A second Donald Trump presidency could bring major challenges for Southeast Asia, including sweeping tariffs, weaker climate commitments, and sharper security tensions. Yet potential openings exist: Trump’s proposed 60% tariff on Chinese goods could boost Indonesia’s export competitiveness in sectors like textiles, while supply chain shifts may drive more investment into the region. For Indonesia, the priority will be to leverage U.S. private investment, diversify trade partnerships, and sustain strategic flexibility under President-elect Prabowo Subianto’s foreign policy. The key test will be whether Jakarta and Washington can turn Trump’s “America First” stance into opportunities for fairer trade and deeper economic cooperation.
