Press Council Scrutinises Indonesia-United States Reciprocal Trade Agreement
Indonesia and the United States signed the Agreement on Reciprocal Trade (ART) in Washington DC on 19 February 2026, establishing provisions covering numerous aspects ranging from trade tariffs to the regulation of digital platforms and media relations.
The Press Council has identified at least two clauses with potential direct implications for the Indonesian press sector, according to a statement released on Wednesday, 11 March from Prof. Dr. Komaruddin Hidayat, Chairman of the Press Council. These provisions concern foreign investment regulations and the role of government in relation to United States digital companies.
On foreign investment, Article 2.28 of the bilateral agreement essentially requires Indonesia to permit foreign investment without ownership restrictions for United States investors in various sectors, including publishing. According to Komaruddin, this provision would open the media sector to 100 per cent foreign capital exclusively for United States investors, a position he argued contradicts existing Indonesian regulations. Article 17 of Law Number 32 of 2002 on Broadcasting stipulates that foreign capital in broadcasting institutions may not exceed 20 per cent.
The Press Council contends that these provisions fail to align with Indonesia’s existing regulatory framework and raises questions about the government’s capacity to implement conflicting obligations under both international trade agreements and domestic law.