Indonesian Political, Business & Finance News

US Trade Investigation: Indonesian Government's Position

| Source: CNBC Translated from Indonesian | Trade
US Trade Investigation: Indonesian Government's Position
Image: CNBC

Jakarta – The administration of US President Donald Trump has initiated its first trade investigation from a series of major enquiries designed to serve as the basis for imposing new tariffs. The investigation is being conducted by the US Office of the Trade Representative (USTR) against 60 countries, including Indonesia.

The Indonesian government is not concerned about the investigation conducted by the United States, as this is a legal process. Haryo Limanseto, Spokesperson for the Ministry of Coordinating Affairs for Economy, stated that the government has confirmed with USTR to ensure the next steps. The US side requested that Indonesia simply follow its procedures.

“Then they (the US) answered that yes, we should just follow the procedure,” said Haryo, during a joint iftar meal at the Ministry of Coordinating Affairs for Economy office, cited on Monday (16 March 2026).

The investigation concerns alleged failure to take action against forced labour practices. Regarding this allegation, Haryo stated that the issue of forced labour practices has already been discussed in the negotiation of a trade agreement with the United States that has been agreed upon jointly.

“We will follow this investigation by providing the necessary data. We are confident that what is the subject of attention has actually been discussed in the ART negotiations,” he explained.

The ART (Asean-America Trade Agreement) was signed by Indonesia and the United States on 19 February 2026 in Washington DC, covering trade matters between the two countries.

The USTR is investigating the policies, actions, and practices of 60 countries that have not effectively prohibited imports involving forced labour, which is considered unfair and burdens or restricts US trade.

“This investigation will determine whether foreign governments have taken sufficient steps to prohibit the importation of goods made with forced labour and how the failure to combat this practice affects US workers and business operators,” said US Trade Representative Jamieson Greer, cited on Monday (16 March 2026).

Greer also stated that forced labour forces US workers and companies to compete with foreign producers whom he described as having “artificial cost advantages”.

The investigation conducted by USTR covers 60 countries that are the largest trade partners of the United States. Besides Indonesia, there are also Australia, Canada, Brazil, China, the European Union, India, Japan, Malaysia, Mexico, Russia, Saudi Arabia, South Korea, Thailand, the United Kingdom, and Vietnam.

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