Indonesia to Prioritize Wheat, Soybean Imports From US Under Tariff Deal
Jakarta. Indonesia will prioritize wheat and soybean imports from the United States as part of a reciprocal trade deal tied to Washington’s decision to lower tariffs on Indonesian goods, Agriculture Minister Andi Amran Sulaiman said on Friday.
Speaking after a high-level food coordination meeting, Amran said the government had agreed to import the two commodities directly from the US to help meet domestic demand while supporting the broader trade agreement with Washington.
“We are focusing on importing wheat and soybeans from the US. These are the two main commodities,” Amran said, adding that dairy products may also be considered in the future, but wheat and soybeans remain the priority for now.
Amran said imports would only proceed if domestic production was insufficient to meet demand, stressing the need to protect Indonesian farmers.
“We will continue to protect our farmers. Imports will only happen if domestic production cannot meet national needs,” he said.
The move comes after US President Donald Trump announced earlier this month that the US would reduce its import tariff on Indonesian products to 19 percent, down from the planned 32 percent. The tariff cut is part of a trade deal requiring Indonesia to purchase around $4.5 billion worth of US agricultural products, equivalent to approximately Rp 73 trillion.
Trump said the agreement would open new markets in Indonesia for American farmers, ranchers, and fishermen while reducing trade barriers. “We will have full access to Indonesia, everything. They pay 19 percent, and we pay nothing,” Trump said.
According to Indonesia's Central Statistics Agency (BPS), the country imported 2.68 million tons of soybeans in 2024, up 17.7 percent from the previous year, with the vast majority sourced from the United States. Meanwhile, Indonesia recorded 8.44 million tons of wheat and meslin imports in the first nine months of 2024, valued at $2.56 billion. U.S. wheat accounted for around 6–7 percent of total import volume, well behind top suppliers such as Australia and Canada.
S&P Global reported that on July 7, the Indonesian Flour Producers Association (APTINDO) signed a memorandum of understanding with U.S. Wheat Associates, committing to purchase 1 million metric tons of US wheat annually between 2026 and 2030, according to US Wheat Associates and market sources.
The US remains Indonesia’s largest source of trade surplus. According to the Central Statistics Agency (BPS), the country recorded a $5.44 billion trade surplus with the US from January to April 2025, up from $4.37 billion in the same period last year. India and the Philippines followed as the next largest contributors to Indonesia’s trade surplus, with surpluses of $3.98 billion and $2.92 billion, respectively.
Tags: Keywords:Related Articles
BRICS Indirectly Hits Out at Trump’s Tariffs, WTO Paralysis
BRICS doesn't want to see unilateral tariffs and a paralyzed WTO court system, all of which are linked to the US.Indonesia Denies US Accusation of Chinese Transshipment Scam
Senior minister Airlangga Hartarto says "Indonesia has never done transshipment", when asked about the US report.US Accuses Indonesia of Helping China Dodge Trump Tariffs
The US accuses Indonesia and dozens of other countries of being part of "China's shadow transshipment network".ASEAN Hopes for Predictability on Trump’s Tariffs
ASEAN says the region's businesspeople wish for a predictability and certainty as Trump launches a fresh round of tariff hikes.Indonesia Banks On EU as Trump's 10% Tariff Kicks In
Indonesia wants to fast-track its European Union (EU) trade deal as Jakarta tries to find alternatives to the tariff-agressive US.US Slaps 10% Tariff on Indonesia over Forced Labor
A new 10% tariff on Indonesia following a forced labor probe will take effect on Friday before noon.Brazil Offers to Become Indonesia's Leading Supplier of Soybeans and Meat
Brazil is seeking to expand soybean and meat exports to Indonesia, citing opportunities created by the Free Nutritious Meals program.Government Launches $1.5 Billion Economic Stimulus Package for 2nd Half of 2026
Indonesia will spend $1.5 billion on transport incentives, food aid, and workforce programs to support growth through 2026.Indonesia Unveils $28 Million Subsidy Program for Tofu and Tempeh Producers
Indonesia will subsidize soybean purchases for tofu and tempeh producers to help keep staple foods affordable.From 32% to 10% to 18%: Indonesia Lives Under Trump's Tariff Uncertainties
Indonesia has been trying to navigate US trade uncertainties, but officials are confident that the tariffs won't derail exports.The Latest
Chandra Asri Group Receives Trade Finance Excellence Award, Reinforcing Its Role in Indonesia’s Industrial Development
Chandra Asri Group receives the Trade Finance Excellence Award at CIMB Niaga Business Summit 2026.AEON MALL Deltamas Brings 11 Sports and Creative Competitions to AEONLYMPIC 2026
AEON MALL Deltamas hosts AEONLYMPIC 2026, featuring 11 sports and creative competitions, with more than 3,100 participants.Indonesian Stocks Extend Losses for Third Day, Fall 3.64% to 4,996
Indonesian stocks fell 3.64% on Monday, extending losses for a third straight session amid MSCI concerns and tighter trading limits.Prabowo Calls Meeting on Forest Fires as Haze Reaches Jakarta, Singapore
Prabowo summons senior officials to discuss forest fires as smoke reaches Jakarta and Malaysia pushes for regional action.Jakarta Outranks Amsterdam in Global Public Transport Survey
Jakarta climbs two places to 15th in Time Out's 2026 public transport survey, with its governor citing better network integration.Most Popular
