Warning for traveling to Indonesia and Malaysia in March! This Ramadan pitfall avoidance and business opportunity guide saved 90% of companies丨PDAEXSEA
Indonesia Malaysia Eid al-Fitr Ramadan 2025-02-27 09:11:21   Page view:767

In March 2025, Indonesia and Malaysia will usher in the most important religious festival of the year - Ramadan. This festival is as important to Muslims as the Chinese New Year.

During Ramadan, the pace of social operations slows down significantly: government agencies shorten office hours, companies adjust work plans, and people's lives shift to religious activities.

For overseas companies planning to conduct business during this period, it is crucial to fully understand the cultural customs of Ramadan and arrange work plans and operational strategies reasonably.



01

Indonesia and Malaysia's Ramadan holiday arrangements for 2025


1. Ramadan and Eid al-Fitr holidays in Indonesia


Ramadan time: Expected March 1-March 29, 2025

Eid al-Fitr holiday:

March 29-30: weekend holiday

March 31-April 1: statutory holiday

April 2-April 4: collective holiday

April 5-6: weekend holiday

April 7: collective holiday

A total of 10 days of long holidays, companies need to plan business continuity plans in advance.


2. Ramadan and Eid al-Fitr holidays in Malaysia


Ramadan time: expected to be March 2-March 30, 2025

Key nodes:

March 2: First day of Ramadan in Johor and Kedah

March 3: First day of Ramadan (make-up holiday) (Johor)

March 4: Accession day of the Sultan of Terengganu (Terengganu)

March 18: Koran Descent Day (10 regions including Kuala Lumpur)

March 23: Birthday of the Sultan of Johor (Johor)

March 31-April 1: National Eid al-Fitr holiday

April 2: 3rd day of Eid al-Fitr in Malacca

Malaysia's Ramadan holiday arrangements vary significantly from region to region. It is recommended that companies adjust arrangements according to the location of their business.


02

Three key points to keep in mind when running your business during Ramadan


1. Adjustment of business activities


(1) Government and banking business: It is recommended to complete key procedures such as company registration and visa application in early or mid-March to avoid the "efficiency black hole" of Ramadan;

(2) Contract signing and meeting arrangements: Give priority to the morning time (Muslims are more energetic) or the evening after iftar (18:00-21:00).

(3) Supply chain management:

Production side:

Factories generally shorten working hours during Ramadan. It is recommended to understand their production arrangements and delivery times, arrange inventory reasonably, and avoid the risk of raw material supply interruption;

Logistics side:

Shipping planning: Port efficiency may decline during Ramadan. It is recommended that goods arrive at the port before Ramadan, or reserve 7-10 days of free time to deal with delays

Transit risk: Hubs such as Kuala Lumpur Port and Tanjung Priok Port may be congested, so direct routes are preferred.


2. Employee and Cultural Compliance


  • (1) Religious Holiday Allowance (THR): A must for Indonesian companies

    Payment time: no later than 7 days before Eid al-Fitr;

    Amount standard:

    Employees who have worked for 12 months: 1 month's salary;

    Employees who have worked for less than 12 months: proportional conversion (months in service/12 × monthly salary);

    Freelancers: calculated based on the average salary of the past 12 months.

    Violation cost: Delayed payment can be fined up to 5% of the employee's salary and face investigation by the labor department.

    (2) Cultural sensitivity: High emotional intelligence operation suggestions

    Provide flexible working hours (such as 10:00-15:00 core office hours) to avoid requiring Muslim employees to work overtime (fasting during the day will overdraw their physical strength);

    Organize Iftar Dinner to strengthen team cohesion

    Distribute holiday gift boxes (it is recommended to include dates, traditional cakes, etc.)

3. Cultural etiquette norms for non-Muslims


(1) Dietary precautions: Avoid eating and smoking in front of Muslims during the day. Business banquets should be arranged after 19:00. If dining in a restaurant, try to choose a non-fasting area.

(2) Dress code: Women are advised to wear knee-length skirts or long pants, and men should avoid sleeveless tops.

(3) Public places: Ramadan is a month of reflection and prayer. Try to avoid playing music or making loud noises in public places.


03

Market and consumption insights during Ramadan


Ramadan is an important consumption season in Indonesia and Malaysia, and companies should plan their business strategies in advance.

Understand the consumption habits and needs of local consumers during Ramadan, such as special needs in food, clothing, household items, etc., and adjust product supply and marketing strategies accordingly.


1. Golden Rules of Ramadan Marketing


(1) Advertising taboos: Avoid entertainment content, and plan themes around "family reunion, charity donation";

(2) Promotional nodes: The 10 days before Eid al-Fitr are the peak of consumption (demand for gifts, clothing, and food surges), and it is recommended to launch combination discounts.

2. Muslim consumer behavior


(1) Food: When breaking the fast, people need a lot of special food and drinks to replenish their energy. Dates, traditional cakes, and special teas are very popular.

(2) Clothing: There are many religious ceremonies and family gatherings during Ramadan. People will buy new clothes, especially traditional clothes and exquisite dresses.

(3) Home decoration: In order to create a festive atmosphere, families will buy new home decorations, such as decorative lamps, carpets, and pillows.

(4) Religious supplies: The demand for prayer rugs, rosaries, and children's religious picture books is rising;

(5) Social economy: Home items such as candles and lamps with Muslim elements will be the first choice for gifts when relatives and friends visit each other.


For enterprises going overseas to Indonesia and Malaysia, from cultural customs to business operations, from employee management to supply chain maintenance, every link has hidden points that need to be paid attention to by enterprises. Ramadan is just one of the key nodes. Only by being fully prepared and considering all aspects can we take root and grow in this land full of opportunities and challenges and achieve sustainable development.

PDAEXSEA, a one-stop cross-border enterprise service platform, is specially designed for Chinese enterprises to tailor overseas solutions and supporting landing services, helping Chinese enterprises to "avoid pitfalls" when going overseas.