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Parliamentary Committee Pushes Industrial Design Bill to Protect SMEs and Address AI Use

3 hours ago | Artificial Intelligence


Jakarta, INTI - The Special Committee of Indonesia’s House of Representatives (DPR RI) overseeing the Industrial Design Bill is pushing for updated regulations to provide greater legal certainty, protect domestic industries, strengthen support for micro, small, and medium-sized enterprises (MSMEs), and address the growing use of artificial intelligence (AI).

Several key provisions were discussed during a working meeting between the Special Committee and the Ministry of Law and the Ministry of Industry at the Nusantara II Building in Senayan, Jakarta, on Tuesday, September 22, 2026.

The discussions covered the industrial design registration system, novelty requirements, grace periods, the use of AI in design creation, and the potential use of industrial design rights as collateral for fiduciary security.

“We in the DPR are not here to determine what is right or wrong in a moral sense. Our role is to ensure that we can support industry players and provide meaningful protection for industrial designs,” said Rahayu Saraswati D. Djojohadikusumo, Chair of the Special Committee on the Industrial Design Bill.

Special Committee Clarifies AI Is Not a Legal Subject

Rahayu said the Special Committee had gathered input from experts, academics, and industry representatives, which has been incorporated into the Bill’s Problem Inventory List (DIM).

“We are proposing a grace period for researchers, academics, universities, and parties conducting market research and testing, allowing them to refine their designs without worrying about losing their novelty rights,” Rahayu said following the meeting.

The committee also discussed the role of AI in industrial design creation as the technology becomes increasingly prevalent across the creative and manufacturing sectors.

“We emphasize that AI is not a legal subject but a supporting tool. This means there must be significant human contribution that can be demonstrated by anyone registering an industrial design,” she said.

Rahayu also highlighted efforts to align Indonesia’s industrial design protection system with international standards through the World Intellectual Property Organization (WIPO).

“Indonesia is already registered with WIPO, the World Intellectual Property Organization. This provides an option for designs registered in Indonesia to also receive protection in other countries that are WIPO members,” she said.

MSMEs to Receive Greater Access and Support

Deputy Chair of the Special Committee Fransiscus Maria Agustinus Sibarani said the proposed regulation should provide tangible support for MSMEs through simplified registration procedures, financial assistance, and technical and legal support.

“In our discussion on ensuring the law supports MSMEs, the key areas include the registration system, cost facilitation, and technical and legal assistance. We hope MSMEs will receive support when registering their intellectual property,” Fransiscus said.

The Special Committee is also seeking to strengthen the economic value of industrial design rights by allowing them to potentially be used as collateral under fiduciary security arrangements.

“We are also strengthening the economic value of the creative economy, particularly industrial design rights. The draft includes provisions related to fiduciary security, allowing new industrial designs created by MSMEs to potentially serve as collateral,” he added.

323 Substantive Provisions to Be Discussed

Deputy Minister of Law Edward Omar Sharif Hiariej said the government would review and respond to the issues listed in the DIM submitted by the DPR.

“We will soon discuss the input from the DPR factions. We agree that the DIM should remain as submitted, after which the government will provide its responses and the issues will be discussed jointly,” the Deputy Minister said.

The meeting agreed to submit the Industrial Design Bill’s DIM from the DPR Special Committee to the government, consisting of 159 provisions categorized as fixed, 323 substantive provisions, and three editorial provisions.

The Special Committee and the government also agreed to establish a Working Committee, Drafting Team, and Synchronization Team to continue discussions according to the respective DIM categories.

Conclusion

The proposed Industrial Design Bill seeks to update Indonesia’s legal framework by addressing AI-assisted design, strengthening industrial design protection, and providing greater support for MSMEs. The ongoing discussions also focus on improving registration processes, legal certainty, and the economic value of industrial design rights.

Read more: Indonesia’s Digital Transformation Enters the AI Era as GAPKI Highlights Digitalization in the Palm Oil Industry

Indonesia Technology & Innovation
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