INDONESIA IN TALKS WITH US AND ASEAN OVER NEW TARIFFS
By Mohd Iswandi Kasan Anuar
JAKARTA, April 3 (Bernama) -- The Indonesian government has committed to continue discussions with United States officials, the Chair of ASEAN, and key domestic stakeholders to address economic challenges arising from the new US tariff policy.
On April 2, US President Donald Trump announced a 32 per cent tariff on Indonesian goods, building on an existing 10 per cent levy imposed on all countries.
The new tariffs, set to take effect on April 9, are expected to impact major export sectors, including electronics, textiles, footwear, palm oil, rubber, furniture, and seafood.
Indonesia’s Foreign Affairs Ministry said Jakarta remains in close communication with Washington and will send a high-level delegation to the US capital for direct negotiations.
“As part of these talks, Indonesia is preparing a range of measures to address concerns raised by the US government, including those outlined in the 2025 National Trade Estimate report published by the US Trade Representative,” the ministry said in a statement.
President Prabowo Subianto has instructed his Cabinet to focus on strategic measures, structural reforms, and deregulation policies aimed at simplifying regulations and reducing trade barriers, particularly non-tariff restrictions.
“These efforts align with broader goals to strengthen Indonesia’s competitiveness, maintain market confidence, and attract investment while ensuring continued economic growth,” the ministry added.
Jakarta has also engaged with Malaysia, the current ASEAN Chair, to coordinate a regional response, as all ten ASEAN member states will be affected by the new US tariffs.
The Indonesian government said it would swiftly assess the impact of the tariffs on key industries and take measures to mitigate any negative effects on the national economy.
Officials are also working to ensure the stability of government bond yields amid global market volatility following the US tariff announcement.
“Alongside Bank Indonesia, the government will continue efforts to maintain the stability of the Rupiah exchange rate and ensure foreign exchange liquidity to support businesses and overall economic stability,” the ministry said.
Since the start of the year, the Indonesian government has been developing strategies to address the implementation of the US tariffs, with a cross-ministerial team working closely with Indonesia’s representatives in the US and domestic business leaders to prepare for the policy changes.
-- BERNAMA
