Jakarta — Indonesian President Prabowo Subianto announced that his government has reached a key agreement with the United States to lower trade tariffs, following a recent diplomatic tour and a phone call with U.S. President Donald Trump.

Prabowo said the negotiations were intense but ultimately productive, resulting in a significant reduction in U.S. tariffs on Indonesian goods.

“Thank God, it was a tough negotiation, but we reached an agreement. Both sides came to understand each other’s interests. Now, the tariff has been reduced from 32% to 19%. I’m still negotiating—I told him [Trump], he’s quite a tough negotiator,” Prabowo said upon arrival at Halim Perdanakusuma Air Base on Wednesday (July 16).

He noted that trade relations are dynamic by nature and always open to further negotiation.
“In trade, negotiations are ongoing by definition,” he remarked.

Prabowo emphasized that while both countries acknowledged each other’s priorities, Indonesia maintained its bargaining position to protect national interests—particularly its workforce and key domestic industries.

“We’ve calculated everything and negotiated thoroughly. What matters to me most is my people. I must protect our workers. We’ve made our offer—we can’t give more than that. What’s essential is that our workers remain secure,” he stressed.

The president also expressed strong confidence in the resilience of the Indonesian economy, asserting that the country is well-equipped to withstand global economic challenges and the shifting landscape of international trade.

“I’m very optimistic. Our economy is strong, in good condition. Whatever happens, we’ll remain solid,” Prabowo said.