REGULATION OF THE MINISTER OF FINANCE
No. 58/PMK.011/2011

CONCERNING
IMPOSITION OF SAFEGUARD MEASURES IMPORT DUTY ON THE IMPORT OF WOVEN FABRICS OF COTTON, BLEACHED AND UNBLEACHED PRODUCTS

BY GRACE OF THE ALMIGHTY GOD
THE MINISTER OF FINANCE,

Attachment

Considering:

a. that based on the result of an investigation conducted by the Indonesian Committee on Trade Safeguard which show a surge in the import volume of woven fabrics of cotton, bleached and unbleached, thereby inflicting serious losses on the domestic industry;

b. that in the framework to follow up that investigation result in paragraph a, Minister of Trade by Letter No. 1852/M-DAG/SD/12/2010 dated December 20, 2010, proposes the Imposition of Safeguard Measures Import Duty on the import of woven fabrics of cotton, bleached and unbleached, thereby inflicting serious losses on the domestic industry;

c. that based on Article 21 of Presidential Decree No. 84 of 2002 concerning Efforts to Safeguard the Domestic Industry form the Impact of Import Surge, the Minister of Finance can constantly take safeguard measures in the form of import duty;

d. that based on consideration as intended in paragraphs a, b and c, and in the framework to implement provision of Article 23D paragraph (2) of Law No. 10 of 1995 concerning Customs as amended by Law No. 17 of 2006, it is necessary to stipulated Regulation of the Minister of Finance concerning the Imposition of Safeguard Measures Import Duty on the Import of Woven Fabrics of Cotton, Bleached and Unbleached Products;

In view of:

1. Law No. 7 of 1994 concerning Ratification of Agreement Establishing The World Trade Organization (Statute Book No. 57 of 1994, Supplement to Statute Book No. 3564);

2. Law No. 10 of 1995 concerning Customs (Statute Book No. 75 of 1995, Supplement to Statute Book No. 3612) as amended by Law No. 17 of 2006 (Statute Book No. 93 of 2006, Supplement to Statute Book No. 4661);

3. Presidential Decree No. 84 of 2002 concerning Efforts to Safeguard the Domestic Industry form the Impact of Import Surge (Statute Book No. 133 of 2002);

4. Presidential Decree No. 56/P of 2010;

Observing:

1. Letter of the Minister of Trade No. 1852/M-DAG/SD/12/2010 dated December 20, 2010 with subject Proposes the Imposition of Safeguard Measures Import Duty on the Import of Woven Fabrics of Cotton, Bleached and Unbleached Products Heading Number 5208.11.00.00, 5208.12.00.00, 5208.13.00.00, 5208.19.00.00, 5208.23.00.00, 5208.29.00.00, 5209.29.00.00, 5210.11.00.00, 5211.11.00.00, 5211.12.00.00, and 5212.11.00.00), and Letter of the Secretary General of Ministry of Trade No. 51/M-DAG/SD/1/2011 dated January 17, 2011 with subject List of Development Countries excepted from Imposition of Safeguard Measures Import Duty (BMTP) of woven fabrics of cotton, bleached and unbleached; Binder Wire, Zink Wire and Steel Wire Ropes;

2. Report of Indonesian Committee on Trade Safeguard about Investigation Result for Safeguard Measures on the Import of Woven Fabrics of Cotton, Bleached and Unbleached Products;

HAS DECIDED:

To stipulate:

REGULATION OF THE MINISTER OF FINANCE CONCERNING THE IMPOSITION OF SAFEGUARD MEASURES IMPORT DUTY ON THE IMPORT OF WOVEN FABRICS OF COTTON, BLEACHED AND UNBLEACHED PRODUCTS.

Article 1

(1) On the import of woven fabrics of cotton, bleached and unbleached, are imposed Safeguard Measures Import Duty.

(2) Imported products of woven fabrics of cotton, bleached and unbleached as intended in article 1 consists of:

• a. smooth woven fabrics of cotton, containing by weight 85% or more of cotton, unbleached, its weight not more than 100g/m2, with heading 5208.11.00.00;
• b. smooth woven fabrics of cotton, containing by weight 85% or more of cotton, unbleached, its weight more than 100g/m2, with heading 5208.12.00.00;
• c. woven fabrics of cotton, containing by weight 85% or more of cotton, unbleached, its weight not more than 200g/m2, 3-thread or 4-thread twill, include cross twill, with heading 5208.13.00.00;
• d. woven fabrics of cotton, containing by weight 85% or more of cotton, its weight not more than 200g/m2, unbleached, except smooth woven fabrics 3-thread or 4-thread twill, include cross twill, with heading 5208.19.00.00;
• e. woven fabrics of cotton, containing by weight 85% or more of cotton, its weight not more than 200g/m2, bleached, 3-thread or 4-thread twill, include cross twill, with heading 5208.23.00.00;
• f. woven fabrics of cotton, containing by weight 85% or more of cotton, its weight not more than 200g/m2, bleached, except smooth woven fabrics 3-thread or 4-thread twill, include cross twill, with heading 5208.29.00.00;
• g. woven fabrics of cotton, containing by weight 85% or more of cotton, its weight more than 200g/m2, bleached, except smooth woven fabrics 3-thread or 4-thread twill, include cross twill, with heading 5208.29.00.00;
• h. smooth woven fabrics of cotton, containing by weight less than 85% of cotton, mixed with artificial fiber, its weight not more than 200g/m2, unbleached, with heading 5210.11.00.00;
• i. smooth woven fabrics of cotton, containing by weight less than 85% of cotton, mixed with artificial fiber, its weight more than 200g/m2, unbleached, with heading 5211.11.00.00;
• j. woven fabrics of cotton, containing by weight less than 85% of cotton, mixed with artificial fiber, its weight more than 200g/m2, unbleached, 3-thread or 4-thread twill, include cross twill, with heading 5211.12.00.00; and
• k. other woven fabrics of cotton, except in heading 5208, 5209, 5210, and 5211, its weight not more than 200 g/m2, unbleached, with heading 5212.11.00.00.

Article 2

Precautions Import Duty referred to in Article 1 subject during 3 (three) years with the following provisions:

Article 3

The Safeguard Measures Import Duty as intended in Article 1 shall be imposed on the import of woven fabrics of cotton, bleached and unbleached products from all countries except produced in and imported from countries as stated in Attachment to this Regulation of the Minister of Finance, which is an integral part of this Regulation of the Minister of Finance.

Article 4

(1) Imposition of Safeguard Measures Import Duty as intended in Article 1 is:

• a. Most Favored Nation; or
• b. Common Effective Preferential Tariff based on international goods trading agreement in import from countries are in the international goods trading agreement schemes and fulfill provisions in the schemes.

(2) In case provisions in Common Effective Preferential Tariff Schemes are not fulfilled, imposition of Safeguard Measures Import Duty on the import from countries are in international goods trading agreement schemes as intended in paragraph (1) b shall be Most Favored Nation.

Article 5

The import of woven fabrics of cotton, bleached and unbleached products from countries excepted from the imposition of Safeguard Measures Import Duty as intended in Article 3 and from countries has trading agreement with Indonesia as intended in Article 4 paragraph (1) b, importer shall submit Certificate of Origin.

Article 6

Provisions of Safeguard Measures Import Duty Tariff as intended in Article 2, shall apply to the import of goods whose import customs notification has secured registration number from the Customs Office at the port of entry since effective date of this Regulation of the Minister of Finance.

Article 7

1. This Regulation of the Minister of Finance shall come into force from the date of stipulation.

2. This Regulation of the Minister of Finance is effective for 3 (three) years since effective date of this Regulation of the Minister of Finance.

For public cognizance, this Regulation of the Minister of Finance shall be promulgated by placing it in State Gazette of the Republic of Indonesia.

Stipulated in Jakarta
On March 23, 2011
MINISTER OF FINANCE
signed,
AGUS D.W. MARTOWARDOJO