Regulation of the Minister of Trade Number 5 of 2026 Amends Export Governance through Licensing Simplification and Commodity Adjustments
Introduction
On March 26, 2026, the Ministry of Trade (“MOT”) issued Regulation of the Minister of Trade Number 5 of 2026 on the Fourth Amendment to Regulation of the Minister of Trade Number 23 of 2023 on Export Policies and Arrangements ("MOT Regulation 5/2026"). MOT Regulation 5/2026 aims to improve the ease of doing business for exporters, simplify licensing, and adjust export commodity provisions.
Based on the considerations section, MOT Regulation 5/2026 addresses administrative constraints in applying for Export Approvals (Persetujuan Ekspor, "PE") and Surveyor Reports (Laporan Surveyor, "LS"), and adjusts export policies for certain commodities. Furthermore, MOT Regulation 5/2026 governs the business licensing issuance process in the export sector through an integrated system and the classification of goods restricted and exempted from export arrangements.
Comparison
MOT Regulation 5/2026 amends, adds, and repeals several provisions in Regulation of the Minister of Trade Number 23 of 2023 on Export Policies and Arrangements ("MOT Regulation 23/2023") and its amendments. The main comparisons between MOT Regulation 5/2026 and MOT Regulation 23/2023 and its amendments are presented below:
| Aspect | MOT Regulation 5/2026 | MOT Regulation 23/2023 and its amendments |
| Issuance of Export Approvals | Export Approvals for certain commodities can be issued electronically and automatically without additional verification if all data and required documents are available in the integrated system. | The issuance of Export Approvals still requires manual document verification stages and the fulfillment of technical recommendations by officers, even though the application has been submitted through an integrated electronic system. |
| Surveyor Report Obligations | Several commodities are exempted from Surveyor Report obligations and may utilize a self-declaration by the businesses. | Certain commodities with restricted exports are subject to mandatory verification or technical tracking by a Surveyor appointed by the Minister of Trade. |
| Validity Period of Business Licensing | The validity period of Export Approvals is specifically set according to the commodity type as detailed in Annex I. | The validity period of Export Approvals is set for a specific timeframe and requires an extension application if not fully utilized. |
| Administrative Sanctions for Reporting | The imposition of sanctions is carried out gradually through warnings prior to the suspension of export business licensing. | Late reporting can be directly subject to the sanction of export business licensing suspension. |
| Commodity Classification (Annexes) | HS Code provisions and commodity lists are updated, including arrangements for processed mining products, CPO derivatives, and processed wood. | Refers to previous HS Code classifications with export quota arrangements for mining, plantation, and forestry products. |
Key Provisions
Addition of Scope and Definitions of Export Policies
MOT Regulation 5/2026 adds provisions regarding the issuance of Export Approvals for certain goods through Article 1 point 1, which introduces Article 6 paragraph (1a). This provision stipulates that Export Approvals can be issued electronically and automatically if the required documents are available in the integrated system. This arrangement covers specific types of export activities that follow this mechanism and reduces administrative stages in the export licensing process.
Issuance of Export Approvals and System Integration
MOT Regulation 5/2026 amends provisions on the procedures for issuing Export Approvals through the amendment of Article 6 under Article 1 point 1. Businesses submit applications for export business licensing electronically through the Indonesia Trade Integrated System ("INATRADE"), which is connected to the Indonesia National Single Window System ("SINSW"). This system utilizes data and documents already available electronically, meaning businesses do not need to resubmit the same documents for every application.
Cancellation of the Certificate Issuance Process
MOT Regulation 5/2026 adds Part Three to Chapter IX through Article 1 point 3 and inserts Article 27A through Article 1 point 4. These provisions govern the cancellation of the Certificate issuance process and provide a mechanism for businesses to halt ongoing application processes. This arrangement also reduces the need to fulfill additional documents in the licensing process.
Repeal of Article 29 and Article 35 Regarding Further Administrative Obligations
MOT Regulation 5/2026 repeals Article 29 through Article 1 point 5 and repeals Article 35 through Article 1 point 8. With these repeals, businesses are no longer required to fulfill the additional administrative provisions previously governed in those two articles. This removal simplifies the process following the issuance of export documents, including in the customs stages.
Obligations to Fulfill Other Documents
MOT Regulation 5/2026 amends provisions regarding the obligations to fulfill other documents, including the arrangement of sanitation certificates and v-legal documents, through Article 1 point 2 which amends Article 14. This amendment stipulates that for certain commodities, businesses are exempted from Surveyor Report obligations. In such cases, businesses must still ensure the conformity of export data and documents, including the accuracy of information in customs declarations and supporting documents submitted electronically.
Validity Period of Business Licensing
Provisions on the validity period of export business licensing are stipulated in Article 6 paragraph (8), amended through Article 1 point 1. The validity period of Export Approvals is specifically set according to the commodity type as detailed in Annex I, which generally remains valid for one calendar year or is adjusted to the validity period of the relevant commodity business license.
Certificate Cancellation Mechanism
Provisions regarding the cancellation of the Certificate issuance process are introduced through the insertion of Article 27A added by Article 1 point 4. Businesses may submit a request to cancel the export certificate issuance process electronically to the Minister through SINSW, which is forwarded to the INATRADE System, provided the cancellation request is made before the documents are received in full by functional officials.
Exemptions on Re-Export Policies
MOT Regulation 5/2026 adds provisions regarding exemptions on export policies and arrangements for the re-export of previously imported goods through the insertion of Article 51A under Article 1 point 15. This provision stipulates that export policies do not apply to imported goods that are re-exported while still within the customs area, imported goods in Bonded Storage Areas re-exported without processing, and the re-export of Temporary Import Goods.
Export Realization Reporting Mechanism
MOT Regulation 5/2026 amends provisions on export realization reporting through the amendment of Article 30 under Article 1 point 6. Exporters holding an Export Approval must submit an export realization report, regardless of whether the export is realized, no later than the 15th of the following month through the SINSW system.
Gradual Administrative Sanctions
MOT Regulation 5/2026 amends provisions on administrative sanctions through a series of amendments to Article 36, Article 40, Article 41, Article 42, Article 44, and Article 47 under Article 1 point 9 to point 14. In the event of reporting obligation violations, exporters are subject to gradual administrative sanctions commencing with written warnings. If these obligations remain unfulfilled, sanctions may escalate to the suspension and revocation of export business licensing in accordance with applicable provisions.
Export Exemptions for Certain Tariff Lines
MOT Regulation 5/2026 inserts Article 52D through Article 1 point 16, which stipulates that exports for specific tariff lines or HS Codes that have obtained a customs declaration registration number and date prior to the effective date of this regulation may be carried out without requiring export business licensing in the form of an Export Approval.
Specific Commodity Classification and Requirements
MOT Regulation 5/2026 amends provisions regarding commodity classification and requirements through comprehensive amendments to Annex I, Annex II, Annex III, Annex IV, and Annex V under Article 1 point 17, encompassing adjustments to the list of goods restricted and exempted from export along with the applicable requirements. For processed mining products, the Annexes govern export provisions linked to the fulfillment of specific requirements, including the development progress of domestic refining facilities. For forestry and processed wood products, several types of goods are exempted from Surveyor Report obligations while maintaining the requirement to fulfill declaration documents by businesses. Meanwhile, for palm oil derivatives and chemical industry products, the Annexes update the Tariff Line (HS Code) classifications and determine the types of goods exempted from Export Approval obligations in accordance with applicable provisions.
Transitional Provisions
MOT Regulation 5/2026 includes Transitional Provisions through Article 52C, which governs the final validity limits of previous licensing documents. This article confirms that business licensing in the form of Registered Exporter status and Export Approvals for Pure Tin Ingot and Industrial Tin commodities remains valid until April 30, 2026. Furthermore, business licensing for Registered Exporters of Kratom Producers and Non-Producers remains valid until July 1, 2026. In addition, business licensing in the form of Registered Exporters of Coal and Export Approvals for Oil and Gas remain valid until their validity expires. Exporters holding such licenses must apply for new business licensing before the transitional deadline concludes. This regulation took effect on April 1, 2026, as governed in Article II.
Closing
MOT Regulation 5/2026 revises export governance by simplifying electronic licensing via the INATRADE system integrated with SINSW, repealing Article 29 and Article 35, introducing Article 27A on the cancellation of the Certificate issuance process, adjusting export realization reporting obligations under Article 30, updating gradual administrative sanctions, introducing Article 51A on re-export exemptions, introducing Articles 52C and 52D, and updating commodity classifications and related provisions in Annex I through Annex V. MOT Regulation 5/2026 also includes Transitional Provisions and took effect on April 1, 2026. Exporters must ensure the conformity of HS Code classifications with the latest Annex provisions, the accuracy of data and documents in the electronic system, and the timely fulfillment of reporting obligations, as non-compliance may impact export procedures, including rejection of documents and imposition of administrative sanctions.
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