The import tariff policy announced by President Donald Trump in April 2025 has a significant impact on ASEAN countries, including Indonesia. This tariff is implemented as a reciprocal measure to equalize US import tariffs with those imposed by its trading partners. Several ASEAN countries such as Vietnam (46%), Cambodia (49%), Thailand (36%), Indonesia (32%), and Malaysia (24%) are subject to high tariffs from the US.
The main impact of this policy is a decrease in the projected economic growth of ASEAN countries. Indonesia, for example, is expected to experience a slowdown in economic growth due to reduced export demand to the US and weakened trade with major trading partners. Additionally, the manufacturing, textile, electronics, and automotive sectors in the region are facing significant pressure due to reduced competitiveness of products in the US market.
In response, ASEAN countries are striving to engage in bilateral negotiations with the US to lower tariffs or gain concessions. They are also strengthening regional cooperation and diversifying export markets to reduce dependence on the US market. Malaysia, for instance, chooses not to retaliate with tariffs and instead focuses on dialogue and fair trade cooperation.
This tariff policy presents significant challenges for the ASEAN economy, but it also encourages countries in the region to strengthen solidarity and joint strategies in facing global trade tensions.
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