ASMINDO Strengthens Global Furniture Supply Chain Through Indonesia-US Strategic Partnership
JAKARTA – The Indonesian Furniture and Handicrafts Industry Association (ASMINDO) has reaffirmed its commitment to expanding sustainable trade partnerships with American hardwood exporters united under the American Hardwood Export Council (AHEC).
This initiative follows the signing of an Agreement on Reciprocal Tariff (ART) between the Indonesian Government and the United States on 18 February 2026. Despite the reciprocal tariff policy being subsequently annulled by the United States Supreme Court, ASMINDO has chosen to continue this cooperation.
ASMINDO’s General Chairman, Dedy Rochimat, expressed appreciation for the Indonesian Government’s completion of the ART agreement, viewing the accord as a gateway for domestic furniture products to compete more effectively in the American market.
Rochimat explained that the partnership with AHEC members aims to increase competitiveness and export volumes without displacing the role of domestic wood as the primary raw material. American hardwood is positioned as a complementary material to meet design preferences and international premium market standards.
Rochimat believes access to this material will provide space for small and medium enterprises (SMEs) and the domestic industry to upgrade. With varied materials, local producers can target the upper-middle market segment, which has historically maintained strict material curation standards.
Industry data indicates that Indonesia’s furniture industry currently spends approximately USD 30 million annually on American hardwood. As the ART implementation is expected to boost Indonesian furniture exports, demand for hardwood raw materials from the United States is projected to surge to USD 100 million within the coming years. This increase is regarded as a logical consequence of growing export-oriented furniture production that combines domestic wood with imported premium hardwood.
The partnership extends beyond simple buyer-seller transactions. Both parties are exploring the use of American hardwood across various product categories, ranging from solid wood furniture and interior components to wooden handicrafts destined for export markets in the United States and Europe.
Cooperation also includes the exchange of technical information regarding wood species, quality standards, and business networking facilitation between furniture producers who are members of ASMINDO and American exporters. In the initial phase, implementation focuses on enhancing material understanding and establishing transparent and legal supply chains. This strategy forms part of ASMINDO’s broader vision to transform Indonesia’s furniture industry.
“Indonesia does not only wish to be a production base, but to become a high-value-added manufacturing hub grounded in sustainability and global partnership,” concluded Dedy.