Minister of Trade Will Seize US Textile Imports from China to Indonesia

By : Ridwan And Aldi Firhand. A | Tuesday, August 07 2018 - 20:11 IWST

Menteri Perdagangan Enggartiasto Lukita
Menteri Perdagangan Enggartiasto Lukita

INDUSTRY.co.id - Jakarta, the trade war between the United States (US) and China has made Indonesia have a chance to capture the market share of export products.

One of them is textile products to the land of Uncle Sam, which is expected to have a positive effect on the Indonesian economy in the future.

The Minister of Trade (Mendag) Enggartiasto Lukita claimed to offer the US to divert imports of textile products from China to Indonesia. Enggar's efforts were carried out while visiting the United States in late July 2018.

"Indonesia's market share to the US is only 4.5 percent, while US textile and garment imports from China are 26 percent. With the increase in tariffs between the two countries, we ask that our export market be prioritized because prices are definitely cheaper," Enggar said at the Ministry Office Trade, Jakarta (6/8/2018).

The Minister of Trade added, the trade of Indonesian-US textile products will increase along with the absorption of US cotton raw materials that are often imported by Indonesia.

"We will absorb their cotton because we import (cotton) from there," he said.

Regarding quality, Enggar assured the US Government that Indonesian textile products were equivalent to China. "Entrepreneurs there also recognize our quality is not inferior (from China)," he explained.

Enggar admitted that his visit to the US was to reduce trade wars. Indonesia is ready to absorb various US products that are now starting to export difficulties because China is implementing high import duties on US export products.

"But on the contrary, please absorb the Indonesian products that they experience with prices rising from China," Enggar concluded.

The US and China are considering raising tariffs by 25 percent against imported products from both countries. The policy will soon be implemented if one of the countries starts to impose the tariff.

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