Indonesia plans to finalize a $34 billion agreement with business partners next week to boost imports from the United States. The initiative is part of a broader effort to secure a trade deal with Washington before the July 9 deadline.
On Thursday, Coordinating Minister for Economic Affairs Airlangga Hartarto stated that a memorandum of understanding, scheduled for signing on July 7, will allocate $34 billion toward fresh investments and acquisitions by Indonesia in the United States.
The proposal includes substantial acquisitions of energy and agricultural goods, along with investment initiatives linked to Indonesia’s sovereign wealth fund, Danantara. “Earlier, we discussed Indonesia’s plan to purchase U.S. energy products, with a potential value reaching $15.5 billion,” Airlangga said.
The import plan also covers agricultural goods and is linked to investment collaboration involving Indonesian state-owned enterprises and Danantara. According to Airlangga Hartarto, the initiative is intended to help reduce the United States’ trade deficit with Indonesia, currently estimated at approximately $19 billion.
Indonesia is currently subject to a 32% tariff on its exports to U.S. markets and has proposed increasing imports from the United States to help advance trade negotiations. According to the U.S. Trade Representative, Indonesia recorded a goods trade surplus of $17.9 billion with the U.S. in 2024, an increase of 5.4% compared to the previous year.
Airlangga also revealed that Jakarta has extended an offer to the United States to collaborate on investments in Indonesia’s electric vehicle battery ecosystem and critical minerals sector. The initiative, part of ongoing tariff negotiations, will also involve the Danantara Fund.
Indonesia hopes its proposal will prompt the United States to reduce or remove tariffs imposed under President Trump’s trade policies. Although no formal deal has been reached, Indonesian officials are optimistic that the planned imports and investments could provide a strong foundation for positive negotiations.
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