Indonesia, Brazil Strengthen Ties with Multiple Cooperation Agreements
The leaders of Indonesia and Brazil met in Jakarta to boost bilateral trade and signed agreements spanning various sectors.
In a move to enhance economic collaboration, Indonesia and Brazil have agreed to bolster their ties through several cooperation deals.
These agreements cover key areas such as oil, gas, electricity, technology, mining, and agriculture, marking a significant step forward in the strategic partnership between the two nations.
The decision to deepen trade relations comes shortly after Indonesia faced increased tariffs from the United States, under a new trade pact that imposes a 19% tariff on Indonesian imports and a 50% tariff on Brazilian products.
Both countries view this enhanced cooperation as an opportunity to expand their economic footprints globally.
The agreements were signed during a meeting between Brazilian President Luiz Inácio Lula da Silva and his Indonesian counterpart, Prabowo Subianto, in Jakarta.
The event was marked by ceremonial greetings, featuring a marching band and national anthems.
Lula expressed dissatisfaction with the current trade volume between their countries, which stands at $6 billion, considering their combined population of nearly 500 million people.
He emphasized that this figure is insufficient for both nations.
The Indonesian government is currently working towards establishing a free trade agreement with Mercosur, a South American trade bloc consisting of Brazil, Argentina, Paraguay, Bolivia, and Uruguay.
Prabowo Subianto highlighted the potential for such an accord to stimulate economic growth not only for Indonesia and Brazil but also for Latin America as a whole.
Brazil has been strengthening its ties in Southeast Asia over recent years, with President Lula's participation at the ASEAN summit in Malaysia marking another milestone in Brazil’s growing political engagement in the region.
Furthermore, Brazil is a key trading partner for Indonesia in South America, with total trade between them amounting to $4.3 billion between January and August 2025.
Indonesia's efforts to solidify economic ties in Latin America continue, as evidenced by its recent signing of a trade agreement with Peru in August.
Additionally, joining the BRICS bloc in January has further positioned Indonesia among major emerging economies, alongside Brazil.
These agreements cover key areas such as oil, gas, electricity, technology, mining, and agriculture, marking a significant step forward in the strategic partnership between the two nations.
The decision to deepen trade relations comes shortly after Indonesia faced increased tariffs from the United States, under a new trade pact that imposes a 19% tariff on Indonesian imports and a 50% tariff on Brazilian products.
Both countries view this enhanced cooperation as an opportunity to expand their economic footprints globally.
The agreements were signed during a meeting between Brazilian President Luiz Inácio Lula da Silva and his Indonesian counterpart, Prabowo Subianto, in Jakarta.
The event was marked by ceremonial greetings, featuring a marching band and national anthems.
Lula expressed dissatisfaction with the current trade volume between their countries, which stands at $6 billion, considering their combined population of nearly 500 million people.
He emphasized that this figure is insufficient for both nations.
The Indonesian government is currently working towards establishing a free trade agreement with Mercosur, a South American trade bloc consisting of Brazil, Argentina, Paraguay, Bolivia, and Uruguay.
Prabowo Subianto highlighted the potential for such an accord to stimulate economic growth not only for Indonesia and Brazil but also for Latin America as a whole.
Brazil has been strengthening its ties in Southeast Asia over recent years, with President Lula's participation at the ASEAN summit in Malaysia marking another milestone in Brazil’s growing political engagement in the region.
Furthermore, Brazil is a key trading partner for Indonesia in South America, with total trade between them amounting to $4.3 billion between January and August 2025.
Indonesia's efforts to solidify economic ties in Latin America continue, as evidenced by its recent signing of a trade agreement with Peru in August.
Additionally, joining the BRICS bloc in January has further positioned Indonesia among major emerging economies, alongside Brazil.
