Judul : Trump imposes 32% tariffs on Indonesia amid absence of ambassador in the US - 'Indonesia's diplomatic failure'
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Trump imposes 32% tariffs on Indonesia amid absence of ambassador in the US - 'Indonesia's diplomatic failure'
Several international relations observers said the Indonesian government must accelerate the process of appointing an ambassador to the United States—the position has been vacant for two years—amid President Donald Trump's decision to impose a 32% tariff on Indonesia.
In a letter to Indonesian President Prabowo Subianto, uploaded on the social media platform Truth Social on Monday (07/07), Trump stated that the US will consider lowering tariffs if trade barriers from Indonesia to the US are removed.
For the tariff reduction, Trump asked Indonesia to open up the trade market that has been closed to the US, remove tariff and non-tariff policies, and eliminate trade barriers.
"We may consider adjustments to the content of this letter. This rate can be increased or decreased, depending on our relationship with your country," wrote Trump in his letter.
Trump also mentioned that Indonesia would not be subject to tariffs if "it produces its products in the United States".
The 32% tariff rate imposed by Trump on Indonesia remains the same as the previous announcement on April 2, 2025.
For the past three months, the Indonesian government has sent a team to Washington DC, USA to negotiate tariffs to be reduced or even eliminated at 0%.
The negotiation deadline is on July 9th. However, with this latest announcement, Indonesia can still try to continue the negotiations until August 1, 2025.
However, Trump also warned countries that join BRICS and oppose US interests will be subject to an additional 10% tariff.
In Indonesia, President Prabowo Subianto proposed former Minister of Maritime Affairs Dwisuryo Indroyono Soesilo to lead the Indonesian representation in Washington DC.
The position has been vacant for two years since July 2023, after the then ambassador, Rosan Roeslani, was appointed as Deputy Minister of BUMN.
When contacted by BBC News Indonesia, Indroyono said he could not yet respond to the latest developments in U.S.-Indonesia relations, including tariffs.
"Let me not answer that yet, okay? I haven't gone there yet. I can't get involved," said Indroyono when contacted by BBC News Indonesia on Monday (07/07) evening.
Indroyono has participated in fit and proper test The People's Representative Council (DPR RI) through Commission I, which is in charge of foreign affairs, on Saturday (05/07).
As long as Indonesia does not have an ambassador in the US, the Minister of Coordination for Economic Affairs, Airlangga Hartarto, is scheduled to visit the US to participate in tariff negotiations ahead of the deadline for the tariff agreement on Wednesday (09/07).
Meanwhile, the Indonesian Minister of State for Foreign Affairs, Arrmanatha Christiawan Nasir, stated that the meeting of BRICS countries was not intended as an effort to oppose the United States or any group of countries.
International relations observer from Parahyangan University, Idil Syawfi, called Trump's recent statement as an "Indonesia's diplomatic failure" towards the US and highlighted the absence of an ambassador as one of the factors.
"The appointment of an ambassador to the US must be accelerated so that [government] can work faster," said Idil when contacted on Tuesday (08/07).
Senada, pendiri Synergy Policies, Dinna Prapto Raharja, mengatakan posisi dubes AS untuk Indonesia wajib segera dilakukan mengingat betapa strategis dan pentingnya jabatan tersebut bagi kepentingan Indonesia.
"Bagaimanapun posisi itu terlalu strategis, terlalu penting untuk dikosongkan lebih lama," tegas Dinna.
What is the relationship between the 32% tariff and Indonesia's policy?
Idil emphasized that Trump's latest announcement is the result of Indonesia's negotiations with the US following the suspension in April.
"Without reducing the tariffs applied to Indonesia, it shows that the negotiations conducted have failed or are not attractive for the US," said Idil.
Menurut Idil, strategi Indonesia untuk membuka pasar, rencana investasi di perusahaan-perusahaan AS termasuk oleh Danantara, pembelian komoditas tambahan seperti energi dari AS, bahkan deregulasi seperti TKDN tidak menyelesaikan permasalahan sebenarnya: defisit perdagangan dengan AS.
"Compared to Cambodia and Vietnam, which successfully reduced the tariffs imposed by the United States, although their trade deficits are very large, it shows that they have successfully conducted diplomacy with the US," he said.
Idil also highlighted the fees imposed on Indonesia, which are likely to increase by 10% due to Indonesia's activities in BRICS.
"It's somewhat ironic because we are a new country in BRICS, possibly the weakest among the BRICS member countries, but we are the country with the highest tariffs in BRICS, which is 32% plus 10%," he said.
Who is Dwisuryo Indroyono Soesilo, the Indonesian ambassador candidate for the US?
In addition to having previously served as the Minister of Maritime Affairs Coordinator during 2014-2015, Indroyono also briefly held the position of Director of Fisheries and Aquaculture at the United Nations Food and Agriculture Organization (FAO) from 2012 to 2014.
Indroyono is also recorded as a graduate of the Bandung Institute of Technology (geology engineering, graduated in 1978) and holds a master's degree from the University of Michigan and a doctorate from the University of Iowa.
Indroyono once held the position of advisor at the Ministry of Tourism from 2015 to 2019.
Currently, he is the Chairman of the Indonesian Forest Entrepreneurs Association (APHI) and the Chairman of the Forum for Communication of the Indonesian Forestry Community.
To BBC News Indonesia, Indroyono said he is not yet able to comment much regarding the current Indonesia-US relations.
When asked about his non-diplomatic background from the Ministry of Foreign Affairs, Indroyono mentioned that he has experience as a senior director at the FAO.
"This is the PBB diplomatic position D-2 [professional category] and oversees 193 FAO Member States in the field of Fisheries," he said.
Why is Indonesia's ambassador to the US position crucial?
Synergy Policies did not say that the position of the Indonesian ambassador in Washington DC is the highest position and as a representative of the country in the US.
"Even when there is no guidance or minimal signals [from Jakarta], an ambassador in the US must dare to make strategic decisions," he said.
Senada, Idil from Parahyangan University said that the figure of an ambassador to the US should be a senior figure, with global networks, and a distinguished record.
"Currently, the homework that needs to be addressed includes issues of tariffs and protection for the Indonesian community regarding the American anti-immigration policy. In addition, the Indonesian ambassador to the US must be able to revive the embassy's network and bureaucracy in the US," he said.
In response to the vacancy since July 2023, Dinna highlighted that there are indeed many political nuances in the appointment of ambassadors to the US.
Don't judge the vacancy of the ambassador's position in the US for two years as a "political transition."
"The position of the Indonesian ambassador in the US is very prestigious," said Dinna.
Besides having a tendency to avoid the "twin sun" phenomenon between the Indonesian ambassador in the US and whoever becomes the Foreign Minister, Dinna mentioned that President Jokowi also wants to place people there from a political perspective.
"Finally, that position was temporarily vacant," he said.
How is Indroyono as a candidate for ambassador?
Idil referred to Indroyono Soesilo as "a safe figure" because he is a senior figure, has a global network due to his background as FAO Director, and has a track record as Minister of Maritime Affairs Coordinator from 2014 to 2015.
Nevertheless, Idil assessed that Indroyono's expertise in maritime affairs is not aligned with the current duties of the Indonesian ambassador to the US, which require expertise in economics and protection of the Indonesian community in the US.
"Because of him, a career diplomat might have difficulties in reviving the embassy bureaucracy in the United States, which has been dormant for several years," he said.
As for Dinna, she does not evaluate even though Indroyono is a senior figure; he is known as "very polite," while Trump is a typical country leader who often creates an uncertain atmosphere.
" I was just wondering, if [facing] [people] like Donald Trump in America, would he stutter?" he said.
Nevertheless, Dinna said that the more urgent issue at the moment is to ensure Indonesia's ambassador's position in the US to improve communication between the two countries.
She assessed Indroyono's chances to pass fit and proper test DPR and was received by Trump as ambassador in Washington "quite big" considering his seniority and track record.
"Hope, I think he should be accepted first [by Trump], and we have someone there. It's better like that, rather than having no one at all," said Dinna.
How is Indonesia's future in BRICS following Trump's announcement?
Indonesia's Deputy Foreign Minister, Arrmanatha Christiawan Nasir, stated that the BRICS countries' meeting is not intended as an effort to oppose the United States or any other group of countries.
In fact, the president's meeting did not involve any efforts to confront the US or release President Prabowo to the BRICS summit in Rio de Janeiro, Brazil.
Arrmanatha emphasized that the main focus of the BRICS meeting is to strengthen cooperation among developing countries in facing global challenges, not to form a rival bloc against any major country.
In response, CSIS Indonesia researcher Muhammad Habib warned that Indonesia could face significant economic impacts if the additional 10% tariff is indeed implemented.
"This will make Indonesian products even less competitive," said Habib.
Moreover, he added, if Indonesia truly fails to renegotiate the reciprocal tariffs that may have been previously promised.
Habib said this situation adds complications to the tariff negotiations being carried out or finalized by the Indonesian government at present.
"If Indonesia fails to mitigate the impact of these tariffs, while non-BRICS countries, including those in ASEAN, succeed, there is a risk of industrial relocation from Indonesia to other countries," he said.
In the future, Habib suggested that Indonesia should adopt a "selective participation" or "selective agenda" strategy when participating in BRICS meetings.
She said Indonesia must be able to identify which BRICS agenda could potentially lead to geo-economic or geopolitical consequences.
"So, it's not an agenda that is confrontational towards the US," he concluded.
BBC News Indonesia has contacted the Head of the Presidential Communication Office, Hasan Nasbi, but the relevant party has not yet responded as this news was broadcast.
As for the Ministry of Foreign Affairs spokesperson, Rolliansyah Soemirat, he stated that the US tariff policy is within the domain of the Coordinating Ministry for Economic Affairs.
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