Trade ties with US entering 'new era,' says Indonesian president after tariff deal

Indonesian President Prabowo Subianto on Wednesday said that trade ties with the US have entered into a "new era" of mutual benefit following the conclusion of a new tariff agreement between the two countries.

"I had a very good call with President Donald Trump. Together we agreed and concluded to take trade relations between Indonesia and the United States into a new era of mutual benefit between our two great nations," he said in a post on his Instagram account.

Earlier, US President Trump announced that he had secured a "great" trade deal with Jakarta, including a 19% tariff on Indonesian exports, following direct negotiations with Subianto.

"Great deal, for everybody, just made with Indonesia. I dealt directly with their highly respected President," Trump said on his social media, adding that Jakarta committed to purchasing "$15 Billion Dollars in US Energy, $4.5 Billion Dollars in American agricultural products, and 50 Boeing Jets."

Trump also stated that US exports to Indonesia would be free from both tariff and non-tariff barriers.

Reports suggest the US will gain access to Indonesia's copper resources as part of the deal.

"Indonesia is very strong on copper, but we have full access to everything. We will pay no tariffs," Trump has reportedly said.

The announcement comes just two weeks before a postponed deadline set by the US president for countries to finalize new trade deals with Washington or face increased tariffs. Originally slated for July 9, the deadline was extended to Aug. 1 by the White House to allow more time for negotiations.

Commenting on the US-Indonesia deal, Chinese Foreign Ministry spokesman Lin Jian said trade talks should be held on an “equal footing” through dialogue, emphasizing that all sides should “jointly foster a sound environment for international trade and cooperation.”