- Trump cuts deal to lower tariffs and boost exports to Southeast Asia
- Deal gives US firms expanded access to fast-growing Indonesian markets
- Indonesia to purchase Boeing aircraft and American energy products
By Grateful Ogunjebe
Former US President Donald Trump has finalised a major $15 billion trade agreement with Indonesia, marking one of his administration’s biggest moves in Southeast Asia.
Eko Hot Blog reports that the deal includes a sweeping reduction in tariffs on Indonesian goods and major export commitments from Jakarta to Washington.
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The agreement comes after months of behind-the-scenes diplomacy, as both sides negotiated terms covering agriculture, aviation and energy.
According to officials, Indonesia will buy 50 Boeing aircraft and increase its import of US farm produce and liquefied natural gas.
The pact also allows American companies easier access to Indonesian markets, which had previously been hampered by strict local regulations.
A statement from Trump described the deal as a “win-win” for both countries, calling it a model for future international agreements.
Indonesian leaders have yet to release a detailed statement, but trade ministry insiders say the agreement will boost the country’s GDP by 1.2%.
Jakarta had previously been threatened with steep tariffs if it failed to comply with US trade expectations under the Trump doctrine.
The deal also includes new rules on digital trade, opening up e-commerce space between the two nations for the first time.
Analysts say Indonesia’s concessions reflect growing pressure on smaller economies to align with the US under bilateral trade frameworks.
Critics, however, argue that the benefits are weighted in favour of the United States and may lead to long-term dependency. 
The trade talks began last year but gained momentum after Trump hinted at punitive tariffs in a speech at a Midwest rally.
Indonesian negotiators pushed for better terms on palm oil and rubber exports, which form the bulk of their shipments to the US.
Washington reportedly agreed to phased tariff reductions in exchange for Indonesia’s multi-billion-dollar procurement deal.
While final ratification still requires legislative input in Indonesia, both parties have pledged to honour the agreement.
Observers say the trade deal could set a new precedent for how the US deals with emerging economies across Asia.
