Indonesia will not impose tariffs on vessels passing through the Malacca Strait as doing so would not be consistent with international law, Foreign Minister Sugiono said on Thursday (Apr 23).
According to Indonesian media outlet Antara, Mr Sugiono was quoted during a press interview in Jakarta as saying that Indonesia respects international law, including the United Nations Convention on the Law of the Sea (UNCLOS).
“Indonesia is in a position where, as an archipelagic state, we must respect international law, particularly UNCLOS.
“Historically, UNCLOS includes an understanding and an agreement that recognises us as an archipelagic state, as long as we do not impose tolls or fees on the straits within our territory,” said Mr Sugiono.
“We hope for a free passage. As a trading nation, we support freedom of navigation. I believe that there is a commitment from many countries to create a free, neutral and mutually supportive shipping lane,” the Jakarta Globe reported him as saying.
“So no, Indonesia is in no position to (impose tolls).”
Mr Sugiono’s comments come a day after Finance Minister Purbaya Yudhi Sadewa floated the possibility of doing so.
On Wednesday, Mr Purbaya said that the idea to impose a levy was inspired by Iran’s plan to charge ships passing through the Strait of Hormuz. The strait, which connects the Persian Gulf to the Indian Ocean, handles about a quarter of the world’s seaborne oil trade.
Local media cited him as saying that the proposal aligns with President Prabowo Subianto’s directive that Indonesia behaves like a “key player” on the global economic stage.
The comments come amid concerns about the closure of the Strait of Hormuz, where restrictions have raised fears about the weaponisation of trade routes.
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