Jakarta. President Prabowo Subianto has pitched Indonesia's electric mobility investments to his German counterpart Frank-Walter Steinmeier ahead of a trade pact that will roll out the red carpet for European investors. 

Steinmeier is on his first-ever Jakarta trip under Prabowo's leadership. Although years had passed since Steinmeier’s last visit in 2022, Indonesia’s offer remains unchanged. The resource-rich country wants Germany to invest in its electric vehicle (EV) ecosystem.

“We invite Germany to expand its investments in key sectors. That includes energy transition, industrial processing, and automotive as we advance towards EVs. The same goes for semiconductors,” Prabowo told a joint news conference at the Merdeka Palace on Monday.

He wants to see German businesses participating in the country’s mineral and rare earth industries.

Prabowo said that both governments had agreed to pursue higher trade volume and a “mutually beneficial” investment, without expanding on how big an increase they had targeted. 

The live-broadcast conference did not show the signing of any deals. Both leaders, however, agreed that Jakarta’s upcoming trade accord with the European Union (EU) would supercharge their economic ties. Steinmeier -- via an interpreter -- was confident that the agreement, dubbed the CEPA for Comprehensive Economic Partnership Agreement, held “immense potential” in creating new investments.

“It can spur investment inflows from German small and medium-sized businesses,” Steinmeier said.

Germany kept its place as the world’s second-largest EV production hub after China last year, manufacturing a total of 1.67 million electric passenger cars, according to news outlet Reuters quoting the auto industry association VDA. BMW and Volkswagen are some of the notable German auto powerhouses.

Indonesia has been wanting to take advantage of its nickel and mineral abundance to gain a foothold in the global EV industry, while also clawing its way out of raw commodity exports. Nickel is a mainstay ingredient in EV battery production.

Beyond the major tariff eliminations, the Indonesia-EU CEPA covers investment facilitations. An EU factsheet on the agreement wrote that the pact would grant “a more attractive regulatory environment” for EU investors in EVs, renewable energy, and electronics. The CEPA is set to kick in early next year. 

Investment inflows from Germany totaled at least $78.4 million this year, with the figure totaling $269.5 million throughout 2025, government statistics showed. Annual bilateral trade hit the $6 billion mark in 2025. Export-import activities from January to April 2026 reached almost $1.7 billion.

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