Jakarta. Indonesian furniture and handicraft exporters are bracing for potential disruptions as the United States considers imposing a steep 32 percent tariff on imports from Indonesia, threatening the country's largest export market for the sector.

According to Abdul Sobur, Chairman of the Indonesian Furniture and Handicraft Industry Association (HIMKI), the US remains Indonesia’s largest export market for furniture and crafts, accounting for approximately 53.8 percent of the country’s total shipments in the sector.

“The US is a very significant market for us. If the 32 percent tariff is imposed, it will definitely disrupt our industry,” Sobur said during a Corporate Insight talk show hosted by Beritasatu on Friday.

The US government initially planned to enforce a 32 percent tariff on Indonesian furniture imports beginning April 9. However, implementation has been delayed for three months, giving a temporary reprieve to Indonesian exporters.

Despite the delay, the policy announcement has already had a chilling effect on business. Sobur said American buyers are holding off on purchases from Indonesia due to lingering uncertainty, causing goods to pile up in warehouses and disrupting cash flow for exporters.

“Even though the tariff hasn’t been enforced yet, the impact is already being felt. Several shipments have been postponed, and production is now backing up at the factory level,” Sobur noted.

Exporters are now urging US buyers who have already placed orders to accept delivery of the products to prevent further backlog and financial strain.

“Our buyers are still waiting for the situation to stabilize before proceeding with shipments,” Sobur added.

Industry players fear that if the tariff is ultimately enacted, it could derail a key export sector that has been a strong contributor to Indonesia’s trade balance and employment, particularly in Java and Bali where furniture and craft production is concentrated.

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