"In essence, we are currently discussing how we could reform the governance, reform the business process, and reform the calculation for the TKDN certificate," he remarked in Jakarta on Tuesday.
This TKDN reform is part of the government's deregulation efforts, which will later expedite or facilitate business actors in carrying out activities.
According to Kartasasmita, this reform will later improve the investment climate and business environment.
With the new regulation, the calculation process will become faster, easier, and less expensive, thereby reducing the costs associated with obtaining a TKDN certificate.
"We believe that once the regulation is issued, the process for business players to get the TKDN certificate will be faster, easier, and cheaper," he affirmed.
The minister emphasized that the reform process began in early February 2025, long before United States (US) President Donald Trump announced his reciprocal tariff policy.
On April 2, 2025, President Trump introduced reciprocal tariffs on several countries, including a 32 percent tariff on Indonesians products, along with a 10-percent baseline tariff on imports from all countries.
Kartasasmita further stated that his ministry continues to conduct discussions and hopes the regulation will be completed soon. The Ministry of Industry will also conduct public consultations and involve other stakeholders.
"We consider it necessary for us to evaluate and reform matters relating to the ease of domestic production related to the TKDN. The business process must be better," he remarked.
Related news: Indonesia eases local content rules to support domestic industry
Related news: Prabowo urges flexible TKDN rules to boost Indonesia's competitiveness
Translator: Maria Cicilia, Raka Adji
Editor: Primayanti
Copyright © ANTARA 2025
