Indonesia to seek talks over US tariff, avoids retaliation

Indonesia will not retaliate against the 32 per cent tariff imposed by US President Donald Trump on its exports, opting instead for diplomatic negotiations, Chief Economic Minister Airlangga Hartarto said on Sunday.

The tariff, part of broader global levies announced last week, will take effect on Wednesday and targets six Southeast Asian countries, including Indonesia. In response, Jakarta plans to send a high-level delegation to Washington and will consult domestic businesses on Monday to shape its strategy.

Airlangga said the government aims to protect long-term bilateral trade ties and preserve investment stability, pledging support for affected sectors such as apparel and footwear. He also noted Indonesia will explore expanding trade with Europe to offset reliance on the US and China.

Indonesia recorded a $16.8 billion trade surplus with the US last year, with exports valued at $26.3 billion, mainly comprising electronics, apparel, and footwear.

Attribution: Reuters
Subediting: M. S. Salama