Exporting from Indonesia to the US – The United States, the world’s largest economy, is a prime market for global trade. In the second quarter of 2022, the US imported $850.4 billion worth of goods, highlighting its vast consumer demand. Indonesia, with its diverse exports, has established itself as a key trading partner, with exports to the US reaching 11.2% of its total in 2021. This guide provides an in-depth look at the procedures and requirements for Indonesian businesses looking to export to the US.
Key Statistics on Indonesian Export to the US
In 2021, Indonesia’s exports totaled $228.2 billion, with significant contributions from:
- Crustaceans: $1.01 billion
- Processed Crustaceans: $747 million
- Furniture and Related Goods: $700 million
These figures underscore the importance of the US market for Indonesian exporters seeking global expansion.
Export Requirements from Indonesia
Export Licenses
Indonesian businesses must obtain several licenses before exporting, including:
- Tax Payer Identification Number (NPWP)
- Business Identification Number (NIB)
- Registered Exporter (ET)
- Export Permits (SPE)
- Surveyor’s Report (LS)
- Certificate of Origin (COO)
These licenses ensure compliance with local regulations and are issued by the Ministry of Trade.
Required Documentation for Exporting Goods From Indonesia
Exporting goods from Indonesia to the US requires meticulous documentation. Essential documents include:
- Commercial Invoice
- Company Registration Certificate
- Bill of Lading or Airway Bill
- Customs Export Declaration
- Export Declaration of Goods (PEB)
- Insurance Certificate
- Export Permits & Licenses
- Business License
- Certificate of Origin
- Packing List
Ensuring the accuracy of these documents is crucial for smooth customs clearance.
Customs Clearance for Goods in the United States
Import Licenses and Permits
While the US Customs and Border Protection (CBP) does not generally require import licenses, other federal agencies may mandate them for specific goods. Importers must secure all necessary permits to avoid issues at the border.
Entry Documents
Upon arrival in the US, importers must submit the following documents within 15 calendar days:
- Entry Manifest (CBP Form 7533)
- Application and Special Permit for Immediate Delivery (CBP Form 3461)
- Commercial or Pro Forma Invoice
- Packing Lists (if applicable)
All customs duties and taxes must be paid within 10 working days to ensure timely release of goods.
Customs Duties and Taxes
Duty Requirements
Products valued below $800 are exempt from import duties under the de minimis rate. For goods exceeding this value, the average duty rate is 3.5%, with certain items like dairy and tobacco subject to higher tariffs. The Harmonized System (HS) codes classify and calculate these tariffs, with duties assessed ad valorem based on the Cost, Insurance, and Freight (CIF) value.
Additional Taxes and Fees
Additional taxes such as the Federal Excise Tax on alcohol and tobacco and the Merchandise Processing Fee (MPF) also apply. The MPF is 0.3465% for goods worth over $2,500, capped between $26.22 and $508.70.
Read More: Guide to Customs Tariff Classification in Indonesia
Prohibited and Restricted Goods
Prohibited Goods
Certain goods are strictly prohibited from entering the US due to safety and health concerns, including:
- Dangerous toys
- Cars without adequate safety measures
- Bushmeat
- Counterfeit currency
- Drug paraphernalia
- Illegal drugs and substances
Restricted Goods
Restricted items require special permits from relevant federal agencies, such as:
- Firearms
- Certain fruits and vegetables
- Alcoholic beverages
- Automobiles
- Animal products
- Biologicals
- Cultural artifacts
- Defense articles
- Medications
- Plants and seeds
- Fish and wildlife
Partnering with Logistics Carriers
To navigate the complexities of exporting to the US, partnering with reliable logistics providers like DHL Express can be invaluable. These carriers offer expertise in customs procedures, ensuring your products reach their destinations smoothly.
Conclusion
Exporting from Indonesia to the US offers significant opportunities for growth. By understanding and complying with regulatory requirements, obtaining necessary licenses, and preparing accurate documentation, Indonesian businesses can successfully penetrate the US market and capitalize on its vast potential.
Indonesia Customs website here.
Collection of Indonesia customs consultations here.
Topic: Exporting from Indonesia, US import regulations, Indonesian export licenses, US customs clearance, international shipping, trade with the US, export documentation, import duties, prohibited items, restricted items, Indonesian exporters, logistics carriers, US market entry