ESDM Asserts That It Will Not Export Raw Minerals To The United States

The Ministry of Energy and Mineral Resources (ESDM) has affirmed that it will not export raw minerals to the United States, in accordance with the provisions of Law Number 3 of 2020 concerning Mineral and Coal Mining.

"No, no. The law does not allow (the export of raw minerals)," stated the Director General of Minerals and Coal (Minerba) Tri Winarno when met at the ESDM Ministry in Jakarta on Thursday.

Tri explained that based on Law Number 3 of 2020, Indonesia ceased exporting raw minerals in the third year following the enactment of the regulation.

Consequently, Indonesia has stopped exporting raw minerals since 2023.

"There was a relaxation due to COVID-19. Now, if we want to reopen it, the law should be amended," he said.

If the United States wishes to import raw minerals from Indonesia, Tri stated that the regulations must first be amended.

So far, he continued, there has been no guidance regarding the export of raw minerals to the U.S.

According to the official website of the White House, the United States and Indonesia have agreed on a framework to negotiate the Agreement on Reciprocal Trade to strengthen the long-established bilateral economic relationship.

This agreement entails the elimination of up to 99 percent of tariff barriers by Indonesia for US industrial and agricultural products, along with a reduction of tariffs by up to 19 percent by the US on goods originating from Indonesia.

Both nations have agreed to address non-tariff barriers such as local content requirements, labeling, and product certification, as well as to enhance the protection of intellectual property rights.

Under this agreement, Indonesia will remove restrictions on the export of critical minerals to the US. The two countries will strengthen economic cooperation and supply chain security to combat unfair trade practices from third countries.

Additionally, Indonesia will ease export-import regulations, particularly for US digital, food, and agricultural products, and will facilitate cross-border data flow.

In the realm of labor and the environment, Indonesia is committed to prohibiting the import of goods produced through forced labor, ensuring workers' rights, strengthening environmental laws, and combating illegal logging and fishing.

Additionally, a commercial commitment exceeding 22 billion US dollars has been noted between US and Indonesian companies for the procurement of aircraft, agricultural products, and energy.

Further negotiations to finalize this trade agreement will take place in the coming weeks.

Tag: ESDM Minerals And Coal Tri Winarno