Prabowo–Trump Sign 19% Reciprocal Tariff Deal

  • 20 Feb 2026 10:38 WIB
  •  Voice of Indonesia

RRI.CO.ID, Washington, D.C. - President Prabowo Subianto and U.S. President Donald Trump officially signed the Agreement on Reciprocal Trade (ART) in Washington, D.C., on Thursday 19 February 2026 local time. The signing marks a new phase in bilateral economic ties between Indonesia and the United States.

The agreement sets a 19 percent reciprocal tariff on a number of Indonesian products entering the U.S. market. At the same time, it opens zero percent tariff access for 1,819 Indonesian tariff lines across key sectors.

Coordinating Minister for Economic Affairs Airlangga Hartarto said the signing took place earlier that morning in the U.S. capital. “Earlier today, the President directly signed the Agreement on Reciprocal Trade titled ‘Toward a New Golden Age for the U.S.-Indonesia Alliance’ together with President Donald Trump,” he stated.

He added that the bilateral meeting between the two leaders lasted around 30 minutes following the morning agenda. According to Airlangga, the discussion underscored both countries’ commitment to strengthening long-term economic cooperation.

Airlangga explained that after the head-of-state signing, technical documents and annexes of the ART would be further discussed at the Office of the United States Trade Representative (USTR). He noted that the agreement falls under the framework of the Council of Trade and Investment, which will address trade, investment, and trade balance issues between the two nations.

Under the ART, 1,819 Indonesian tariff lines will receive zero percent tariffs in the U.S. market. “These include palm oil, coffee, cocoa, spices, rubber, electronic components including semiconductors, and aircraft components, all subject to zero percent tariffs,” Airlangga said.

He also highlighted special provisions for textiles and apparel, which will enjoy zero percent tariffs through a tariff-rate quota mechanism. “This will benefit around four million workers, and when including their families, it could impact up to 20 million Indonesians,” he said.

The ART will come into force 90 days after legal procedures are completed in both countries, including consultations with Indonesia’s House of Representatives and internal processes in the United States. The government views the agreement as part of a “new golden age” of Indonesia–U.S. cooperation expected to boost trade, investment, and economic growth in the years ahead.

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