Trade talks with US still on, says Indonesia

It seeks to dispel reported US concerns over implementation of a handshake deal in July

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Trade negotiations between Indonesia and the United States remain ongoing, Indonesia's government insists, seeking to dispel reported US concerns over the implementation of a handshake deal agreed in July.

"There are no specific issues with the discussions and normal dynamics are part of the process," Office of the Coordinating Economy Minister spokesman Haryo Limanseto told The Jakarta Post on Dec 10.

The statement comes after several media reports, citing growing frustration in Washington, suggested that talks on a bilateral trade agreement were in danger of collapsing.

The deal with Indonesia could be at risk because Jakarta reportedly backtracked on several commitments, "reneging" on what the two countries had agreed, Reuters reported on Dec 10, citing a US official who spoke on condition of anonymity.

US officials now believe Indonesia is "backsliding" on agreements to eliminate non-tariff barriers on American industrial and agricultural exports, as well as on digital trade issues, the Financial Times reported on Dec 10.

The two sides are also clashing over an effort by the US to include clauses Indonesia sees as infringing on its economic sovereignty, according to the FT.