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INDONESIA

Since March 2016

Pillar Public procurement of ICT goods and online services  |  Sub-pillar Other limitations on foreign participation in public procurement
Ministry of Industry Regulation No. 15/M-IND/PER/3/2016
Art. 6 of the Ministry of Industry Regulation 15/M-IND/PER/3/2016 stipulates that transmission towers and steel-reinforced conductors used in public procurement require a minimum local content of 40%.
Coverage Transmission towers and steel-reinforced conductors

INDONESIA

Since March 2018, as amended in February 2021

Pillar Public procurement of ICT goods and online services  |  Sub-pillar Other limitations on foreign participation in public procurement
Regulation of the President of the Republic of Indonesia No. 16 of 2018 on Government Procurement, as amended by Regulation of the President of the Republic of Indonesia No. 12 of 2021
Art. 67 of Presidential Regulation No. 16 provides that a price preference applies to goods procurement with maximum 25%. For construction works under the international tender selection method, the price preference is given to a maximum of 7.5% to national business entities above the lowest bid price of foreign business entities. The price preference applies to procurement having value of more than Rp one billion (approx. USD 67,000).
Coverage Horizontal

INDONESIA

Since October 2009, as amended in October 2019

Pillar Public procurement of ICT goods and online services  |  Sub-pillar Other limitations on foreign participation in public procurement
Ministry of Communication and Information Technology Regulation No. 41/PER/M.KOMINFO/10/2009 as replaced by the Ministry of Communications and Informatics Regulation No. 12 of 2019
Ministry of Communications and Informatics Regulation No. 12 of 2019, which replaces the Ministry of Communication and Information Technology Regulation No. 41/PER/M.KOMINFO/10/2009 requires Indonesian telecommunication operators to expend a minimum of 50% of their total capital expenditures for network development on locally sourced components or services. The regulation also stipulated that any telecommunication device/material which contains minimum 50% local component will be considered of having 100% local component (Art. 6). The regulation also requires companies to annually report the percentage of local content procured and have that information “authenticated” by the government or a survey institute appointed by the government. These requirements were already in place since 2009.
Coverage Network telecommunication operators

INDONESIA

Since January 2014

Pillar Public procurement of ICT goods and online services  |  Sub-pillar Other limitations on foreign participation in public procurement
Ministry of Industry Regulation No. 02/M-IND/PER/1/2014
The Ministry of Industry Regulation No. 02/M-IND/PER/1/2014, which regulates the procurement of public goods and services, includes price preferences for bidders with more than 25% of TKDN or striving to achieve at least 30%. The price preferences can be up to 15% for the procurement of goods and maximally 7.5% for services.
Coverage Horizontal

INDONESIA

Since May 2009

Pillar Public procurement of ICT goods and online services  |  Sub-pillar Other limitations on foreign participation in public procurement
Ministry of Industry Regulation No. 49/2009
The Ministry of Industry Regulation No. 49/2009 requires the use of domestic products and services in 558 sub-sectors for public procurement. The mandate to use domestic products in these sub-sectors applies if there are goods and services with minimum local content requirements ranging from 15% up to 96%. Domestic products and services are defined as goods or services produced or prepared by a company investing and producing in Indonesia, with the possibility to use imported raw material or component in the production or working process.
Coverage 558 sub-sectors

INDONESIA

Since 2016, last replaced in 2020

Pillar Public procurement of ICT goods and online services  |  Sub-pillar Other limitations on foreign participation in public procurement
Ministry of Finance Regulation No. 65/PMK.06/2016 as replaced by the Ministry of Finance Regulation No.115/PMK.06/2020
The Ministry of Finance Regulation No.115/PMK.06/2020, which replaces the Ministry of Finance Regulation No. 65/PMK.06/2016 mandates foreign entities to establish an Indonesian limited liability company before utilizing the state-owned property for undertaking the public procurement of the infrastructure projects (including telecommunication infrastructure) under the public-private partnership scheme. This requirement was already in place since 2016. Nevertheless, this represents a liberalisation for foreign companies in Indonesian public procurements, since previous required the prioritization of domestic service suppliers.
Coverage Telecommunication infrastructure

INDONESIA

Since October 2012
Since October 2019

Pillar Public procurement of ICT goods and online services  |  Sub-pillar Surrender of patents, source code or trade secrets to win public tenders /Restrictions on technology standards for public tenders
Government Regulation No. 82 of 2012 on the Organization of Electronic Systems and Transactions

Government Regulation No. 71 of 2019 on the Organization of Electronic Systems and Transactions
Art. 9 of the Government Regulation No. 71/2019 requires that providers of bespoke software must provide or escrow the source codes associated with their service. The requirement applies to Electronic System Provider for public scope. This requirement was already contained in Art. 8 of Government Regulation No. 82/2012, which was repealed by Government Regulation No. 71/2019.
Coverage Electronic systems operators for public scope

INDONESIA

Since 2012, last amended in 2019

Pillar Public procurement of ICT goods and online services  |  Sub-pillar Other limitations on foreign participation in public procurement
Government Regulation No. 82 of 2012, replaced by Government Regulation No. 71/2019 regarding the Provision of Electronic System and Transaction
Government Regulation No. 71/2019 states that the electronic systems operators for public scope should store the electronic transaction data in Indonesia, unless the technology needed is unavailable in Indonesia. Public ESOs are defined to include (a) public bodies (such as central and regional executive, legislative, judicative bodies and any other bodies established pursuant to a statutory mandate); and (b) entities appointed by public bodies to operate electronic systems on their behalf. Previously, Government Regulation 82 (Article 17) required “electronic systems operators for public service” to connect their data to a data centre and a disaster recovery centre established in Indonesian territory for law enforcement and data protection. Although “public services” was not defined under GR 82, this term had been interpreted in practice by MOCI broadly. Therefore, the local storage obligations were widely understood to cover all services offered to the public via the internet, effectively affecting many private sector companies.
Coverage Electronic systems operators for public scope

INDONESIA

Since March 2018, last amended in February 2021

Pillar Public procurement of ICT goods and online services  |  Sub-pillar Exclusion from public procurement
Regulation of the President of the Republic of Indonesia No. 16 of 2018 on Government Procurement
Art. 66 of Presidential Regulation No. 16 provides that the ministries, institutions and regional apparatuses are obligated to use domestic products. Procurement of imported goods may be conducted in the event that the goods cannot be produced domestically or domestic production volume is unable to meet the demand.
Coverage Horizontal

INDONESIA

Since August 2010, as amended in March 2018

Pillar Public procurement of ICT goods and online services  |  Sub-pillar Exclusion from public procurement
Presidential Regulation No. 54/2010 as amended by the Presidential Regulation No. 16/2018
According to Art. 104 of the Presidential Regulation No. 54/2010, foreign companies can only bid on a public procurement tender in cooperation with a national company (unless no national company can provide the goods and services requested) and only in bids that exceed the following thresholds:
- Rp 20 billion (approx. 1.8 million USD) for goods and other services; and
- Rp 10 billion (approx. 0.9 million USD) for consulting services.
Art. 63 of the Presidential Regulation No.16/2018 amended the minimum thresholds of bid value for foreign companies who want to cooperate with a national company to participate in the public procurement as follow:
- Rp 50 billion (approx. 4.5 million USD) for goods and other services; and
- Rp 25 billion (approx. 2.25 million USD) for consulting services.
Coverage Horizontal

INDONESIA

Since January 2014

Pillar Public procurement of ICT goods and online services  |  Sub-pillar Exclusion from public procurement
Ministry of Industry Regulation No. 02/M-IND/PER/1/2014
Art. 10 of Regulation No. 02/M-IND/PER/1/2014 provides that domestic service suppliers need to be prioritized. In order to be considered as a domestic service supplier, the majority of shares have to belong to an Indonesian citizen and two thirds of the board members have to be locals. If no domestic service suppliers are participating in the procurement, national service suppliers (with at least 10% of shares belonging to Indonesians) will be taken into consideration. Only when these are also unavailable will foreign service providers be allowed to participate in the procurement process as well (Art. 16(1)).
Coverage Horizontal

INDONESIA

N/A

Pillar Tariffs and trade defence measures applied on ICT goods  |  Sub-pillar Participation in the WTO Information Technology Agreement (ITA) and 2015 expansion (ITA II)
Lack of participation in Information Technology Agreement Expansion Agreement (ITA II)
Indonesia is a signatory of the World Trade Organization (WTO) Information Technology Agreement (ITA) of 1996, but is not a signatory of its 2015 expansion (ITA II).
Coverage ICT goods
"SELECT DISTINCT(post_id) FROM prj_12_postmeta WHERE meta_key = 'score' AND\n\t\t\t\t\t\t\t\tpost_id IN (SELECT post_id FROM prj_12_postmeta WHERE meta_key = 'country' AND meta_value = 'ID')\n\t\t\t\t\t\t\t\tAND (\n\t\t\t\t\t\t\t\t\tpost_id IN (SELECT post_id FROM prj_12_postmeta WHERE meta_key = 'subchapter' AND meta_value = '1.1') OR\n\t\t\t\t\t\t\t\t\tpost_id IN (SELECT post_id FROM prj_12_postmeta WHERE meta_key = 'subchapter' AND meta_value = '1.2') OR\n\t\t\t\t\t\t\t\t\tpost_id IN (SELECT post_id FROM prj_12_postmeta WHERE meta_key = 'subchapter' AND meta_value = '1.3')\n\t\t\t\t\t\t\t\t)"
[{"post_id":"47257"},{"post_id":"47258"},{"post_id":"47259"}]
"SELECT meta_value FROM prj_12_postmeta WHERE meta_key = 'impact' AND\n\t\t\t\t\t\t\t\tpost_id IN (SELECT post_id FROM prj_12_postmeta WHERE meta_key = 'country' AND meta_value = 'ID')\n\t\t\t\t\t\t\t\tAND (\n\t\t\t\t\t\t\t\t\tpost_id IN (SELECT post_id FROM prj_12_postmeta WHERE meta_key = 'subchapter' AND meta_value = '1.1') OR\n\t\t\t\t\t\t\t\t\tpost_id IN (SELECT post_id FROM prj_12_postmeta WHERE meta_key = 'subchapter' AND meta_value = '1.2')\n\t\t\t\t\t\t\t\t)"
"SELECT meta_value FROM prj_12_postmeta WHERE meta_key = 'score' AND\n\t\t\t\t\t\t\t\tpost_id IN (SELECT post_id FROM prj_12_postmeta WHERE meta_key = 'country' AND meta_value = 'ID')\n\t\t\t\t\t\t\t\tAND (\n\t\t\t\t\t\t\t\t\tpost_id IN (SELECT post_id FROM prj_12_postmeta WHERE meta_key = 'subchapter' AND meta_value = '1.3')\n\t\t\t\t\t\t\t\t)"
ITA: [{"meta_value":"0.50"}]

INDONESIA

ITA signatory? I II

Pillar Tariffs and trade defence measures applied on ICT goods  |  Sub-pillar Effective tariff rate on ICT goods (applied weighted average)
Effective tariff rate to ICT goods (applied weighted average)
0.87%
Coverage rate of zero-tariffs on ICT goods (%)
41.04%
Coverage: Digital goods

HONDURAS

Since 2015

Pillar Online sales and transactions  |  Sub-pillar Adoption of UNCITRAL Model Law on Electronic Commerce
UNCITRAL Model Law on Electronic Commerce
Honduras has adopted national legislation based on or influenced by the United Nations Commission on International Trade Law (UNCITRAL) Model Law on Electronic Commerce.
Coverage Horizontal

HONDURAS

Since 2013

Pillar Online sales and transactions  |  Sub-pillar Adoption of UNCITRAL Model Law on Electronic Signatures
UNCITRAL Model Law on Electronic Signatures
Honduras has adopted national legislation based on or influenced by the United Nations Commission on International Trade Law (UNCITRAL) Model Law on Electronic Signatures.
Coverage Horizontal

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