The Indonesian government anticipates a 50% surge in exports to the European Union (EU) following the conclusion of the Indonesia-European Union Comprehensive Economic Partnership Agreement (IEU-CEPA). Coordinating Minister for Economic Affairs, Airlangga Hartarto, stated that negotiations are nearing completion after nine years and 19 rounds of talks. Most technical issues have been resolved at the Chief Negotiator level, and final outcomes will soon be reported to President Prabowo Subianto and EU leaders. Once implemented, IEU-CEPA will eliminate import tariffs on 80% of Indonesian exports to the EU within 1–2 years, benefiting key sectors such as textiles, footwear, palm oil, fisheries, electric vehicles, and renewable energy.

The EU is Indonesia’s fifth-largest trading partner, with bilateral trade reaching USD 30.1 billion in 2024 and a growing surplus of USD 4.5 billion. Airlangga emphasized that the agreement will open market access, reduce both tariff and non-tariff barriers, and create fairer conditions for Indonesian products, particularly in fisheries and forestry. The EU has agreed to grant Indonesia equal treatment to ASEAN peers like Thailand and the Philippines. Strategically, the IEU-CEPA strengthens Indonesia’s global trade position and boosts investor confidence. Both parties have confirmed that legal and substantive hurdles are cleared, marking this agreement as a critical milestone in enhancing Indonesia’s export competitiveness and sustainable economic growth.

Source:
https://infobanknews.com/ekspor-ri-ke-uni-eropa-diprediksi-naik-50-persen-usai-ieu-cepa-rampung/