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Indonesia Stands by BRICS Membership Despite Potential US Tariffs

July 10, 2025

15:09 GMT

Photography: Alexandre Brum

Indonesia Stands by BRICS Membership Despite Potential US Tariffs

July 10, 2025

15:09 GMT

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Indonesia will remain committed to its BRICS membership even if US President Donald Trump follows through on threats to impose additional tariffs on countries aligned with the bloc, according to State Secretary Prasetyo Hadi.

Earlier this week, Trump announced that nations siding with BRICS – which he accused of following “anti-American agendas” – could face a 10% tariff hike on exports to the US.

Speaking to the press on Wednesday, Prasetyo emphasized that Jakarta understands the risks that come with joining the alliance. “We acknowledge the possible consequences of being part of BRICS. If higher tariffs are among them, we are prepared to deal with that,” he stated, as reported by the Jakarta Globe.

Indonesia formally became a full BRICS member in early 2025. Alongside South Africa, it was one of just two BRICS nations among 14 countries to receive formal warnings from Washington about looming tariff increases scheduled for August 1. Indonesia could face a 32% tariff, which may rise to 42% if Trump’s proposed bloc-wide penalty is enacted.

Despite the pressure, Prasetyo said the figures are not final and added that Indonesia has already dispatched its economic minister to Washington to negotiate more favorable trade terms.

At the recent BRICS summit in Rio de Janeiro, the bloc — which includes Brazil, Russia, India, China, South Africa, Egypt, Ethiopia, Iran, the UAE, and Indonesia — criticized the global trend of raising tariffs unilaterally. The group warned that such moves could damage global commerce and destabilize key supply chains.

Trump continued his criticism of BRICS on Tuesday, accusing the alliance of attempting to dismantle the US dollar’s global dominance. He declared, “I won’t let that happen.”

BRICS members, however, maintain that they are not targeting the dollar specifically, but are instead pursuing greater economic sovereignty. They argue that the West’s decision to freeze Russian foreign reserves after the Ukraine conflict intensified in 2022 has driven countries to reduce dependence on politically vulnerable reserve currencies like the dollar and euro.

SNNW Staff

SNNW's journalists report the news in countries where a free press is banned by the government or not fully established. We provide what many people cannot get locally: uncensored news, responsible discussion, and open debate.

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