Washington, July 16 (V7N) – Former U.S. President Donald Trump announced on Tuesday that the United States has finalized a trade deal with Indonesia, following a direct conversation with Indonesian President Prabowo Subianto. However, as of Tuesday afternoon, no official confirmation has come from the Indonesian government.

In a Truth Social post and later in remarks to reporters, Trump claimed that under the new deal:

  • Indonesia will not impose any tariffs on American exports.

  • The U.S. will impose a 19% tariff on Indonesian goods entering the U.S.

  • Indonesia has agreed to purchase $15 billion worth of U.S. goods, including $4.5 billion in agricultural products and 50 Boeing 777 jets.

  • Indonesian copper, which Trump praised as “high-quality,” may be exempt from a planned 50% copper import tariff set to take effect August 1.

Speaking before departing for a conference in Pittsburgh, Trump described the deal as “a great deal for everyone,” saying, “We are turning the tide in our favor.”

U.S. Business Community Reacts with Caution

The announcement stirred uncertainty among U.S. businesses, many of whom are still grappling with the unpredictable nature of Trump’s trade policies. Commerce Secretary Howard Lutnick told CNBC, “There are no tariffs there; they pay tariffs here.”

Business leaders have expressed concern that such tariffs—especially when unilaterally imposed or suspended—make long-term planning difficult. “This is not how stable trade relations are built,” commented one senior executive at a U.S.-based apparel importer.

Indonesia Yet to Respond

Despite Trump’s claims of a “finalized” agreement, Jakarta has made no official statement. Trump’s prior trade announcements with other countries—including a similar deal with Vietnam earlier this month—have also lacked follow-through from foreign governments.

In April, the U.S. imposed a 32% tariff on Indonesian goods, later replacing it with a minimum 10% reciprocal tariff that is scheduled to expire on August 1. Trump’s latest remarks suggest the new deal will supersede that structure, but implementation remains unclear.

Indonesia–U.S. Trade Snapshot (2024 figures):

  • U.S. imports from Indonesia: $28 billion (mainly apparel and footwear)

  • U.S. exports to Indonesia: $10 billion (mainly oilseeds, grains, petroleum, and gas)

  • Copper imports: $2 billion from Indonesia (vs. $6B from Chile, $4B from Canada)

Trump also hinted that India is "working in the same direction" to finalize a trade agreement.

As with past trade announcements under Trump’s leadership, implementation, legal review, and bilateral confirmation will be crucial to determine whether the deal becomes actionable—or remains another unilateral political message in an election season.

END/RH/AJ