Face US reciprocal rates as a golden opportunity

KABARJAWA – The Financial Services Authority (OJK) takes strategic steps to strengthen the pulse of the regional economy.

Through an intense dialogue with the furniture, craft and textile industry players in Yogyakarta Special Region (DIY), OJK opened a direct communication space.

They dissected challenges while formulating strategies to face the increasingly complex global trade dynamics.

OJK push exports

The Chairman of the OJK Board of Commissioners, Mahendra Siregar, led the discussion that took place at the OJK DIY office on Friday afternoon.

More than 50 members of the Industrial Association were present, including the Indonesian DIY Chamber of Commerce (Kadin), the Indonesian DIY DIY Development and Crafts Industry Association (ASMINDO), and the DIY Sharia Economic Community (MES). The atmosphere of the forum flows warm but full of seriousness.

Mahendra stressed that the United States Reciprocal Tariff Policy (US) of 19 percent of Indonesian products should not be an obstacle. He actually invited businesses to view him as a golden opportunity to increase the volume of exports.

“The purpose of our chatting is to listen to each other and exchange ideas. We must respond right on US reciprocal rates, especially the textile, furniture, furniture, and craft sectors have a strategic position in the global market,” he said.

The data he described confirms the importance of this strategy. Indonesia ranked fifth in the largest exporter of textile and textile products (TPT) to the United States, with a figure of 49.7 percent.

For furniture, the figure is even more dominant: 57 percent of Indonesia’s total exports are absorbed by the US market. What makes the situation more attractive, US tariffs for Indonesian products are classified as the lowest competitors.

China faces a 30 percent tariff, Vietnam is 20 percent, and India is 35 percent. This condition opens strategic opportunities that are not owned by many countries, especially in the midst of global trade pressure.

Financing aspects

Mahendra also highlighted the importance of strengthening domestic industries and facilitating access to financing, especially for MSMEs of furniture, crafts and textiles in DIY and Central Java.

He emphasized that the OJK focused on the financing aspect, but for things outside of that, he was ready to record and voiced directly to the relevant ministries and institutions.

“Of course the goal is that businesses get the best attention,” he said.

Deputy Chairman of Kadin DIY, Robby Kusumaharta, welcomed this forum. He appreciated opportunities for businesses to convey direct aspirations to the OJK.

He hopes that this dialogue results in concrete steps and the best solutions for the sustainability of industry in DIY.

With the collaboration of regulators, business actors, and industrial associations, this momentum is a sturdy foothold to maintain competitiveness as well as secure Indonesia’s strategic position on the world trade map. (EF Linangkung)