Indonesia plans to exempt duty on several automotive parts imported from Japan to support local industries as both countries are moving closer to sign the Economic Partnership Agreement (EPA), an official said Thursday.
The move was to reciprocate Japan's supports for human resources development and industrial development in Indonesia, said Halida Miljani, an expert staff of the trade minister.
The policy will be implemented in stages with different periods for different groups, "ranging from 3.5 years to 10 years depending on the products, whether or not they are included in the sensitive list," she was quoted by the Tempo online news service as saying.
The two governments have targeted to conclude the EPA talks at the end of the year, she added.
Japan already signed the EPA with the Philippines, Thailand and Malaysia.