Indonesia: United States and Indonesia signed Agreement on Reciprocal Trade, including prohibition of customs duties on electronic transmissions

On 19 February 2026, the United States and Indonesia signed an Agreement on Reciprocal Trade. Pursuant to Article 3.5 of the Agreement, Indonesia undertakes not to impose customs duties on electronic transmissions, including content transmitted electronically. Indonesia further commits to support, immediately and without conditions, the multilateral adoption of a permanent moratorium on customs duties on electronic transmissions within the framework of the World Trade Organization (WTO). Article 3.5 clarifies that this obligation does not prevent Indonesia from applying internal taxes, fees, or other charges to electronic transmissions, provided that such measures are applied in a manner consistent with Articles I and III of the General Agreement on Tariffs and Trade 1994 and Articles II and XVII of the General Agreement on Trade in Services. In addition, pursuant to Annex III, Article 3.1, Indonesia agrees to eliminate existing tariff lines applicable to “intangible products” and to suspend the requirement for importers to submit import declarations to Indonesian customs authorities in respect of electronic transmissions.