0% for 6 Months

JAKARTA, DDTCNews - The government has officially applied a 0% import duty tariff on imports of certain plastic raw materials.

This policy is governed by MoF Reg. 68/2026 as the fourth amendment to MoF Reg. 26/2022. The imposition of the 0% import duty tariff constitutes an incentive to support the competitiveness of the downstream plastics industry amid the rise in global plastic prices.

"To enhance the competitiveness of the downstream plastics industry, the government needs to provide support through policies on the granting of fiscal incentives policy in the form of the reduction in the import duty tariff on imports of plastic raw materials," reads one of the considering section in MoF Reg. 68/2026, cited on Monday (12/10/2026).

Through this regulation, the government has inserted Article 4B into MoF Reg. 26/2022. This article governs the application of a 0% import duty tariff to imports of plastic raw materials falling within 6 HS codes.

The six HS codes are 3901.10.12, 3901.10.19, 3901.10.99, 3902.10.30, 3902.10.90 and 3902.30.30.

Previously, imports of plastic products under HS codes 3901.10.12, 3901.10.19, 3901.10.99, 3902.10.30 and 3902.10.90 were subject to a 10% import duty. Products under HS code 3902.30.30 were subject to a 5% import duty.

It should be noted that the government has limited the 0% import duty incentive to a period of 6 months from the date MoF Reg. 68/2026 enters into force. The regulation took effect on 9 October 2026, namely 7 days after it was promulgated on 2 October 2026.

Since April 2026, the government has announced plans to apply a 0% import duty to imports of various types of plastic, including polyethylene (PE) and polypropylene (PP). The policy was prepared in response to rising plastic prices and raw materials supply challenges faced by the industry.

This incentive is expected to support the availability of raw materials whilst enhancing the competitiveness of the national downstream plastics industry.

In addition to plastics, the government is also planning to apply a 0% import duty on imports of liquefied petroleum gas (LPG). However, the regulation governing that policy has not yet been issued. (dik)