Jakarta, May 6 -- Indonesia's Minister of Industry, Agus Gumiwang Kartasasmita, has announced a new regulation that allows the government to purchase products with at least 25 percent local content (TKDN), without factoring in the company's benefit weight (BMP).

The regulation, Presidential Regulation Number 46 of 2025, amends Presidential Regulation Number 18 of 2018 on Government Procurement of Goods and Services.

Under the previous regulation, the government was required to purchase and use a domestic product only if it had at least 25 percent TKDN and the combined TKDN and BMP value was at least 40 percent.

The new regulation states that if a qualifying product-a combined TKDN and BMP value of at least 40 percent-is unavailable or ...