Indonesia will remove tariffs on the vast majority of U.S. goods and eliminate trade barriers as part of a pair of apparent deals announced Tuesday by President Donald Trump.
“It is my Great Honor to announce our Trade Agreement with the Republic of Indonesia, as represented by their Highly Respected President, Prabowo Subianto,” Trump wrote in a post on Truth Social announcing the deal. “This Deal is a HUGE WIN for our Automakers, Tech Companies, Workers, Farmers, Ranchers, and Manufacturers. Thank you for your attention to this matter. MAKE AMERICA GREAT AGAIN!”
The announcement marks new details on the nontariff barrier portion of the deal, which both nations last week confirmed existed, but with limited details at the time. The deal includes a tariff rate of zero from Indonesia on over 99% of U.S. goods and the elimination of all nontariff trade barriers, while the U.S. maintains a rate of 19% on Indonesian goods, a senior White House official told reporters on a call. (Transshipped goods, which are those made elsewhere and then shipped to Indonesia for export, will face a higher rate of 40%.)