Level of Government: Central
Obligations Concerned:
National Treatment
Most-Favoured-Nation Treatment Prohibition of Performance Requirements Senior Management and Board of Directors
Description:
Indonesia reserves the right to adopt or maintain any measure relating to sectors other than those recognized or that should have been recognized owing to the circumstances at the date of entry into force of the Second Protocol by Indonesia.
Any sector classified explicitly in ISIC Revision 3 at the date of entry into force of the Second Protocol should have been recognized by Indonesia at that time.
Existing Measures
Government Policy
12. Sector: All Sectors
Subsector: -
Industry Classification: -
Level of Government: Central
Obligations Concerned: National Treatment, Senior Management and Board of Directors
Description:
Indonesia reserves the right to maintain any existing measure with respect to foreign investors or investments that have been overlooked, provided that the measures involved are already in force at the date of entry into force of the Second Protocol. When an overlooked measure is identified, it will be promptly inserted into List A of this Schedule.
If an overlooked measure referred to in the paragraph above is identified, Indonesia will provide other Parties with details of the measure and the opportunity for consultations at least 90 days before including it in this Schedule.
Indonesia will not withdraw a right or benefit from an investor that has made an investment in accordance with its laws and regulations, through the addition of an overlooked measure to this Schedule.
Existing Measures
Government Policy
13. Sector: All Sectors
Subsector: -
Industry Classification: -
Level of Government: Regional
Obligations Concerned: National Treatment
Description:
National Treatment may not apply to measures relating to the procedural aspect of investment implementation licenses or permits (16) at the provincial level (17).
Existing Measures
Law No. 23 of 2014 concerning Local Goverment as amended by Law No. 6 of 2023 conceming Stipulation of Government Regulation in Lieu of Law No. 2 of 2022 concerning Job Creation into Law
Government Regulation No. 6 of 2021 conceming Implementation of Business Licensing in Regional Level
Government Regulation No. 24 of 2019 concerming Investment Incentive and Ease in Regional Level
Provincial Regulations
Government Policy
14. Sector: Manufacturing, Agriculture, Fishery, and Forestry
Subsector:
Industry Classification:
Level of Government: Central
Obligations Concerned:
National Treatment, Prohibition of Performance Requirements, Senior Management and Board of Directors
Description:
Indonesia reserves the right to adopt or maintain any measure to address a food security emergency as declared under relevant legislation and only for the duration of the declared food security emergency.
Existing Measures
- Article 33 of the 1945 Constitution of the Republic of Indonesia
- Law No. 718 of 2012 concerning Foods as amended by Law No. 6 of 2023 conceming Stipulation of Government Regulation in Lieu of Law No. 2 of 2022 concerning Job Creation into Law
- Government Regulation No. 17 of 2015 concerning Food Security and Nutrition
- Government Policy
15. Sector: All sectors
Subsector: -
Industry Classification: -
Level of Government: Central
Obligations Concerned: National Treatment
Most-Favoured-Nation Treatment Prohibition of Performance Requirements Senior Management and Board of Directors
Description
Indonesia reserves the right to adopt or maintain any measure with respect to investment in services sectors and subsectors
Existing Measures
Government Policy
16. Sector: All Sectors
Subsector: -
Industry Classification: -
Level of Government: Central
Obligations Concerned: Prohibition of Performance Requirements
Description:
Indonesia reserves the right to adopt any future non- conforming measure relating to rate or amount of royalty under a license contract.
Existing Measures
Government Policy
17. Sector: All sectors
Subsector:
Industry Classification:
Level of Government: Central and Regional
Obligations Concerned: Most-Favoured-Nation Treatment
Description:
Indonesia reserves the right to adopt or maintain any measure related to more favourable treatment accorded to investors to a non-Party and their investment resulting from:
(a) any existing or future preferential agreement or arrangement between or among Member States of ASEAN;
(b) any existing agreement in force or signed prior to the date of entry into force of the Second Protocol; and
(c) any international agreement in force or signed after the date of entry into force of the Second Protocol, involving:
(i) aviation;
(ii) fisheries; or
(iii) maritime matters, including salvage.
Existing Measures
Government Policy
18. Sector: Manufacturing, Agriculture, Fishery, and Forestry
Subsector:
Industry Classification:
Level of Government: Central
Obligations Concerned: National Treatment
Most-Favoured-Nation Treatment Prohibition of Performance Requirements Senior Management and Board of Directors
Description:
Indonesia reserves the right to adopt or maintain any measure on the following line of business:
- cultivation and manufacture of class narcotics (ISIC 0111)
- catching of fish species listed in Appendix I to the Convention on International Trade in Endangered Species of Wild Fauna and Flora (CITES) (ISIC 0500)
- lifting of valuable artifacts from shipwrecks (ISIC 6303)
- utilization (collection) of coral from nature for construction materials, lime, or calcium, aquarium, and souvenirs or jewellery as well as living coral or dead coral (recently dead) coral from nature (ISIC 0500)
- industrial chemical industry and Ozone Depleting Substances (BPO) industry (ISIC 2411)
- chemical weapon industry (ISIC 2411) e alcoholic hard liquor industry (ISIC 1551) e alcoholic beverages industry: wine (ISIC 1552)
- malt beverages industry (ISIC 1553)
Existing Measures
- Law No. 6 of 2023 concerning Stipulation of Government Regulation in Lieu of Law No. 2 of 2022 conceming Job Creation into Law
- Presidential Regulation No. 10 of 2021 conceming Investment Business Fields as amended by Presidential Regulation No. 49 of 2021
- Government Policy
19. Sector: All sectors
Subsector: -
Industry Classification: -
Level of Government: Central
Obligations Concerned: National Treatment, Most-Favoured-Nation Treatment, Prohibitions of Performance Requirements, Senior Management and Board of Directors
Description
Any obligations arising from the recognition of any natural person possessing the right of permanent residence in a Party as investor under this Agreement shall neither apply to, nor be claimed upon Indonesia.
Existing Measures
- Law No. 25 of 2007 concerning investment as amended by Law No. 6 of 2023 concerning Stipulation of Government Regulation in Lieu of Law No. 2 of 2022 conceming Job Creation into Law
- Government Policy
ANNEX 3. SCHEDULE OF RESERVATIONS AND NON-CONFORMING MEASURES FOR INVESTMENT. LAO PDR
LIST A. EXPLANATORY NOTES
1. This List A sets out, pursuant to Article 13 (Reservations and Non-Conforming Measures) of Chapter 11 (Investment), Lao PDR's existing measures that are not subject to some or all of the obligations imposed by:
(a) Article 3 (National Treatment) of Chapter 11 (Investment);
(b) Article 5 (Senior Management and Boards of Directors) of Chapter 11 (Investment); or
(c) Article 6 (Prohibition of Performance Requirements) of Chapter 11 (Investment).
2. Each entry in this List A sets out the following elements:
(a) Sector refers to the sector or sectors for which the entry is made;
(b) Subsector refers to the specific subsector for which the entry is made;
(c) Industry Classification refers to the activities covered by the entry according to:
(i) International Standard Industrial Classification (ISIC) Revision 3 for manufacturing, agriculture, fishery, forestry, mining and quarrying;
(ii) If the entry does not exactly conform to the ISIC, Lao PDR specified the coverage of the entry, as necessary and appropriate;
(d) Level of Government indicates the level of government maintaining the listed measures;
(e) Obligations Concerned specifies the obligations referred to in Paragraph 1 that, pursuant to Article on Reservations, do not apply to the listed measures;
(f) Description sets out the non-conforming measure for which the entry is made; and
(g) Source of Measure means the laws, regulations or other measures that are the source of the non-conforming measure for which the entry is made. A measure cited in the Source of Measure element:
(i) means the measure as amended, continued or renewed as of the date of entry into force of the Second Protocol, and
(ii) includes any subordinate measure adopted or maintained under the authority of and consistent with the measure.
3. This List A and List B pursuant to Article 13 (Reservations and Non-Conforming Measures) of Chapter 11 (Investment) follow the negative list with two-list approach as follows:
(a) this List A sets out commitments in relation to existing non-conforming measures which are subject to standstill obligations but not subject to ratchet mechanism; and
(b) List B sets out policy flexibility in relation to measures in sectors, subsectors and activities.
4. Lao PDR may maintain any non-conforming measures other than those set out in this List A provided that the non-conforming measures are in effect on the date of entry into force of the Second Protocol.
5. In the interpretation of an entry, all elements of an entry shall be considered. The Description element shall prevail over all the other elements.
6. These Explanatory Notes shall form part of the Lao PDR's Schedule of Reservations and Non-Conforming Measures for Investment.
1. Sector: Business Sectors Relating to Hazardous Chemicals Type
Subsector: Hazardous Chemicals Type
Industry Classification:
Level of Govemment: Central
Obligations Concerned: National Treatment
Description: