07/25/2025
U.S. and Indonesia Forge Trade Deal to Boost American Market Access
Check out this week's Customs Corner to read about the U.S. and Indonesia Trade Deal, upcoming ACE Report Webinars, and more.
Trade and Customs Updates
1) U.S. and Indonesia Forge Trade Deal to Boost American Market Access
President Trump has announced a trade agreement with Indonesia, set to open markets previously deemed inaccessible and drive substantial growth in American manufacturing, agriculture, and digital sectors.
Under this agreement, Indonesia will apply a reciprocal tariff rate of 19% on U.S. imports, while eliminating over 99% of tariff barriers on U.S. products across various sectors, including agriculture, health, technology, automotive, and chemicals. This move is expected to create substantial market access opportunities for U.S. exports and support high-quality American jobs.
The deal also addresses non-tariff barriers for U.S. industrial exports by exempting American companies from local content requirements, accepting U.S. safety and emissions standards for vehicles, and recognizing FDA certifications for medical devices. It further eases barriers for U.S. agricultural products by exempting them from Indonesia's import licensing regimes and ensuring transparency in geographical indications.
In a bid to enhance digital trade, Indonesia commits to eliminating tariffs on intangible products and supporting a WTO moratorium on customs duties for electronic transmissions. The agreement also tackles global steel excess capacity and increasing supply chain resilience.
Moreover, the pact promises improvements in labor standards, with Indonesia agreeing to implement a forced labor import ban and enhance workers' rights. The countries also note commercial deals in agriculture, aerospace, and energy, poised to further elevate U.S. exports.
The deal aims to reduce the U.S. goods trade deficit with Indonesia, which stood at $17.9 billion in 2024, and level the playing field for American industries.
References:
- Joint Statement on Framework for United States-Indonesia Agreement on Reciprocal Trade – The White House
- Fact Sheet: The United States and Indonesia Reach Historic Trade Deal – The White House
2) New Dates for ACE Report Webinars
Updated dates for the remaining webinars are now available – update your calendars!
Webinar #3 – August 6, 2025
Webinar #4 – September 10, 2025
Find out more below about the next webinar and how to join!
ACE Reports Webinar #3: Adding Dynamic Dates
Wednesday, August 6, 2025, 1:00 – 2:30 p.m. ET
Topics to be covered:
- Modifying ACE Reports to use dynamic dates in query filters
- Saving and scheduling reports
Following the presentation, CBP will open the webinar for a question-and-answer session.
The link to join the webinars can be found in CSMS # 65708873
3) Port of New York/Newark Updates Fumigation Guidelines for COE Cargo New York, NY
The United States Department of Agriculture (USDA) has released new guidelines for the movement and treatment of Condition of Entry (COE) cargo requiring fumigation. As outlined in 7 CFR 305.2(a), these changes come in response to the impending closure of the Vanguard Pest Control treatment facility in Newark, NJ.
Effective August 1, 2025, or upon the cessation of services by Vanguard Pest Control, COE cargo arriving at the Port of New York/Newark will need to be redirected to two designated facilities for fumigation: Agra Fumigation, located at 221-20 147 Avenue, Jamaica, NY, and ASAK Solutions at P78 North Boundary Road, Jamaica, NY. This procedure is applicable solely to COE commodity cargo. Cargo that cannot be properly presented for fumigation treatment risks re-exportation or destruction at the importer’s expense, as specified in their USDA import permit.
The change follows Vanguard Pest Control's announcement to cease phytosanitary fumigations and close its Newark facility by the end of July 2025. Vanguard will halt acceptance of new shipments after July 24, 2025, and all existing shipments must be retrieved by July 30, 2025.
In light of these developments, the Animal and Plant Health Inspection Service (APHIS), in collaboration with Customs and Border Protection (CBP), has laid out specific procedures for the movement of COE cargo. CBP agriculture specialists will conduct thorough inspections to ensure containers are free from contaminants such as soil, debris, animal waste, and hitchhiker pests like snails before authorizing bonded movement to the approved facilities.
Furthermore, non-COE cargo holding an Emergency Action Notification (EAN) will undergo a detailed review by Quarantine Policy, Analysis, and Support (QPAS) and CBP to determine appropriate pest mitigation measures on a case-by-case basis.
CBP Agriculture Specialists will adhere to approved procedures to facilitate the bonded movement of COE cargo, with all actions meticulously recorded in CBP systems. This measure aims to maintain the integrity of imported goods while preventing the introduction of pests into the United States.
The logistics community at the Port of New York/Newark is advised to adjust their operations in accordance with these updated guidelines to ensure compliance and minimize disruptions in cargo processing.
Reference:
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