Indonesia Pushes for Zero Tariffs on CPO and Coffee Exports to US

Tempo
07-24

TEMPO.CO, Jakarta - Currently, the Indonesian government is striving to exempt several export products from tariffs imposed by the United States. These products include crude palm oil (CPO), cocoa, and coffee.

The Secretary of the Coordinating Ministry for the Economy, Susiwijono Moegiarso, stated that the government is currently compiling a list of proposed export products that will be exempt from import duties. One of the main criteria is that these products are not produced in the United States.

"We are currently compiling the list. Products such as coffee and CPO will definitely be negotiated for exemption from tariffs," said Susiwijono on Thursday, July 24, 2025.

He explained that compiling this list is part of the ongoing negotiation process between Indonesia and the United States. The government hopes to conclude discussions on the exemption of tariffs within the next week.

During the occasion, Susiwijono mentioned that the 19 percent import duty policy on Indonesian exports to the U.S. will be effective starting from August 1, 2025. However, he emphasized that as long as the negotiation is ongoing, the tariff will not be imposed.

"We cannot confirm how long this negotiation will take. But as long as there is no agreement from the U.S. side, the 19 percent tariff will be implemented as of August 1," he said.

Furthermore, he conveyed that this ongoing negotiation will involve various relevant parties. Based on the initial agreement for import duty exemption for several U.S. products to Indonesia, he is optimistic that it can serve as a strong bargaining position for Indonesian export products to receive similar treatment.

"The list of priority products is currently being finalized, and it is targeted to be completed this week or the next to be resubmitted to the U.S. trade authorities," he said.

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