Pres. Trump on Truth Social announces the details of a trade agreement with the Republic of Indonesia.
- 19% tariff on all products coming into the US.
- Open market to American industrial and tech products and agricultural goods by eliminating 99% of their tariff barriers
- Indonesia will supply the United States with their precious critical materials
- Will sign BIG DEALS, worth tens of billions of dollars, to purchase Boeing aircraft, American farm products, and American energy.
- Calls the deal a HUGE WIN for automakers, tech companies, workers, farmers, ranchers, manufacturers.
- Indonesia will except US federal safety standards for vehicles exported from the US.
- Goods that are transhipped will still face a tariff of tariff of 40%
- Indonesia will remove three shipment inspection requirements of the US. Products that been a big obstacle
- They will drop it efforts to tariff the Internet, and immediately that renewal of e-commerce moratorium at the WTO
Although the US treasury will receive 19% on all imported goods, the question is who will pay the tariffs? The importer? WIll Indonesia discount goods or will the US consumer be forced to pay the 19% tax?
Whoever it is, importers will first be paying a 19% tariff on all imported Indonesian goods into the US. Trump loves those Tariff Dollars.
U.S.–Indonesia Net Trade Overview (2024–2025):
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U.S. goods exports to Indonesia: $10.2 billion
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U.S. goods imports from Indonesia: $28.1 billion
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Net trade balance: –$17.9 billion (U.S. trade deficit)
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This article was written by Greg Michalowski at investinglive.com.
