JAKARTA (Reuters): Indonesian President Prabowo Subianto said on Saturday night (Feb 21) that his government is ready to face all possibilities after the US Supreme Court rejected President Donald Trump’s global tariffs.
Mr Prabowo, with his ministers, was in Washington DC this week to attend the inaugural meeting of Mr Trump’s Board of Peace and for a bilateral meeting with the US President to sign a trade deal that cuts tariff rates on Indonesian exports to 19 per cent from 32 per cent.
“We are prepared for all possibilities. We respect the domestic politics of the United States, and we will monitor the developments,” Mr Prabowo told reporters in a video statement.
Separately, Indonesia’s chief negotiator for US tariffs, Airlangga Hartarto, said on Feb 21 that the government has requested that the US maintain its previously agreed tariff exemptions for a number of Indonesian exports, such as palm oil, coffee and cocoa.
Airlangga added that Feb 20’s trade deal between Indonesia and the US is still in force despite the recent developments, saying there will be a different treatment for countries that have signed a trade deal with Washington.
Earlier, it was announced that, Indonesia and the United States finalised a trade deal to cut U.S. levies to 19% from 32% on goods shipped from Southeast Asia's biggest economy, with Jakarta securing tariff exemptions for its top export, palm oil, and several other commodities.
The agreement was signed in Washington by Indonesia's senior economic minister Airlangga Hartarto and U.S. Trade Representative Jamieson Greer after months of negotiations.
"This deal respects the sovereignty of both countries," Airlangga said during an online press conference, describing the deal as a "win-win" for both countries.
Palm oil was a particularly important exemption, accounting for around 9% of Indonesia's overall exports. - REUTERS
