Indonesia-Japan Sign 11 MoUs to Strengthen Energy, Industry, and Technology
Eleven memorandums of understanding (MoUs) between Indonesia and Japan were officially signed at the Indonesia-Japan Strategic Partnership Forum held in Tokyo, Japan. This signing represents a concrete step in strengthening the strategic cooperation between the two countries, particularly in the energy, industry, and technology sectors.
The agreements took place amid the momentum of President Prabowo Subianto’s official visit to Japan. As part of the visit, the Indonesian Chamber of Commerce and Industry (Kadin) organised a forum themed Indonesia-Japan Value Co-Creation: Building the Future of Energy, Industry, and Global Supply Chains at The Imperial Hotel Tokyo on Monday (30/3).
The forum was organised by Kadin Indonesia in collaboration with the Japan External Trade Organization, the Ministry of Economy, Trade and Industry, and the Japan Business Federation. The event was also supported by the Indonesian Embassy in Tokyo, the Japan Chamber of Commerce and Industry, the Japan Indonesia Association, and the Indonesian Ministry of Investment and Downstreaming/BKPM.
President Prabowo, who attended the forum in person, emphasised that Japan is an important partner for Indonesia. He noted that the economic relations between the two countries have been strong for decades, with significant contributions from Japanese companies in various sectors of national development.
“Japan has consistently supported Indonesia’s economic development. Many of you have been part of that journey and know Indonesia well, from its people, market, culture, to its potential,” the President stated in an official remark.
In his speech, the Head of State also stressed that his presence was not only to continue existing partnerships but to elevate them to a higher and faster level. He viewed close cooperation as key in an increasingly interconnected world, which can create sustainable peace and friendship.
Meanwhile, Kadin Indonesia General Chairman Anindya Novyan Bakrie stated that future challenges demand more progressive steps, especially to push Indonesia out of the middle-income trap. According to him, investment and innovation are key to driving higher economic growth.
He also highlighted the importance of business resilience and adaptation amid global uncertainties, including the impact of geopolitical conflicts on the world economy.
“The main point is how we can survive in this business,” he said.
In agreement, Chairman of the Japan Bilateral Committee of Kadin Indonesia Muhammad Lutfi emphasised that the Indonesia-Japan partnership must continue to be directed towards strengthening investment and concrete collaboration. According to him, the value co-creation concept can drive growth, innovation, and Indonesia’s competitiveness through synergies in the industry, energy, and global supply chain sectors.
On that occasion, 11 strategic MoUs were announced in the presence of President Prabowo, covering a wide range of sectors from energy, industry, finance, to technology. The total value of bilateral trade between the two countries currently stands at around $23.6 billion.
Some of the collaborations signed include the partnership between JCCI and Kadin Indonesia in trade and investment; cooperation between Inpex and PT Pertamina (Persero) in the development of the Abadi Gas Field in the Masela Block; strengthening the upstream oil and gas sector with PT Pertamina Hulu Energi; and geothermal energy development with PT Supreme Energy Rajabasa.
Additionally, there is collaboration on developing a semiconductor ecosystem between Hayashi Kinzoku and PT Eblo Teknologi Indonesia Development; support for the national gold ecosystem between PT Bank SMBC Indonesia and PT Pegadaian; and the establishment of an aviation leasing fund involving SMBC Aviation Capital, Danantara, and Mandiri Investment Management.
Other collaborations include strengthening investment between the Japan External Trade Organization (Jetro) and Danantara Investment Management, methanol production based on carbon emission utilisation by PT Kaltim Methanol Industri and PT Pupuk Kalimantan Timur, and the development of the Hululais geothermal power plant through a partnership with the Japan International Cooperation Agency and the Indonesian Government. Proposals for sister park cooperation between Fuji-Hakone-Izu National Park and Kerinci Seblat National Park, Bromo Tengger Semeru National Park, and Mount Rinjani National Park.
The Minister of Forestry Raja Juli Antoni met with representatives of the Japanese Government to strengthen cooperation in conservation area management. The Japanese Ministry of Environment welcomed the proposal and encouraged concrete follow-up through technical workshops.
President Prabowo Subianto met with Emperor Naruhito of Japan at the Imperial Palace in Tokyo (30/3). The Cabinet Secretary revealed that they discussed investment and environmental preservation.