Washington. Indonesia will continue to require domestic processing of critical minerals despite reaching a reciprocal trade agreement with the United States, Energy and Mineral Resources Minister Bahlil Lahadalia said on Friday, underscoring Jakarta’s long-standing downstream industrialization policy amid rising global demand for strategic resources.

The stance was reaffirmed following a bilateral meeting between Indonesian President Prabowo Subianto and US President Donald Trump in Washington on Thursday that finalized an Agreement on Reciprocal Trade (ART). The deal is aimed at strengthening trade ties and expanding cooperation in energy and critical minerals, but Indonesian officials stressed it does not alter rules governing raw mineral exports.

“For critical minerals, we agreed to facilitate US investors to invest in Indonesia while fully respecting our national regulations,” Bahlil told a press briefing in Washington. “There is no change to our policy. We are not opening exports of raw minerals.”

Indonesia’s policy requires minerals such as nickel, copper, and rare earth elements to be processed domestically before export, part of a broader strategy to build downstream industries, boost value-added output and create jobs. The approach has reshaped global supply chains, particularly in battery metals, and drawn both investment and scrutiny from trading partners.

Bahlil said any investment opportunities arising from the ART must align with this framework. Foreign companies, including those from the US, are encouraged to build smelters and refining facilities in Indonesia, after which processed products can be exported.

“To be clear, if they build smelters here for nickel or other minerals, we will support them fully,” he said. “But it should not be interpreted as opening the door to raw material exports. What can be exported are products that have gone through refining.”

He pointed to existing projects as a template, citing the copper smelter built by Freeport Indonesia, an investment valued at nearly $4 billion (Rp 67.45 trillion) and among the world’s largest. Similar models, he said, could be applied to other critical minerals, including nickel, rare earths and gold.

Under the agreement, Indonesia is offering two main investment routes to US companies: direct exploration and development, or partnerships and joint ventures with Indonesian state-owned enterprises. Once production and downstream facilities are in place, companies would be allowed to export refined products to the US market.

Bahlil emphasized that Indonesia’s policy is non-exclusive and applies equally to all foreign partners. “We give the same space to other countries as well. It’s about equal treatment,” he said, adding that Jakarta remains committed to open, fair and mutually beneficial cooperation.

The reaffirmation comes as countries compete to secure supplies of critical minerals essential for clean energy technologies, electric vehicles and advanced manufacturing. For Indonesia, which holds some of the world’s largest reserves of nickel and other strategic resources, the government sees downstreaming as key to strengthening its bargaining position and capturing more economic value at home.

“This is not just a trade deal,” Bahlil said. “It’s about ensuring Indonesia’s natural wealth delivers real benefits for our people while remaining a reliable partner in global supply chains.”