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According to information received by the Trade Remedies Authority of Vietnam (under the Ministry of Industry and Trade) from the Permanent Mission of Vietnam in Geneva, on September 29, 2025, the Indonesian Safeguard Committee (Komite Pengamanan Perdagangan Indonesia – KPPI) officially announced the termination of the global safeguard measures applied to certain textile products under 131 HS codes.
This decision was made after KPPI completed its investigation, review, and comprehensive assessment of the impact of the safeguard measures on the domestic industry as well as recent import trends.
KPPI concluded that the evidence collected during the investigation was insufficient to demonstrate that continuing the safeguard measures was necessary to prevent or remedy serious injury to the domestic industry.
The authority also recognized that domestic textile producers had made significant adjustments in production structure, enhanced competitiveness, improved product quality, and increased supply chain efficiency to adapt to the rise in imports during the safeguard period.
Therefore, KPPI determined that the termination of the safeguard measures was consistent with the provisions of the World Trade Organization (WTO) and reflected the current market realities in Indonesia.
Previously, on November 8, 2025, KPPI initiated a periodic review to consider the possible extension of the safeguard measures applied to certain textile products. The measures were initially imposed by the Indonesian Ministry of Finance under a decision dated October 22, 2021, for a period of three years, with tariff rates gradually reduced each year as follows:
• First year: from 19,260 Rp/product (approximately USD 1.36) to 63,000 Rp/product (around USD 4.43);
• Second year: from 18,297 Rp/product (around USD 1.29) to 59,850 Rp/product (around USD 4.21);
• Third year: from 17,382 Rp/product (around USD 1.22) to 56,858 Rp/product (around USD 4.00).
The safeguard measures were initially introduced to temporarily protect the domestic textile industry from a surge in imports, while allowing local enterprises time to adjust, enhance production capacity, upgrade technology, and strengthen the domestic market.
However, according to KPPI’s latest assessment, Indonesia’s textile industry has now largely recovered and adapted to the international competitive environment, making it unnecessary to maintain the high level of protection previously in place.
The termination of the safeguard measures on textile products is expected to promote free trade, expand export opportunities for foreign businesses, including Vietnam – one of Indonesia’s major suppliers of textile goods.
Nevertheless, this development also presents a challenge for Vietnamese exporters to maintain product quality, diversify designs, and improve competitiveness to sustain their market share in Indonesia.
Vietnamese enterprises, industry associations, and relevant organizations are advised to continue closely monitoring the case, stay updated on information from Indonesian authorities, and proactively coordinate with the Trade Remedies Authority of Vietnam for timely guidance and support in case of any new developments.
To protect their legitimate interests, manufacturers and exporters should familiarize themselves with the procedure and actively contact Vietnam Antidumping Law Firm specializing in anti-dumping and trade remedy for timely assistance.
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