Jakarta (ANTARA) - Indonesia and the United States (US) have agreed on the substance of the Agreements on Reciprocal Trade (ART) negotiations, Coordinating Minister for Economic Affairs, Airlangga Hartarto said.
The agreement was reached after an official meeting between Hartarto and the United States Trade Representative (USTR), Ambassador Jamieson Greer, on Monday (December 22) in Washington, D.C.
“This agreement is both commercial and strategic and will benefit the economic interests of both countries. Regarding the content and substance, discussions were held from December 17 to 22, and all aspects have been agreed upon by both parties,” Hartarto said during an online press conference on Tuesday.
Since the Liberation Day announcement on April 2, 2025, when the US government imposed reciprocal tariffs, the Indonesian government has conducted intensive negotiations with Washington to address various trade issues between the two countries.
A joint statement issued on July 22, 2025, announced a reduction in reciprocal tariffs imposed on Indonesia from 32 percent to 19 percent.
Following the issuance of the statement, both countries continued intensive negotiations to finalize a comprehensive trade agreement.
Under the reciprocal trade agreement, Indonesia committed to providing market access for US products, addressing non-tariff barriers, and strengthening cooperation in digital trade and technology, national security, and commercial relations.
Meanwhile, the US committed to granting tariff exemptions for Indonesia’s leading export products that it does not produce domestically, such as palm oil, cocoa, coffee, tea, and other commodities.
During the meeting with Ambassador Greer, Minister Hartarto encouraged the resolution of all key and technical issues to ensure mutual agreement. After extensive discussions, both parties agreed on all key issues forming the substance of the ART.
The agreement is scheduled to be signed by President Prabowo Subianto and US President Donald Trump at the end of January 2026.
Following the agreement, technical teams from both countries will meet in Washington, D.C. in the second week of January 2026 to finalize technical aspects, with completion targeted within one week.
By the third week of January 2026, the ART document is expected to be finalized by both parties.
Currently, the US is coordinating with the US National Security Agency (NSA) to determine the most appropriate timing for the planned meeting between the two heads of state.
