Jokowi and President Prabowo met at the former president's residence in Solo, Central Java, on Sunday evening.
Speaking to the press after the meeting, Jokowi underlined that the deal, which entails a reduction in US tariffs on Indonesian goods from 32 percent to 19 percent, was a notable achievement.
"This is an extraordinary achievement. The 19 percent rate is the lowest among ASEAN countries," he remarked.
Jokowi stated that during the meeting, Prabowo also spoke about the Indonesia-European Union Comprehensive Economic Partnership Agreement (IEU-CEPA), whose negotiations wrapped up after a decade.
He noted that reaching an agreement on the IEU-CEPA was very challenging, which is why the negotiations took 10 years. However, he remarked that President Prabowo's negotiation skills and personal approach helped both sides reach consensus.
With tariffs reduced to zero percent, Jokowi stated that the IEU-CEPA will strengthen the competitiveness of Indonesian exporters entering the European Union (EU) markets.
The lower US import tariffs and free trade with the EU are expected to make Indonesian products more competitive in the US, the EU, and other international markets.
Earlier, US President Donald Trump posted on Truth Social that he and Prabowo had reached a deal that “opens up Indonesia’s entire market to the United States for the first time in history.”
He stated that under the deal, Indonesia will pay a 19 percent tariff on all products it exports to the US, while US goods exported to Indonesia will be exempt from tariff and non-tariff barriers.
Trump further highlighted that Indonesia has committed to purchasing US$15 billion worth of energy, importing US$4.5 billion of agricultural products, and purchasing 50 Boeing aircraft from the US.
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Translator: Mentari Dwi, Raka Adji
Editor: Azis Kurmala
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