The Trump administration and the Indonesian government have finalised a new US–Indonesia trade agreement, reducing US tariffs on Indonesian goods from 32% to 19%.
The deal was concluded during President Prabowo Subianto’s visit to Washington for the first meeting of the Trump-led Board of Peace on Gaza reconstruction.
According to the White House, Indonesia will remove trade barriers on more than 99% of US imports and facilitate over $30bn in American purchases.
Key developments:
• Tariff exemptions granted on 1,700+ Indonesian goods, including palm oil, coffee and rubber
• Indonesia to accept US standards on autos, medical devices and pharmaceuticals
• Commitments to buy US cotton, soy, beef, energy and Boeing aircraft
• Cooperation on rare earths infrastructure to strengthen critical mineral supply chains
US Trade Representative Jamieson Greer said the deal advances American interests, while Indonesia’s Coordinating Minister for Economic Affairs Airlangga Hartarto described it as mutually beneficial.
The agreement takes effect in 90 days.
ℹ️ BBC News
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