Indonesia plans to relax restrictions on importing goods as one of its fiscal measures to combat the harmful economic effects of the COVID-19. The number of restricted import goods will be reduced by up to 50 per cent to spur business activities. As many as 749 harmonized system codes will be scrapped. Stimulus packages are being prepared, including one that will expedite the import process for 500 importers with good reputations and another to reduce logistics costs in ports across the country. Items included in the list of restricted import goods include ceramics, soybeans, corn, textiles and textile products, vaccines, health equipment, telecommunication tools and equipment, footwear and food supplements, among many others. Manufacturing industries have complained of disruptions to their supplies of raw materials that have crippled factories across Indonesia. Twenty per cent to 50 per cent of raw materials for the country’s industries are usually sourced from China.

Indonesia might not be affected severely by the global health emergency, thanks to its minimal exposure to global trade and its wide room to maneuver in monetary policy. It isn't deeply integrated in the global supply chain. Indonesia is heavily dependent on domestic demand. Household consumption grew 4.97 per cent in the fourth quarter of 2019 and accounts for more than 50 per cent of gross domestic product.