October 13, 2025 | 01:00 pm
TEMPO.CO, Jakarta - The rupiah opened lower during Monday's trading at Rp16,590 per US dollar, slipping 20 points from the previous Rp16,570 per US dollar.
Currency analyst at Doo Financial Futures, Lukman Leong, attributed the weakening rupiah to market concerns over the escalation of the US-China trade war.
"The dollar index itself dropped significantly after Trump threatened to impose an additional 100 percent tariff to China. However, currencies sensitive to tariffs and the Chinese economy, such as the rupiah and other Emerging Market currencies, are potentially under more pressure," he told Antara in Jakarta on Monday, 13 October 2025.
Quoting Anadolu, Trump promised to impose fresh tariffs on Chinese goods and restrict the export of "critical software" after Beijing announced restrictions on the export of rare earth minerals.
The US aims to implement the tariff by November 1, 2025, or earlier, depending on further actions or changes made by China.
Trump previously criticized Beijing's announcement, stating that there is currently "no reason" to follow through with plans to meet with Chinese President Xi Jinping on the sidelines of the Asia-Pacific Economic Cooperation (APEC) Summit in South Korea later this month.
China announced new restrictions on the export of rare earth elements on Thursday, October 9. The restrictions expand limits on processing and manufacturing technologies and forbid cooperation with foreign companies without prior government permission.
The Chinese Ministry of Commerce said these measures aim to safeguard national security and interests by imposing export controls on technology related to rare earth elements, including mining, smelting, separation, production of magnetic materials, and recycling of secondary resources.
Technology and data related to mining, smelting, and separation of rare earth elements, smelting of metals, manufacturing of magnetic materials, recycling of rare earth secondary resources, and assembly, maintenance, and improvement of related production lines cannot be exported without official permission.
According to Lukman, the ongoing trade war between the US and China poses a threat to the dollar, especially for regional Asian currencies heavily dependent on China's economy.
"(Trump's tariff policies) are for the glory of the US - MAGA (Make America Great Again). But these policies are a setback, in my opinion," he said.
Editor’s Choice: Bank Indonesia Records Rp1.19 Trillion Foreign Capital Outflow This Week
Click here to get the latest news updates from Tempo on Google News
Indonesia's Industry Minister Says Chinese Firm Interested in Coal Downstream Project
3 jam lalu
Indonesia's Minister of Industry reveals that a Chinese energy company is interested in the project of coal downstreaming into chemical products.
China Criticizes US for 'Double Standards' over New Tariffs
1 hari lalu
Beijing has threatened to take corresponding measures after Donald Trump threatened 100% US tariffs over China's limits on rare earth exports.
Today's Top 3 News: India Defeat Indonesia 2-1 in U-23 Friendly Ahead of 2025 SEA Games
1 hari lalu
Here is the list of the top 3 news on Tempo English today.
Bank Indonesia Records Rp1.19 Trillion Foreign Capital Outflow This Week
1 hari lalu
Since the beginning of the year until October 10, 2025, Bank Indonesia recorded a net outflow of foreign capital reaching Rp132 trillion in SRBI.
10 Best Universities in Asia for the 2025-2026 Academic Year
2 hari lalu
Discover the best universities in Asia for 2025-2026, where world-class institutions from Singapore, China, and Hong Kong.
Rupiah Dips Marginally as US Shutdown Extends into Ninth Day
2 hari lalu
The rupiah closed slightly weaker on Friday afternoon, slipping by 2 points or 0.01 percent to Rp16,570 per US dollar from the previous Rp16,568.
Indonesian Gov't Assures Cesium-137 Case Won't Affect Shrimp Exports to U.S.
2 hari lalu
Ministry assesses that the cesium-137 case does not disrupt shrimp export as the distribution through contaminated channels has been stopped.
World's Highest Bridge in China Features Cafe 800 Meters Above Ground
3 hari lalu
Visitors can enjoy their favorite coffee while admiring the views of clouds, rivers, and forests on the highest bridge in the world, located in China.
BPOM: Cesium-137 Contamination Affects Indonesian Food Exports
3 hari lalu
BPOM stated that the US Food and Drug Administration (US FDA) import alert has the potential to affect Indonesian spice products.
Indonesia-US Trade Tariff Talks Enter Final Stage, Government Says
3 hari lalu
The government says the draft trade agreement with the U.S. includes the potential for zero tariffs on goods imported from Indonesia.
