Trump sets 19% invoice to Indonesian goods in the last deal, the EU is preparing retaliation

• We had about 18 billion commercial gaps with Indonesia last year.
• Trump says that pricing letters in smaller countries are coming soon.
• The European Commission is aiming for US $ 84 billion imports.

US President Donald Trump said on Tuesday that the US will impose a 19% invoice on goods from Indonesia with a new agreement with the country of Southeast Asia and more agreements were coming, while offering new details on scheduled tasks for medicinal products.

Trump announced the Pact with Indonesia, a relatively small American commercial partner, as he continued to push for what he considers better with trade partners and ways to shrink a huge US trade deficit. Letters that set pricing rates for dozens of smaller countries also come soon, he said on Tuesday.

The agreement with Indonesia is among the handfuls hit so far by Trump’s administration before the August 1st deadline, when obligations to most US imports are going to increase again. The deal came as the leading American commercial partner – the European Union – Ready -ready retaliation measures we should talk to Washington failing.

As this deadline approached, the negotiations have been carried out with other nations that want to avoid more US contributions beyond the 10% base line to most of the goods in place in April.

The development of Trump policies was often chaotic. His moves have increased decades of negotiating worldwide trading cuts, upset international financial markets and threatening a new wave of inflation.

Based on Trump invoices by Sunday, the Yale Budget Lab estimates that effective US average invoices will reach 20.6% from 2% and 3% before Trump’s return to the White House in January. Consumption displacements will reduce the rate to 19.7%, but it is still the highest since 1933.

Trump described an Indonesian agreement similar to a preliminary pact that was recently struck by Vietnam, with a flat invoice to exports to the US, about twice as much as 10% today and no US export contributions. It also included a sentence for so -called China transfers through Indonesia and a commitment to buying some US goods.

“They will pay 19% and we are not going to pay anything … We will have full access to Indonesia and have some of these agreements to be announced,” Trump said outside the Oval Office. Trump later told the social platform of truth that Indonesia has agreed to buy $ 15 billion from US energy products, $ 4.5 billion in US agricultural products and 50 Boeing aircraft, although no time was set.

He told reporters that the agreement with Vietnam was “good enough”, but he said that it was not necessary to release details.

Trump: India’s conversations move in the same way

Indonesia’s total trade with the US – a total of $ 40 billion in 2024 – is not ranked in the top 15, but is increasing. US exports to Indonesia rose by 3.7% last year, while imports from there increased by 4.8%, leaving the US with a trade deficit of about $ 18 billion.

The leading US import categories from Indonesia, according to US census office data from the International Trade tool, were palm oil last year, electronics equipment, including routers and data switches, footwear, car tires, natural rubber and frozen.

Susiwijono Moegiarso, a senior employee of the Indonesian Ministry of Coordinators for financial affairs, told Reuters in a text message: “We soon prepare a joint statement between the US and Indonesia that we will explain the size of the Indonesian Terms of Indonesia.

Trump threatened the country with a 32% duty rate from August 1 in a letter sent to its president last week. He sent similar letters to about two dozen commercial partners this month, including Canada, Japan and Brazil, placing pricing rates ranging from 20% to 50%, and 50% invoice to copper.

Speaking to Pittsburgh on Tuesday, Trump said he favored the invoices for complex negotiations, but Finance Minister Scott Bessent and Commerce Secretary Howard Lutnick were willing to land more trade agreements.

On arrival in Washington, Trump told reporters that letters would soon come out for many smaller countries, suggesting that they would face a “just over 10%” invoice.

He said his administration will also announce invoices for medicinal products imported to the United States, probably at the end of the month, starting with what is called a low invoice to give companies time to move the US construction before imposing a “very high invoice” in about a year.

The deadline on August 1st gives go to countries the year to negotiate for lower invoices. Some economists have also noted Trump’s model to support his pricing threats.

Since he began his pricing policy, Trump has only won a few “framework” agreements, shortly of promises to land “90 agreements in 90 days”.

So far, such agreements have been reached with the United Kingdom and Vietnam and a temporary agreement has been reached with China to prevent Trump’s deeper invoices, while negotiations continue between Washington and Beijing.

Trump said talks with India were moving “along the same line”, saying the deal would give us business access to the big Indian market.

The EU is preparing retaliation

The discovery with Indonesia came as the European Commission, which oversees the EU trade, which has been preparing to target 72 billion euros ($ 84.1 billion) of US goods – from Boeing aircraft and whiskey bourbon in cars.

Trump has threatened a 30% invoice on EU imports from August 1st, they say European officials are unacceptable and will terminate the regular trade between two of the world’s largest markets.

The list, which is sent to the EU Member States and saw Reuters on Tuesday, a pre-date Trump’s move during the weekend to increase the pressure on the 27-year-old block and responded to US duties and cars and cars 10%.

The package also covers chemicals, medical appliances, electricity and precision equipment, as well as agriculture and food – a range of fruits and vegetables, along with wine, beer and spirits – worth 6.35 billion euros.