Jakarta, April 28 -- Indonesia has scrapped import duties on liquefied petroleum gas (LPG) to bolster its petrochemical sector, as the Strait of Hormuz crisis disrupts global naphtha supplies, officials announced in Jakarta on Tuesday.

The six-month emergency measure cuts the 5 percent tariff to zero, allowing refineries to substitute scarce naphtha for LPG as an alternative feedstock for plastic production.

Chief Economic Minister Airlangga Hartarto stated the incentive is an "intervention to lower import duties, primarily for the petrochemical industry which is struggling to obtain naphtha due to the conflict in the Strait of Hormuz."

This strategic pivot mirrors recent actions by major economies like India, aiming to stabilize produ...