WHY YBSI?
Discover the benefits of a stronger Indonesia-US trade partnership
YBSI is advocating for a U.S.-Indonesia Limited Free Trade Agreement (LFTA) to provide a structured framework for expanded trade and investment, benefiting both countries by strengthening economic ties in critical minerals (nickel, cobalt, copper, tin, bauxite), textiles and apparel, footwear, machinery and electronics, marine and agricultural products, and furniture.
At a time when China controls roughly 80% of global mineral processing, deeper trade ties with Indonesia—the world’s top producer of nickel and a key supplier of other critical minerals—would help the U.S. diversify supply chains while ensuring long-term supply stability for industries essential to clean energy, semiconductors, and defense manufacturing. Strengthening U.S.-Indonesia trade relations through an LFTA would:
Expand U.S. market access in one of the world’s fastest-growing economies.
- Expands market access for goods and services.
- Drives higher trade volumes, fostering long-term economic growth.
- Attracts foreign direct investment (FDI) from US industries looking for alternative markets.
Secure critical mineral supply chains vital to U.S. manufacturing and energy security.
- Enhances diplomatic and trade relations between Indonesia and the US.
- Reinforces regional economic stability in the Indo-Pacific.
Reinforce U.S. economic leadership in the Indo-Pacific.
- Facilitates technology transfer and industrial upgrading, especially in high-tech sectors.
- Supports growth in electric vehicles, renewable energy, and digital trade.
- Encourages collaborative innovation between Indonesian and American industries.
Cultural & People-to-People Exchange
- Promotes educational collaborations and knowledge-sharing initiatives.
- Boosts tourism and business travel through improved visa policies.
- Encourages greater cultural appreciation and collaboration.
Sustainability & Labor Standards
- Ensures adherence to environmental protections in trade agreements.
- Promotes sustainable and responsible trade practices.
- Strengthens worker protections and fair labor conditions.
