Indonesia Palm Kernel Oil HS151329 Export Data 2025 Q2 Overview
Indonesia Palm Kernel Oil (HS 151329) 2025 Q2 Export: Key Takeaways
Indonesia's Palm Kernel Oil (HS Code 151329) exports in Q2 2025 were dominated by bulk-grade shipments to China, which accounted for 31.59% of volume, reflecting its role as the primary hub for this commodity. The market shows concentrated buyer risk, with China, the US, and Brazil driving demand for food and biofuel feedstocks, while European hubs like the Netherlands serve as re-export channels. Exporters face cost pressures from Indonesia's raised levies, requiring supply chain adjustments to maintain competitiveness. This analysis is based on cleanly processed Customs data from the yTrade database, covering Q2 2025.
Indonesia Palm Kernel Oil (HS 151329) 2025 Q2 Export Background
Indonesia's Palm Kernel Oil (HS Code 151329), defined as vegetable oils from palm kernel or babassu, refined but not chemically modified, is critical for food processing, cosmetics, and biofuels due to its versatility and stable global demand. Recent policy shifts, including Indonesia's May 2025 export levy hike to 10% for crude palm products [FAS USDA], signal tighter margins for exporters, reinforcing the country's dominance as a top supplier amid fluctuating trade dynamics. The 2025 Q2 export landscape reflects these pressures, with Indonesia's strategic role in balancing domestic biodiesel mandates and international market demands.
Indonesia Palm Kernel Oil (HS 151329) 2025 Q2 Export: Trend Summary
Key Observations
Indonesia Palm Kernel Oil HS Code 151329 Export 2025 Q2 totaled approximately $594.4 million in value and 342.2 million kg in volume. This represents a strong quarter-on-quarter increase from Q1’s $591.8 million and 332.93 million kg, driven by a sharp June rebound after a mid-quarter slowdown.
Price and Volume Dynamics
The Q2 performance was marked by volatility, with exports dipping in April and May before surging in June. This pattern reflects typical market adjustments to policy shifts, as buyers initially paused ahead of Indonesia’s May levy hike [USDA] but rushed to secure shipments once the new costs were clear. June’s volume reached 154.07 million kg, the highest monthly figure this year, indicating robust underlying demand despite higher export duties.
External Context and Outlook
The mid-quarter softness aligns directly with Indonesia’s increased export levies, which took effect May 17 (USDA). This policy aimed to support domestic biodiesel blending but briefly dampened trade flows. However, the swift June recovery shows global importers absorbing the cost increase, likely due to tight vegetable oil supplies elsewhere. Looking ahead, further policy tweaks remain possible, but demand for palm kernel oil derivatives in food and biofuels should keep exports firm.
Indonesia Palm Kernel Oil (HS 151329) 2025 Q2 Export: HS Code Breakdown
Product Specialization and Concentration
In Q2 2025, Indonesia's Palm Kernel Oil exports under HS Code 151329 are dominated by the sub-code for refined palm kernel oil, which holds 68.6% of the export weight and 67.8% of the value at a unit price of 1.72 USD per kilogram. This concentration indicates a strong focus on a standard grade product. The minor sub-code with a unit price of 2.03 USD per kilogram has only a 0.3% weight share, making it an isolated anomaly in the data.
Value-Chain Structure and Grade Analysis
The export structure for Indonesia Palm Kernel Oil HS Code 151329 in 2025 Q2 shows three main product grades: a standard grade with a unit price of 1.72 USD per kilogram and the largest share, a premium grade at 2.03 USD per kilogram with about 14% weight share, and an economy grade at 1.56 USD per kilogram with nearly 17% weight share. This range in unit prices and shares suggests that Indonesia exports differentiated, refined oils rather than a uniform bulk commodity, catering to varied market segments.
Strategic Implication and Pricing Power
For Indonesia Palm Kernel Oil HS Code 151329 Export 2025 Q2, the differentiated grades imply that exporters may have some pricing power in premium segments but face higher competition in standard grades. However, the increased export levies implemented in May 2025, as reported by [USDA Gain Report], could raise costs and pressure margins, potentially reducing overall pricing power and urging a focus on cost-efficient production.
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Indonesia Palm Kernel Oil (HS 151329) 2025 Q2 Export: Market Concentration
Geographic Concentration and Dominant Role
In Q2 2025, Indonesia's Palm Kernel Oil HS Code 151329 exports showed strong geographic concentration, with China Mainland as the dominant importer, accounting for 31.59% of weight and 28.15% of value. The lower value ratio compared to weight ratio suggests this is a bulk commodity trade, with unit prices around 1.55 USD/kg, indicating standard grade product for large-scale use.
Partner Countries Clusters and Underlying Causes
The importers form three clusters: first, high-volume buyers like China, United States, and Brazil, driven by strong demand for food and biofuel feedstocks; second, European hubs such as Netherlands and Russia, likely for re-export or processing; and third, regional markets including Japan and India, reflecting localized demand for edible oils.
Forward Strategy and Supply Chain Implications
Exporters should monitor cost pressures from Indonesia's increased export levies, as raised in May 2025 [USDA], which could elevate prices and shift buyer preferences to alternative origins. Supply chains may need diversification to mitigate tariff impacts and ensure stable delivery to key markets like China and the US.
| Country | Value | Quantity | Frequency | Weight |
|---|---|---|---|---|
| CHINA MAINLAND | 167.34M | 107.96M | 64.00 | 108.11M |
| UNITED STATES | 152.41M | 82.47M | 40.00 | 82.47M |
| BRAZIL | 77.28M | 42.72M | 35.00 | 42.72M |
| NETHERLANDS | 64.92M | 34.84M | 21.00 | 34.84M |
| RUSSIA | 35.48M | 18.24M | 16.00 | 18.24M |
| LATVIA | ****** | ****** | ****** | ****** |
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Indonesia Palm Kernel Oil (HS 151329) 2025 Q2 Export: Action Plan for Palm Kernel Oil Market Expansion
Strategic Supply Chain Overview
Indonesia Palm Kernel Oil Export 2025 Q2 under HS Code 151329 is a commodity market driven by two core price factors. First, product grade differentiation creates a price spread from 1.56 to 2.03 USD/kg, with the standard grade at 1.72 USD/kg dominating volume. Second, Indonesia's increased export levies (May 2025) add cost pressure, potentially eroding margins. Supply chains face high geographic concentration, with China accounting for 31.59% of volume, and buyer reliance on a few high-frequency, high-value clients (91.09% of value). This creates vulnerability to policy shifts or demand changes in key markets.
Action Plan: Data-Driven Steps for Palm Kernel Oil Market Execution
- Segment buyers by purchase frequency and value using trade data. Target high-value, frequent buyers with volume-based contracts to secure stable revenue, while testing premium grade promotions with occasional buyers to diversify your client base and reduce dependency risks.
- Monitor real-time shipment data for China, US, and EU markets. Adjust production schedules and logistics to avoid bottlenecks, ensuring on-time delivery to major partners and maintaining trust amid competitive and policy pressures.
- Track monthly export levy changes and customs cost updates. Factor these into pricing models immediately to protect margins, avoiding sudden cost surprises that could make your offers uncompetitive in bulk tenders.
- Analyze competitor shipments and grade mix by destination. Identify gaps in premium or economy grade demand in regions like Japan or India, then adjust your product allocation to capture niche opportunities without cannibalizing core bulk sales.
Take Action Now —— Explore Indonesia Palm Kernel Oil Export Data
Frequently Asked Questions
Q1. What is driving the recent changes in Indonesia Palm Kernel Oil Export 2025 Q2?
The Q2 surge was driven by a June rebound after mid-quarter volatility, as buyers adjusted to Indonesia’s May 2025 export levy hike. Underlying demand remains strong, especially for food and biofuel feedstocks.
Q2. Who are the main partner countries in this Indonesia Palm Kernel Oil Export 2025 Q2?
China dominates with 31.6% of export weight, followed by the US and Brazil. European hubs like the Netherlands and regional markets (Japan, India) also feature prominently.
Q3. Why does the unit price differ across Indonesia Palm Kernel Oil Export 2025 Q2 partner countries?
Price differences reflect product grades: bulk standard-grade oil (1.55 USD/kg) for China, while premium grades (2.03 USD/kg) target niche markets.
Q4. What should exporters in Indonesia focus on in the current Palm Kernel Oil export market?
Exporters must prioritize high-value, frequent buyers (91% of trade value) while diversifying into smaller segments to reduce dependency risks amid rising levies.
Q5. What does this Indonesia Palm Kernel Oil export pattern mean for buyers in partner countries?
Buyers face stable bulk supply from Indonesia but should monitor cost pressures from export levies, which may shift pricing dynamics.
Q6. How is Palm Kernel Oil typically used in this trade flow?
It’s primarily used as a feedstock for food products (e.g., cooking oil) and biofuels, with differentiated grades catering to industrial and consumer markets.
Detailed Monthly Report
Indonesia HS151329 Export Snapshot 2025 APR
Indonesia Palm Kernel Oil HS151329 Export Data 2025 Q1 Overview
Indonesia Palm Kernel Oil (HS Code 151329) Export in Q1 2025 saw China dominate with 22.29% share, while Brazil and the U.S. drove demand amid rising levies, per yTrade data.
Indonesia Palm Kernel Oil HS151329 Export Data 2025 Q3 Overview
Indonesia Palm Kernel Oil (HS Code 151329) exports in 2025 Q3 were dominated by China (33.55% share), with uniform pricing at 1.79 USD/kg, per yTrade data. Importers face supply risks from levy hikes and biodiesel mandates.
