Indonesia, China deepen strategic economic cooperation
Jakarta (ANTARA) - Indonesia and China are expanding economic ties through broader cooperation in trade, investment, industry, education, the digital economy and technology, the Coordinating Ministry for Economic Affairs said on Friday.
"The government is committed to continuing to open opportunities and expand mutually beneficial cooperation, not only in trade and investment but also in strategic sectors such as industry, education, the digital economy and technology," the ministry's Spokesperson Haryo Limanseto said in a statement.
Limanseto cited recent milestones, including a visit by Fujian Province's deputy governor and a Chinese business delegation under the Two Countries Twin Parks (TCTP) framework, and Indonesia's admission as a founding member of the World Artificial Intelligence Cooperation Organization (WAICO) in Shanghai on July 16.
He said educational cooperation has also expanded through partnerships with leading Chinese institutions, including Tsinghua University, with joint research projects and seminars held in Indonesia's Bali Special Economic Zone.
Chinese automakers, including BYD and Chery, have continued expanding investments in Indonesia and now rank among the country's five largest automotive brands by market share, Limanseto said.
Bilateral economic ties are also supported by trade agreements, including the ASEAN-China Free Trade Area (ACFTA), which took effect in 2010, and the Regional Comprehensive Economic Partnership (RCEP), which entered into force in 2022.
Indonesian data showed bilateral trade reached about US$154 billion in 2025, while Chinese statistics recorded the total at about US$160 billion, reflecting differences in each country's trade accounting.
Indonesia's main exports to China include ferroalloys, nickel matte, lignite, coal and palm oil, underscoring China's importance as one of the country's largest export markets.
China also remains one of Indonesia's biggest foreign investors, with investment continuing to expand across strategic sectors, including manufacturing, infrastructure and technology.
During a courtesy visit by a Chinese business delegation and Indonesia's ambassador to China on Thursday, Coordinating Minister for Economic Affairs Airlangga Hartarto encouraged greater investment in semiconductors, fiber optics, digital applications and data centers to support Indonesia's digital transformation.
To attract more investment, Indonesia offers fiscal incentives including tax holidays of up to 100 percent, depending on investment size and eligibility, as well as tax allowances, investment allowances and super tax deductions.
