Chinese Companies Say Nickel Regulations in Indonesia Could Curb Output

A September 2025 file image shows an employee working at the smelter of Harita Nickel, one of Indonesia’s largest nickel producers,. (Photo by DAENG MANSUR / AFP)

The Chinese Chamber of Commerce in Indonesia wrote a shared letter to the Indonesian government, complaining about regulations governing its nickel industry. The letter warned that output could fall due to more restrictive ore quotas, higher taxes, and a new pricing formula.

Reuters reports that the letter, addressed to President Prabowo Subianto and copied to the Chinese embassy, raised concerns about “excessively stringent regulation [and]  over-enforcement”, as well as government corruption and extortion.

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