Jakarta, MINA – The Indonesian government is currently in the process of re-negotiating with the United States over a 19 percent import tariff policy imposed on a number of Indonesian export commodities.
Trade Minister Budi Santoso stated that the negotiation process is underway and is targeted to be completed before January 1, 2026.
“The negotiation process is actually still ongoing. Hopefully, it will be finished before January 1 (2026),” Budi said in a statement on Wednesday.
Budi added that the Indonesian government is striving to get the tariffs lowered, particularly for export commodities that are not produced by the U.S.
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“As for the commodities, I might not disclose what they are yet, but at the very least, during the negotiation process, we want to achieve a tariff reduction for commodities that are not owned or produced by America,” he explained.
This new tariff policy is part of an executive order signed by US President Donald Trump and is scheduled to take effect on August 7, 2025. The tariffs will directly impact a number of Indonesian export products entering the U.S. market, including those from the manufacturing, agriculture, and consumer goods sectors.
The measure is described as part of the US economic protectionism policy to balance its trade deficit, but it has sparked concerns from various trading partners, including Indonesia.
Indonesia is one of the US’s main trading partners in Southeast Asia. Data from the Ministry of Trade shows that Indonesia’s export value to the US in 2024 exceeded USD 22 billion, with primary contributors being textiles, footwear, furniture, wood products, and processed foods.
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The imposition of high tariffs is seen as a threat to the competitiveness of Indonesian products in the US market, potentially impacting domestic industries and employment.
The Indonesian Ministry of Trade continues to engage in diplomatic and technical communication with its U.S. trading partners, including through bilateral forums and international trade organizations, to find a mutually beneficial solution. [Shibgho]
Mi’raj News Agency (MINA)
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