Key Country Contacts
Trade Overview
With a population of over 237 million, Indonesia is the fourth most populous country in the world and represents a sizable consumer market. In 2011, Indonesia had a gross domestic product (GDP) of $834 billion1.12 making it the 15th largest economy in the world. (International Monetary Fund)
The Indonesian government plays a significant role in Indonesia’s market economy in which it owns over 160 enterprises and sets prices for several goods such as electricity, rice and fuel. Indonesia has the largest economy in Southeast Asia and is a member of both the G20 and APEC (Asia-Pacific Economic Cooperation).
According to the IMF, Indonesia is the third fastest growing economy in the G20 after India and China. The country’s main economic industries include petroleum and natural gas, apparel, textiles, apparel, mining, tourism and rubber. Indonesia has endured the recent global financial crisis through its reliance on domestic consumption to drive continual economic growth.
In addition, investment from both foreign and domestic sources has supported the Indonesian economy. Due to its recent economic growth and sound fiscal policies, Indonesia’s debt to GDP ratio has steadily declined.
Trade was been expanding swiftly between the United States and Indonesia in the last several years. Since 2005, U.S. exports to Indonesia have more than doubled from $3.1 million to $7.4 million in 2011. The main export categories are Transportation Equipment, Agricultural Products, Chemicals, and Food Manufactures.
Indonesia: The Emerging Market
Presentation to DEC Conference, 2011
Indonesia - California Trade
California exported approximately $848 million to Indonesia in 2011, making it the 29th largest trading partner. The largest export category from California was food manufacture products totaling over $233 million, representing 27.5 percent of all California exports to Indonesia. Other top export categories include Chemicals, Agricultural Products, and Machinery (except Electrical) totaling 17.4, 14.8, and 8.8 percent of all export commodities respectively.
ASEAN - Indonesia's Involvement
Association of SouthEast Asian Nations (ASEAN)
On October 7, 2003, 10 Southeast Asian nations signed an agreement to become an economic union by 2020. The agreement sets deadlines for lowering travel restrictions and tariffs in the region of 500 million people. Trade in this ASEAN Economic Community totals more than $720 billion a year. ASEAN includes Thailand, the Philippines, Indonesia, Cambodia, Malaysia, Singapore, Laos, Vietnam, Brunei and Myanmar.
Indonesia and APEC
Indonesia is actively involved with Asia-Pacific Economic Cooperation (APEC). APEC was formed in 1989. It serves as a multilateral forum in which Asian and Pacific economies can solve economic problems and cooperate in developing key economic sectors.
Collectively, the 21 economies of APEC, which touch the Pacific Ocean, represent a large consumer market— nearly half the world’s population, nearly half of all world trade and more than $31 trillion in economic output.
The APEC economies are: Australia, Brunei Darussalam, Canada, Chile, People’s Republic of China, Hong Kong, Indonesia, Japan, Republic of Korea, Malaysia, Mexico, New Zealand, Papua New Guinea, Peru, Republic of the Philippines, Russia, Singapore, Chinese Taipei, Thailand, United States and Vietnam.
Indonesia will host the 25th Annual APEC meetings in 2013.
Recent Events
| Asia Pacific Trade Matters get Attention at CalChamber Gatherings |
 (June 1, 2011) Ambassador Kurt Tong discusses upcoming meetings of the Asia-Pacific Economic Cooperation (APEC) at an international forum presented by the CalChamber Council for International Trade, chaired by Susan Corrales-Diaz.
Full Alert Article - June 10, 2011
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