Import Identification Number (API) Indonesia - Overview

Types Import Identification Number in Indonesia

There are two types of Import Identification Number:

1. an API-U (general), which is the import identification number that is applicable to companies that wish to import specific goods for general trading purposes; and
2. an API-P (production), which is the import identification number that is applicable to companies that wish to import goods to be used for their own purposes.

An importer may only hold one type of API.

Import to Indonesia Based on API-U

Companies that have obtained the import identification number in the form of an API-U can only import one group of goods as specified under on section of appendix 1 of the Trade Regulation. Exception for the foregoing restriction is made for the importing companies that either:

1. have a special relationship with the overseas supplier. A special relationship can be obtained through the following:

a) an agreement for sharing control of an economic activity;
b) agency/distributor agreement;
c) loan agreement;
d) supplier agreement;
e) articles of association; or
f) shareholding ownership; or

2. are partially or entirely owned by the state of Indonesia.

The companies above are allowed to import goods in more than one group as specified in the appendix 1 of the Trade Regulation.

Import to Indonesia Based on API-P

Companies that have obtained the import identification number in the form of an API-P can only import goods to be utilized for their own purpose, such as:

1. raw materials to be further processed by the same company;
2. capital goods which are used for the production process of the company; or
3. supporting materials which are supporting the production process of the company.

The Trade Regulation prohibits that the imported goods under an API-P are directly sold or transferred to third parties. To this general rule there are two exemptions:

1. goods which are granted an import facility and which have been used by the import company for at least two years may be traded or transferred to third parties; and
2. certain industrial goods which are necessary for developing the business and investment of the company, which are not used in the production process and which will only be used by the company for market testing and/or used as complimentary goods. These goods may be traded or transferred to third parties.

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