Jakarta. The Indonesian government has reaffirmed that halal certification requirements remain fully in force for US products entering the domestic market, following concerns that a recent trade agreement could weaken existing regulations.

Cabinet Secretary Teddy Indra Wijaya dismissed claims that US goods would be allowed into Indonesia without complying with halal rules.

“There are claims that US products can enter Indonesia without halal certification. That is simply not true,” Teddy said on Monday, adding that all products subject to mandatory halal certification must comply with Indonesian law.

Under existing regulations, products required to be halal-certified must carry halal labels issued either by recognized foreign halal bodies under a mutual recognition framework or by Indonesian authorities.

However, concerns have emerged from the LPPOM MUI, the halal assessment body under the Indonesian Ulema Council (MUI), over provisions in the Memorandum of Understanding (MoU) tied to the US trade deal.

According to LPPOM Managing Director Muti Arintawati, Article 2.9 of the MoU suggests potential inconsistencies with Indonesia’s halal regulations. The clause could exempt US-origin cosmetics, medical devices and related distribution services from mandatory halal certification. It may also remove the obligation for non-halal products to carry “non-halal” labels on their packaging.

She added that similar exemptions appear in Article 2.22, including for certain non-animal food products that could be excluded from halal certification requirements, as well as the removal of the obligation for companies to appoint halal supervisors.

Muti warned that such provisions could create an uneven playing field, as domestic producers and foreign suppliers from other countries would remain subject to stricter halal compliance obligations not imposed on US manufacturers.

“This automatically creates an imbalance in competition,” she said, adding that other countries could demand similar treatment. There is also potential for disputes at the World Trade Organization if the arrangement is viewed as discriminatory.

The debate comes just days after Indonesia announced a new trade deal with the United States. Under the agreement, Washington committed to maintaining a 19 percent tariff on most Indonesian goods — down from an initially threatened 32 percent — and granted tariff exemptions on 1,819 Indonesian tariff lines, including palm oil, electronic components and spices. Textiles will be subject to a tariff-rate quota system allowing a set volume of exports to enter the US market at zero tariff.

In return, Indonesia eliminated tariffs on 99 percent of US products, covering a broad range of goods from agricultural commodities to automobiles.

The trade pact was unveiled shortly before a landmark 6–3 ruling by the Supreme Court of the United States striking down former President Donald Trump’s global tariff policy. The court found that Trump lacked authority under the International Emergency Economic Powers Act (IEEPA) to impose sweeping reciprocal tariffs on dozens of trading partners, including Indonesia.

The ruling has been viewed in Indonesia as an opportunity to reassess trade commitments made amid pressure from Washington. Trump criticized the decision as “very disappointing” and insisted it would not deter efforts to reshape global trade rules.

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