Trump announces trade deal with Indonesia, 19% tariff
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A group of U.S. solar panel manufacturers asked the Commerce Department to impose anti-dumping and countervailing duties on imports from Indonesia, India and Laos, according to documents on an agency web site.
The reciprocal tariff agreement between the US and Indonesia could lead to a trade imbalance and a deficit in the balance of payments.
Indonesia sees securing a 19% tariff rate with the US as a “huge win” for some of the Southeast Asian nation’s most labor-intensive sectors such as garments and footwear, a government adviser said Wednesday.
Indonesia's central bank cut rates on Wednesday for the fourth time since September and said a revised tariff deal with the United States was positive for Southeast Asia's biggest economy amid weakening global trade and slowing domestic demand.
First Solar, Qcells lead push for new tariffs on solar panels from Indonesia, India, and Laos. Commerce Department must decide by August 12.
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President Trump said the agreement would partly walk back some of the steep tariffs he threatened on the country last week. Indonesia’s president called Mr. Trump a “tough negotiator.”
U.S. Commerce Secretary Howard Lutnick said Tuesday on CNBC that there will be no tariffs on U.S. goods in Indonesia while Indonesia will pay tariffs in the United States.