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Jun

07

The Ban on The Export of Raw Mineral Material Bauxite Will Take Effect in June 2023 in Indonesia

President Joko Widodo announced that Indonesia will impose a bauxite export ban starting in June 2023 to promote domestic processing of its mineral resources. The ban is in line with Minister of Energy and Mineral Resources Regulation No. 17 of 2020 concerning the Third Amendment to Energy and Mineral Resources Regulation No. 25 of 2018 concerning Mineral and Coal Mining Business ("MEMRR 17/2020") and is based on four considerations: increasing value added for the domestic economy, creating new job opportunities, increasing foreign exchange earnings, and promoting more equitable economic growth in Indonesia.

Indonesia is the world's sixth-largest bauxite producer and has the fifth-largest reserves, according to a US Geological Survey. Bauxite is the primary material for large-scale production of aluminum, a metal that is widely used for aircraft construction, building materials, consumer durables, electronic conductors, and chemical and food-processing equipment.

Under the ban, exports of bauxite ore and bleached bauxite will be prohibited. The Government hopes that, as a result of the ban, to shore up the domestic processing of its mineral resources. The ban is expected to benefit regions where bauxite reserves are located and where the bauxite industrial chain will be developed, huge economic growth could be expected. Indonesia introduced the bauxite ban to replicate its success in nickel processing after banning the export of raw nickel material in January 2020.

Similar to nickel, bauxite is a key material in the production of electric vehicles. While nickel is used for making lithium batteries, aluminum made from bauxite is used to build lightweight and strong electric vehicles. The ban will prohibit the export of washed bauxite that has undergone a washing process. In addition, exports of bleached bauxite will also be banned. Currently, holders of Mining Business Licenses (IUP) for washed bauxite with a grade above 42% are allowed to export it until June 2023, as regulated by Article 46 of MEMRR 17/2020.

If you need consultation on these issues, Schinder Law Firm is one of the many corporate law firms in Indonesia. Our professional civil lawyers strive to understand your unique needs and concerns, and will develop creative and cost-effective ways to assist you. Contact us at info@schinderlawfirm.com today to schedule a consultation to discuss your situation and how we can help.

Author: Dewi Susanti

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Dear valued Visitor,

Data is a valuable currency in this new world. In the midst of digital transformation, the Indonesian government has taken the final decision to pass the Pelindungan Data Pribadi (PDP) Bill by September 2022. The PDP Law applies to all businesses established in Indonesia and puts the consumer in control. The task of complying with this regulation falls upon businesses.

The PDP Law affects a variety of business operations, including how your sales team prospect and how marketing initiatives are managed. Businesses have had to reassess their business procedures, applications, and forms. Additionally, all businesses that work with personal data should designate a Data Protection Officer (DPO) or data controller to oversee PDP compliance.

In line with this spirit, it gives us great pleasure to announce and share with all our esteemed clients and business associates that Schinder Law Firm is prepared to assist your company to understand the impacts of the Personal Data Protection Law (PDPL) and take the required measures to comply with the law. Our Privacy, Data Protection, and Cybersecurity practice group is a pioneer in providing data privacy law services in Indonesia. Personal data protection services include but are not limited to:

  • Assessing the existing systems, processes, and controls, etc.
  • Providing provide gap assessment on the existing systems, processes, and controls, etc.
  • Developing and ensuring contracts and agreements comply with the PDP Law
  • Developing policies, best practices, and procedures
  • Advising on the security of personal data and managing data breaches
  • Acting as the Data Protection Officer (DPO) and advising upon the appointment, role, and responsibilities of a data protection officer
  • Advising on cross-border transfers of personal data
  • Carrying out data protection impact assessments and data protection audits
  • Recommending other necessary corrective actions in order to comply with the PDP Law
  • Training on the PDP Law tailored to clients’ businesses

We look forward to many more opportunities in the year ahead with your continued support and trust. For consultation, please send us a WhatsApp or Email.

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Naz Schinder
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Keep Up with the New Law in Indonesia: Personal Data Protection

  • Assessing the existing systems, processes and controls, etc.
  • Providing provide gap assessment on the existing systems, processes and controls, etc.
  • Developing and ensuring contracts and agreements comply with the PDPL.
  • Developing policies, best practices and procedures.
  • Advising on security of personal data and managing data breaches.
  • Acting as the Data Protection Officer (DPO) and advising upon the appointment, role and responsibilities of a data protection officer.
  • Advising on cross-border transfers of personal data.
  • Carrying out data protection impact assessments and data protection audits.
  • Recommending other necessary corrective actions in order to comply with the PDPL.
  • Training on the PDPL tailored to clients’ businesses.
Privacy, Data Protection and Cyber Security
We help our clients to understand the impact of the Personal Data Protection Law (PDPL) on their companies and take the required measures to comply with the law.
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