EU and Indonesia Reach Political Agreement on Comprehensive Economic Partnership

Brussels: In a significant development, President Ursula von der Leyen of the European Commission and President Prabowo Subianto of Indonesia have reached a political agreement on the Comprehensive Economic Partnership Agreement (CEPA) during a meeting in Brussels. This agreement marks a crucial step towards its finalization, expected by September 2025, under the guidance of Commissioner Maroš Šefcovic and Coordinating Minister Airlangga Hartarto.

According to Homeland Security, the agreement underscores a mutual commitment to openness and partnership, aiming to open new markets and create business opportunities while fortifying supply chains for critical raw materials essential to Europe’s clean tech and steel industries. President von der Leyen emphasized the potential of the agreement to foster shared prosperity and expressed her anticipation for its swift conclusion.

Beyond economic collaboration, the leaders reaffirmed their dedication to a broader bilateral partnership. To facilitate closer ties between the EU and Indonesia, the European Commission has adopted a visa cascade decision for Indonesia, which will streamline access to multiple-entry visas, promoting people-to-people connections.

The discussions also highlighted a commitment to advancing a clean energy transition. Indonesia’s national strategy, rooted in the vision of energy self-sufficiency and resilience as outlined in the Asta Cita, aligns with the EU’s Global Gateway and the Just Energy Transition Partnership to support Indonesia’s long-term energy goals.

Both leaders expressed their support for a rules-based international order, stronger cooperation with the United Nations, and peace initiatives in regions such as Ukraine and the Middle East. The discussions reinforced a mutual commitment to enhancing the ASEAN and EU partnership to promote peace, prosperity, and sustainable development in the Indo-Pacific region.

Lastly, the leaders agreed that the growing relationship between Indonesia and the EU, based on shared values of democracy, human rights, and the rule of law, should serve as the foundation for a more strategic partnership in the future.