To combat the economic strain of the Iran-Israel conflict and oil prices exceeding US$110 per barrel, Indonesia is scrapping import duties on aircraft spare parts and temporarily waiving the value-added tax (VAT) on domestic economy class tickets. Senior Minister Airlangga Hartarto stated that these measures are essential to sustain the aviation sector, which relies on foreign-made components for 99% of its maintenance needs. The tax exemptions aim to lower skyrocketing operational costs and provide immediate relief for travelers over the next two months as the industry navigates global geopolitical volatility. Beyond immediate crisis management, the zero-duty policy is designed to transform Indonesia into a competitive hub for Maintenance, Repair, and Overhaul (MRO) services. The government anticipates this shift will generate US$700 million in annual economic activity, contribute a US$1.49 billion boost to the GDP, and create approximately 3,700 new jobs. By removing financial barriers to importing parts—which saw a nearly 900% jump in value in early 2026—Jakarta hopes to localize high-value technical work and strengthen the nation's long-term aviation infrastructure.Source: https://jakartaglobe.id/business/indonesia-sets-zero-import-duties-on-aircraft-spare-parts  (ICE GIACARTA)

Fonte notizia: Jakarta Globe, 7 April 2026