The U.S. and Indonesia have come to terms on a framework agreement related to tariffs and other trade policies, according to a joint statement released by the White House Tuesday.
The two countries will engage in further negotiations in the coming weeks to formalize the pact, labeled the U.S.-Indonesia Agreement on Reciprocal Trade, per the statement.
Should the agreement be finalized, the U.S. will impose a 19% tariff on imports from Indonesia, while Indonesia will eliminate levies on 99% of U.S. imports, including those on automotive and agricultural products.
Beyond tariffs, the agreement features a swath of other provisions related to industrial, agricultural and digital trade, as well as economic security and labor and environmental regulation. For example, the deal includes terms removing restrictions on exports of critical minerals and other industrial commodities to the U.S.
