Trump announced the pact with Indonesia, a relatively minor U.S. trading partner, as he continued to press for what he views as better terms with trading partners and ways to shrink a huge U.S. trade deficit.

The Indonesian government refuses to engage in transhipment practices with other countries to comply with the trade agreement with the U.S.

Indonesia secures a 19 percent US tariff rate which is the lowest in ASEAN boosting export competitiveness while committing to enforcement.