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Trump sends Prabowo letter to ram through trade talks

In a letter dated Monday and posted on Donald Trump’s Truth Social account, the United States president said the measure was needed to correct “very persistent” trade imbalances that he blamed on Indonesian tariff and nontariff trade barriers.

Ruth Dea Juwita (The Jakarta Post)
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Tue, July 8, 2025 Published on Jul. 8, 2025 Published on 2025-07-08T11:16:03+07:00

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Ongoing tariff threats: United States President Donald Trump displays a signed executive order imposing tariffs on imported goods during a “Make America Wealthy Again“ trade announcement event on April 2 in the Rose Garden at the White House in Washington, DC. Ongoing tariff threats: United States President Donald Trump displays a signed executive order imposing tariffs on imported goods during a “Make America Wealthy Again“ trade announcement event on April 2 in the Rose Garden at the White House in Washington, DC. (AFP/Andrew Hanik)

U

nited States President Donald Trump has sent a letter to President Prabowo Subianto pushing for progress in trade talks, warning that Washington will impose a 32 percent tariff on all Indonesian exports starting next month unless Jakarta works out a trade and investment deal with Washington.

In a letter dated Monday and posted to Trump’s Truth Social account, the US president said the measure was needed to correct what he described as “very persistent” trade imbalances caused by Indonesian tariff and nontariff barriers.

“Please understand that the 32 percent number is far less than what is needed to eliminate the trade deficit disparity we have with your country,” Trump wrote.

“There will be no tariff if Indonesia, or companies within your country, decide to build or manufacture products within the United States,” he added.

Read also: Trump slaps 25% tariffs on Japan, South Korea, Malaysia

The letter also warned that any retaliatory steps, including transshipments, would be met with even steeper duties.

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While the tariff rate on Indonesia remains unchanged from the level imposed in April, the letter signals a renewed US push for talks, with Trump formally extending the deadline for negotiations from July 9 to Aug. 1.

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