Indonesia finalizing aircraft spare parts duty waiver

Jakarta (ANTARA) - Indonesia is finalizing a policy to exempt aircraft spare parts from import duties as part of efforts to improve airline efficiency and strengthen the national aviation industry, the Ministry of Transportation said.

"Hopefully, the exemption of spare part import duties will soon be realized," Air Transportation Director Agustinus Budi Hartono said in a statement on Sunday.

He said the policy had already undergone harmonization with the Ministry of Industry and is now awaiting finalization at the Ministry of Finance.

According to Budi, the duty exemption is expected to help airlines reduce operational costs and improve business efficiency.

The government is also refining the fuel surcharge mechanism through an adjustment matrix designed to respond more quickly to changes in jet fuel prices.

The measure is expected to provide greater certainty for airlines while protecting consumers' interests.

Budi said the current fuel surcharge level remains at 50 percent because jet fuel prices are still within the range set by the government.

The government may consider further adjustments if fuel prices continue to decline, allowing the surcharge component to be reduced in line with market conditions.

"Our monitoring shows that airlines generally do not apply the maximum surcharge level, except during the previous peak season," Budi said.

Earlier, the Indonesian National Air Carriers Association (INACA) expressed hope that the import duty exemption for aircraft spare parts could be implemented this year.

Speaking at the launch of the Indonesia Aviation Outlook 2026 book in Jakarta on Wednesday, INACA Chairman Denon Prawiraatmadja said the policy remained one of the aviation industry's top priorities.

He said the proposed incentive is important because it is directly linked to operational cost efficiency and stronger national connectivity.

According to Denon, discussions on the policy have been consistently pursued by INACA and other stakeholders for more than a decade.

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Translator: M. Harianto, Tegar Nurfitra

Editor: Anton Santoso

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