Historic $38.4 Billion Deals Forge Stronger U.S.-Indonesian Ties

Indonesian and U.S. companies have signed deals worth $38.4 billion in sectors such as mining, energy, agribusiness, textiles, furniture, and technology, ahead of a trade pact signing between President Prabowo Subianto and U.S. President Donald Trump. The agreements aim to bolster U.S.-Indonesian economic relations.

In a major economic development, Indonesian and U.S. companies signed agreements totaling $38.4 billion, setting the stage for a comprehensive trade pact between the nations. The deals cover diverse sectors, including mining, energy, agribusiness, textiles, furniture, and technology. Indonesian President Prabowo Subianto expressed optimism about the future of bilateral ties.

The signed agreements are expected to pave the way for modernizing Indonesia's industry while addressing its trade surplus with the U.S. Notably, the deals include a memorandum of understanding between Freeport-McMoRan and the Indonesian Ministry of Investment for cooperation on critical minerals and an oilfield recovery agreement between Pertamina and Halliburton Co.

Amid expectations of a tariff reduction, the agreements underscore the deepening economic collaboration between the two countries. The final trade deal, set to be signed by Presidents Prabowo and Trump, promises increased bilateral trade and investment, enhancing the economic partnership between these two democracies.

(With inputs from agencies.)