U.S. President Donald Trump on Tuesday announced a trade deal with Indonesia, the latest pact in a bid to cement better terms with trading partners and reduce a massive trade deficit, even as the European Union readied retaliatory measures should talks between Washington and its top trading partner fail.

Indonesia's president on Wednesday hailed a "new era" of trade relations with the United States, after Donald Trump said he would slash tariffs faced by Southeast Asia's biggest economy from 32 percent to 19 percent.

Indonesia’s president said he struck a 19% tariff deal with US President Donald Trump, the first confirmation of the key agreement detail after months of talks between the countries.