The EU and Indonesia officially launched trade negotiations on 18 July 2016, with the 19th round held in July 2024. Since then, talks continued in an ad-hoc format. On 23 September 2025, the EU and Indonesia concluded negotiations on both the CEPA and a parallel Investment Protection Agreement.
As one of the most important container shipping routes, the Asia-US trade lane has been experiencing a significant shift in pricing dynamics in the second half of 2025. Starting from mid-summer, container spot rates began to slide, and by mid-September, industry watchers confirmed that shipping lines were cutting prices significantly.
The Port of Long Beach recorded impressive figures in August, highlighting both the strength of US import demand and the volatility created by shifting trade policies.
Amid rising tariffs, US container ports are expected to see a steady drop in import cargo volumes through the end of this year, following what was nearly a record-setting summer.
Over the past few years, global disruptions, pandemics, geopolitical conflicts, inflationary pressures, and climate events, have revealed just how vulnerable traditional operating models can be. Companies that once treated their supply chains as background functions have been forced to bring them to the centre of strategic decision-making.
Trade and investment are tilting along geopolitical lines, with “connector” economies such as Mexico, Vietnam, India, Indonesia, Poland, capturing flows once routed through rival blocs.
When the United States officially imposed a 19% tariff on Indonesian exports on August 7, 2025, it marked a turning point for the country’s trade policy. What could have been a severe blow to Indonesia’s export-driven industries was instead met with a calculated response.
On August 11, 2025, President Trump signed an Executive Order under the International Emergency Economic Powers Act (IEEPA), marking a significant development in the ongoing trade relation between the United States and the People’s Republic of China.
Indonesia and the European Union have entered the final stages of concluding the Indonesia–European Union Comprehensive Economic Partnership Agreement (IEU-CEPA), a landmark trade pact that promises transformative benefits for both economies. The political milestone was marked by a ceremonial exchange of letters reaffirming their joint commitment to conclude the negotiations by September 2025.
Last week, the White House released a fact sheet on the recent trade deal between the United States and Indonesia. President Trump praised the agreement, saying it gives American businesses access to the Indonesian market. The US-Indonesia Agreement on Reciprocal Trade iis expected to bring big benefits to the US industries like manufacturing, farming, and digital services.
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