Below is a list with tagged columns and company profiles.
Today's Headlines Trade
On 6 June 2023 Indonesia Investments released the May 2023 edition of our monthly report. The report discusses key economic, political and social issues that impacted on Indonesia in the month of May 2023.
On 15 May 2023 Indonesia’s Statistical Agency (BPS) released the latest trade data of Indonesia. As expected, we saw a heavy decline in Indonesia’s export and import performance in April 2023. But, because imports plunged heavier than exports, it also meant Indonesia could enjoy a comfortable USD $3.94 billion trade surplus.
On Thursday (6 April 2023), Indonesia Investments released the March 2023 edition of its monthly report. In this report we offer in-depth analyses of the key economic, political and social matters that impacted on Indonesia in the month of March 2023.
On 06 March 2023, Indonesia Investments released its latest monthly report titled 'Normalizing Economic Growth'. As usual, we aim to present in-depth analyses of topics that are relevant in the context of economic, political and social developments in Indonesia.
On 5 February 2023, Indonesia Investments released the January 2023 edition of its monthly report. This report discusses and analyses a number of important economic, social and political topics (all related to Indonesia) that were relevant in the month of January 2023.
In mid-January 2023 Indonesia’s Statistical Agency (Badan Pusat Statistik, or BPS) released Indonesia’s December 2022 trade data, implying we now also have a clear view of the country’s trade performance in full-2022.
Over the past two (or three) months we have emphasized that it is worth following Indonesia’s trade performance in the last quarter of 2022 (Q4-2022) as these export and import data should give some clues whether the world (and Indonesia) is bound to experience an economic hiccup at the beginning of 2023.
Indonesia’s export performance was impressive in August 2022, touching a new all-time record level of USD $27.91 billion. It was particularly the strong rebound in the value of refined palm oil shipments that pushed Indonesian exports higher. Imports into Indonesia also increased, albeit at a much slower pace, which especially came on the back of sharp growth in imports of capital goods.
As expected, Indonesia’s trade performance rebounded strongly in June 2022. This was certainly not a surprise considering the country’s exports had been held back significantly in May 2022 because of the government’s palm oil export ban that was imposed between 28 April 2022 and 23 May 2022 (in an effort to stabilize domestic cooking oil prices).
Last month when we discussed the impressive December 2021 trade performance of Indonesia (when its exports remained strong at near-record high territory, while imports soared to a record high), we ended our article with several ‘things’ to watch:
Latest Columns Trade
The Indonesian government is currently studying the opportunities and challenges with regard to the making of a new bilateral trade deal with the USA. These efforts are a side-effect of US Vice President Mike Pence's recent visit to Indonesia when he signed 11 trade and investment deals worth a combined USD $10 billion.
Indonesian President Joko Widodo emphasized that the area around the Indian Ocean is the future of the world economy. He made this statement at the Indian Ocean Rim Association (IORA) summit in the Jakarta Convention Center on Monday (06/03). This region, which has a 2.7 billion population in total (around 35 percent of the world population), already sees 70 percent of world trade go through the area and hence the Indian Ocean forms a key trade route, especially for the distribution of oil and gas.
As promised US President Donald Trump pulled the United States out of the Trans-Pacific Partnership (TPP), an ambitious free trade deal that was signed in October 2015 (after five years of negotiating) and had created the world's largest free trade area (covering 12 countries and 40 percent of global trade). Trump's move to withdraw the USA from the TPP implies that he distances the USA from its Asian allies and gives China the opportunity to fill in the empty space that is left by America.
While political leaders, bankers and economists met in Davos (Switzerland) for the World Economic Forum (17-20 January 2017), Donald Trump was sworn in as the 45th US president in Washington. His speech was all about "America first", including a protectionist approach in trade, which Trump believes will lead to great prosperity and strength for the USA. Also in Europe anti-globalization sentiments are heard (such as the exit of Britain from the European Union). Most guests in Davos, on the contrary, favor higher global trade and worldwide economic participation.
Dutch Prime Minister Mark Rutte addressed Indonesian Parliament on Wednesday (23/11) in Jakarta. In his speech he praised Indonesia for rapid economic development that has been booked over the past decade and also touched on the sensitive subject of the colonial period. Rutte acknowledged that the Netherlands waited too long before apologizing (in 2005) for excessive violence that occurred shortly after the Second World War when the Dutch tried to reconquer their former colony.
On 23 November 2016 Dutch Prime Minister Mark Rutte will become the first Dutch prime minister to address Indonesian parliament. It is rare for foreign political leaders to speak to Indonesian parliament. Rutte's speech is part of a four-day Dutch trade mission program to Indonesia. Mark Rutte is accompanied by Foreign Trade and Development Cooperation Minister Lilianne Ploumen, Infrastructure and the Environment Minister Melanie Schultz van Haegen and Environment Minister Sharon Dijksma. In recent years the Netherlands and Indonesia have both been eager to enhance bilateral relations.
At the G20 summit in Hangzhou (China) Indonesian President Joko Widodo urged the leaders of the 20 strongest economies, in particular leaders of the advanced economies, to curb protectionist measures (tariff and non-tariff barriers) as these measures entail negative consequences for emerging markets. Trade could be the engine of international economic growth. Protectionism, however, undermines the flow of trade and therefore blocks accelerated economic growth. Widodo made this statement on Monday (05/09) at the third session of the G20 summit in Hangzhou's International Expo Center.
The Centre for Strategic and International Studies (CSIS) believes that the economy of Indonesia will benefit if the government decides to participate in the Trans-Pacific Partnership (TPP) because this free trade deal would make the Indonesian economy more efficient and makes Indonesian exports more competitive. However, Philip Vermonte, Executive Director of CSIS, said a comprehensive study on the matter is yet to be carried out. Others remain concerned about a possible huge rise in imports into Indonesia if Southeast Asia's largest economy would join the TPP deal.
Indonesia is eager to enhance trade relations with Europe through the establishment of the Indonesia-European Union (EU) Comprehensive Economic Partnership Agreement (CEPA). Thomas Lembong, Indonesia's Trade Minister, said joining this free trade deal will modernize and improve Indonesia's existing trade regulations. Joining the Indonesia-EU CEPA is the current top priority of the Indonesian government in terms of free trade deals. It aims to have reached an agreement with the EU by late-2017. Afterwards, Indonesia will seek to join the Trans-Pacific Partnership (TPP) and it also showed interest to join the European Free Trade Association (EFTA).
Today, the World Bank released the latest edition of its flagship publication Indonesia Economic Quarterly, entitled "Reforming amid Uncertainty". In this edition the Washington-based institution states that global conditions remain unfavorable despite financial markets having stabilized since October. Meanwhile, the country was negatively affected by severe man-made forest fires and toxic haze which cost Indonesia an estimated IDR 221 trillion (USD $16 billion or 1.9 percent of the country's gross domestic product) in five months.
Associated businesses Trade
