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Full Contents of Trump’s Letter to Prabowo on the 32% Tariff Threat
U.S. President Donald Trump has sent an official letter to Indonesian President Prabowo Subianto, confirming that starting August 1, 2025, the United States will impose a 32% import tariff on all Indonesian products.
NEWS
7/8/20251 min read


In the letter, Trump stated that the tariff is a response to the trade imbalance between the two countries. He accused Indonesia of maintaining tariff and non-tariff policies that disadvantage the U.S. and contribute to a widening trade deficit.
Trump emphasized that the tariff policy is flexible—it may be lowered if Indonesia agrees to open its markets further, eliminate trade barriers, and increase investment in the U.S. On the other hand, the tariffs could be raised even higher if Indonesia continues what Trump considers unfair trade practices.
The letter was also sent to 14 other countries, including Malaysia, Thailand, and South Africa, as part of Trump’s broader push for reciprocal trade tariffs targeting key U.S. trading partners.
Although Indonesia has recently signed several investment agreements worth over Rp500 trillion with U.S. companies, Trump expressed that such efforts are still insufficient to address the structural imbalance in trade relations.
Key Takeaway:
Trump’s letter signals a hardline stance from the U.S. toward Indonesia on trade. The 32% import tariff poses a real threat to Indonesian exports, although the possibility of reduced tariffs remains—if Indonesia is willing to reform its trade policies and open its markets to more U.S. access.