Indonesia Targets EU Trade Deal Ratification in 2026, Implementation by Early 2027
Jakarta. Indonesia is targeting ratification of its Comprehensive Economic Partnership Agreement (CEPA) with the European Union in the second half of 2026, allowing the landmark trade pact to enter into force in early 2027, Coordinating Economic Affairs Minister Airlangga Hartarto said.
The agreement is considered a key component of Indonesia’s strategy to expand market access, boost trade, and strengthen investment ties with the European Union, one of the world’s largest economic blocs.
During a visit to Brussels last week, Airlangga met with European Union Trade Commissioner Maros Sefcovic to discuss follow-up measures aimed at ensuring the ratification process remains on schedule.
“We are targeting completion of the CEPA ratification process between Indonesia and the European Union in the second half of 2026 so that implementation can begin in early 2027,” Airlangga said in a statement.
One of the agreement’s most significant provisions is the elimination of tariffs on approximately 98% of tariff lines.
For Indonesia, the deal is expected to provide wider access to the European market through zero-tariff treatment for most Indonesian exports, improving the competitiveness of Indonesian products and supporting long-term export growth.
Beyond trade, Airlangga and Sefcovic also discussed the European Union’s Global Gateway initiative, which is intended to support strategic projects, including investment in critical minerals and related industries.
The discussions come as Indonesia accelerates efforts to develop downstream processing industries for its natural resources, while the European Union seeks secure supplies of strategic minerals needed for the energy transition and the expansion of green technology industries.
The two sides also reviewed preparations ahead of an upcoming visit to Jakarta by Ursula von der Leyen, which is expected to provide further momentum for strengthening economic cooperation between Indonesia and the European Union.
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