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  5. Indonesia Considers Levies on Malacca Strait Shipping Amid Legal and Boycott Concerns

Indonesia Considers Levies on Malacca Strait Shipping Amid Legal and Boycott Concerns

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Indonesia is debating whether to impose a levy on ships transiting the Strait of Malacca, a move that lawmakers warn could breach international maritime law and spark diplomatic tensions. The finance minister has floated a toll‑booth model, likening it to Iran’s approach, but the government has not adopted it yet. The proposal reflects Indonesia’s ambition to strengthen its position as a central player in global trade.

  1. ID
    Purbaya Yudhi Sadewa
    Independent
    1. With all the resources we have, we should not think defensively. We need to start thinking more offensively, but in a measured way.
    2. Indonesia is not a marginal country. We sit along a key global trade and energy route, yet ships passing through the Malacca Strait are not charged.
  2. SG
    Vivian Balakrishnan
    People's Action Party
    1. We will not participate in any attempts to close or interdict or to impose tolls in our neighbourhood.
    2. The right of transit passage is guaranteed for everyone.
  3. ID
    Tubagus Hasanuddin
    Indonesian Democratic Party of Struggle
    1. The government needs to carefully recalculate this plan, from legal and diplomatic considerations to operational readiness on the ground.
    2. The impact would not only affect Indonesia's reputation, but could also trigger negative responses from the international community, including the possibility of a boycott, as it may be seen as violating international law.
  4. ID
    Sugiono
    1. 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. So no, Indonesia is in no position to [impose tolls]. That's wrong.
    2. As an archipelagic state, we must respect international law: the UNCLOS. This law recognizes Indonesia as an archipelagic state, provided that we do not impose levies [on transiting ships].

sources

  1. 1.Jakarta Globe
  2. 2.ABC News
  3. 3.Hindustan Times
  4. 4.The Straits Times

perspectives

  1. 1.US Foreign Policy
  2. 2.Israel-Palestine Conflict
  3. 3.British Foreign Policy
  4. 4.Israel under Benjamin Netanyahu
  5. 5.Intercontinental Ballistic Missile
  6. 6.Iran Foreign Policy
  7. 7.Oil Market
  8. 8.Saudi Foreign Policy
  9. 9.Turkish Foreign Policy
  10. 10.Tech industry
  11. 11.Yemen Houthis
  12. 12.Russia-Iran Ties

countries

  1. 1.IndonesiaID
  2. 2.SingaporeSG
  3. 3.Iran, Islamic Republic ofIR
  4. 4.MalaysiaMY
  5. 5.IndiaIN
  6. 6.PhilippinesPH
  7. 7.ThailandTH

organizations

  1. 1.Sarana Multi Infrastruktur

persons

  1. 1.Purbaya Yudhi SadewaID
  2. 2.Prabowo SubiantoID
  3. 3.Vivian BalakrishnanSG
  4. 4.Maria Theresa Lazaro
  5. 5.Mohamad HasanMY
  6. 6.Tubagus HasanuddinID

technicals

  1. 1.Malacca Strait
  2. 2.Strait of Hormuz
  3. 3.UN Convention on the Law of the Sea
  4. 4.Panama Canal
  5. 5.Suez Canal
  6. 6.Pacific Ocean
  7. 7.Singapore Maritime Week 2026