Indonesia Strengthens Ceramic Industry Through Policy Measures
- 11 Des 2025 19:04 WIB
- Voice of Indonesia
KBRN, Jakarta: Indonesian Minister of Industry Agus Gumiwang Kartasasmita stated that domestic and export market demand for ceramic and glass products continues to grow. This indicates significant opportunities for the development of these industries.
To maintain a favorable business and investment climate for the ceramics industry, the Ministry is committed to overseeing the implementation of policies, particularly those related to tableware and glassware.
These policies include mandatory Indonesian National Standards (SNI), industrial gas subsidies through specific natural gas prices (HGBT), halal product certification, and increased use of domestic products (P3DN).
“The mandatory application of SNI to ceramic products is an important step to protect the national industry from a wave of imported products that do not meet quality standards,” said Minister Agus during the Twinfest 2025 ceramic tableware and glassware industry exhibition, seminar, and workshop in Jakarta on Thursday, December 11, 2025, quoted by Antara.
He added that the HGBT policy of USD 7 (IDR 116,690) per Million British Thermal Units (MMBTU) has proven to reduce production costs and encourage new investment in the sector. Energy incentives are one of the main drivers of growth in energy-intensive industries.
Minister Agus also highlighted the halal product certification policy that will take effect in October 2026 based on Government Regulation (PP) No. 42/2024. This policy is considered a vital momentum to increase consumer confidence and strengthen the competitiveness of the national industry.
The Ministry is also optimizing the P3DN program to expand the domestic market through purchases by the government and state-owned enterprises (BUMN). This initiative is expected to increase the use of domestically made products sustainably.
Reforms to the Domestic Component Level (TKDN) policy were also carried out through Minister of Industry Regulation No. 35/2025. The new regulation covers four main aspects that provide additional incentives of up to 60 percent for companies investing in Indonesia.
The policy also simplifies the calculation method, extends the certificate validity period to five years, and provides a self-declaration facility for small industries. The government wants the certification process to be fast, transparent, and efficient.
Another step is to increase the transparency of TKDN values by including them on product labels. This effort makes it easier for the public to understand the level of local content without opening the official certificate.
Data from 2024 shows that the national ceramic and tableware industry capacity reached 250 thousand tons with 52 percent utilization and a 78 percent domestic market share. Product exports reached 13,000 tons, worth around USD 68 million.
For the glass and packaging industry, national production capacity reached 740,000 tons per year with 51 percent utilization and a 65 percent domestic market share. During this period, exports were recorded at 128,000 tons, worth USD 97 million. ***
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