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BusinessBusiness Reports

“Trade breakthrough after arduous negotiations”: Washington and Jakarta agree on reciprocal tariffs, reshaping economic relations.

Indonesia: New customs agreements with the United States

مدحت الشيخ
Last updated: 19/02/2026 10:18 pm
Medhat Elsheikh
مدحت الشيخ
ByMedhat Elsheikh
News Editor
Medhat El-Sheikh, editor-in-chief of the Voice of Emirates News Agency office in Cairo, is a seasoned Egyptian journalist with extensive experience both within Egypt and abroad....
- News Editor
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"Trade breakthrough after arduous negotiations": Washington and Jakarta agree on reciprocal tariffs, reshaping economic relations.
Washington and Jakarta (Photo/Archive)
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Washington, DC – The United States and Indonesia have reached an agreement on reciprocal tariffs following intensive negotiations, a significant development in trade relations between the two countries. The agreement aims to ease trade barriers and boost the flow of goods and investment between the world’s largest economy and Southeast Asia’s largest.

According to official sources, the agreement includes restructuring tariffs on a number of strategic goods, allowing for lower costs for companies and enhancing the competitiveness of products in each other’s markets, particularly in the technology, energy, agricultural, and industrial sectors.

This agreement comes within the framework of broader efforts to strengthen economic partnerships in the Asia-Pacific region. Washington seeks to expand its trade presence and counter the influence of other economic powers, while Jakarta aims to attract more foreign investment and support its rapid economic growth.

Analysts believe the agreement could ease trade tensions that have strained relations recently and provide multinational companies with greater clarity regarding trade rules, which could positively impact global supply chains.

However, some challenges remain, most notably how the agreement’s provisions will be implemented and the extent to which both parties are committed to addressing outstanding issues such as import standards and industrial subsidies—issues that have long been points of contention in previous negotiations.

This development reflects a growing trend toward reshaping bilateral trade agreements in light of global economic shifts, as countries seek to strike a balance between protecting their domestic industries and promoting trade openness.

TAGGED:AmericaUSIndonesia
SOURCES:Voice Of EmiratesNewswires
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