Indonesia-US Tariffs Cut to 15 Percent After Court Ruling
- 27 Feb 2026 21:04 WIB
- Voice of Indonesia
RRI.CO.ID, Jakarta - Indonesia-United States trade tariff policies have undergone significant changes following the US Supreme Court's decision to overturn President Donald Trump's global tariff policy. The Indonesian government has announced that tariffs imposed on its products will be reduced from 19 percent to 15 percent.
Indonesian Coordinating Minister for Economic Affairs Airlangga Hartarto explained that the adjustment was made following the partial cancellation of tariff policies under the International Emergency Economic Powers Act (IEEPA). “There will be a discount of 15 percent,” said Minister Airlangga in Jakarta on Friday, February 27, 2026, as quoted by Antara.
Minister Airlangga emphasized that the agreement in the Agreement on Reciprocal Trade (ART) document remains valid and is not affected by the decision. “The (Agreement) will take effect after 90 days, and after the ratification process,” he said.
Under the ART, 1,819 tariff items for Indonesian products will receive import duty facilities of up to zero percent. These commodities include palm oil, coffee, cocoa, spices, rubber, electronic components, including semiconductors, and aircraft components.
Both countries also agreed to a zero percent import duty exemption on Indonesian textiles and garments through a specific quota scheme. “Those that were zero percent are now indeed zero percent,” Airlangga said.
Previously, the US imposed a 19 percent reciprocal tariff on imports from Indonesia, although 1,819 tariff lines and certain textile products had already received a zero percent exemption.
A day after the ART announcement, the Supreme Court of the United States (SCOTUS) ruled 6-3 that President Donald Trump lacked the authority to impose global tariffs under the IEEPA. The ruling led the US to impose a temporary 10 percent global tariff, with plans by the White House to raise it to 15 percent. ***
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