Overview

• Under the pact, U.S. products will enter Indonesia duty-free while Indonesian goods face a 19% levy on entry into the United States.
• Jakarta has pledged $34 billion in purchases of U.S. agricultural and energy products and will acquire 50 Boeing aircraft, including multiple 777-series jets.
• The agreement prevents Indonesia from triggering higher reciprocal tariffs above a 10% minimum that would have taken effect on August 1.
• President Trump highlighted the strategic importance of Indonesian copper and reserved the right to impose sector-specific duties on it.
• This marks the third bilateral accord under the administration’s reciprocal tariff campaign after deals with the U.K. and Vietnam and comes ahead of looming duties for over twenty partners.