According to the report from the Ministry of Finance of the Republic of Indonesia, this country has successfully improved its trade balance despite being amid the global economic slowdown. However, the surplus of US$36.93 billion in 2023 is still lower than the previous year.
In 2022, Indonesia's export value reached US$291.90 billion, while in 2023 it stood at US$258.82 billion, slightly lower than in 2022. Similarly, the import value showed a nominal decrease from 2023 compared to 2022. Indonesia's import value in 2023 was US$221.89 billion, down by about 6.55% (YoY).
Meanwhile, from a volume perspective, Indonesia's export value in 2023 increased by 8.55% (YoY) and Indonesia's import value increased by 8.04% (YoY) compared to 2022.
On the other hand, according to the Central Statistics Agency, Indonesia had a trade balance surplus of USD $2.3 billion in December 2023, which increased by USD $0.9 billion monthly. This figure indicates that Indonesia has had a trade surplus for 44 consecutive months.
Indonesia itself had trade partners with 246 countries in 2023, according to the Central Statistics Agency. Of these countries, 177 contributed to the trade surplus, while the rest had a deficit.
In general, the countries contributing most to Indonesia's trade surplus include India with US$14.51 billion (exports: US$20.28 billion, imports: US$5.77 billion), followed by the United States with a contribution of US$14.01 billion (exports: US$23.24 billion, imports: US$9.22 billion). The Philippines ranked third with US$9.60 billion (exports: US$11.04 billion, imports: US$1.44 billion). The other two major countries in the top five are Malaysia and Bangladesh with US$4.4 billion and US$3.12 billion, respectively.
In terms of export value, Indonesia's exports are still concentrated on a few countries, including China (25.66%), the United States (9.57%) and India (8.35%). On the import side, China (33.42%) and Japan (8.84%) dominate Indonesia's imports.
The slowdown in Indonesia's export value is attributed to the moderation in prices of key commodities such as oil and palm oil, as well as relations with some trading partners. Meanwhile, the slowdown in Indonesia's import sector is due to machinery/electrical equipment and parts.
This year, the outlook for Indonesia's trade activities is expected to continue to be affected by global economic uncertainty. This situation can be observed from the expected slowdown in global economic growth projected by various international institutions, accompanied by a moderate decline in commodity prices.
