The Effect of US Trade Policy Changes on Indonesia's International Trade

Abstract

Changes in United States trade policy, especially protectionist policies, have had a significant impact on Indonesia's international trade, especially in the textile and agricultural sectors. The imposition of high tariffs on several commodities has disrupted the dynamics of global trade, as shown by the decline in Indonesian exports to the United States based on data from the Ministry of Trade of the Republic of Indonesia. This research aims to analyze the specific impact of United States trade policy on Indonesia's trade performance and provide strategic recommendations to reduce these negative impacts. The research method used is descriptive analysis with a case research approach using data from the World Bank and the Center for Strategic and International Studies. The results show that United States protectionist policies have the greatest impact on small and medium enterprises in Indonesia's textile industry. As an implication, this research recommends diversifying export markets and increasing trade agreements with non-US countries to strengthen Indonesia's trade resilience. It is hoped that these findings will serve as a reference for policy makers in formulating adaptive and sustainable trade strategies.