Indonesia's National Budget (APBN) faces a significant shortfall, amounting to approximately IDR 371 trillion. The deficit is largely attributed to the government's failure to implement tariffs on certain wood products.
The United States has taken notice of this situation and has called for increased tariffs on Indonesian exports, including wood and wood-based products. This move is seen as an attempt by US President Donald Trump to pressure Indonesia into revising its trade policies.
Industry insiders have expressed concern over the potential impact of these tariffs on Indonesia's economy, particularly in the forestry sector. The country relies heavily on export earnings from timber and wood products, which could be severely affected by increased tariffs imposed by the US.
Government officials are urged to take immediate action to address this issue, including imposing counter-tariffs or exploring alternative trade agreements that would benefit Indonesian exporters. Failure to do so may lead to significant economic losses for the country.
The ongoing trade tensions between Indonesia and the US serve as a reminder of the importance of prudent macroeconomic management and effective diplomacy in navigating complex global trade dynamics.
The United States has taken notice of this situation and has called for increased tariffs on Indonesian exports, including wood and wood-based products. This move is seen as an attempt by US President Donald Trump to pressure Indonesia into revising its trade policies.
Industry insiders have expressed concern over the potential impact of these tariffs on Indonesia's economy, particularly in the forestry sector. The country relies heavily on export earnings from timber and wood products, which could be severely affected by increased tariffs imposed by the US.
Government officials are urged to take immediate action to address this issue, including imposing counter-tariffs or exploring alternative trade agreements that would benefit Indonesian exporters. Failure to do so may lead to significant economic losses for the country.
The ongoing trade tensions between Indonesia and the US serve as a reminder of the importance of prudent macroeconomic management and effective diplomacy in navigating complex global trade dynamics.