US-Indonesia Trade Agreement Signed in Washington

The United States and Indonesia signed a reciprocal trade agreement in Washington on Thursday, reducing U.S. tariffs on Indonesian imports from a threatened 32 percent to 19 percent while eliminating nearly all Indonesian tariffs on American goods. The deal, finalized during Indonesian President Prabowo Subianto's visit for the inaugural meeting of President Donald Trump's Board of Peace, marks a significant step in bilateral economic ties and positions Indonesia as the third Southeast Asian nation to secure such an arrangement with the U.S., following Malaysia and Cambodia.

Negotiations, which spanned seven rounds since a basic outline was agreed upon in July, addressed longstanding trade barriers amid tensions over nontariff measures and market access. Indonesian Senior Economic Minister Airlangga Hartarto and U.S. Trade Representative Jamieson Greer signed the pact after discussions that resolved disputes on issues like digital trade and local content requirements. The agreement requires Indonesia to remove tariffs on more than 99 percent of U.S. exports, including agricultural products, seafood, information and communications technology, automotive goods, and chemicals. It...