The United States government, under President Donald Trump, plans to impose import tariffs of up to 47% on several key Indonesian products, which is expected to have a ripple effect across various sectors, including information and communication technology (ICT).
Fanky Christian, the Secretary General of the National Association of Information and Communication Technology Entrepreneurs (Aptiknas), believes that although the Indonesian ICT sector does not directly rely on exports to the U.S., the repercussions will still be felt through technology-dependent industries.
“The impact will be significant, particularly for digital industry players serving export-oriented manufacturing sectors such as textiles and footwear. If exports decline, spending on digital transformation may also be hindered,” he stated in an interview with Kontan.co.id on Sunday, April 20.
Fanky noted that Indonesia imports a substantial amount of technology products from the U.S., including servers and computers (from brands like Dell, HP, and Apple), IT components (such as Intel, AMD, and SSDs), and networking devices (like Cisco and Juniper).
In terms of software, enterprise software licenses from companies like Microsoft and Oracle, as well as cloud services such as AWS and Azure, continue to dominate the market. The total value of these imports is estimated to reach between $1 billion and $2 billion annually.
“If the manufacturing industry is adversely affected by U.S. tariffs, the demand for technology will likely weaken as well. This could negatively impact the national ICT market,” he added.
Aptiknas recommends that the government implement several strategic measures to ensure the ICT industry remains competitive amid global pressures. These measures include promoting the quality of local products to enhance global competitiveness, providing export incentives for digital services, and accelerating the commercialization of domestically developed artificial intelligence (AI) products.
Fanky also sees opportunities for export growth in the digital services sector. “Software, AI services, creative content, and Indonesian-made SaaS products could become a new strength in our digital exports,” he explained.