The import and export development of Indonesia’s textile industry is slow

According to a recent report by Indonesia’s “Business Daily”, due to sluggish economic development, Indonesia’s textile and garment imports are expected to drop by 25% this year, to only US$6 billion. At the same time, Indonesia’s textile exports have stagnated and are expected to be the same as last year at US$12 billion.
Although the textile surplus is expected to be US$6 billion, it will be larger than last year’s US$4 billion surplus. However, exports have stagnated due to the lack of trade arrangements with major exporting countries. Indonesian textiles are mainly exported to Europe and the United States. Since there is no free trade agreement with Europe and the United States, the import tax is about 11-30%. However, after Vietnam signed a free trade agreement with Europe and the United States, the import tax on similar products is only 0.5%. The Indonesian industry predicts that if there are trade arrangements with Europe and the United States, exports can increase by 300% or even 4 times. The import and export development of Indonesia’s textile industry is slow