Strengthening a Strategic Partnership
India and Indonesia have taken a major step towards deepening their relationship, focusing on defense modernization and economic collaboration. The recent visit of Indonesian President Prabowo Subianto to India culminated in key agreements spanning multiple sectors. This visit coincided with India’s Republic Day celebrations and marked the 75th anniversary of diplomatic relations between the two nations.
Enhanced Defense Cooperation
Both countries pledged to boost defense collaboration, with India offering expertise to modernize Indonesia’s military. A joint statement emphasized the commitment to strengthen ties through the Joint Defense Cooperation Committee (JDCC). Indonesia expressed interest in acquiring India’s BrahMos missile system, with negotiations reaching an advanced stage. The proposed $450 million deal highlights mutual trust and shared strategic goals.
The collaboration includes sharing technological advancements and knowledge to enhance defense manufacturing. This step aligns with Indonesia’s ambition to build robust domestic capabilities while leveraging India’s defense expertise.
Resolving Trade Barriers for Economic Growth
Economic cooperation emerged as another priority. The leaders discussed eliminating trade barriers, including tariffs, to increase bilateral trade. India is Indonesia’s second-largest trading partner within the ASEAN bloc, with trade growing from $4.3 billion in 2005 to $29.4 billion in 2023-24.
India is the largest importer of Indonesian crude palm oil and coal, while exporting petroleum products, commercial vehicles, and agricultural goods. Both nations also agreed to fast-track the ASEAN-India Trade in Goods Agreement (AITIGA) review to unlock greater economic potential.
Maritime Security and Regional Stability
India and Indonesia share concerns about maritime security, particularly in the Indo-Pacific. The two leaders emphasized peace and stability, underlining the importance of respecting international laws, including the United Nations Convention on the Law of the Sea (UNCLOS).
They supported the Declaration on the Conduct of Parties in the South China Sea and called for an effective Code of Conduct in the region. With China’s increasing presence in the South China Sea, India’s focus on freedom of navigation and territorial sovereignty aligns with Indonesia’s strategic priorities.
Combating Terrorism and Ensuring Security
Both nations strongly condemned terrorism in all forms and stressed the need for collective action to counter it. They pledged to eliminate terror financing and dismantle networks providing safe havens for terrorists. The joint efforts aim to enhance global security through bilateral and multilateral initiatives.
Advancing Digital Development and Cybersecurity
The digital realm featured prominently in discussions, with a Memorandum of Understanding (MoU) signed to enhance cooperation in digital infrastructure and cybersecurity. Both nations aim to harness emerging technologies for inclusive growth and address global challenges. Digital capacity-building initiatives are expected to play a pivotal role in this partnership.
Energy and Mineral Exploration
India and Indonesia reiterated their commitment to renewable energy and sustainable practices. Collaborative efforts on energy transition were lauded, focusing on reducing carbon footprints.
The leaders showed mutual interest in joint exploration of critical minerals such as nickel, bauxite, and tin. These minerals are vital for sectors like battery production and technology, providing opportunities for downstream industries.
A Historic Visit and Shared Vision
President Subianto’s visit marked a historic moment in India-Indonesia relations, highlighting shared goals of regional stability, economic growth, and sustainable development. His high-level delegation included ministers and business leaders, underscoring the comprehensive nature of the engagement.
The two nations reaffirmed their dedication to a partnership that fosters peace, security, and prosperity in the region. By aligning on key issues, India and Indonesia have set the stage for a stronger, future-ready collaboration that addresses global challenges.
A New Era of Collaboration
The agreements between reached during the visit signal a new era of cooperation between India and Indonesia. From defense and trade to energy and digital development, the partnership spans critical areas of mutual interest. With a shared commitment to regional peace and prosperity, the relationship between these two nations is poised to deepen further, benefiting not just their citizens but the broader Indo-Pacific region.
