Indonesia Plans to Resolve Tariff Issues Through Negotiations and Procurement

The U.S. imposed 32% import tariffs on Indonesia because of Indonesia's $17 billion trade surplus with the U.S.President Prabowo said Indonesia has a strong negotiating strategy, offering to buy $17 billion in U.S. products to balance the trade surplus. Indonesia is not a poor country and is capable of realizing this amount of imports. The planned imports of U.S. products include energy products such as liquefied petroleum gas (LPG) and petroleum fuels, technical equipment such as oil and gas drilling equipment and airplanes, and agricultural products such as soybeans, wheat, and cotton. Prabowo, who has authorized the Coordinating Minister for Economic Affairs to lead negotiations with the U.S., has expressed optimism that the issue of U.S. import tariff policies will be resolved.