Prabowo-Trump Sign Historic Trade Agreement – 1,819 RI Products Tariff-Free
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- Presidents Prabowo and Trump signed a reciprocal trade pact granting 0% US tariffs on 1,819 Indonesian products, from palm oil to semiconductors, while Indonesia opens to US wheat and soybeans.
- In a Washington deal, Indonesia gains tariff-free US market access for key exports like coffee, spices, and textiles (via TRQ), benefiting millions, with 11 MoUs sealed.
- Airlangga Hartarto hails the US-Indonesia ART for zero tariffs on RI agriculture and industry, plus US ag imports at 0%, marking a ‘new golden age’ alliance.
The Indonesian government has finalized a reciprocal trade agreement with the United States, known as the Agreements on Reciprocal Trade (ART). Dubbed ‘Toward a New Golden Age for the US-Indonesia Alliance,’ the pact was officially signed by President Prabowo Subianto and US President Donald Trump on Thursday morning (February 19) in Washington, D.C.
Coordinating Minister for Economic Affairs Airlangga Hartarto explained that the US-Indonesia trade deal covers 1,819 tariff lines for Indonesian products, now entering the US market tariff-free. A wide range of Indonesian goods can now access the American market at 0% import duties.
“Under this ART, there are 1,819 tariff positions for Indonesian products—both agricultural and industrial—including palm oil, coffee, cocoa, spices, rubber, electronic components like semiconductors, aircraft parts—all at 0% tariffs,” Airlangga said during a virtual press conference on Friday (February 20, 2026).
For Indonesian textiles and apparel, the US is also granting 0% tariffs, though through a Tariff Rate Quota (TRQ) mechanism.
“This will benefit 4 million workers in the sector, and factoring in their families, it impacts some 20 million Indonesians,” Airlangga noted.
On the flip side, Airlangga said Indonesia is committing to zero tariffs on select US products, mainly agricultural goods not produced domestically, such as wheat and soybeans.
“Indonesia is also pledging zero-tariff access for American products, especially imported agricultural items, so our people won’t face extra costs on soybean- or wheat-based goods like noodles, tofu, or tempeh,” he added.
Airlangga had earlier mentioned at a Business Summit hosted by the US Chamber of Commerce in Washington, D.C., that Indonesia and the US signed several Memorandums of Understanding (MoUs) tied to this reciprocal trade deal.
“Yesterday, we inked 11 MoUs as follow-ups to the reciprocal trade agreement—covering energy purchases, agriculture, and more,” he concluded.
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