MOF Regulation Number 31 of 2026 Revokes Antidumping Exemption for Wuhan Iron and Steel, MOF Regulation Number 32 of 2026 Imposes Temporary Tariff of 17.5%

Introduction

On 12 May 2026, the Ministry of Finance issued Minister of Finance Regulation Number 31 of 2026 on Amendments to Minister of Finance Regulation Number 103 of 2024 on the Imposition of Antidumping Import Duty on Imports of Flat-Rolled Products of Iron or Non-Alloy Steel from the People’s Republic of China, India, Russia, Kazakhstan, Belarus, Taiwan, and Thailand (“MOF Regulation 31/2026”) and Minister of Finance Regulation Number 32 of 2026 on the Imposition of Temporary Antidumping Import Duty on Imports of Flat-Rolled Products of Iron or Non-Alloy Steel from Wuhan Iron and Steel Co., Ltd., People’s Republic of China (“MOF Regulation 32/2026”), both of which shall take effect on 27 May 2026. MOF Regulation 31/2026 aims to readjust the list of foreign manufacturing companies subject to antidumping tariff measures on imported flat-rolled products of iron or non-alloy steel originating from seven countries. Meanwhile, MOF Regulation 32/2026 stipulates the imposition of Temporary Antidumping Import Duty (“BMADS”) on Wuhan Iron and Steel Co., Ltd.

The Government considers these two regulations important because the Indonesian Antidumping Committee (KADI) identified sufficient preliminary evidence regarding price manipulation (dumping) practices conducted by a steel producer from the People’s Republic of China, namely Wuhan Iron and Steel Co., Ltd. Such dumping practices have directly caused material injury to the domestic steel industry. Following these findings and the proposal of the Minister of Trade, the Ministry of Finance removed the business entity from the tariff exemption annex list in order to prevent unfair trade practices and provide protection to domestic industry players.

 

Comparison

MOF Regulation 31/2026 amends and replaces the details on tariff imposition under Minister of Finance Regulation Number 103 of 2024 on the Imposition of Antidumping Import Duty on Imports of Flat-Rolled Products of Iron or Non-Alloy Steel from the People’s Republic of China, India, Russia, Kazakhstan, Belarus, Taiwan, and Thailand (“MOF Regulation 103/2024”). The following is a comparison table between MOF Regulation 31/2026 and MOF Regulation 103/2024:

 

Key Provisions

Amendments to the Annex List of Countries and Producers

Based on Article I of MOF Regulation 31/2026, the Minister of Finance stipulates amendments to the list of producers or companies and the applicable Antidumping Import Duty rates set out in the Annex to the regulation. The principal amendment concerns the removal of Wuhan Iron & Steel (Group) Co. from the People’s Republic of China. Meanwhile, the tariff rates applicable to producers from the other six countries, namely India, Russia, Kazakhstan, Belarus, Taiwan, and Thailand, remain unchanged and continue to follow the previous tariff provisions.

Tariff Details Based on Country of Origin

Referring to the Annex of MOF Regulation 31/2026, the Government specifies the binding Antidumping Import Duty rates applicable to import businesses in Indonesia. The tariff imposition varies depending on the country of origin and the producing entity, with the following obligations:

1. People’s Republic of China: Angang Steel Company Ltd. and Baoshan Iron & Steel Co., Ltd. are each subject to a 20% tariff, as are “Other Companies” at a rate of 20%. 
2. India: Essar Steel Ltd. is subject to a 12.95% tariff, while JSW Steel Ltd. and “Other Companies” are subject to a 20% tariff. 
3. Russia, Kazakhstan, and Belarus: Novolipetsk Steel (8.96%), JSC Severstal (5.58%), Magnitogorsk Iron & Steel Works (20%), and “Other Companies” (20%). 
4. Taiwan: China Steel Corporation enjoys a preferential tariff of 0%, Chung Hung Steel Corporation is subject to 4.24%, Shang Shing Steel Industrial to 4.70%, and “Other Companies” to 20%. 
5. Thailand: Sahaviriya Steel Industries Public Co. Ltd (11.23%), Nakorntai Strip Mill Public Co. Ltd (12.78%), G Steel Ltd. (7.52%), and “Other Companies” (20%). 

Imposition of Temporary Tariffs on Wuhan Iron and Steel

Pursuant to Article 2 and Article 3 of MOF Regulation 32/2026, the Government imposes Temporary Antidumping Import Duty on certain imported steel products originating from Wuhan Iron and Steel Co., Ltd., People’s Republic of China. Based on the Annex of MOF Regulation 32/2026, the Government sets the BMADS rate for the company at 17.50%. The tariff applies to flat-rolled products of iron or non-alloy steel with a width of 600 mm or more, hot-rolled, not clad, plated, or coated, in coils, referring to several specific tariff headings ranging from 7208.10.00 to ex7208.90.90.

Cumulative Nature of Additional Import Duty Tariffs

Article 4 paragraph (1) of MOF Regulation 32/2026 affirms that the BMADS constitutes an additional levy. Accordingly, importers are required to pay the temporary antidumping tariff as an additional cost beyond the general import duty (most favoured nation) or preferential import duty (under international agreements) previously imposed on the relevant products. Furthermore, Article 4 paragraph (2) provides that where the requirements under an international agreement are not fulfilled, the Government shall cumulatively apply the additional tariff together with the general import duty.

Timing Criteria for the Imposition on Imported Goods

According to Article 5 paragraph (1) of MOF Regulation 32/2026, the additional import duty shall apply to imported goods that satisfy the following conditions:

1. The import customs declaration document has obtained a registration number from the customs office where customs obligations are settled, in the event customs obligations are fulfilled through the customs declaration submission mechanism; or 
2. The customs tariff and customs value have been determined by the customs office, in the event customs obligations are settled without the customs declaration submission mechanism. 

Transitional Provisions

Based on Article 6 of MOF Regulation 32/2026, the Government limits the validity period of the regulation on the imposition of BMADS to only 6 (six) months commencing from 27 May 2026.

 

Closing

MOF Regulation 31/2026 provides protection to the domestic steel industry against harmful price manipulation (dumping) practices. This regulation revokes the tariff exemption facility previously granted to the Chinese producer Wuhan Iron & Steel (Group) Co. Previously, the entity benefited from a 0% Antidumping Import Duty rate under MOF Regulation 103/2024. Following the removal of the company from the exemption list, imported products from Wuhan Iron & Steel are now subject to MOF Regulation 32/2026 and imposed with a BMADS rate of 17.5%. Meanwhile, the tariff rates applicable to steel producers from the other six countries remain unchanged and continue to apply under the previous provisions. This policy is expected to effectively prevent unfair trade practices and provide maximum protection for the sustainability of the domestic steel industry in Indonesia.