Deal Readiness Viewer · Illustrative case

Would you appoint this distributor?

A Korean valve exporter is considering an exclusive distributor in Surabaya. Follow six questions and see how the evidence changes what the exporter should do next.

Exporter: Hanbit Flow Co., Ltd. (illustrative), Changwon, 140 staff
Proposed distributor: PT Sinar Contoh Teknik (illustrative), Surabaya
First order: 120 valves, about USD 186,000 FOB Busan (hypothetical)

Real sources. Illustrative company. Hypothetical numbers. A guided illustrative assessment, not a live checking service. Company details are illustrative. Rule sources are real and dated. No Indonesian specialist has reviewed this illustration.

Published regulation

A government text we read. Each entry shows the provision and the date we read it.

Illustrative company record

Company details invented for this example. Not a real distributor.

Hypothetical figure

A number or condition set for the illustration. Not a quote, a forecast or a ruling.

Priority finding, before you start

Korea to Indonesia: cast steel gate valves

HOLD

Do not sign the proposed agreement yet.

The available evidence is not sufficient to proceed on the proposed terms.

Key uncertainty: Importer eligibility
Evidence: Partial. Records support identity, not resale.
Next action: Verify the import route: obtain the distributor's written licence position, then put it to an Indonesian specialist.

Claim
Evidence
Uncertainty
Action
Decision: HOLD

You do not have to read every question below to use this page. The finding is at the top, the evidence trail follows, and the full ledger is at the end.

Illustrative case. No Indonesian specialist has reviewed this illustration.

Question 1 of 6

What does the company say, and what does the record support?

A distributor's presentation is written by the distributor. The first job is to separate what a record establishes from what it leaves open.

Illustrative company recordSupported, within limits

Registered in Surabaya since 2011 and still trading.

What the record shows. Registry extract: incorporated 2011, Surabaya. Status: active. Business number (NIB): active.

What this supports, and what it does not

Supports: That a company with this name exists, is registered and has not been struck off.
Does not support: Its trading record, its financial position or its ability to import your product.

Question to put: Does the record name the same legal entity that will sign your agreement?

Illustrative company recordUnresolved

Handles its own imports and customs clearance.

What the record shows. NIB shows API-P (producer import) status only. No API-U (general import) status on the record. No customs broker (PPJK) registration found under this name.

What this supports, and what it does not

Supports: That the company is registered to import for its own production use.
Does not support: A route to import finished goods for resale, which is what your appointment asks it to do.

Question to put: Through which licence route would it import your valves for resale?

Illustrative company recordUnverified

Exclusive partner for two European valve brands.

What the record shows. No evidence obtained. The claim appears in the distributor's own presentation only.

What this supports, and what it does not

Supports: Nothing yet. A statement by the party being checked is not evidence of the arrangement.
Does not support: That those appointments exist, are current, or allow sub-distribution in Indonesia.

Question to put: Which two brands, and will either confirm the appointment in writing?

So far. The records establish that a company exists. They do not establish that it can import your product for resale. That question belongs to the rules and the licence.

Question 2 of 6

What does the rule actually require?

Two of these questions can change the shipment. The rest still have to be answered, so they sit underneath rather than in front of you.

Does the importer hold a route to bring these goods in for resale?

Until the route is named, the appointment cannot be confirmed and the landed cost cannot be relied on.

Unresolved

View regulation and applicability evidence

Published regulationUnresolved for this transaction. The text was read. Whether one of its exceptions fits this transaction is not settled.

Instrument: Permendag 16/2025 on import policy, Article 7
Version and amendments: Amended by Permendag 37/2025 and by Permendag 18/2026 (second amendment, June 2026). Register entries read 31 October 2026. Consolidated provisions not yet reviewed.
Provision: Article 7 sets out the imported goods permitted under each licence category and its exceptions.
Read on: 30 October 2026
Condition in this case: Company records show API-P status. The proposed appointment requires import for resale.
Status: Unresolved for this transaction
Specialist review: Not reviewed by an Indonesian specialist

Does this shipment need a surveyor report before it leaves Korea?

If it applies and is missed, the goods can be held at the port, and both the cost and the date change.

Listed valve lines

View regulation and applicability evidence

Published regulationApplied to this illustration. The listed lines match the models in this illustration. Exemptions depend on the licence route above.

Instrument: Permendag 22/2025 on industrial goods
Version and amendments: In force 29 August 2025. Amended by later import-policy changes; provision not re-read in consolidated form.
Provision: Annex I, Section IX, serials 806 to 814 list the valve lines.
Read on: 30 October 2026
Condition in this case: Applies to the listed lines. Some API-P imports for industrial use are exempt.
Status: Conditional on the tariff line and end use
Specialist review: Not reviewed by an Indonesian specialist

Other requirements examined (4)

Does the shipment need an import approval (PI)?

If the final classification brings the models into a controlled list, the route changes.

Not marked

View regulation and applicability evidence

Published regulationApplied to this illustration. No approval is marked for the lines checked. Confirmed only after classification.

Instrument: Permendag 22/2025, Annex I
Version and amendments: Same table as the surveyor requirement.
Provision: No import approval is marked against the valve lines checked.
Read on: 30 October 2026
Condition in this case: Confirmation depends on the final eight-digit classification of each model.
Status: Not marked for these lines
Specialist review: Not reviewed by an Indonesian specialist

What income tax is due when the goods are imported?

It raises the importer's cash outlay, and therefore the price it needs to resell at.

7.5%

View regulation and applicability evidence

Published regulationApplied to this illustration. Working rate applied to the import value in the landed-cost illustration.

Instrument: PMK 51/2025, Annex B, Section B
Version and amendments: In force at the date read.
Provision: Lines 8481.80.73, .74 and .77, with or without an import licence.
Read on: 30 October 2026
Condition in this case: Base is the import value. The rate shown is a working rate for the illustration.
Status: Applies at 7.5%
Specialist review: Not reviewed by an Indonesian specialist

Can the preferential duty rate be claimed?

Without a valid certificate and the origin rule met per model, the duty saving disappears.

Required to claim it

View regulation and applicability evidence

Published regulationApplied to this illustration. The certificate route applies to these goods. The origin rule is tested model by model.

Instrument: IK-CEPA, in force 1 January 2023
Version and amendments: Operational text read at the date shown.
Provision: Form KI-CEPA, issued by Korea Customs Service or the Korea Chamber of Commerce and Industry.
Read on: 30 October 2026
Condition in this case: The origin rule must be met for each model, not for the product family as a whole.
Status: Required to claim the 0% rate
Specialist review: Not reviewed by an Indonesian specialist

Is a mandatory national standard in force for these models?

If one applies to the end use, the product cannot be sold without it, whatever the distributor says.

Not identified

View regulation and applicability evidence

Published regulationNothing identified to apply. No mandatory standard identified. This is the weakest of the six lines and needs confirming.

Instrument: SNI lists for valves and industrial fittings
Version and amendments: Read at the date shown. Lists change without notice.
Provision: No mandatory standard identified for these models. End customers may still ask for API, ISO or EN certificates.
Read on: 30 October 2026
Condition in this case: Depends on the model, the pressure class and the end use.
Status: Not identified. Confirm per model before relying on it.
Specialist review: Not reviewed by an Indonesian specialist

So far. Two lines matter most: the licence route, which is unresolved, and the surveyor step, which depends on it. The next question is what the shipment costs.

Question 3 of 6

What changes if one assumption fails?

A landed cost is a set of assumptions wearing a number. Change one assumption and see what moves with it.

One 20-foot container, Busan to a warehouse near Surabaya. 120 valves.

Certificate accepted

USD 231,470

Total cash outlay for the shipment

Duty: 0
Landed before tax: 195,809
VAT and PPh 22: 35,661
Per valve: 1,632

Certificate rejected

USD 242,891

Total cash outlay for the shipment

Duty: 9,638
Landed before tax: 205,447
VAT and PPh 22: 37,444
Per valve: 1,712

Difference: USD 11,421 on the same shipment, from one document being rejected.

What changed, and how the difference is calculated

The certificate fails, so duty of 9,638 replaces zero. VAT and PPh 22 are calculated on a base that now includes that duty, so they rise by 1,783. The total cash outlay rises by 11,421. Nothing else in the shipment changed.

9,638 duty + (9,638 x 18.5% tax) = 11,421

Line	Certificate accepted	Certificate rejected
FOB Busan	186,000	186,000
Freight and insurance	6,760	6,760
Import duty	0	9,638
Port, clearance, surveyor and inland freight	3,049	3,049
Landed cost before VAT and PPh 22	195,809	205,447
VAT (11% effective) and PPh 22 (7.5%)	35,661	37,444

Assumptions behind these figures

Freight and insurance are an estimate, not a quote.
Port, clearance, surveyor and inland costs are an estimate, not a quote.
Duty rates are working rates. Each model is confirmed line by line in a real check.
VAT is shown at an effective 11%. Recovery depends on the importer's status.
The rupiah exchange rate is held constant. A weaker rupiah raises the importer's cost in rupiah but barely moves the USD total.

What this comparison cannot tell you

The viewer cannot predict whether the certificate will be accepted.
A full check adds a freight-up-60% scenario and a weaker-rupiah scenario.
These are hypothetical figures. They are not your costs.

So far. The numbers are the easy part to show and the easiest to over-trust. The licence question decides whether these numbers are reachable at all.

Question 4 of 6

Can this company do what the appointment requires?

This is where a satisfactory-looking file usually breaks. The activity is ordinary. The record does not quite match it.

What the appointment requires	What the record shows	Reading
Import finished valves for resale	NIB active. API-P status only. No API-U status found.	Resale route not established
Clear goods through customs itself	No customs broker (PPJK) registration found under this name.	Role unclear
Hold exclusive distribution rights	No appointment evidence obtained. Distributor statement only.	Not evidenced
Pay suppliers on 60-day terms	One positive supplier reference, one slow-payer reference, both illustrative.	Mixed, and not verified

One question, followed through

1
Claim
The distributor can import the finished product for resale.
2
Evidence
Illustrative company record: the NIB shows API-P. No API-U (general import) record found.
3
Uncertainty
Does the intended import-for-resale arrangement fit the current rules, including the exceptions?
4
Action
Confirm the route with current company records and qualified specialist review before appointment.
5
Decision
HOLD. Do not sign the exclusive appointment until the import route and the proposed terms are confirmed.

The finding

The licence route does not match the proposed arrangement.

The illustrative records indicate an NIB with API-P status. The proposed arrangement involves importing finished goods for resale. The applicable import route and any relevant exceptions must be confirmed before appointment.

What this finding does not establish. The illustrative API-P record does not by itself establish that no lawful import arrangement is available. A qualified local reviewer must confirm the route and the exceptions that could apply.

What would close this question

Written confirmation from the distributor of the licence it would import under.
The same point put to an Indonesian specialist, with the answer on file.
Or a named API-U co-importer, if the appointment is to proceed on that basis.

What would you check next?

Does the company legally exist? Is there a permitted route to import for resale? Do the proposed terms make sense before that is settled?

All three belong in a check. This file turns on the second, and the other two are still open.

So far. The exporter does not need a legal opinion to act. It needs one written answer and a decision date.

Question 5 of 6

What are you being asked to sign, and what does each term create?

Three selected terms, each tied to the evidence above. Not a legal contract review, and not a redraft.

Exclusive distributor for Indonesia, three years

As drafted. Exclusive distribution with a minimum purchase target (illustrative draft)

Why it matters here. The commitment is being asked for before the import arrangement has been confirmed.

Question to resolve: What has to be true before exclusivity is granted, and what ends it?

Distributor imports and clears the goods

As drafted. Distributor responsible for import and customs clearance (illustrative draft)

Why it matters here. The stated responsibility has to be reconciled with the documented licence status.

Question to resolve: Which entity imports for resale, under which licence, and who bears the risk if it cannot?

Payment before shipment

As drafted. 30% on order, 70% before shipment (illustrative draft)

Why it matters here. If the route is unresolved on the shipment date, the exporter carries the risk of goods it cannot deliver against the agreement.

Question to resolve: What happens if the licence question is still open when the balance falls due?

A full check describes the selected terms and the questions they create. A lawyer advises on the contract itself. The written example shows the fuller extract.

Question 6 of 6

What is still unknown, and who can close it?

A report that lists only findings is a report you cannot act on. This is the part that turns red flags into tasks.

Documents from the distributor

Written licence position and, if it exists, a co-importer option

Open

Who can close it. The distributor.

Why it matters. It decides whether the appointment can work at all.

Two supplier references, taken directly

To confirm

Who can close it. Two named suppliers.

Why it matters. Payment behaviour is the most common surprise after appointment, and it is cheap to check.

Product and shipment details from you

The actual bore of the DN50 models

Open

Who can close it. Your data sheet.

Why it matters. The bore decides the eight-digit tariff line, which decides the duty and the surveyor requirement.

Whether the origin rule is met for each model

To confirm

Who can close it. Your bill of materials.

Why it matters. The 0% duty rate depends on it. The certificate alone does not deliver the saving.

Questions for specialist confirmation

The surveyor route, fee and time in days

Needs a quote

Who can close it. A named surveyor.

Why it matters. Both the cost and the shipment date depend on it. Neither is in the current estimate.

The importer's resale price and margin

Needs a quote

Who can close it. The distributor's price list.

Why it matters. A landed cost is only half the question. The other half is whether it can be sold profitably.

So far. None of these is expensive to close. All of them are cheaper before the appointment than after it.

The answer

What we would tell you

Not a verdict on the company. A position on the appointment, what would change it, and the next action inside it.

Decision status

HOLD

Do not sign the proposed agreement yet.

The available evidence is not sufficient to proceed on the proposed terms.

Key uncertainty: Importer eligibility
Evidence: Partial. Records support identity, not resale.
Decision implication: The available evidence is not sufficient to proceed on the proposed terms. The arrangement remains unresolved: confirm a lawful import route and review the appointment terms before signing.
Next action: Verify the import route: obtain the distributor's written licence position, then put it to an Indonesian specialist.

Illustrative case. No Indonesian specialist has reviewed this illustration.

What would change this recommendation

Could clear

The distributor confirms a licensed route to import for resale, in writing

The licence finding would move from unresolved to workable, subject to the specialist view.

Could clear

A named API-U co-importer is brought into the arrangement

The appointment could proceed on a different import route, with the terms reviewed on that basis.

Would help

An Indonesian specialist confirms the current route fits this transaction

The question would close, and the remaining risk moves to the commercial terms.

Would help

The distributor provides resale prices and margin

The financial case becomes testable, not only the cost side of it.

The options

A. Proceed through an API-U co-importer

A licensed general importer brings the goods in and invoices the distributor. Start with a short, non-exclusive agreement.

B. Ask the distributor for the licence position in writing

One question, one answer, ten working days. If the answer is satisfactory, the appointment can be reconsidered with the answer on file.

C. Stop, and keep the file

Do not enter Indonesia now. The report stays valid for a later decision when the route is clear.

Next steps

Owner	Action	Timing
You	Send the data sheet with the actual bore of each DN50 model.	Within 2 days
You	Ask for the distributor's written licence position and an API-U co-importer option.	Within 10 days
Your specialist	Review the import route, the tariff line and the surveyor step for these models.	Before you sign
You	Replace the freight and clearance estimates with quotes.	Before the first order

This is an illustrative assessment. It is not legal, tax or customs advice, not a customs ruling, and not a specialist-reviewed opinion.

If a decision like this is in front of you

This viewer explains the method with an illustrative case. The paid check applies an agreed scope to your product, your proposed distributor and your transaction, with dated evidence and the review arrangements confirmed for your engagement.

Exeter Link is new. This is a worked illustration, not a completed client engagement.

Discuss your proposed distributor Read the written example

Evidence ledger

Every line, with its source and the date we read it

Open a line to see the instrument, the provision, the version in force, the applicability note and the review status. The register entries for the amendments were read on 31 October 2026; the rule text was read on 30 October 2026.

Import licence route for resale Unresolved for this transaction

Published regulationUnresolved for this transaction. The text was read. Whether one of its exceptions fits this transaction is not settled.

Instrument: Permendag 16/2025 on import policy, Article 7
Version and amendments: Amended by Permendag 37/2025 and by Permendag 18/2026 (second amendment, June 2026). Register entries read 31 October 2026. Consolidated provisions not yet reviewed.
Provision: Article 7 sets out the imported goods permitted under each licence category and its exceptions.
Read on: 30 October 2026
Condition in this case: Company records show API-P status. The proposed appointment requires import for resale.
Status: Unresolved for this transaction
Specialist review: Not reviewed by an Indonesian specialist

Surveyor report (LS) before shipment Conditional on the tariff line and end use

Published regulationApplied to this illustration. The listed lines match the models in this illustration. Exemptions depend on the licence route above.

Instrument: Permendag 22/2025 on industrial goods
Version and amendments: In force 29 August 2025. Amended by later import-policy changes; provision not re-read in consolidated form.
Provision: Annex I, Section IX, serials 806 to 814 list the valve lines.
Read on: 30 October 2026
Condition in this case: Applies to the listed lines. Some API-P imports for industrial use are exempt.
Status: Conditional on the tariff line and end use
Specialist review: Not reviewed by an Indonesian specialist

Import approval (PI) Not marked for these lines

Published regulationApplied to this illustration. No approval is marked for the lines checked. Confirmed only after classification.

Instrument: Permendag 22/2025, Annex I
Version and amendments: Same table as the surveyor requirement.
Provision: No import approval is marked against the valve lines checked.
Read on: 30 October 2026
Condition in this case: Confirmation depends on the final eight-digit classification of each model.
Status: Not marked for these lines
Specialist review: Not reviewed by an Indonesian specialist

Income tax on import (PPh 22) Applies at 7.5%

Published regulationApplied to this illustration. Working rate applied to the import value in the landed-cost illustration.

Instrument: PMK 51/2025, Annex B, Section B
Version and amendments: In force at the date read.
Provision: Lines 8481.80.73, .74 and .77, with or without an import licence.
Read on: 30 October 2026
Condition in this case: Base is the import value. The rate shown is a working rate for the illustration.
Status: Applies at 7.5%
Specialist review: Not reviewed by an Indonesian specialist

Certificate of origin for the preferential rate Required to claim the 0% rate

Published regulationApplied to this illustration. The certificate route applies to these goods. The origin rule is tested model by model.

Instrument: IK-CEPA, in force 1 January 2023
Version and amendments: Operational text read at the date shown.
Provision: Form KI-CEPA, issued by Korea Customs Service or the Korea Chamber of Commerce and Industry.
Read on: 30 October 2026
Condition in this case: The origin rule must be met for each model, not for the product family as a whole.
Status: Required to claim the 0% rate
Specialist review: Not reviewed by an Indonesian specialist

Mandatory national standard (SNI) Not identified. Confirm per model before relying on it.

Published regulationNothing identified to apply. No mandatory standard identified. This is the weakest of the six lines and needs confirming.

Instrument: SNI lists for valves and industrial fittings
Version and amendments: Read at the date shown. Lists change without notice.
Provision: No mandatory standard identified for these models. End customers may still ask for API, ISO or EN certificates.
Read on: 30 October 2026
Condition in this case: Depends on the model, the pressure class and the end use.
Status: Not identified. Confirm per model before relying on it.
Specialist review: Not reviewed by an Indonesian specialist

Illustrative case. No Indonesian specialist has reviewed this illustration. In a paid check, the reviewer is named in the proposal before any payment is taken, and their review status is printed against each line.