Indonesia Aluminium Oxide HS281820 Export Data 2025 July Overview

Indonesia Aluminium Oxide (HS 281820) 2025 July Export: Key Takeaways

Indonesia’s Aluminium oxide (HS Code 281820) exports in July 2025 reveal a market dominated by high-value shipments to INDIA, which accounted for 26.60% of export value but only 16.50% of weight, signaling premium-grade demand. The market is highly concentrated, with top importers like INDIA, QATAR, and AUSTRALIA handling over 80% of volume, posing supply chain risks amid Indonesia’s tightening export regulations. This analysis, covering July 2025, is based on cleanly processed Customs data from the yTrade database.

Indonesia Aluminium Oxide (HS 281820) 2025 July Export Background

Indonesia's Aluminium oxide (HS Code 281820), used in ceramics, abrasives, and refractories, fuels global industries due to its heat resistance and durability. Recent export shifts under Permendag 8/2025 [Permitindo] tighten controls to boost domestic processing, impacting July 2025 trade flows. As a key bauxite processor, Indonesia’s exports meet steady demand, but policy changes may reshape supply chains for this critical industrial material.

Indonesia Aluminium Oxide (HS 281820) 2025 July Export: Trend Summary

Key Observations

Indonesia Aluminium oxide HS Code 281820 Export in 2025 July showed a significant contraction, with value dropping to $79.91 million and volume falling to 181.91 million kg. This represents the lowest monthly performance in the first seven months of the year for both metrics.

Price and Volume Dynamics

The July figures reflect a sharp 28.4% month-on-month decline in export value and a 39.4% drop in volume compared to June. This abrupt downturn breaks from the relatively stable pattern observed in the first half of 2025, where monthly values averaged approximately $111.7 million. The alumina industry typically maintains steady export flows to support global aluminium production cycles, making this sudden contraction particularly notable against normal industry patterns.

External Context and Outlook

The dramatic July decline aligns directly with Indonesia's implementation of Permendag 8/2025 export restrictions, which took effect in March 2025 to encourage domestic mineral processing. These regulations specifically target downstream value addition by limiting raw material exports (Permitindo), creating immediate disruption to Indonesia Aluminium oxide HS Code 281820 Export flows. Looking forward, the 2025 July slump likely signals a structural shift toward domestic alumina consumption rather than export, as Indonesian policy continues prioritizing domestic smelter development over raw material shipments.

Indonesia Aluminium Oxide (HS 281820) 2025 July Export: HS Code Breakdown

Product Specialization and Concentration

Indonesia's Aluminium oxide HS Code 281820 Export in July 2025 is entirely concentrated in a single product type. The sub-code 28182000, "Aluminium oxide; other than artificial corundum", dominates all exports with a unit price of 0.44 USD per kilogram, reflecting a bulk commodity focus without significant price variations.

Value-Chain Structure and Grade Analysis

The export structure shows no diversity, consisting solely of this standardized grade, which is likely smelter-grade alumina used in industrial applications. This indicates a trade in fungible bulk commodities, where products are homogeneous and priced based on global market indices rather than differentiated features.

Strategic Implication and Pricing Power

Indonesian exporters face limited pricing power due to the bulk nature of this product, with prices tied to international benchmarks. However, new regulations like Permendag 8/2025 [Permitindo] encourage domestic processing, which may lead to future export restrictions or a shift towards higher-value products, impacting market strategies.

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Indonesia Aluminium Oxide (HS 281820) 2025 July Export: Market Concentration

Geographic Concentration and Dominant Role

In July 2025, Indonesia's export of Aluminium oxide HS Code 281820 was heavily concentrated, with INDIA as the dominant importer, accounting for 26.60% of export value but only 16.50% of weight, indicating a higher unit price and likely a premium grade product. This disparity suggests that shipments to INDIA consist of higher-value Aluminium oxide, possibly refined or specialty grades, while other destinations like QATAR show a lower value-to-weight ratio, hinting at bulk or standard grades. The analysis for July 2025 reveals a focus on quality-driven exports.

Partner Countries Clusters and Underlying Causes

The top importers form two clear clusters: first, high-volume countries like INDIA, QATAR, AUSTRALIA, MALAYSIA, and UNITED ARAB EMIRATES, which together handle over 80% of weight and value, likely due to their roles as major industrial hubs with strong demand for raw materials in sectors like metals and chemicals. Second, low-volume countries such as SOUTH KOREA, JAPAN, and CHINA MAINLAND import minimal amounts, possibly for niche or high-purity applications, reflecting specialized needs rather than bulk sourcing.

Forward Strategy and Supply Chain Implications

For market players, the concentration in high-volume countries underscores the need to secure stable supply chains with key partners like INDIA, but Indonesia's recent export regulations, such as Permendag 8/2025, which aim to boost domestic processing, could lead to tighter controls and reduced availability for exporters (permitindo.com). Companies should diversify sources or invest in local processing to mitigate risks, aligning with Indonesia's push for value-added production under its 2025 trade policies.

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Indonesia Aluminium Oxide (HS 281820) 2025 July Export: Action Plan for Aluminium Oxide Market Expansion

Strategic Supply Chain Overview

Indonesia Aluminium oxide Export 2025 July under HS Code 281820 operates as a bulk commodity market. Price is driven by global benchmarks like LME rates and slight quality variations, with India paying premiums for higher-grade material. Supply chains face concentration risk in both buyers and geographies, relying heavily on a few high-volume partners. New regulations like Permendag 8/2025 push for domestic processing, threatening future export volumes and shifting focus to value-added production.

Action Plan: Data-Driven Steps for Aluminium oxide Market Execution

• Target premium buyers in India using shipment value-weight ratios to maximize revenue per kg and capture higher margins from quality-sensitive clients.
• Secure long-term contracts with dominant high-frequency buyers to ensure stable demand and reduce exposure to spot market price volatility.
• Diversify export destinations by analyzing low-volume niche markets to mitigate risks from geopolitical shifts or regulatory changes in key partner countries.
• Align with Indonesia’s 2025 processing rules by investing in domestic refining capacity to future-proof operations against potential export restrictions on raw materials.

Take Action Now —— Explore Indonesia Aluminium oxide Export Data

Frequently Asked Questions

Q1. What is driving the recent changes in Indonesia Aluminium oxide Export 2025 July?

The sharp 28.4% drop in export value and 39.4% decline in volume in July 2025 is directly tied to Indonesia's new export restrictions (Permendag 8/2025), which prioritize domestic processing over raw material shipments.

Q2. Who are the main partner countries in this Indonesia Aluminium oxide Export 2025 July?

India dominates with 26.6% of export value, followed by Qatar, Australia, Malaysia, and the UAE, which collectively handle over 80% of trade volume and value.

Q3. Why does the unit price differ across Indonesia Aluminium oxide Export 2025 July partner countries?

India pays a premium (higher value-to-weight ratio) likely for refined or specialty-grade alumina, while others like Qatar receive bulk-standard grades priced at $0.44/kg under sub-code 28182000.

Q4. What should exporters in Indonesia focus on in the current Aluminium oxide export market?

Exporters must secure relationships with dominant high-volume buyers (70% of trade) while diversifying to infrequent large purchasers and small regular clients to mitigate dependency risks.

Q5. What does this Indonesia Aluminium oxide export pattern mean for buyers in partner countries?

Buyers face supply uncertainty due to Indonesia’s export restrictions, but India’s premium-grade imports highlight opportunities for niche or high-purity alumina sourcing.

Q6. How is Aluminium oxide typically used in this trade flow?

The exported alumina (smelter-grade, sub-code 28182000) is primarily used in industrial applications like aluminium production, reflecting bulk commodity trade dynamics.