Indonesia-US Trade Agreement Signed, Granting Duty-Free Access for Range of Indonesian Products

Jakarta — President Prabowo Subianto and United States President Donald Trump have signed an Agreements on Reciprocal Trade (ART), granting duty-free access at zero per cent tariff for a range of Indonesian products entering the US market.

Coordinating Minister for Economic Affairs Airlangga Hartarto explained that 1,819 tariff lines for Indonesian products are now exempt from import duties under the trade pact, titled “Toward a New Golden Age for the US-Indonesia Alliance”.

“There are 1,819 Indonesian product tariff lines within this ART that carry a zero per cent tariff,” Airlangga said during a press teleconference on Friday, 20 February 2026.

The products covered span both agricultural and industrial sectors, including palm oil, coffee, cocoa, spices, rubber, electronic components including semiconductors, and aircraft components.

Additionally, the US government has specifically granted zero per cent tariffs for Indonesian textile and apparel products through a Tariff Rate Quota (TRQ) mechanism. “This will benefit four million workers in this sector. If we include their families, it will have a significant impact on 20 million Indonesian citizens,” he said.

On the Indonesian side, Airlangga confirmed that the government has committed to granting zero per cent tariff exemptions for a number of US products not manufactured domestically, such as wheat and soybeans.

As a result, Indonesian consumers are assured of being shielded from price increases on commodities subject to the zero-tariff arrangement. Products benefiting include staples such as instant noodles, tofu, and tempeh.

“So our citizens will not bear any additional costs for products whose raw materials we import from the United States,” Airlangga said.

Furthermore, Airlangga disclosed that the Indonesian and US governments have also signed a number of Memoranda of Understanding (MoUs) related to trade in products arising from the reciprocal trade agreement. The MoU signing ceremony was reportedly held during the Business Summit at the US Chamber of Commerce in Washington DC.

“Yesterday, eleven Memoranda of Understanding were signed, covering trade as a derivative of the reciprocal trade agreement, energy purchases, agriculture, and other procurement,” he said.