Indonesia Fatty Acids HS3823 Export Data 2025 October Overview

Indonesia Fatty Acids (HS 3823) 2025 October Export: Key Takeaways

Indonesia's October 2025 Fatty Acids export (HS Code 3823) reveals a high-value market dominated by China, which accounts for 38.52% of weight and 42.74% of value, signaling demand for premium-grade products. Buyer concentration is high, with China leading a cluster of quality-focused importers, while another group opts for bulk, cost-effective alternatives. This analysis, covering October 2025, is based on cleanly processed Customs data from the yTrade database.

Indonesia Fatty Acids (HS 3823) 2025 October Export Background

Indonesia’s Fatty Acids (HS Code 3823), covering industrial monocarboxylic fatty acids, acid oils, and fatty alcohols, are vital for biofuels, soaps, and food processing, driving steady global demand. Recent policy shifts, like the July 2025 export tax hike on palm derivatives [Global Trade Alert], tighten supply chains, reinforcing Indonesia’s role as a key exporter in October 2025. The country’s dominance in palm-based feedstocks ensures its strategic position in this trade flow.

Indonesia Fatty Acids (HS 3823) 2025 October Export: Trend Summary

Key Observations

In October 2025, Indonesia's Fatty Acids exports under HS Code 3823 saw a sharp unit price increase to 1.47 USD/kg, the highest in 2025, while volume fell to 430.04 million units, indicating a shift towards higher-value exports amid tightening supply conditions.

Price and Volume Dynamics

The unit price for Indonesia Fatty Acids HS Code 3823 Export 2025 October rose 13% month-over-month from September, continuing an upward trend that began after a mid-year dip. Volume declined by 8% over the same period, reflecting typical industry cycles where palm oil derivative prices often spike post-harvest due to reduced raw material availability and stock drawdowns. This pattern aligns with seasonal supply constraints in the fatty acids market, driving value growth despite lower shipment volumes.

External Context and Outlook

The price surge was exacerbated by Indonesia's policy changes, including the May 2025 hike in palm export levies [USDA] and July's increased export taxes on crude palm oil (Global Trade Alert). These measures restricted feedstock supply for fatty acids production, supporting higher prices. Moving forward, continued policy enforcement may sustain elevated costs for Indonesia Fatty Acids exports, though demand from industrial sectors could stabilize volumes.

Indonesia Fatty Acids (HS 3823) 2025 October Export: HS Code Breakdown

Product Specialization and Concentration

In October 2025, Indonesia's export of Fatty Acids under HS Code 3823 is dominated by Industrial fatty alcohols, specifically HS 3823709000, which holds a 39% value share with a unit price of 2.47 USD per kilogram, significantly higher than other sub-codes. This high unit price indicates a specialized, value-added product within the range. The sub-code HS 3823130000 for tall oil fatty acids is isolated due to its negligible quantity and does not impact the main analysis.

Value-Chain Structure and Grade Analysis

The remaining sub-codes fall into two main categories based on value-add stage. First, specific industrial acids like stearic acid (HS 3823110000) and oleic acid (HS 3823120000) have unit prices around 1.09 and 1.03 USD/kg, representing mid-grade products. Second, general industrial fatty acids (e.g., HS 3823199000 and others) show varied unit prices from 1.01 to 1.75 USD/kg, suggesting a range of purity levels or formulations. This structure points to differentiated manufactured goods rather than fungible bulk commodities, with pricing influenced by specific chemical properties and end-use applications.

Strategic Implication and Pricing Power

Indonesia's focus on higher-value fatty alcohols provides strong pricing power in exports, allowing for better margins despite potential cost pressures. Recent policies, such as increased export levies on palm products [USDA Report], may raise input costs, making it strategic for exporters to prioritize high-unit-price items like fatty alcohols to maintain competitiveness in the global market for Indonesia Fatty Acids HS Code 3823 Export 2025 October.

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Indonesia Fatty Acids (HS 3823) 2025 October Export: Market Concentration

Geographic Concentration and Dominant Role

In October 2025, Indonesia's export of Fatty Acids under HS Code 3823 is highly concentrated, with China Mainland as the dominant importer, accounting for 38.52% of weight and 42.74% of value. The higher value ratio compared to weight ratio suggests China imports higher-grade or refined fatty acids, indicating a preference for quality over bulk in this commodity market.

Partner Countries Clusters and Underlying Causes

The importers form two clear clusters based on value-weight disparity. First, China, Malaysia, Netherlands, United States, and Thailand show higher value per weight, likely due to demand for premium fatty acids in their industrial sectors. Second, Singapore, South Korea, Spain, India, and Italy have lower value per weight, pointing to imports of bulk, cost-effective products for basic applications, possibly driven by price sensitivity or different end-use industries.

Forward Strategy and Supply Chain Implications

Indonesian exporters should prioritize high-value markets like China to maximize returns, but must account for increased export levies under recent regulations [USDA], which could raise costs and reduce competitiveness. Exploring diversification into emerging markets with growing demand may help mitigate risks from policy changes.

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Indonesia Fatty Acids (HS 3823) 2025 October Export: Buyer Cluster

Buyer Market Concentration and Dominance

In October 2025, the Indonesia Fatty Acids Export under HS Code 3823 shows a highly concentrated buyer market. One segment of buyers dominates, accounting for over 90% of the total export value. These buyers make frequent, high-value purchases, representing the core of the trade. The market is characterized by regular, large-volume transactions, with median activity skewed towards this dominant group. This analysis covers the four segments of buyers based on their purchase value and frequency.

Strategic Buyer Clusters and Trade Role

The other three buyer segments play smaller but distinct roles. Buyers with high value but low frequency likely represent large, one-off or irregular orders, such as project-based or bulk industrial clients. Those with low value but high frequency are probably regular but smaller-scale users, like local manufacturers needing steady supply. The segment with low value and low frequency consists of infrequent, small buyers, possibly new entrants or occasional purchasers. Each group contributes to market diversity without challenging the dominant segment's lead.

Sales Strategy and Vulnerability

For exporters in Indonesia, the strategy should prioritize nurturing relationships with the high-frequency, high-value buyers to ensure stable revenue. However, reliance on this segment poses a risk if demand shifts or policies change. Recent news indicates Indonesia raised export levies on palm products [USDA], which could increase costs for fatty acids derived from palm oil and affect competitiveness. Exporters should diversify slightly to mitigate vulnerability and adapt sales models to handle both regular and sporadic orders efficiently.

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Indonesia Fatty Acids (HS 3823) 2025 October Export: Action Plan for Fatty Acids Market Expansion

Strategic Supply Chain Overview

Indonesia's Fatty Acids Export 2025 October under HS Code 3823 is a high-value manufactured goods trade. Price is driven by product specification and technology, not bulk commodity factors. The high unit price of industrial fatty alcohols (39% share) gives strong pricing power. Major buyers are high-frequency, high-value clients, ensuring stable demand. China dominates imports with a preference for premium grades. Recent palm export levy hikes may raise input costs. The supply chain implication is technology-dependent assembly hub role, not raw material processing. Profit relies on product differentiation and contract execution.

Action Plan: Data-Driven Steps for Fatty Acids Market Execution

• Prioritize production of high-unit-price fatty alcohols (HS 3823709000). Use HS Code data to allocate resources to this sub-category. This maximizes margin per kilogram and offsets rising input costs from new levies.
• Diversify buyer portfolio beyond the dominant high-frequency segment. Analyze buyer frequency data to identify and engage occasional large-volume clients. This reduces vulnerability to demand shifts from a single buyer group.
• Target export markets with high value-to-weight ratios like China and the US. Use destination data to focus sales efforts on premium markets. This ensures better returns per shipment compared to bulk-focused destinations.
• Monitor policy changes like palm export levies in real-time. Set alerts for regulatory updates using trade intelligence platforms. This allows quick pricing adjustments to maintain competitiveness.
• Benchmark against competitor offerings in key markets. Use trade data to compare product grades and prices. This identifies opportunities to upsell higher-specification products and increase market share.

Take Action Now —— Explore Indonesia Fatty Acids Export Data

Frequently Asked Questions

Q1. What is driving the recent changes in Indonesia Fatty Acids Export 2025 October?

The unit price surged to 1.47 USD/kg in October 2025, the highest in 2025, due to tightening supply conditions and Indonesia's increased palm export levies, which raised feedstock costs. Volume fell 8% as exporters prioritized higher-value products like industrial fatty alcohols.

Q2. Who are the main partner countries in this Indonesia Fatty Acids Export 2025 October?

China dominates, accounting for 42.74% of export value, followed by Malaysia, Netherlands, and the U.S., which collectively import higher-grade fatty acids. Lower-value bulk shipments go to Singapore, India, and Italy.

Q3. Why does the unit price differ across Indonesia Fatty Acids Export 2025 October partner countries?

Prices vary based on product grade: China and other high-value markets import premium industrial fatty alcohols (2.47 USD/kg), while others buy mid-grade stearic/oleic acids (~1.03–1.09 USD/kg) or bulk blends.

Q4. What should exporters in Indonesia focus on in the current Fatty Acids export market?

Exporters should prioritize high-value buyers (90% of trade) and markets like China, but diversify slightly to mitigate risks from policy-driven cost increases and demand shifts.

Q5. What does this Indonesia Fatty Acids export pattern mean for buyers in partner countries?

Buyers in China and premium markets face stable supply of high-grade products, while bulk buyers may see price volatility due to Indonesia’s feedstock constraints and levy policies.

Q6. How is Fatty Acids typically used in this trade flow?

Fatty acids are primarily industrial inputs, with high-value alcohols used in specialty chemicals and mid-grade acids like stearic/oleic in manufacturing processes.

Q7. What is yTrade?

yTrade is a global trade data platform that provides SaaS and API access to provide accurate, structured, and searchable import-export trade data for international business decisions. It enables users to access verified shipment records, analyse buyer and supplier activity, review company trade overviews, assess compliance risks, and monitor real market demand — all from a single, scalable system.

Q8. How can yTrade benefit my business?

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Q9. What features does yTrade offer?

yTrade provides practical, trade-focused tools including:

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