Indonesia Proposes to Impose Tariffs on NPI Exports

Published: Jan 18, 2022 13:51

Save

According to foreign media, Indonesia's Deputy Minister of Maritime and Investment Affairs, Septian Hario Seto, said that the government may start imposing export duties on NPI in 2022.

SHANGHAI, Jan 18 - According to foreign media, Indonesia's Deputy Minister of Maritime and Investment Affairs, Septian Hario Seto, said that the government may start imposing export duties on NPI in 2022. Seto said a 2% export tax, or $300/mt, would be possible if nickel prices were above $15,000/mt, and that the tax would increase in proportion to nickel prices. The tax is intended to encourage nickel miners to process the product before shipping it overseas, otherwise Indonesia's nickel reserves will be quickly depleted. LME nickel prices pulled up to around US$22,700/mt immediately after the news was released.

Since Indonesia banned the export of nickel ore in 2020, the country has become the main supplier of NPI to China. During January-November 2021, China's total NPI imports amounted to 3.39 million mt, representing a year-on-year increase of 9.22%. Among them, the amount of NPI imported from Indonesia stood at 2.85 million mt, an increase of 15.15% year-on-year, accounting for about 84% of China's total NPI imports. Once Indonesia's export tariff is raised, it will greatly increase the costs of NPI imports in China.

NPI imports tariff Indonesia

Data Source Statement: Except for publicly available information, all other data are processed by SMM based on publicly available information, market communication, and relying on SMM‘s internal database model. They are for reference only and do not constitute decision-making recommendations.

For any inquiries or to learn more information, please contact: lemonzhao@smm.cn

For more information on how to access our research reports, please contact:service.en@smm.cn

Related News

Feb 28, 2026 16:11

[SMM Stainless Steel Flash] Xinfeng Special Steel’s Phase II Bright Annealing Line Successfully Produces First Coil

On February 8, the 6# line of the Phase II Bright Annealing (BA) unit at Xinfeng Special Steel’s cold continuous rolling stainless steel project successfully produced its first coil, with the 304-series material meeting qualification standards on its initial run. General contracted by WISDRI (South China) Thermal Engineering, the Phase II project utilizes a domestic-first four-stage horizontal bright annealing unit design, featuring the longest muffle and largest TV (Tension-Velocity) capacity in China. As a key component of Xinfeng’s strategy to build a green, intelligent factory, the line reached production capacity immediately upon commissioning and is currently undergoing further optimization and debugging to produce high-grade BA plates and tube-making stock.

Feb 28, 2026 16:11

[SMM Stainless Steel Flash] TISCO’s Self-Developed SUS630 Stainless Steel Plates Break Import Monopoly in PCB Sector

According to TISCO (Shanxi Taigang), its independently developed SUS630 precipitation-hardening stainless steel cold-rolled plates are now being supplied steadily to domestic Printed Circuit Board (PCB) manufacturers. Throughout the recent holiday period, the company's R&D and production teams maintained strict quality control to ensure the material meets the rigorous standards required for 5G communications, automotive electronics, and medical devices. As a core material for the hot lamination process in PCB manufacturing, SUS630 was long dependent on foreign imports; however, TISCO has now become the only stable domestic supplier, successfully breaking the technical blockade.

Feb 28, 2026 16:11

[SMM Stainless Steel Flash] Wenzhou Yigang’s 700-ton Precision Tube Project Receives EIA Approval

The Wenzhou Municipal Bureau of Ecology and Environment officially issued and announced its approval decision regarding the Environmental Impact Assessment (EIA) for Wenzhou Yigang Steel Co., Ltd.’s project. The approved project involves the annual processing of 700 tons of precision stainless steel tubes. This regulatory milestone clears a major legal hurdle for the facility, allowing the company to move forward with the construction and subsequent operation of its precision tube production capacity in line with regional environmental standards.

Feb 28, 2026 16:11