Indonesian President Prabowo Subianto delivers a statement to the press in Washington, D.C. on Saturday February 21. (ANTARA / Hafidz Mubarak A)
On February 21, Indonesia’s President, Prabowo Subianto, stated that Indonesia is prepared for any changes in US trade policy following a ruling by the US Supreme Court limiting presidential authority to impose broad global tariffs. Despite uncertainty and the subsequent announcement of a 10% baseline import tariff by the US, the Indonesian government remains optimistic, noting that earlier negotiations had already reduced potential tariff exposure from 32% to 19%. Coordinating Minister for Economic Affairs Airlangga Hartarto confirmed that bilateral trade arrangements remain intact, while Jakarta is seeking to maintain zero-tariff access for key exports such as coffee, cocoa, electronics, textiles and crude palm oil during a 60-day policy finalisation period.
The developments suggest continued uncertainty in global trade conditions but also indicate resilience in Indonesia’s export outlook due to proactive diplomacy and existing bilateral mechanisms. Exporters and investors may benefit from potentially lower tariff exposure than previously anticipated, although businesses should monitor policy adjustments closely during the US review period to manage supply chain and pricing risks.
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