Advent of the Era of the AEC and Its Impacts on Singapore and Indonesia(34)

Comparative Study on the Perception and Response of Singapore and Indonesia

Ever since Indonesia initiated trade liberalization in the mid-1980s, it has significantly reduced tariff rates, more or less across the board. In 2004 Indonesia introduced a two-phase tariff harmonization program with the main objective of moving towards low and uniform tariff rates and avoiding tariff escalation. 

As a member of the WTO and the ASEAN, Indonesia has submitted to commitments for services liberalization at the global and regional levels to the General Agreement on Trade in Services (GATS) and the ASEAN Framework Agreement on Service (AFAS).

Advent of the Era of the AEC and Its Impacts on Singapore and Indonesia(33)

Advent of the Era of the AEC and Its Impacts on Singapore and Indonesia

In 2004 Indonesia introduced a two-phase tariff harmonization program with the main objective of moving towards low and uniform tariff rates and avoiding tariff escalation. 

As a member of the WTO and the ASEAN, Indonesia has submitted to commitments for services liberalization at the global and regional levels to the General Agreement on Trade in Services (GATS) and the ASEAN Framework Agreement on Service (AFAS). In 2007 Indonesia introduced a new investment law aimed at making Indonesia more attractive to foreign investors.