Indonesia Plans to Use AI to Replace Parts of Customs Operations

Indonesia Plans to Use AI to Replace Parts of Customs Operations
Luhut prepares national export reforms. (AI Generated)

Jakarta, en.SERU.co.id — Indonesia’s top economic advisor Luhut Binsar Pandjaitan has floated the idea of using artificial intelligence to take over parts of Customs (Bea Cukai) operations as the government pushes ahead with a major overhaul of the export system.

Speaking on the sidelines of efforts to create a centralized export platform under state-owned PT Danantara Sumberdaya Indonesia (DSI), Luhut said deep reform at Customs is now unavoidable if Indonesia wants a cleaner, more transparent system with minimal direct interaction between officials and businesses.

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“In the future, export duties currently handled by Customs will be shifted to PT Danantara through an integrated digital system. Customs will focus more on supervision. If we don’t actually need them anymore, then why keep using Customs? Or their duties can still exist, but everything will be run by AI,” Luhut said, as quoted by CNBC Indonesia on Monday (25/5/2026).

Luhut argued that digitalization and AI are essential to reduce opportunities for compromise and under-the-table dealings.

“The more direct contact there is between people, the higher the chance of irregularities. Human-to-human meetings, even with integrity pacts, almost never work. There’s always a problem,” he said.

He described the move as more than just bureaucratic efficiency; it’s part of a broader deregulation drive to help Indonesia hit ambitious economic growth targets of 8–9 percent annually.

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The government plans to roll out the new system in phases, starting June 1, 2026. The initial commodities covered will include crude palm oil (CPO), coal, and iron alloys.

The initiative is being framed as a sweeping operation to clean up long-standing export manipulation practices. Authorities believe these schemes have caused massive amounts of export earnings to remain parked overseas. The estimated state revenue loss from such practices between 1991 and 2024 is a staggering US$908 billion.

Separately, Finance Minister Purbaya Yudhi Sadewa said he is open to evaluating the leadership of Customs if instructed by the President.

“If that’s the President’s order, I will carry it out,” Purbaya said on May 20.

The government hopes the combination of centralized digital control and greater use of AI will significantly reduce leakages and improve oversight in Indonesia’s export sector. (aan/mzm)

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