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US Trade War, Indonesia Set to Dispatch Team to Negotiate

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9 July 2018 17:42 WIB

A view of export and import activites at the Jakarta International Container Terminal on Wednesday (6/11). TEMPO/Imam Sukamto

TEMPO.CO, Jakarta – Director General of Foreign Trade Oke Nurwan said the government would immediately respond to the trade war waged by the United States government by sending a team before the end of July to discuss import tariffs on Indonesian products entering the US.

The US government reportedly will review its generalized system of preference (GSP) for several Indonesian imports. If the US government erases the GSP for Indonesia, it will mean that products from Indonesia will be affected by a higher import tariff.

"We will send a team to the US to negotiate the GSP, and have it preserved,” said Oke Nurwan at the Coordinating Ministry for Economic Affairs in Jakarta today. 

Read: Imposition of Import Tariffs can Trigger Trade War: Minister

The team tasked to negotiate Indonesia’s position in the currently adjusted foreign policy will consist of members from several state ministries, including the Agriculture Ministry. However, the details have yet to be confirmed, pending the results of a meeting with President Joko "Jokowi" Widodo this afternoon.

The existence of such team is also confirmed by Sofyan Wanandi, the head of the presidential special staff, “Yes we will dispatch a team. The Trade Ministry will certainly be sent and our embassy in the US are also there to participate,” said Sofyan. 

Read: Jusuf Kalla Ready to Retaliate if Donald Trump Starts Trade War

Sofyan further explained that the products and items that will be affected by the trade war and the revoked GSP are of Indonesia’s agriculture, fishery, textile, garment, up to food industries.

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