Faster Import Approvals Expected: Batam Authority Gains New Power to Offer Trade Restriction Exemptions

The government has issued Regulation No. 23 of 2026 on the Second Amendment (“Second Amendment”) to Regulation of the Government No. 41 of 2021 on the Organization of Free-Trade Zones and Free Ports (“Regulation 41/2026”).[1] One of the key changes introduced under the Second Amendment is the allocation of authority to determine exemptions from restrictions on the importation of goods from outside customs areas into Free-Trade Zones and Free Ports (Kawasan Perdagangan Bebas dan Pelabuhan Bebas – “KPBPB”).[2]