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Originally published by Capital Business
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business
February 20, 2026
1w ago

US and Indonesia finalise deal to cut tariffs to 19%

US and Indonesia finalise deal to cut tariffs to 19%

Under the deal, Indonesia will cut trade barriers on more than 99% of US imports and facilitate more than $30bn (£22.3bn) of purchases of American goods, the White House said on Thursday. Kenya breaking news | Kenya news today |..

✨ Key Highlights

The United States and Indonesia have finalized a deal to reduce US tariffs on Indonesian goods to 19% from 32%, aiming to boost trade and investment between the two nations.

  • Indonesia will cut trade barriers on over 99% of US imports and facilitate more than $30 billion (£22.3bn) in purchases of American goods.
  • The agreement was reached during a visit by Indonesia’s President Prabowo Subianto to Washington, where discussions also included the reconstruction of Gaza.
  • Indonesia secured tariff exemptions for over 1,700 goods, including coffee, spices, and palm oil, in exchange for opening its markets to US products like agriculture, healthcare, and car-related items.

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