Jakarta (ANTARA) - US President Donald Trump announced on Wednesday that all Indonesian goods imported into the United States will now be subject to a 19 percent tariff, following his direct talks with Indonesian President Prabowo Subianto.
"Indonesia will pay the United States a 19% Tariff on all Goods they export to us," Trump wrote on Truth Social.
The new tariff marks a reduction from the initial 32 percent rate Trump had announced in April, suggesting that Indonesia’s efforts to renegotiate the terms were at least partially successful.
Prior to this latest announcement, Trump had insisted on maintaining the 32 percent tariff, even as both countries engaged in intensive negotiations. In a July 7 letter to President Prabowo from the White House, Trump reaffirmed his position.
However, following a meeting between Indonesia's Coordinating Minister for Economic Affairs Airlangga Hartarto and US officials — the Secretary of Commerce and the Trade Representative — on July 9, Washington agreed to delay implementation of the tariffs for three weeks to allow further discussions.
In addition to the revised tariff rate, Trump also announced that US exports to Indonesia would be "Tariff and Non Tariff Barrier FREE."
He added that Indonesia had agreed to apply the 19 percent tariff to any trans-shipments coming from countries with higher existing tariffs.
Trump further revealed that Indonesia had committed to purchasing US$15 billion worth of American energy products and US$4.5 billion in US agricultural goods.
He also said Indonesia plans to buy 50 Boeing aircraft, most of them Boeing 777 passenger jets, although he did not specify which Indonesian buyers would be involved.
"This landmark Deal opens up Indonesia's ENTIRE MARKET to the United States for the first time in history," Trump stated.
He concluded by thanking the Indonesian people for their "friendship and commitment to balancing our Trade Deficit."
