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Indonesia plans to raise royalties for nickel and other minerals

2025-03-12

Indonesia, the world's largest nickel producer, is considering raising its nickel and other mineral royalties paid by mining companies, the mining journal (Mining Journal) reported.

On March 10, Reuters reported that the Indonesian government would impose a 14-19 percent premium on nickel prices, with a unified tax rate of 10 percent.

There are also reports that Indonesia will impose a progressive tax on nickel and nickel.

On copper ore, the proposal proposes an increase from a 5% uniform tax to 10-17%, as well as copper concentrate and electrolytic copper.

At the same time, if coal prices exceed $90 a ton, the royalty tax rate will be raised by 1 percentage point to 13.5 percent.

The Indonesian government has imposed a progressive tax on coal, with a calorific value of 4,200 kcal / kg, and a minimum premium rate of 8% if the price exceeds $90 / ton.

The proposal also involved minerals including tin, gold, silver and platinum, but no details were given.

The change is reportedly in support of the president of Prabowo Subianto's big spending plan.

Article source:

https://geoglobal.mnr.gov.cn/zx/kczygl/kysf/202503/t20250312_9272600.htm

Y&X Beijing Technology Co., Ltd.

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