A previous JETRO survey conducted in August and September of last year found that over a third of Japanese companies in Indonesia projected an increase in profits this year and everything shifted after the war began.

Business groups warned that export-oriented manufacturers are likely to bear the brunt of the new tariff regime, particularly those heavily dependent on the US market.

The senior economy minister has divulged that Australia, Canada and China would join the US in receiving special treatment under the latest version of the DHE SDA policy, with the government set to discuss further details until announcing the final arrangement.

The levies, effective Friday, range from 10 percent to 12.5 percent and impact major economies like China, India and the European Union.

As building a strategic oil reserve primarily involves purchasing and storing oil that generates little to no profit, experts said the government must provide stronger incentives and assurances to attract private investors.

Bank Indonesia projects that loan growth in 2026 will be maintained within the range of 8-12 percent.  

Indonesia is among 14 economies facing a proposed 10 percent tariff linked to a US investigation into alleged forced-labor concerns.

The move comes as the United States under President Donald Trump fights a war with Iran that began in large part over concerns with Tehran's nuclear program, an issue that remains a key point of contention during now-stalled peace talks.

Households in India have long relied on an informal army of domestic workers to mop floors, wash dishes and cook meals. A growing crop of tech start-ups is now attempting to bring structure to the unregulated sector.

The company is expected to continue operating its other business unit in Semarang, Central Java.

The comfortable lead Indonesia has enjoyed against its regional peers in attracting foreign investment is beginning to narrow as the competitive map shifts to quality.

Beyond producing sugar for domestic consumption, the government wants to turn sugarcane waste into ethanol to fuel its biofuel ambitions.  

Presidential special advisor for labor and workers' welfare Said Iqbal said he believes the actual number of workers affected by layoffs is higher than the official figures reported by the Manpower Ministry.

The government has imported around 770,000 barrels of Russian crude oil, according to a Bloomberg report, though the energy ministry says further verification is necessary to determine the composition and source of the fuel that makes up the so-called Indonesia blend.

Since slowing down in the fourth quarter of 2025, investment has been growing at around 7 percent, a pace well below the average seen in previous years.

US consumer inflation cooled more than expected in June as energy costs fell on a temporary easing of the US-Iran war, government data showed Tuesday, but renewed hostilities could stoke price pressures.

Cooperatives Minister Ferry Juliantono stated that the move is part of the broader efforts to scale up cooperatives to be on par with state-owned enterprises (SOEs) or private businesses.   

Bank lending to micro, small and medium enterprises (MSME) remains sluggish despite multiple policy efforts to invigorate the segment. Analysts blame weak consumer spending power and the risky credit profile of many small businesses.  

The directorate general of highway construction at the Public Works Ministry stated that it received a proposal to postpone new road construction for next year because of the limited available budget. 

Investors continue to face overlapping procedures involving multiple ministries and regional governments, which create uncertainty over land rights, permits and environmental approvals, according to the Indonesian Industrial Estate Association (HKI).  

Central bank indexes measuring consumer confidence and retail sales both dipped in June, pointing to ongoing weakness in household spending as a key pillar of Indonesia’s economy.

Indonesia has completed the first half of 2026 with strong growth in tax revenue but the government expects the full year to conclude with a Rp 47 trillion (US$2.6 billion) shortfall.

The panel upheld one ​Indonesian complaint, concluding that the ​European Commission failed to correctly convert the currency of certain transactions.

In a meeting with BP Batam, the President has emphasized that the free trade zone and tropical attraction should serve as a national model for downstream industrialization, investment acceleration, regulatory reform and logistics efficiency.

The benchmark IDX Composite index fell around 1.4 percent during the first trading session on Wednesday, although this was on a par with the declines recorded for Nikkei and KOSPI in the same period.

June marked the first increase recorded this year after five constant monthly declines since December 2025 when the reserves were at US$156.5 billion.

An early draft version contains stipulations on special legal and taxation powers, which experts say could leave the country open to illicit financial activities such as money laundering with few economic benefits.