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Indonesia Focusing Domestic Tourism to Counter U.S. Reciprocal Tariffs Pressures Under Trump

by Raidi
2025-04-17
in Economic
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Jakarta, Indonesia Sentinel — Indonesia’s Ministry of Tourism (Kemenpar) is turning its focus inward, prioritizing domestic tourism development in response to the reciprocal tariff policies reintroduced by U.S. President Donald Trump. The move is seen as a strategic effort to cushion the country from potential shocks tied to escalating global trade tensions.

Speaking at a press conference during the 37th CAP-CSA at Hotel Mulia in South Jakarta, Martini M. Paham, Deputy for Resources and Institutions at the Ministry of Tourism and Creative Economy, said tourism could play a vital role in shielding the country from economic instability triggered by U.S. tariffs.

“We’re focusing on domestic tourists and regional tourism,” said Martini. “The domestic tourism market remains strong, even in the midst of a tariff war.”

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To support this pivot, the government plans to prioritize investment in several tourism sectors particularly wellness tourism, gastronomy, MICE (Meetings, Incentives, Conferences, and Exhibitions), and special events. Martini expressed confidence that these segments could become pillars of both short- and long-term tourism growth.

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Read Also: 

Indonesia Plans to Increase $18–$19 Billion in U.S. Imports Responding to Trump Reciprocal Tariffs

One key initiative is the Indonesia Spice Up the World (ISUTW) program, aimed at promoting Indonesian cuisine and spices internationally. “This program is designed to strengthen opportunities for stakeholders involved in gastronomic tourism,” she said.

Tourism Minister Widiyanti Putri Wardhana also urged industry players to adapt to shifting global dynamics by enhancing destination readiness, tourism product quality, workforce skills, and promotional efforts.

From the government’s side, Widiyanti said efforts will continue to develop tourism villages and expand tourism-based economic activities throughout the archipelago. The goal, she explained, is to create a more equitable economic distribution and reduce reliance on export-driven manufacturing, which remains vulnerable to U.S. trade tariffs.

“With strong promotion and development support from the government, the tourism sector is expected to become a major source of foreign exchange, helping us navigate global uncertainties and serve as a key services export,” Widiyanti said.

 

(Raidi/Agung)

Tags: Indonesia newsKemenparTourism
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