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Jokowi to issue regulation on local content

Wednesday, 02 August 2017 | Wahyu Tri Rahmawati

JAKARTA. President Joko “Jokowi” Widodo plans to issue a presidential regulation on the use of local materials in products manufactured domestically, a minister has said.

“[The draft] is ready. It will be issued within weeks,” Coordinating Maritime Affairs Minister Luhut Binsar Pandjaitan said after attending a limited Cabinet meeting on Tuesday at the Presidential Office in Jakarta, as reported by tribunnews.com.

The regulation stipulates that companies must use local materials in all products made in the country, Luhut said.

“The President has warned that if there is [any producer], who does not abide by the local materials regulation, they will be warned and face tough measures,” he added.

Earlier on Tuesday, the President criticized several state-owned enterprises (SOEs) that preferred using foreign materials in their products, when the same materials were available from local sources.

The President thus ordered the SOEs to prioritize using locally sourced materials in their products.

Reporter: Wahyu Tri Rahmawati
Editor: Wahyu Rahmawati