TEMPO.CO, Jakarta - President of the United States, Donald Trump, has announced a trade agreement with Indonesia. In a post on his Truth Social account on Tuesday, July 15, 2025, Trump said Indonesia will face a 19 percent import tariff on goods entering the United States.
The deal was reached following a conversation between Trump and Indonesian President Prabowo Subianto. As part of the agreement, Indonesia committed to purchasing US$15 billion in American energy, US$4.5 billion in agricultural products, and 50 Boeing airplanes, most of which are Boeing 777 models.
In another post on Tuesday, as reported by Al Jazeera, Trump described the agreement as a great deal for everyone. Boeing’s stock price remained relatively unchanged following the announcement.
He wrote, “I finalized an important Deal with the Republic of Indonesia after speaking with their Highly Respected President Prabowo Subianto. This landmark Deal opens up Indonesia's ENTIRE MARKET to the United States for the first time in History.”
Trump also stated that if goods from a third country are shipped to the United States through Indonesia and face a higher tariff, the 19 percent rate will be applied to those products as well.
He went on to thank the people of Indonesia for their cooperation and support in helping to balance the US trade deficit.
The announcement came just a week after Trump reiterated his intention to impose a 32 percent tariff on Indonesian imports. According to a letter addressed to Prabowo, the higher tariff is scheduled to take effect on August 1, 2025.
It remains unclear when the newly announced 19 percent tariff will be implemented or when Indonesia will begin purchasing the agreed American products.
In a separate statement on Tuesday, Trump said he would soon notify other small countries about new tariffs that will exceed 10 percent. He added that a trade agreement with Vietnam is also nearing completion.
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