India urges Indonesia to reduce import quota restrictions on auto sector

With bilateral trade of $21.13 billion in FY19, Indonesia is India's second-largest trade partner in the Asean region after Singapore. However, India's trade deficit stands at a sizeable $10.57 bn

India has asked Indonesia to reduce import quota restrictions on the auto sector, and has reiterated its demand for greater market access to agriculture exports.

During a meeting with Indonesian trade minister Enggartiasto Lukita, Commerce and Industry Minister Piyush Goyal on Tuesday flagged the import quota restrictions faced by Indian auto and auto component makers on completely built-up units (CBU) and tyres, in Indonesia.
 
“The restricted import quota prescribed by Indonesia for Indian vehicles in CBU condition has adversely impacted exports. Long lead time taken for regulatory certification for new vehicles also affects launch of new products. Indonesia