While Vietnam Moves, Indonesia Stays Silent: Where Is Our Export Strategy?

   

Tangerang, Indonesia’s export sector is facing mounting challenges as the global economy continues to struggle with the aftermath of the U.S. China trade war and the impact of rising domestic taxes. Exporters, especially small and medium-sized enterprises (SMEs), are bearing the brunt of these pressures. While they grapple with increasing production costs and shrinking demand in international markets, the government appears to remain silent offering no clear strategy or support to help them navigate these turbulent times.

The ones most affected are Indonesia’s exporters  particularly SMEs that form the core of the country’s trade economy. These businesses have limited capacity to absorb the additional financial burden caused by new tax policies, and they lack the resources to swiftly shift their operations in response to changing global conditions. In stark contrast, other countries like Vietnam are seizing the moment. They’re actively negotiating new trade agreements, opening their doors to supply chain relocations from China, and stepping up their efforts to become key players in the global market.

This divergence in response is evident across regions. While Indonesia lags behind, Vietnam is visibly positioning itself for long-term gains. Global manufacturers are moving operations there, attracted by a stable policy environment and aggressive trade diplomacy. Indonesia, meanwhile, seems stuck in place. Despite being hit by the same global forces, there has been little public policy discussion or urgent economic response from Indonesian leadership.

These issues aren’t new. The global trade war began disrupting international trade flows as early as 2018, and the effects have only deepened since. As the world adjusts, countries are being forced to rethink their export strategies some with speed, others with hesitation. Unfortunately, Indonesia appears to fall into the latter group.

This matters deeply because exports are a crucial pillar of Indonesia’s economic stability. They generate jobs, bring in foreign exchange, and drive industrial growth. Without bold action, Indonesia risks losing its competitive edge. The absence of a strategic response doesn’t just reflect a policy gap  it signals missed opportunities, growing vulnerabilities, and a potential long-term decline in our global trade presence.

 Other countries, particularly Vietnam, demonstrate how proactive leadership and timely policy adjustments can turn global uncertainty into opportunity. In contrast, Indonesia’s silence sends a troubling message: that our exporters must fight these battles alone, without meaningful guidance or support. It’s time for the government to step up, because while we wait, others are already moving ahead.