Indonesia is considering reducing its oil and gas imports from Nigeria and other countries to boost purchases from the United States as part of trade talks.
Details of the Proposal
Also, Indonesia’s Energy Minister, Bahlil Lahadalia, said the country plans to raise crude oil and LPG imports from the US by about $10 billion.
This is aimed at narrowing its trade surplus with the US and avoiding proposed tariffs of up to 32 per cent on Indonesian goods.
Current Import Breakdown
Moreover, Kpler data shows Indonesia imported 217,000 barrels per day (bpd) of LPG in 2024, with 124,000 bpd coming from the US.
Crude oil imports stood at 306,000 bpd, sourced mainly from Nigeria, Saudi Arabia, and Angola. The US supplied just 13,000 bpd.
Potential Impact on Nigeria
Furthermore, if approved, the shift would reduce Indonesia’s reliance on non-US suppliers.
The Energy Shift Institute noted a 20–30 per cent cut in non-US LPG imports could follow, depending on current contracts.
Pertamina’s Position
Additionally, Indonesia’s state energy firm Pertamina said it is reviewing its current import plans and will await government guidance before taking further action.
If Indonesia proceeds with this proposal, Nigeria may see a decline in its crude oil and LPG exports to the country.
This could affect Nigeria’s oil revenues at a time when global competition for energy markets is increasing.
