PALMOILMAGAZINE, WASHINGTON, D.C. — After months of negotiations that began in April 2025, Indonesia and the United States have reached a substantive agreement on the framework of the Agreements on Reciprocal Trade (ART). The breakthrough followed a formal meeting between Indonesia’s Coordinating Minister for Economic Affairs Airlangga Hartarto and United States Trade Representative (USTR) Ambassador Jamieson Greer on Monday (December 22) in Washington, D.C.
The meeting was held as part of a direct mandate from President Prabowo Subianto, who tasked Minister Airlangga with accelerating the completion of the ART document between Indonesia and the US.
Since the US announced its “Liberation Day” policy imposing reciprocal tariffs on April 2, 2025, the Indonesian government has engaged in intensive negotiations and diplomatic outreach with Washington to address a range of bilateral trade issues. These efforts resulted in a Joint Statement issued on July 22, 2025, which reduced reciprocal tariffs on Indonesian products from 32% to 19%. Following the statement, both countries intensified negotiations to finalize the trade agreement.
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“The key is balance. We conveyed which issues are of primary concern to Indonesia, and in return we listened carefully to the US perspective. From there, we worked to find common ground,” Airlangga said, as quoted by Palmoilmagazine.com from the Coordinating Ministry for Economic Affairs.
Under the reciprocal trade agreement, Indonesia commits to expanding market access for US products, addressing non-tariff barriers, and strengthening cooperation in digital trade and technology, national security, and commercial partnerships. In return, the US has agreed to grant tariff exemptions for Indonesia’s leading export products that cannot be produced domestically in the US, including palm oil, cocoa, coffee, tea, and other commodities.
During the meeting with Ambassador Greer, Minister Airlangga pushed for the resolution of all key and technical issues within the ART framework. After extensive discussions, both sides ultimately agreed on all major substantive elements of the document, which is set to be signed by President Prabowo Subianto and US President Donald Trump.
“We have held a meeting with Ambassador Jamieson Greer of the USTR, and thankfully the discussions went very well, allowing us to reach substantive agreement on the issues contained in the ART document,” Airlangga said. He noted that the agreement marks the culmination of lengthy technical negotiations that have been underway since April 2025.
Ambassador Greer also welcomed the outcome, praising the timing and spirit of cooperation despite the ongoing Christmas holiday period in the US. “This result is the best Christmas gift, one that will bring tangible benefits to both countries,” he said, expressing appreciation for the shared commitment to accelerating the tariff agreement.
Following the agreement, technical teams from Indonesia and the US are scheduled to resume meetings in Washington, D.C. in the second week of January 2026 to conduct legal scrubbing and final document clean-up, a process expected to take one week. By the third week of January 2026, the ART document is targeted for completion.
“Hopefully, before the end of January 2026, President Prabowo Subianto and President Trump will be able to officially sign the ART document at the White House in Washington, D.C.,” Airlangga concluded. US authorities are currently coordinating between the USTR and the National Security Agency (NSA) to determine the most suitable timing for the leaders’ meeting and the signing ceremony.
Also attending the meeting were Indonesian Ambassador to the United States Dwisuryo Indroyono Soesilo, Secretary to the Coordinating Minister for Economic Affairs Susiwijono Moegiarso, Deputy for Economic and Investment Cooperation Coordination Edi Prio Pambudi, Special Staff to the Coordinating Minister Rizal Mallarangeng, and Assistant Deputy for Bilateral Economic Cooperation Irwan Sinaga. (P3)
