• Economy: Indonesia initiates negotiation with USTR
Indonesia’s Coordinating Minister for Economic Affairs, Airlangga Hartarto, stated that the
Indonesian Embassy has initiated communication with the U.S. Trade Representative (USTR)
regarding the 32% import tariff imposed by the U.S. on Indonesian products. The USTR is
currently awaiting a concrete negotiation proposal from Indonesia, and the government is
preparing a response aimed at easing trade tensions through reciprocal measures. As part of
the negotiation strategy, Indonesia is considering increasing imports from the U.S.,
particularly in wheat, cotton, and oil & gas, aligning with the U.S.’s trade deficit of USD 17.88B
with Indonesia in 2024. President Prabowo Subianto has also discussed the issue directly
with President Donald Trump, and Indonesia is coordinating with regional partners like
Malaysia to address the broader impact of the tariff policy. (Kontan)
• Economy: Indonesia reported 1.65% inflation mom in Mar 25
Indonesia recorded a monthly inflation rate of 1.65% on Mar 25, reversing the deflation of
0.48% in Feb. This surge was mainly driven by rising costs in housing, utilities, and household
fuels, particularly electricity tariffs, which alone contributed 1.18% to the overall inflation.
Other contributors included red onions, bird’s eye chilies, gold jewelry, and broiler chicken.
As of Mar 25, Indonesia’s annual inflation reached 1.03%. (Kontan)
• AKRA remains optimistic in 2025
AKR Corporindo (AKRA) projects a net profit growth of 8–15% in 2025, supported by recovery
across business segments, operational resilience, and strategic investments, despite global
macroeconomic uncertainties. The company expects gross profit in its trading and
distribution segment to rise by 5–8%, driven by higher demand for basic chemicals and fuel,
especially in Eastern Indonesia. Growth in the mining sector, supported by governmentbacked
downstream and demand for green minerals like nickel, bauxite, and copper, is
expected to further boost fuel distribution. AKRA is also expanding its fuel retail business,
enhancing logistics efficiency through digital integration, and accelerating land sales at its
JIIPE industrial estate, targeting 80–110 ha in 2025 (vs. 37 ha in 2024). With smelters and largescale
industries beginning operations at JIIPE, recurring revenue from utilities and port
services is expected to rise. (Kontan)
• INKP recorded USD 424.3M net profit in 2024
Indah Kiat Pulp & Paper (INKP) posted a net profit increase of 3.12% yoy in 2024, rising from
USD 411M to USD 424.3M. Revenue fell 8.14% yoy to USD 3.19B, mainly due to lower sales
across all major segments, including cultural paper, pulp, and industrial paper. However, the
company managed to reduce its cost of goods sold, helping to maintain profitability. INKP’s
total assets grew to USD 11.17B in 2024, while liabilities rose to USD 5.36B, and equity
increased to USD 6.4B. The company also reported a stronger year-end cash position of USD
1.76B, up from USD 1.4B. (Kontan)
