State Revenue Loss from Illegal Used‑Clothing Imports Hits Rp7.1

Christiantoko, Executive Director of NEXT Indonesia Center, stated on 30 October 2025 in Jakarta that illegal imports of used clothing have caused a state revenue loss of up to Rp7.1 trillion. The study covers the period 2005‑2024.

The loss stems from a customs‑record discrepancy between Indonesia’s import data and partner countries’ export data, indicating misinvoicing (manipulating invoice values) or under‑invoicing (declaring lower values). Over twenty years, the gap amounts to US$591 million, equivalent to Rp7.1 trillion at an average rate of Rp12,049 per dollar.

Such a gap implies tax revenue that does not reach the treasury, increasing the fiscal burden on taxpayers and limiting public resources. Authorities are expected to tighten customs oversight to curb illegal trade.