Indonesia Secures Lowest ASEAN Tariff in U.S. Trade Agreement

Jakarta, VIVA – The Head of the Presidential Communication Office (PCO), Hasan Nasbi, announced a significant development in Indonesia–U.S. trade relations. He stated that the import tariff imposed by the United States on Indonesian goods has been reduced from 32 percent to 19 percent.

Hasan emphasized that Indonesia’s new tariff rate is far more favorable than those of other ASEAN countries. This reduction represents a strategic achievement in ongoing trade negotiations.

"In comparison, when Vietnam succeeded in negotiating its tariff down to 20 percent, it was widely praised," Hasan said during a press conference in Central Jakarta on Wednesday, July 16, 2025. He highlighted that Indonesia's 19 percent rate is even lower than that, setting a new benchmark.

"Our initial rate dropped further than Vietnam’s, making it the most competitive in ASEAN," Hasan added. He expressed pride in the progress Indonesia had made in securing this agreement.

He attributed the success to direct talks between President Prabowo Subianto and U.S. President Donald Trump. These negotiations played a pivotal role in reaching a mutually beneficial agreement.

Additionally, the breakthrough was supported by a negotiation team led by Coordinating Minister for Economic Affairs Airlangga Hartarto. Hasan praised their dedication and effective strategy throughout the discussions.

President Prabowo is expected to release full details of the tariff agreement upon his return to Indonesia. "He will provide an official announcement later today, once he lands in the country," Hasan confirmed.

Meanwhile, President Trump also shared the news on his social media platform, Truth Social. He declared the trade deal with Indonesia as historic and transformative for bilateral relations.

According to Trump, the agreement includes Indonesia's commitment to purchasing $15 billion worth of U.S. energy and $4.5 billion in agricultural goods. He highlighted that American farmers, ranchers, and fishers will now enjoy full access to the Indonesian market of over 280 million people.

Trump further disclosed that Indonesia has agreed to purchase 50 new Boeing aircraft, primarily Boeing 777s. However, he did not specify which airline or buyer would receive the planes.

Finally, Trump stated that Indonesia committed to a 19 percent import tariff for all goods exported to the U.S. The country also pledged to eliminate all tariff and non-tariff barriers for American products entering its market.

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Meanwhile, President Trump also shared the news on his social media platform, Truth Social. He declared the trade deal with Indonesia as historic and transformative for bilateral relations.