Overview
- The European Commission proposed pushing back the start of its anti‑deforestation import rules by one year to the end of 2026 following the pact’s signature.
- According to officials, 80% of Indonesian exports to the EU will face zero tariffs, covering goods such as footwear, textiles, fisheries products and palm oil.
- Brussels estimates EU exporters will save about €600 million a year in duties, with Indonesia set to eliminate steep tariffs on European cars, machinery and pharmaceutical equipment.
- The agreement features a dedicated palm‑oil protocol and includes environmental and labor commitments, though campaigners question how effectively these will be enforced.
- Indonesian exports to the United States now face a 19% levy, a shift cited as speeding the deal, which targets entry into force around 2027 pending ratification on both sides.