Vietnamese crab exporterexellent crabdouble-skinned crabsgood crab

US Slaps 10% Forced Labor Tariff on Indonesia

Jayanty Nada Shofa
June 3, 2026 | 7:10 pm
SHARE
President Prabowo Subianto and his American counterpart Donald Trump sign the document on the implementation of the agreement toward new golden age for US-Indonesia alliance in Washington on Feb. 19, 2026. (Photo Courtesy of Presidential Press Bureau)
President Prabowo Subianto and his American counterpart Donald Trump sign the document on the implementation of the agreement toward new golden age for US-Indonesia alliance in Washington on Feb. 19, 2026. (Photo Courtesy of Presidential Press Bureau)

Jakarta. The US has slapped an additional 10% tariff on Indonesia for letting imported goods linked with forced labor enter the country.

In March, the Donald Trump 2.0 government launched a forced labor probe into Indonesia and dozens of other countries. On Tuesday Washington time, the US declared new tariffs of either 10% or 12.5%. The higher rate is for countries that have failed to not only impose, but also effectively enforce a prohibition on imported goods made with forced labor. Indonesia is subject to a lower rate for having bans in place, but lacks effective enforcement. 

US Trade Representative Jamieson Greer slammed the failures as “unacceptable”.

“This creates a dynamic where American workers are forced to compete globally on an unlevel playing field,” Greer said.

ADVERTISEMENT

Haryo Limanseto, the spokesperson at the Coordinating Ministry for Economic Affairs, told the Jakarta Globe that these were still interim investigations. Indonesia plans to submit written comments and join the upcoming public hearings.

“The Indonesian government remains committed to respecting human rights, labor protection, and implementing labor principles that are consistent with international standards,” Haryo said.

Jakarta also plans to engage in talks with the US side “in a constructive manner” while strengthening the implementation of import regulations.

Indonesia already has a tariff deal with the US government, although the pact remains subject to ratification. In its report, Washington wrote that Jakarta had “taken on commitments” on forced labor import prohibition under the pact. The latest tariff salvo is also just weeks ahead of the July 24 expiration of a 10% temporary tariff.

Tags: Keywords:
SHARE

Related Articles


Business Jul 27, 2026 | 7:50 pm

Indonesia in Talks with US for 0% Tariff on Palm Oil

Indonesia is in talks with the US to have its palm oil exempted from the latest tariff measure.
Business Jul 27, 2026 | 1:15 pm

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.
Business Jul 24, 2026 | 10:14 am

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.
Business Jun 12, 2026 | 8:05 am

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.
Business Jun 9, 2026 | 8:33 pm

Trump to Exempt Indonesian Palm Oil from Tariffs

Indonesia says rubber and coffee will also gain US tariff exemptions.
Business Jun 8, 2026 | 6:26 pm

US to Give Tariff Exemptions for Indonesian Spare Parts, Plantation Commodities

Indonesia has signaled US tariff exemptions for its exports of spare parts and plantation commodities,
Business Jun 6, 2026 | 9:11 am

Final US Tariff on Indonesia to Reach 18%

Indonesia also says its US-bound textile exports will get tariff reductions.
Business Jun 3, 2026 | 7:10 pm

US Slaps 10% Forced Labor Tariff on Indonesia

The US has slapped an additional 10% tariff on Indonesia for letting imported goods linked with forced labor enter the country.
Business May 22, 2026 | 10:08 am

Indonesia’s Export Shake-Up to Clear Trade Discrepancy with US, China

Indonesia says that this new centralized export scheme can iron out data discrepancies.
Business May 22, 2026 | 8:55 am

Indonesia Eases Earnings Retention Rules for US Exports

Miners exporting to the US have the option to park their receipts in non-state banks, Indonesia says.

The Latest


News 1 hours ago

Prabowo Says South Korea's Lee Asked Indonesia to Help Open Dialogue With North Korea

President Prabowo Subianto says South Korea's Lee Jae Myung asked Indonesia to help open dialogue with North Korea.
News 7 hours ago

Pullman Hotel Fire in Jakarta Suspected to Stem From Electrical Fault

Police will deploy a forensic team to investigate a fire at Pullman Hotel in West Jakarta, with an electrical fault suspected as the cause.
Business 7 hours ago

Pertamina Slashes Prices of Three Fuels From Aug. 1

Pertamina cut prices for three non-subsidized fuels from Aug. 1.
News 8 hours ago

Trump Too Stubborn to Rejoin Paris Agreement: Indonesian Minister

Indonesia's Environment Minister Jumhur Hidayat says other countries should deal with Trump quitting the Paris Accord.
Business 11 hours ago

Indofood Sales Rise 9% as Rupiah Weakness Hits First-Half Profit

Indofood’s first-half sales rose 9%, but net profit fell 19% as rupiah weakness increased unrealized foreign-exchange losses.
COPYRIGHT © 2026 JAKARTA GLOBE. ALL RIGHTS RESERVED