Minister of Industry of Republic of Indonesia

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-1- Minister of Industry of Republic of Indonesia REGULATION OF MINISTER OF INDUSTRY OF REPUBLIC OF INDONESIA NUMBER: 55/M-IND/PER/11/2013 ON AMENDMENTS TO INDUSTRY MINISTER REGULATION NUMBER: 24/M-IND/PER/4/2013 ON COMPULSORY I.N.S. (INDONESIA NATIONAL STANDARD) LABELING FOR TOYS WITH THE GRACE OF GOD THE ALMIGHTY MINISTER OF INDUSTRY OF REPUBLIC OF INDONESIA, Having considered : a. that in order to ensure smooth implementation of the Compulsory INS Labeling for Toys pursuant to Industry Minister Regulation No. 24/M-IND/PER/4/2013 on Compulsory I.N.S. Labeling for Toys, it is deemed necessary to revise (certain) provisions of the said Industry Minister Regulation; b. that based on consideration of the premises stated above in paragraph a, Industry Minister hereby puts in place this Industry Minister Regulation which revises the Industry Minister Regulation No. 24/M-IND/PER/4/2013 on Compulsory INS Labeling for Toys; Bearing in Mind : 1. Industry Minister Regulation No. 24/M-IND/PER/4/2013 on Compulsory INS Labeling for Toys;

-2- DECIDED To Stipulate : AMENDMENTS TO THE INDUSTRY MINISTER REGULATION NO. 24/M-IND/PER/4/2013 ON COMPULSORY I.N.S. (INDONESIA NATIONAL STANDARD) LABELING FOR TOYS. Article I Some of the provisions contained in the Industry Minister Regulation No. 24/M- IND/PER/4/2013 on Compulsory INS Labeling for Toys, are hereby altered in the following manner: 1. Article 2 is altered so as to read as follows: Article 2 (1) To hereby cause compulsory implementation of the following Indonesia National Standards (SNI): a. SNI ISO 8124-1:2010; b. SNI ISO 8124-2:2010; c. SNI ISO 8124-3:2010; d. SNI ISO 8124-4:2010; e. SNI IEC 62115:2011; and/or f. Part of Parameter: No. Standards Parameter Requirements 1 EN71-5 Ftalat 0.1% 2 SNI 7617:2010 Non Azo not applicable 3 SNI 7617:2010 Formaldehyde max 20 rpm for such toy products with the following HS code numbers: No. Type of Toys HS Code 1 Baby walkers; Numbers

-3- of metal Ex 9403.20.90.00 of plastic 9403.70.10.00 2. Tricycles, scooters and pedal cars and the likes; 9503.00.10.00 dolls carriage. 3. Dolls; parts and accessories 9503.00.21.00 9503.00.22.00 9503.00.29.00 4. Electric trains, including tracks, signals and other 9503.00.30.00 accessories therefor 5. Reduced-size (scale) models and similar recreational models, working or not. 9503.00.40.10 9503.00.40.90 6. Other construction sets and constructional toys, of 9503.00.50.00 materials other than plastics 7. Stuffed toys representing animals or non-human 9503.00.60.00 creatures 8. Puzzles of all kinds 9503.00.70.00 9. Numerical, alphabetical or animal blocks or cutouts, 9503.00.91.00 word builder sets, word making and talking sets, toy printing sets, toy counting frames (abaci), toy sewing machines, toy typewriters 10. Skipping ropes 9503.00.92.00 11. Marbles 9503.00.93.00 12. Other toys, other than those stated under numbers 2 to 11 above, of all kind of materials, working or not, electric or not. - Balloons, swimming buoys for children or other toys which are inflatable, of rubber and/or plastic. - Toy rifles/pistols. - Other toys. 9503.00.99.00 (2) Toys with HS Code number Ex 9403.20.90.00 as stated above under paragraph (1) pertains to baby walkers which are made of metal.

-4- (3) Toys with HS Code number Ex 9403.20.90.00 which are not baby walkers made of metal will be exempt from this Compulsory INS Labeling for Toys, as contemplated above in paragraph (1). 2. Article 3 is altered so as to read as follows: Article 3 (1) A company which produces Toys as contemplated above in Article 2 will be required to comply with the INS requirements by: a. obtaining the Toy INS Certificate (the SPPT-SNI), in accordance with the following certification steps: 1) quality compliance assessments against INS requirements in accordance with Article 2 hereof, for which sample products will be taken from: a) for local products, samples are taken from production lot/batch; b) for imported products, samples are taken from lot in each shipment; 2) issuance of the Toy INS Certificate (the SPPT-SNI) in accordance with the National Standardization Guidelines (NSG) 302:2006: Conformity Assessment Product Fundamental Certification through product quality compliance assessments in accordance with the INS requirements, as per Article 2 above; b. adding the SNI sign onto each product and/or product packaging at such point easily spotted and clearly legible, using such method so that the SNI symbol is not easily erased; and c. adding such other signs in the manner required by the prevailing laws and regulations. (2) The addition of the SNI sign to imported toys, as contemplated above in paragraph (1), must be conducted at the importer's warehouse. (3) The term production lot as stated above in: a. paragraph (1) letter a number 1) point a) shall represent the total production during the period of 6 (six) month; or

-5- b. paragraph (1) letter a number 1) point b) shall represent the total products imported in each shipment. [as is wordings] 3. A new Article 3a is inserted in between the Article 3 and Article 4, as follows: Article 3a (1) The provisions of Article 3 above shall not apply to toys with HS Code number as stated above in Article 2 if: a. (the product is) to be used as sample for the obtainment of the INS Certificate (the SPPT-SNI); b. the product has such characteristics and uses for research and development (model skills); and/or c. the product has such characteristics and uses for special purposes. (2) Import of toy products as contemplated above in paragraph (1) shall be accompanied with Technical Consideration from the industry supervising authority. (3) The Technical Consideration as contemplated above in paragraph (2) will be issued based on an application. (4) A Technical Consideration as contemplated above in paragraph (2) shall at least contain the following information: a. Name and address of the applying company; b. Product type; c. Quantity to be imported; and d. Uses of the product. (5) The procedure for the obtainment and issuance of Technical Consideration are to be further stipulated in the Regulation of the Director General of Industry. 4. Article 5 is altered so as to read as follows: Article 5 (1) The assessments as contemplated above in paragraph (1) shall be conducted by such Assessment Laboratories appointed by the Minister and meet the following requirements:

-6- a. Local Assessment Laboratory which has been accredited by NAC for the assessment of toy products; b. Foreign Assessment Laboratory which is registered under the Mutual Recognition Arrangement of the APLAC/ILAC, and that the country of domicile of such Laboratory has already signed a bilateral agreement with Indonesia in the field of technical regulation. (2) If the LSPro as contemplated above in Article 4 and/or the Assessment Laboratory as contemplated above in paragraph (1) are not yet available or not sufficiently meet the needs, the Minister may appoint (such other) LSPro(s) and/or Assessment Laboratories the competency of which has been evaluated by the BPKIMI (Agency for the Assessment of Policies on, Climate and Quality of, Industry), subject to the following conditions: a. Non-accredited LSPro and Assessment Laboratories may be appointed for a period of not exceeding 2 (two) years from their appointment; b. Foreign Assessment Laboratory which is registered under the Mutual Recognition Arrangement of the APLAC/ILAC, but its country of domicile has not yet signed a bilateral agreement with Indonesia in the field of technical regulation, may be appointed for a period of not exceeding 2 (two) years from their appointment, which period cannot be extended if the country of domicile has not yet signed the bilateral agreement. (3) All assessments performed by foreign Assessment Laboratories, as contemplated above in paragraph (2) point b, shall be conducted in accordance with the provisions of Article 2 above. (4) Provisions governing the implementation of the assessments and issuance of the INS Certificate (the SPPT-SNI) and issuance of the Assessment Certificate, are to be provided further in a separate Regulation of the Director General of Industry. 5. A new Article 11a is inserted in between Article 11 and Article 12, as follows: Article 11a As of the effective commencement of the Compulsory INS (Indonesia National Standard) Labeling for Toys, all toy products which are not compliant with the requirements of Article 3 hereof, will have already been recalled from circulation by:

-7- a. The relevant manufacturer of the products, in the case of domestically-made toy products; b. The relevant importer, in the case of imported products. 6. Article 14 is altered so as to read as follows: Article 14 This Compulsory INS (Indonesia National Standard) Labeling for Toys shall commence to take effect on 30 April 2014. Article II This Industry Minister Regulation shall commence to take effect on the date of its promulgation. In order for all parties to take cognizance hereof, it is hereby instructed that this Industry Minister Regulation is promulgated in the Book of Statutes of Republic of Indonesia. Stipulated in Jakarta On 11 November 2013 MINISTER OF INDUSTRY REPUBLIC OF INDONESIA signed MOHAMAD S. HIDAYAT Promulgated in Jakarta on 12 November 2013 MINISTER OF LAW AND HUMAN RIGHTS OF REPUBLIC OF INDONESIA

-8- signed AMIR SYAMSUDIN BOOK OF STATUTES OF REPUBLIC OF INDONESIA OF THE YEAR 2013 NUMBER 1314. Certified True Copy. Secretariat General Ministry of Industry Head of Bureau for Legal Matters and Organization, [signature and seal] PRAYONO