BKPM Stresses Indonesia-US Trade Agreement Remains Grounded in Independent Foreign Policy
Jakarta (ANTARA) – The Ministry of Investment and Downstreaming/Capital Investment Coordinating Board (BKPM) has affirmed that trade and investment cooperation between Indonesia and the United States remains based on the principle of an independent and active foreign policy, while also maintaining the independence of national policy.
Deputy Minister of Investment and Downstreaming/Deputy Head of BKPM, Todotua Pasaribu, when met in Jakarta on Tuesday, said that Indonesia continues to maintain communication with various countries, including the US, in order to strengthen economic and investment cooperation.
“We still adhere to that principle of cooperation (independent and active); trade and other matters are conducted on an independent and active basis. It is necessary to open communication and cooperation with each other, for example, with the US and its institutions,” said Todotua.
He affirmed that this openness in communication does not diminish the government’s independence in determining national policy.
According to him, Indonesia’s independence remains a priority in every international cooperation.
“But our government’s independence remains. There is no issue. Our President is a clear figure. President Prabowo is a clear figure,” he said.
Todotua said that the government ensures that there is no interference from outside parties in matters of Indonesia’s economic independence, even though communication and cooperation in the fields of trade and investment continue to be strengthened.
“Our independence is our business. There is no interference. The fact that we must open communication in order to promote trade and investment is a necessity,” he said.
He explained that strengthening international communication is being done to improve the investment climate and Indonesia’s economic cooperation strategies to make them more competitive.
Regarding the easing of the Domestic Content Level (TKDN) for several US-based companies, Todotua said that this policy is part of the government’s strategy and will not have a significant impact on domestic investment.
“It is just part of a strategy. Some of the requirements have been eased,” he said.
According to him, this policy still takes into account the balance of trade between Indonesia and its partners, so it will not have a major impact on investment flows.
“But there are also calculations, regarding the trade we have with them. It won’t have too much of an impact,” said Todotua.
He also affirmed that the government has a high level of confidence in the prospects for national investment.
“We have an extraordinary level of confidence in this investment,” he said.
Previously, the National Economic Council (DEN) stated that the signing of a trade agreement between the Indonesian Government and the United States can protect national interests amid increasing uncertainty in international trade.
Chairman of the DEN, Luhut Binsar Pandjaitan, said that the agreement is a strategic step to ensure that Indonesia’s position remains strong and credible, and to strengthen the competitiveness of the national industry.
“This agreement ensures that Indonesia’s position remains strong and credible amid global trade uncertainty. This is a strategic step to protect national interests while also strengthening our economic competitiveness,” he said in Jakarta on Monday (23/2).