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| Prabowo Secures Big Win for Indonesia: US Slashes Import Tariffs, Boosting Trade Opportunities. |
President Prabowo Subianto has once again made a major diplomatic move on the international stage. While on an overseas visit to Europe on July 15, 2025, he held a direct phone call with US President Donald Trump to discuss a pressing issue that impacts the Indonesian economy—American import tariffs on Indonesian goods.
According to Cabinet Secretary Teddy Indra Wijaya, the conversation lasted nearly 17 minutes. It was serious, yet friendly and warm. The focus? US trade policy and how it affects products made in Indonesia.
“The two leaders discussed several key topics, especially related to the United States’ tariff policies,” Teddy explained.
And here comes the good news: after a long and tough negotiation, both presidents reached a breakthrough. The United States agreed to significantly lower import tariffs on Indonesian goods—from 32 percent down to 19 percent.
“That was a hard-fought negotiation. But in the end, both sides reached common ground, keeping in mind each country’s interests,” Teddy said.
He emphasized that the new tariff rate is now one of the lowest in Asia, giving Indonesian products a stronger position in the US market. What’s even more impressive is that President Prabowo personally led the negotiations, showing his full commitment to defending Indonesia’s economic interests.
“After many negotiation attempts from our government, President Prabowo took charge himself. He engaged directly with President Trump—who is known as a tough negotiator—and stayed firm until they found a solution,” Teddy added.
This agreement is a big deal for Indonesia. It strengthens the country’s presence in global trade, especially since it comes shortly after another major milestone: Indonesia and the European Union recently agreed on zero-percent tariffs for their trade. That deal opened wide access for Indonesian goods in Europe, and now the US market is following suit.
“This is a double win for Indonesia. We’re seeing back-to-back trade breakthroughs that will help our businesses compete better globally,” Teddy stated.
He also confirmed that the follow-up actions from this US tariff agreement will be handled by the Coordinating Minister for Economic Affairs, Airlangga Hartarto.
Lower tariffs mean Indonesian exporters can sell their products in the US more competitively. That boosts Indonesia’s economy, supports local industries, and can create more job opportunities back home. With both the US and the EU now opening up, Indonesia is on the path to becoming a major player in international trade.
President Prabowo’s direct diplomacy has delivered real results. The tariff cut is not just a number—it is a new chapter for Indonesian exports. As the government prepares to take the next steps, this win could mark the beginning of stronger and more sustainable economic growth for Indonesia.