Government to Split HS Codes for Contract‑Made Beauty Products

JAKARTA – The Central Statistics Agency (BPS) is preparing a strategic measure to split Harmonized System (HS) codes for beauty products that are manufactured through overseas contract manufacturing. Coordinating Minister for Economic Affairs Airlangga Hartarto said the policy will take effect in 2026.

The HS code split aims to map the origin and type of products whose production remains abroad, allowing data to be tracked via beauty industry exhibitions. Such information is intended to help authorities assess local innovation before full domestic production.

The beauty sector recorded revenue of about IDR 35.6 trillion in 2025 and is projected to grow 4.73 % annually, making it a significant driver of economic growth. The measure is expected to strengthen the domestic supply chain and boost the competitiveness of Indonesian products.