Indonesian Political, Business & Finance News

Airlangga Targets IEU CEPA Ratification Completion in Second Half of Year

| Source: TEMPO_ID_BISNIS Translated from Indonesian | Trade

The Coordinating Minister for Economic Affairs, Airlangga Hartarto, met with the European Union Trade Commissioner, Maroš Šefčovič, during the Brussels Economic Security Forum in Brussels, Belgium, on Friday, 5 June 2026. The meeting focused on follow-up steps to ensure the ratification process of the Indonesia-European Union Comprehensive Economic Partnership Agreement (IEU CEPA) can be completed according to the target in the second half of 2026.

“We are targeting the IEU CEPA ratification process to be completed in the second half of 2026 so that implementation can begin in early 2027,” Airlangga stated in an official release on Saturday, 6 June 2026.

According to Airlangga, both parties agreed to push for the completion of various necessary stages to ensure the ratification process proceeds as scheduled. The meeting also discussed preparations for the upcoming visit of European Commission President Ursula von der Leyen and Maroš Šefčovič to Jakarta.

Airlangga noted that the IEU CEPA serves as a vital instrument in strengthening economic relations between Indonesia and the European Union. Therefore, completing the ratification process is considered essential so that the benefits of the agreement can be immediately felt by businesses in both regions.

One of the provisions in the agreement is the removal of trade tariffs on approximately 98 per cent of tariff lines. According to Airlangga, this policy will open wider market access for Indonesian products to the European Union through zero-percent tariff facilities for most national export commodities.

In addition to discussing the IEU CEPA, Airlangga and Maroš Šefčovič also discussed the EU’s Global Gateway programme, which is aimed at supporting various strategic projects, including investment and the development of the critical minerals sector. These discussions relate to Indonesia’s efforts to accelerate the downstreaming of natural resources and the European Union’s need for strategic mineral supplies to support the energy transition and the development of green technology industries.

Airlangga stated that the meeting also explored opportunities for investment cooperation through several strategic programmes, including the development of the critical minerals sector, which is a point of interest for both parties.

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