Image: REUTERS/Carlos Barria
Jakarta – In response to the newly announced tariff policy by the United States, Indonesian officials are taking proactive steps by sending a high-level delegation to Washington, D.C. This initiative targets President Donald Trump's imposition of a 32% tariff on goods imported from Indonesia.
"The Indonesian government will continue to communicate with the U.S. government at various levels, including sending a high-level delegation to Washington, D.C., to negotiate directly with the U.S. government," stated a release from the Indonesian Ministry of Foreign Affairs on Thursday, April 3, 2025.
The Indonesian administration is also preparing measures to address concerns raised by the U.S. government, particularly those highlighted in the National Trade Estimate (NTE) 2025 report published by the U.S. Trade Representative.
President Prabowo Subianto has directed his cabinet to undertake structural reforms aimed at streamlining regulations and eliminating barriers, particularly non-tariff barriers. "This aligns with efforts to enhance competitiveness, maintain market trust, and attract investment, thereby sustaining economic growth momentum," the Ministry explained.
Moreover, Indonesia has reached out to Malaysia, which currently holds the ASEAN chairmanship, to consider joint actions, given the widespread impact the U.S. tariffs have on all ten ASEAN countries.
Previously, the Indonesian Foreign Ministry noted that Trump's 32% tariff significantly undermines the competitiveness of Indonesian exports to the United States. The government is currently assessing the tariff's implications and is working on strategic responses to mitigate the negative impacts on Indonesia’s economy. Collaborating with Bank Indonesia, the government aims to maintain the stability of the Indonesian rupiah in the wake of these tariffs, emphasizing its commitment to economic stability.
Trump's tariff was enacted following a claim that Indonesia imposes a tariff of 64% on American goods, prompting retaliatory measures from the U.S.
