Washington: This morning, US President Donald Trump announced the finalization of a significant trade agreement with the Republic of Indonesia after discussions with their President, Prabowo Subianto. "This landmark Deal opens up Indonesia's entire market to the United States for the first time in History," Trump stated in a post on social media platform Truthsocial.
According to Kuwait News Agency, under the terms of the agreement, Indonesia has agreed to purchase USD 15 billion in US energy, USD 4.5 billion in American agricultural products, and 50 Boeing jets, including many 777 models. This deal marks a historic opportunity for American ranchers, farmers, and fishermen, granting them complete access to Indonesia's market, which includes over 280 million people.
Additionally, Indonesia will impose a 19 percent tariff on all goods they export to the United States, whereas American exports to Indonesia will be free of tariffs and non-tariff barriers. In cases of transshipment from countries with higher tariffs, those tariffs will be added to Indonesia's existing tariff obligations.
President Trump expressed gratitude to the people of Indonesia for their friendship and commitment toward addressing the trade deficit. He emphasized ongoing efforts to deliver benefits for both American citizens and the people of Indonesia.