Deputy Investment Minister: Indonesia Holds Strategic Position in US Eyes
Jakarta: Deputy Minister of Investment and Downstreaming/Deputy Head of the Investment Coordinating Board (BKPM) Todotua Pasaribu stated that the reduction in Indonesian export tariffs to the United States from 32 per cent to 19 per cent represents a significant achievement.
He assessed that this demonstrates Indonesia is viewed as strategically important by America, particularly within the Southeast Asian region.
"From a strategic perspective in the Southeast Asian region, this is the most significant reduction. America places great consideration on Indonesia's presence," he said in Jakarta on Wednesday, 16 July 2025.
The government is currently conducting internal consultations to follow up on the impact and implications of the tariff reduction policy.
"We are still in consultations, as the tariff reduction decision is also still quite new," said Todotua.
Although no new investment agreements have been directly linked to this policy, a number of ongoing collaborations remain under attention. One of these is Pertamina's investment in the United States.
**US Investment in Indonesia**
According to Media Indonesia's research, Pertamina, through its subsidiary Pertamina Hulu Energi (PHE), has been exploring investment opportunities in the US upstream oil and gas sector. The most concrete project involves potential participation in the acquisition or farm-in arrangement at the Pikka Field in Alaska, which is currently being developed by energy companies Santos and Repsol.
Additionally, in early July 2025, Pertamina signed memoranda of understanding (MoUs) with two US energy giants, ExxonMobil and Chevron. The cooperation covers plans to purchase energy products such as LPG, petrol, and crude oil from the United States.
"Regarding investment, nothing has been directly agreed upon yet. However, there are some ongoing arrangements, such as Pertamina's earlier investment in source fields in the US," explained Todotua.
When asked about a final agreement on the volume of Indonesia's energy imports from the US, including crude oil and LPG quantities, Todotua indicated that discussions are still underway.
"These are still ongoing discussions," he said.
He assessed that this demonstrates Indonesia is viewed as strategically important by America, particularly within the Southeast Asian region.
"From a strategic perspective in the Southeast Asian region, this is the most significant reduction. America places great consideration on Indonesia's presence," he said in Jakarta on Wednesday, 16 July 2025.
The government is currently conducting internal consultations to follow up on the impact and implications of the tariff reduction policy.
"We are still in consultations, as the tariff reduction decision is also still quite new," said Todotua.
Although no new investment agreements have been directly linked to this policy, a number of ongoing collaborations remain under attention. One of these is Pertamina's investment in the United States.
**US Investment in Indonesia**
According to Media Indonesia's research, Pertamina, through its subsidiary Pertamina Hulu Energi (PHE), has been exploring investment opportunities in the US upstream oil and gas sector. The most concrete project involves potential participation in the acquisition or farm-in arrangement at the Pikka Field in Alaska, which is currently being developed by energy companies Santos and Repsol.
Additionally, in early July 2025, Pertamina signed memoranda of understanding (MoUs) with two US energy giants, ExxonMobil and Chevron. The cooperation covers plans to purchase energy products such as LPG, petrol, and crude oil from the United States.
"Regarding investment, nothing has been directly agreed upon yet. However, there are some ongoing arrangements, such as Pertamina's earlier investment in source fields in the US," explained Todotua.
When asked about a final agreement on the volume of Indonesia's energy imports from the US, including crude oil and LPG quantities, Todotua indicated that discussions are still underway.
"These are still ongoing discussions," he said.