Dok. Kemenko Perekonomian

Indonesia And The US Agree To Intensify Negotiations On Trump's 32 Percent Tariff

Monday, 14 Jul 2025

The governments of Indonesia and the United States (US) have agreed to expedite negotiations on the 32 percent tariff within the next three weeks. This agreement was reached during a meeting between the Indonesian delegation led by Coordinating Minister for Economic Affairs Airlangga Hartarto and US officials in Washington, D.C., on Wednesday (July 9, 2025). The meeting to initiate the Indonesia-US tariff negotiations was held following the 32 percent tariff policy announced by US President Donald Trump earlier this week, Monday (July 7, 2025). 

Airlangga stated that Indonesia and the US agreed to intensify tariff negotiations over the next three weeks to ensure the best outcome for both parties. 

"We have a common understanding with the US regarding the progress of the negotiations. Moving forward, we will continue to strive to conclude these negotiations based on the principle of mutual benefit," Airlangga said in a written statement on Thursday (July 10, 2025). Airlangga revealed that discussions in the Indonesia-US tariff negotiations covered tariff issues, non-tariff barriers, the digital economy, economic security, and commercial and investment cooperation. According to him, Indonesia-US trade relations remain solid despite Trump's 32 percent tariff policy, and there are significant opportunities to increase cooperation in strategic sectors such as agriculture, energy, and critical minerals. 

"The US has shown strong interest in strengthening partnerships in critical minerals. Indonesia has large reserves of nickel, copper, and cobalt, and we need to optimize the potential for cooperation in processing these critical minerals," he said. He also mentioned that several Indonesian companies in the agriculture and energy sectors have signed memorandums of understanding (MoUs) with US companies to purchase superior products worth US$34 billion and expand investment. 


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