US, Indonesia sign reciprocal trade agreement

The White House announced a reciprocal trade agreement with Indonesia on Thursday while President Prabowo Subianto was in Washington to attend the first meeting of President Donald Trump's Board of Peace, Report informs via AP News.

Under the agreement, Southeast Asia's largest economy will eliminate tariffs for 99% of American goods while the US will maintain tariffs on most Indonesian goods at 19%, the White House said. That is the same rate the US has set for Cambodia and Malaysia. Indonesia also agreed to address non-tariff barriers to US goods and to remove restrictions on exports to the US for critical minerals and other industrial commodities, the White House said.

Indonesian and US companies also reached 11 deals this week worth $38.4 billion, including purchases of US soybeans, corn, cotton and wheat, cooperation in critical minerals and oil field recovery, and joint ventures in computer chips.

A White House statement called it a "great deal" and said it "will help both countries to strengthen economic security, promote economic growth, and thereby continuously lead to global prosperity."

The agreement was later signed by US Trade Representative Jamieson Greer and his Indonesian counterpart.