Indonesia to Tighten Border Controls on Imported Goods, Including Second-Hand Clothing
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Indonesia’s Ministry of Finance plans to increase scrutiny of imported goods, beginning with used clothing, steel, and shoes, to protect the domestic market. The move comes amid recent debate regarding the import of thrifting items, and signals a broader effort to combat illegal imports and ensure tax compliance.
Crackdown on Illegal Imports
Speaking on the sidelines of a KADIN (Indonesian Employers Association) national meeting on December 1, 2025, Finance Minister Purbaya stated the government will prioritize preventing illegal goods from entering the country. While a recent controversy focused on second-hand clothing, the crackdown extends beyond textiles.
“Guarding our borders from illegal goods. Yesterday there was a fuss about, what, thrifting. I don’t care, the main thing is that illegal second-hand clothes come in, we’ll close them,” Purbaya said. He further clarified the plan, stating, “after that, steel, after that, shoes. After that, everything else.”
The Ministry aims to protect local industries by curbing the influx of cheaper, often illegally imported, alternatives. This includes tightening regulations on the import of used clothing, steel, and footwear, with plans to expand the scope to other commodities in the future.
Protecting the Domestic Market & Encouraging Tax Compliance
Purbaya emphasized the importance of supporting Indonesian entrepreneurs and businesses. The government’s actions are intended to create a more level playing field for domestic producers.
Though, he also issued a reminder to businesses that benefit from a protected market: “So, we look after the domestic market for fellow entrepreneurs. But later, when you are successful, don’t forget to pay taxes, you’ll be happy.” This highlights a dual focus on both protecting local industries and ensuring adequate tax revenue collection.
Why the Focus on Second-Hand Clothing?
The import of used clothing has been a contentious issue in Indonesia. While popular with some consumers due to lower prices, it’s often seen as detrimental to the local textile industry. Concerns include:
* competition with Local Manufacturers: Imported used clothing undercuts the prices of domestically produced garments, impacting local businesses and employment.
* Health and Hygiene Concerns: Used clothing may not meet hygiene standards and could perhaps carry health risks.
* Illegal Importation: A meaningful portion of used clothing enters the country illegally, evading import duties and regulations.
Indonesia has previously implemented restrictions on the import of used clothing, but enforcement has been a challenge.This renewed effort signals a stronger commitment to addressing the issue.
Key Takeaways
* Indonesia is tightening border controls to combat illegal imports.
* The initial focus is on used clothing, steel, and shoes, with plans to expand to other commodities.
* the goal is to protect the domestic market and support Indonesian businesses.
* The Ministry of Finance is also emphasizing the importance of tax compliance for successful businesses.
This move reflects a broader trend of governments prioritizing domestic industries and seeking to ensure fair trade practices. It remains to be seen how effectively these new measures will be implemented and what impact they will have on both consumers and businesses in Indonesia.
Source:
* DetikNews (Accessed December 2, 2025)