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Halal provisions in US-RI trade deal draw pushback

Radhiyya Indra (The Jakarta Post)
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Tue, February 24, 2026 Published on Feb. 23, 2026 Published on 2026-02-23T20:00:36+07:00

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US President Donald Trump (left) shakes hands with President Prabowo Subianto at the “Board of Peace“ meeting during the World Economic Forum (WEF) annual meeting in Davos on Jan. 22, 2026. US President Donald Trump (left) shakes hands with President Prabowo Subianto at the “Board of Peace“ meeting during the World Economic Forum (WEF) annual meeting in Davos on Jan. 22, 2026. (AFP/FABRICE COFFRINI )

T

he recently signed trade deal between Indonesia and the United States has drawn criticism from lawmakers and Islamic leaders, who have warned that exemptions for certain US products and the recognition of foreign halal certification agencies could weaken national halal standards.

President Prabowo Subianto and his US counterpart Donald Trump signed the US-Indonesia Agreement on Reciprocal Trade (ART) on Thursday in Washington, after long negotiations to revise tariffs and nontariff measures to boost bilateral trade.

The finalized agreement allows American products that meet applicable US or international standards to enter Indonesia without duplication of conformity assessments, and includes provisions that some critics view as potentially encroaching on the country’s halal standards.

Key provisions under scrutiny include exemptions for US-made cosmetics and medical equipment from Indonesia’s halal certification and labeling requirements.

The deal also exempts containers and other materials used to transport food and agricultural products from halal certification, bars Indonesia from requiring US companies to appoint a halal subject matter experts, and allows certain US halal certifiers to certify products without additional domestic review.

Read also: RI upends domestic policies to get 19% tariffs in US trade deal

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Critics warn these provisions could undermine domestic oversight, and the Indonesian Ulema Council (MUI) has said the agreement risks weakening the halal system established under the 2014 Halal Product Assurance Law.

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