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Indonesia Eyeing to Export Cars to Australia

Photo: Indonesia Kendaraan Terminal (IKT), the Indonesia’s gateway of automotive products

Indonesia is eyeing to export cars to Australia, expecting the first export will take place in Q1 (first quarter) this year, Industry Minister Agus Gumiwang Kartasasmita has said.

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“We target the first export in the first quarter this year,” Agus Gumiwang said as Antara quoted.

But Agus Gumiwang admitted this target will face a hard process and procedure especially in getting permit. “It is not easy to open the Australia market, especially to secure principle permit,” he said.

One of the challenges to exporting automatic products to Australia is the carbon standard set by the country, he pointed out. “Australia has a high standard, including carbon standard, which is very stringent,” he remarked.

Since the two countries signed the Comprehensive Economic Partnership Agreement (IA-CEPA), Indonesia has wider opportunity to increase its exports to this country. Moreover, this agreement allows some Indonesia’s import get import facilitation, including exemption from import duties.

Some Indonesia’s leading export products to includes furniture, fishery products, textiles and textile products, footwear, communication devices, and electronic appliances.

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Automotive is one of the products that Indonesia is seeking to boost following the collapse of the automotive industry in Australia.