US dairy, pork and digital industries welcome trade agreement with Indonesia
A reciprocal trade agreement between the United States and Indonesia has been welcomed positively by American business operators. The accord, announced by President Donald Trump on 19 February 2026, eliminates tariff barriers on over 99 percent of US products to the Indonesian market.
Industry and agricultural associations view access to the Indonesian market, home to over 280 million people, as a significant opportunity to drive exports and demand for their products.
“Indonesia is the world’s fourth most populous nation and a crucial market for American dairy farmers. We are grateful to Ambassador Greer and the USTR team for securing expanded market access that will directly boost demand for US dairy products,” stated an official in a press release from the USTR on Friday (27/2/2026).
Krysta Harden, President and CEO of the US Dairy Export Council, described the agreement as strengthening relations with the Indonesian government and dairy industry.
“This important agreement reinforces our growing relationship with the Indonesian government and dairy industry. The accord confirms this progress and positions the American dairy sector as a reliable partner in supporting Indonesia’s dairy sector and nutritional targets,” Harden said.
Gene Copenhaver, President of the National Cattlemen’s Beef Association, highlighted opportunities in Indonesia’s halal beef market.
“With this agreement, American beef producers now have access to the world’s fourth most populous nation, the world’s largest halal beef market, and greater opportunities to increase profitability,” Copenhaver stated.
Export value could reach between USD 400 million and USD 500 million in the near term following implementation, equivalent to approximately IDR 6.72 trillion to IDR 8.40 trillion based on an exchange rate of IDR 16,798 per US dollar.
The agreement will also eliminate import licensing barriers and restrictions on factory approvals for US pork products.
The bioenergy sector has identified opportunities from an ethanol blend policy. Emily Skor, CEO of Growth Energy, noted that implementing a 10 percent ethanol blend nationwide in Indonesia could open a substantial market.
“Indonesia is the world’s fourth most populous nation, and implementing a 10 percent ethanol blend nationally could open a 900 million gallon market for American producers and farmers,” Skor said.