Indonesia’s Shrimp Tariff Slashed to 13.9%, Smashing Vietnam’s US Market Edge

The United States has imposed a total tariff of approximately 13.90 percent on Indonesian shrimp, a rate that puts the Southeast Asian nation in a stronger competitive position than Vietnam, according to the Indonesian government [1]. The figure, confirmed by officials, covers all applicable US import duties on Indonesian shrimp products [1]. While the government did not specify Vietnam’s exact tariff rate in the initial statement, the comparison highlights Indonesia’s relative advantage in the US market [1].

The lower tariff is expected to make Indonesian shrimp more price-competitive for American buyers, potentially boosting export volumes [1]. Indonesia is one of the world’s major shrimp producers, competing directly with Vietnam, India, and Ecuador for US market share [1]. Trade analysts note that tariff levels are a key factor for importers when choosing suppliers, as they directly affect final consumer prices [1]. The Indonesian government’s announcement signals a positive outlook for local shrimp farmers and exporters [1].

In a related trade win, the US has also dropped its import tariff on Indonesian seaweed and agar-agar to zero, removing a major cost barrier for exporters [2]. Agar-agar, widely used in food, cosmetics, and laboratory settings, is a key export commodity for Indonesia [2]. The tariff reduction is expected to boost demand for Indonesian seaweed and processed derivatives in the US, potentially increasing revenue for local farmers and processing companies [2]. Indonesia’s Ministry of Trade has welcomed the decision, calling it a step toward strengthening bilateral trade ties [2].