World Business Report What would Indonesia get from a US tariff deal?
Jul 16, 2025
Explore the promising trade agreement between Indonesia and the US, featuring reduced tariffs and the potential purchase of Boeing planes. Hear mixed reactions from local stakeholders in Indonesia regarding the deal's impact on exporters and farmers. Delve into Senegal's credit downgrade due to hidden debts and its implications for fiscal stability. Additionally, discover the anticipated growth of Libubu dolls, showcasing a cultural shift in Chinese branding strategies as they aim for global appeal.
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Indonesia's Tariff Deal Complexity
- Indonesia agreed to a 19% tariff on its goods entering the US, lower than the initially planned 32%.
- However, Indonesian exports still face a higher tariff compared to previous 0-5%, creating a double disadvantage.
Use Tariff Reduction Quickly
- Indonesian exporters should utilize the tariff reduction to boost presence in the US market.
- Focus on fast-export items like clothes and food to quickly capitalize on new opportunities.
Impact of US 0% Tariffs on Indonesia
- The US offers 0% tariffs on its exports to Indonesia, risking flooding local markets with cheaper goods.
- This threatens Indonesian farmers and producers facing increased competition from US imports.