The Indonesian government will not impose quota to restrict steel pipe import from China as it would violate the free trade agreement between China and ASEAN (The Association of Southeast Asian Nations) countries, an official has said.

"If the government imposes import quota (on Chinese steel pipe), China will take reciprocal measures," director of metal industry Putu Suryawirawan was quoted Thursday by economic daily Bisnis Indonesia as saying.

His remarks came to respond demand from the Indonesian Steel Pipe Producers Association (Gapipa) that Chinese steel pipe be restricted to protect local industry.

Putu said import restriction would be considered as non-tariff barrier that could lead to sanctions from the World Trade Organization.