On May 22, 2023, the WTO issued an official notice of the review conclusions in the safeguard cases against a number of curtain and yarn products imported into Indonesia at the request of the Indonesian delegation on May 19, 2023. The notice includes two separate cases, the curtain safeguard case and the yarn safeguard case.
Curtain safeguard case
On April 25, 2022, Indonesia initiated a safeguard duty review on some imported curtain products (including drapes), Interior Blinds, Bed Valances, and Other Furnishing Articles, classified under HS codes 6303.12.00, 6303.19.00, 6303.91.00, 6303.92.00, 6303.99.00, 6304.19.90, 6304.91.90, 6304.92.00.
According to the review conclusion, Indonesia will extend the time limit for applying safeguard duty on imported curtain products. The extension period is from May 22, 2023 to May 21, 2026, divided into 3 phases including phase 1: From May 22, 2023 to May 21, 2024, phase 2: From May 22, 2024 to May 21, 2025, phase 3: From May 22, 2025 to May 21, 2026.
The safeguard duty rates applied for 3 periods are Rp 22,717/Kg, Rp 16,595/Kg, and Rp 10,473/Kg, respectively.
Along with 120 other countries, Vietnam is excluded from the safeguard measure because it is a developing country with negligible imports. However, Indonesia reserves the right to change the safeguard exemption list at any time if the import volume changes.
Yarn safeguard case
On April 25, 2022, Indonesia initiated a safeguard duty review on some imported Yarn (Other Than Sewing Thread) of Synthetic and Artificial Staple Fibre classified under HS codes 5509.22.00, 5509.32 .00, 5509.51.00, 5509.53.00, 5510.12.00, 5510.90.00.
According to the review conclusion, Indonesia will extend the time limit for applying safeguard duty on imported yarn products. The extension period is from May 22, 2023 to May 21, 2026, divided into 3 phases including phase 1: From May 22, 2023 to May 21, 2024, phase 2: From May 22, 2024 to May 21, 2025, phase 3: From May 22, 2025 to May 21, 2026.
The safeguard duty rates applied for 3 periods are Rp 766/Kg, Rp 553/Kg, and Rp 340/Kg, respectively.
In the WTO notification, a total of 120 countries are exempted from the yarn safeguard measure by Indonesia because they are developing countries (the list of countries is not necessarily identical with the list of curtain safeguards). Notably, Vietnam is one of the countries that are not exempt from yarn safeguard measures.
Accordingly, Vietnamese enterprises producing and exporting yarn products under investigation and imposition of safeguard duty to Indonesia should pay attention to contact a law firm specializing in anti-dumping and trade remedies to receive timely support.
Related documents can be downloaded here: Curtain & Yarn.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
