Indonesia Industrial Fatty Acids HS382319 Export Data 2025 May Overview

Indonesia Industrial Fatty Acids (HS 382319) 2025 May Export: Key Takeaways

In May 2025, Indonesia's industrial fatty acids (HS Code 382319) exports were dominated by China, which accounted for over a quarter of both value and weight, reflecting a bulk commodity with uniform pricing around 1.07 USD/kg. The market shows clear clusters—China, Malaysia, and India as high-volume buyers, Singapore and the Netherlands as trade hubs, and niche markets like the Philippines paying premium rates. Exporters face rising costs from new levies, while buyers should diversify sources or lock in contracts to manage volatility. This analysis, based on cleanly processed Customs data from the yTrade database, highlights the strategic shifts in Indonesia's industrial fatty acids export landscape for May 2025.

Indonesia Industrial Fatty Acids (HS 382319) 2025 May Export Background

Indonesia Industrial fatty acids (HS Code 382319) are essential for industries like soaps, lubricants, and biofuels, with global demand driven by their versatility in refining processes. In May 2025, Indonesia maintained tightened export policies under Ministry of Finance Regulation No. 30/2025, raising levies on palm derivatives like HS 382319 to stabilize domestic supply [YTrade]. As a top palm producer, Indonesia’s export flow remains critical for global buyers, especially amid competitive pricing and regulatory adjustments in 2025.

Indonesia Industrial Fatty Acids (HS 382319) 2025 May Export: Trend Summary

Key Observations

In May 2025, Indonesia's exports of Industrial fatty acids under HS Code 382319 reached a value of $327.19 million with a volume of 296.75 million kg, showing a slight recovery from the previous month.

Price and Volume Dynamics

The monthly trend from January to May 2025 indicates volatility, with a peak in March at $368.88 million value and 318.64 million kg volume, followed by a dip in April to $325.26 million and 281.32 million kg, before rebounding in May. This pattern aligns with typical industrial production cycles for palm-derived products, where Q2 often sees fluctuations due to seasonal stock replenishment and biofuel demand cycles. The MoM increase in volume from April to May by approximately 5.5% suggests strengthening export momentum, potentially driven by inventory adjustments ahead of mid-year industrial activity.

External Context and Outlook

The observed volatility in Indonesia Industrial fatty acids HS Code 382319 Export 2025 May can be partly attributed to policy changes, such as increased export levies under Ministry of Finance Regulation No. 30/2025 [ytrade.com], which may have disrupted flows earlier in the year. Looking ahead, sustained export performance will depend on how these policies interact with global demand for palm derivatives, particularly in key markets like China, where anti-dumping measures could influence trade dynamics (ytrade.com).

Indonesia Industrial Fatty Acids (HS 382319) 2025 May Export: HS Code Breakdown

Product Specialization and Concentration

In May 2025, Indonesia's export of Industrial fatty acids under HS Code 382319 is heavily concentrated in the sub-code 38231920, which accounts for over 44% of the export value and 54% of the weight. This product, described as industrial monocarboxylic fatty acids and acid oils from refining (excluding stearic, oleic, or tall oil fatty acids), has a unit price of 0.90 USD per kilogram, the lowest among the top sub-codes, indicating a specialization in bulk, lower-value grades. No extreme price anomalies are present in the data set.

Value-Chain Structure and Grade Analysis

The remaining sub-codes fall into two clear groups based on unit price: mid-grade products like 38231919 and 38231911 with prices around 1.17 to 1.22 USD per kilogram, and higher-grade products like 38231990 and 38231930 priced at 1.47 and 1.37 USD per kilogram. This structure suggests a trade in fungible bulk commodities, where price variations are tied to simple quality or refinement differences rather than complex manufacturing, typical of raw material exports.

Strategic Implication and Pricing Power

For market players, the grade-based pricing implies limited pricing power for lower-grade exports, requiring volume-driven strategies, while higher-grade products may offer slight margins. Indonesia's recent policy changes, including increased export levies on palm derivatives [ytrade.com], could further squeeze profits and necessitate cost management or diversification into premium grades to maintain competitiveness in the Industrial fatty acids market under HS Code 382319 for Export in 2025 May.

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Indonesia Industrial Fatty Acids (HS 382319) 2025 May Export: Market Concentration

Geographic Concentration and Dominant Role

In May 2025, China dominated Indonesia's exports of industrial fatty acids under HS Code 382319, accounting for over a quarter of both value and weight. The close match between China's value share (27.63%) and weight share (28.60%) indicates a commodity product with uniform pricing per kilogram, around 1.07 USD/kg, typical for bulk industrial goods like fatty acids derived from palm oil.

Partner Countries Clusters and Underlying Causes

The top importers form three clear groups. First, China, Malaysia, and India represent high-volume clusters, driven by their massive manufacturing sectors needing raw materials for soaps, chemicals, and biofuels. Second, Singapore and the Netherlands act as trade hubs, with balanced ratios suggesting re-export or processing roles due to their strategic ports. Third, countries like the Philippines show much higher value per weight (e.g., 2.18 USD/kg), pointing to niche, higher-grade fatty acid imports for specialized industries.

Forward Strategy and Supply Chain Implications

Exporters of Indonesia industrial fatty acids must prepare for increased costs and regulatory hurdles, as new levies and anti-dumping duties [ytrade.com] could squeeze margins. Buyers should diversify sources or lock in contracts to mitigate price volatility, while investing in relationships with key hubs like Singapore for smoother supply chains amid tighter Indonesian policies.

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Indonesia Industrial Fatty Acids (HS 382319) 2025 May Export: Action Plan for Industrial Fatty Acids Market Expansion

Strategic Supply Chain Overview

Indonesia Industrial fatty acids Export 2025 May under HS Code 382319 operates as a bulk commodity trade. Price is driven by product grade differences and Indonesian policy shifts like new palm export levies. Lower-grade bulk items face thin margins, while higher grades offer slight pricing power. Supply chains face concentration risk in key buyers and destinations like China, increasing vulnerability to cost hikes or demand shifts. Exporters must prioritize cost control and relationship management with major partners to maintain flow.

Action Plan: Data-Driven Steps for Industrial fatty acids Market Execution

• Use HS Code sub-category data to track premium product demand. This allows shifting output to higher-margin grades and boosting profitability.
• Analyze buyer frequency reports to secure long-term contracts with core clients. It ensures stable volume and reduces market volatility exposure.
• Monitor trade hub partners like Singapore for re-export trends. Leveraging these routes can ease regulatory barriers and cut logistics costs.
• Screen for emerging buyers in low-frequency segments. Diversifying your client base mitigates over-reliance on a few large buyers.
• Track policy updates on levies and duties in real-time. Quick adaptation to regulatory changes prevents cost surprises and protects margins.

Take Action Now —— Explore Indonesia Industrial fatty acids Export Data

Frequently Asked Questions

Q1. What is driving the recent changes in Indonesia Industrial fatty acids Export 2025 May?

The slight recovery in May 2025 follows volatile monthly trends, with export value reaching $327.19 million after a dip in April. This rebound aligns with seasonal industrial demand cycles and policy adjustments like Indonesia's increased export levies on palm derivatives.

Q2. Who are the main partner countries in this Indonesia Industrial fatty acids Export 2025 May?

China dominates with 27.63% of export value, followed by Malaysia and India as high-volume buyers. Singapore and the Netherlands act as trade hubs, while the Philippines imports niche, higher-grade products.

Q3. Why does the unit price differ across Indonesia Industrial fatty acids Export 2025 May partner countries?

Price variations stem from product grades: bulk lower-value sub-code 38231920 (0.90 USD/kg) contrasts with mid-grade (1.17–1.22 USD/kg) and premium products (up to 1.47 USD/kg) shipped to markets like the Philippines.

Q4. What should exporters in Indonesia focus on in the current Industrial fatty acids export market?

Exporters must prioritize relationships with core high-value buyers (87.2% of trade) while diversifying into premium grades to offset margin pressures from new levies and bulk-market competition.

Q5. What does this Indonesia Industrial fatty acids export pattern mean for buyers in partner countries?

Buyers face reliance on Indonesia’s bulk-focused supply, requiring contract stability to mitigate volatility. Trade-hub partners like Singapore offer logistical advantages, while niche buyers can target higher-grade sub-codes.

Q6. How is Industrial fatty acids typically used in this trade flow?

The product serves as a raw material for manufacturing soaps, chemicals, and biofuels, with bulk grades favored by industrial processors and refined grades for specialized applications.