Upgrade your membership plan for the full website experience.
View Membership Plans
March 28, 2024

Amended Indonesia-Japan Economic Partnership Agreement Reduces Tariffs on Various Goods

indonesia japan
Indonesia’s president Joko Widodo held a bilateral meeting with Japan’s prime minister Fumio Kishida on the sidelines of a Tokyo summit today. — (Pool/AP pic)
March 28, 2024

Early in 2024, Japan and Indonesia committed to removing trade barriers through the updated Indonesia-Japan Economic Partnership Agreement (IJEPA). The decision to amend the agreement resulted from discussions between Indonesia President Joko Widodo and Japan Prime Minister Fumio Kishida on December 16, 2023, during the Tokyo summit commemorating the 50th anniversary of ASEAN-Japan relations. The amended agreement is expected to be formally signed in the first quarter of this year.
The collaborative efforts will lead to reductions and eliminations of tariffs on a wide range of goods, including food products, exchanged between the two nations. Furthermore, both nations have mutually agreed to incorporate a new chapter on e-commerce within the amended agreement, aimed at fostering more liberalized digital trade. Provisions under this new chapter are anticipated to include prohibitions on restrictions of cross-border information transfer, elimination of requirements for the installation of computer-related equipment, and prohibition of requests for disclosure of source code.
Late last year, the Indonesian government announced the signing and implementation of trade agreements such as the Indonesia-UAE Comprehensive Partnership Agreement (UAE-CEPA), the Regional Comprehensive Economic Partnership (RCEP), and Indonesia-South Korea CEPA, the  AHKFTA, the Indonesia-Malaysia Border Trade Agreement (BTA), International Coffee Agreement, the AANZFTA, and the Protocol Amending the IJEPA. Through these agreements, Indonesia expanded market access, aiming to cultivate new markets and reduce dependence on traditional ones, thereby enhancing the country's export potential.

Join the Council to continue reading this article
Enhance your business impact in Southeast Asia: Become a member of the US-ASEAN Business Council and tap into a network of possibilities.
Free Related Articles

Membership Plans

Corporate Council

Corporate membership provides general advocacy support, access to all country- and industry-specific updates, and access to most Council events.

  • Business missions to all 10 ASEAN markets which engage governments at the highest levels.
  • Off-the-record roundtables and policy briefings with senior government leaders in ASEAN and the U.S.
  • On-the-ground support for promoting your positions/policy priorities with policy makers.
  • Industry-specific, country-specific, cross-sector and regional advocacy through committees that target their engagement based on member priorities.
  • Advocacy on your behalf in situations where your company should not be directly identified or is unable to be present.

Chairman’s Council

Corporate membership provides general advocacy support, access to all country- and industry-specific updates, and access to most Council events.

  • All Corporate benefits.
  • Assistance with resolving company-specific trade or investment issues through our six regional offices and U.S.-based staff.
  • Develop effective advocacy strategies to impact policy concerns.
  • Identification of, and engagement with appropriate policy influencers to impact policy concerns.
  • Assistance in conducting follow-up after engaging government leaders (can include providing officials with additional materials, setting up meetings with their staff, getting a readout of the government’s reaction to the discussion).
  • Support for developing arguments that will resonate with target stakeholders.
  • Leading and setting the agenda and policy priorities of the Country and Industry Committees.