Indonesia Ramps Up U.S. Imports to Dodge Tariffs

Indonesia plans to increase its imports from the U.S. by up to $19 billion to avoid tariffs by the Trump administration. The imports include energy, wheat, soybeans, and capital goods. Indonesia aims to eliminate its trade surplus with the U.S. and simplify procedures for American companies operating in the country.

Indonesia is set to ramp up its imports of American food and commodities in a strategic move to reduce its trade surplus with the United States and circumvent threatened tariffs from the Trump administration. The shift comes as Indonesia's economic chief, Airlangga Hartarto, engages in discussions in Washington.

The plan outlines an increase in imports from the U.S. by as much as $19 billion, a figure that comprises approximately $10 billion in energy. This decision aims to stave off a 32% tariff on Indonesian exports, with the deadline paused for 90 days.

The move will involve increased acquisitions of U.S. wheat, soybeans, soybean meal, and capital goods. Indonesia will also work on facilitating American business operations domestically by streamlining permit procedures and offering incentives. Meetings with U.S. officials have set a 60-day deadline to finalize talks.

(With inputs from agencies.)