JAKARTA – The Indonesian government continues to take strategic steps in responding to the impacts of protectionist policies promoted by Donald Trump, including the potential imposition of high import tariffs on several U.S. trading partners. One of the government’s main responses is to strengthen international economic cooperation and accelerate trade negotiations with various global partners.
Current efforts are focused on expediting the conclusion of the Indonesia-European Union Comprehensive Economic Partnership Agreement (I-EU CEPA). The agreement is seen as a concrete solution amid rising global trade tensions, particularly those stemming from the United States’ unilateral economic policies. In a virtual meeting between Coordinating Minister for Economic Affairs Airlangga Hartarto and European Union Trade Commissioner Maros Sefcovic, both parties agreed on the importance of maintaining momentum and resolving remaining technical issues.
“We agreed to continue working together to seize the current momentum while upholding the rule of law,” said Airlangga Hartarto.
He added that the I-EU CEPA would not only expand market access for Indonesian products in Europe but also strengthen national economic resilience in the face of uncertain global policy dynamics.
“Finalizing this negotiation will open more trade and investment opportunities with EU member states,” he affirmed.
Ajib Hamdani, an economic policy analyst from the Indonesian Employers Association (Apindo), stated that the increasingly fragmented global landscape—driven by U.S. protectionism—has encouraged Indonesia to expand its trade network into non-traditional markets. He described this move as a visionary policy.
“This is the right time to boost competitiveness and develop an efficient, low-cost business ecosystem. Strengthening cross-regional cooperation will also have a significant impact on maintaining national export stability,” he explained.
Support is also coming from the business community. Syofi Raharja, CEO of PT Oxytane Mitra Indonesia, urged industries to proactively explore new markets not yet affected by the trade conflict.
“If our products are of good quality, trade wars won’t be a major issue,” he stated.
These trade diplomacy efforts and diversification strategies reflect Indonesia’s commitment to maintaining sustainable national economic growth. They also demonstrate the country’s readiness to face global challenges through an adaptive and collaborative approach.
The government is actively promoting export market diversification into regions such as South America, Africa, and Central Asia as part of a long-term strategy toward a more sustainable economy.
