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Trading
Indonesia, a developing country rich in natural resources and boasting the 4th largest population in the world, maintains an extensive trade presence. In 2023, the national trade balance reached US$480.7 billion, having grown significantly compared to the pre-pandemic period in 2019, when it stood at US$338.96 billion. Moreover, as of March 2024, the country has officially recorded a trade balance surplus for its 47th consecutive month.
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Trading
Indonesia, a developing country rich in natural resources and boasting the 4th largest population in the world, maintains an extensive trade presence. In 2023, the national trade balance reached US$480.7 billion, having grown significantly compared to the pre-pandemic period in 2019, when it stood at US$338.96 billion. Moreover, as of March 2024, the country has officially recorded a trade balance surplus for its 47th consecutive month.
In terms of exports, Indonesia’s top export commodity has historically been mineral-based fuels, especially coal. However, in the global market, Indonesia is a superpower in the exports of vegetable oils, particularly palm oil, having captured roughly 20 percent of the market with a total export value of US$35.2 billion in 2022. Behind that, Indonesia also leads in nickel exports, with a total export value reaching US$5.8 trillion or 14 percent of global exports.
In 2023, China emerged as Indonesia’s top partner for both exports and imports, with a total annual value of US$62.3 billion and US$62.2 billion, respectively. Meanwhile, the nation’s next top export destination is the US, with a total annual value of US$ 23.2 billion, while the next top import country of origin is Japan, with a total annual value of US$ 16.4 billion.
For trades on the level of individual consumers, the main driver of growth has been the rise in e-commerce throughout the past few years. E-commerce gross market value (GMV) grew by 20 percent from US$48 billion in 2021 to US$58 billion in 2022. This growth persisted to 2023, as e-commerce GMV grew by 7 percent to US$62 billion. E-commerce grew rapidly as it provided a means for Indonesian consumers to maintain access to goods and services during the pandemic period of 2020-2022. However, by the time the pandemic ended, e-commerce had grown ubiquitous and became a staple in the day-to-day lives of the average Indonesian.
Meanwhile, the domestic retail sector in Indonesia is driven by the sale of automotives. The retail of automotives alone in the country reached a gross domestic product (GDP) of US$174.35 billion in 2023, contributing to roughly 13.53 percent of Indonesia’s total GDP of US$1.3 trillion for that year at current market prices. Moreover, the country also achieved a per capita GDP of US$ 4,919.
Strong trade growth followed by increasing access to goods has bolstered local consumer confidence in Indonesia despite the period of uncertainty throughout 2023. According to Bank Indonesia’s monthly consumer confidence survey, Indonesians entered 2024 with high confidence, with the confidence index rising from 123.8 in December 2023 to 125.0 in January 2024. Moreover, this increase is even higher compared to same period the previous year, as a consumer confidence index of 123.0 was recorded for January 2023.
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The government is currently drafting the Bill on Prevention of Disinformation and Foreign Propaganda as part of President Prabowo Subianto ’s efforts to contain potential threats to national political stability. However, the initiative risks undermining citizens’ right to access information, as such regulations are prone to elastic interpretations and potential abuse by law enforcement agencies.
Coordinating Law, Human Rights, Immigration and Correctional Services Minister Yusril Ihza Mahendra pointed to a significant amount of misinformation and inaccurate reporting by foreign entities regarding national development and interests, and that this information was frequently exploited as propaganda to discredit the country.
According to Yusril, the proposed regulation will not be limited to political issues but also address economic competition. He has said the bill is intended to protect the public sphere and national interests, particularly from information manipulation, cross-border influence operations and foreign propaganda that could potentially harm domestic products.
At its core, the primary driver behind the bill is Prabowo’s concerns over movements perceived as disrupting political stability, and the President himself ordered his administration to begin drafting legislation aimed at countering disinformation and foreign propaganda deemed detrimental to national interests.
This move follows Prabowo’s stance following the nationwide wave of large-scale demonstrations between late August and September 2025, particularly the violence that unfolded, which he characterized as indicative of treason and terrorism.
The draft disinformation bill currently falls under Law Minister Supratman Andi Agtas.
Conversely, the Indonesian Legal Aid Foundation (YLBHI) argues that the proposed bill could become an instrument to silence criticism and pose a serious threat to democracy, justice and civil rights. The YLBHI has noted a pattern among state officials who frequently dismiss public criticism as serving foreign interests, including the President, whom the foundation alleges has repeatedly characterized critical voices as vehicles for foreign propaganda.
Moreover, excessive regulation of information risks further undermining freedom of expression and the right to access information, both of which are guaranteed under the 1945 Constitution, Law No. 40/1999 on the press and other legal frameworks.
Enforcement of information-related regulations in Indonesia has been historically fraught with complexity. One precedent is the case of Baiq Nuril, who was sentenced to six months in prison and a fine of Rp 500 million (US$29,500) under the Electronic Information and Transactions (ITE) Law for recording a conversation with her school principal as evidence of sexual harassment.
Though Baiq’s case was ultimately resolved through a presidential amnesty, hers was just one of hundreds of cases that stemmed from confusion within law enforcement. This subsequently compelled the government and the House of Representatives to revise the ITE Law in 2024.
Most recently, Laras Faizati Khairunnisa, a communications officer at an organization affiliated with the ASEAN Secretariat, stood trial for using social media to express her anger with the way the police handled the mass protests last August. Last week the South Jakarta District Court convicted her of incitement and sentenced her to one year of probation.
Rights groups warn that if enacted, the proposed disinformation bill could consolidate power in the president as the ultimate arbiter of whether convicted individuals serve their sentences, given the constitutional power of executive clemency.
According to Wahyudi Djafar, a digital governance expert, the academic draft of the disinformation bill was submitted abruptly, missing the September 2025 deadline for inclusion in the 2025-2029 National Legislation Program (Prolegnas). Nevertheless, lawmakers can still revise the Prolegnas under provisions that allow for the deliberation of additional legislation, particularly for the 2026 legislative year.
