An economist from Paramadina University, Wijayanto Samirin, stated that the government needs to increase cooperation with other countries and ratify key agreements, such as the Indonesia-European Union Comprehensive Economic Partnership Agreement (IEU-CEPA), to boost exports. He also emphasized the urgent need to attract export-oriented manufacturing industry relocation, particularly from countries like China. To achieve this, he stressed that the government must work harder to improve the investment climate. His recommendations come as Minister of Trade Budi Santoso remains optimistic about Indonesia's export performance amid the escalating Iran-Israel conflict.
Minister Budi Santoso's optimism is based on existing and upcoming trade agreements, including IEU-CEPA and the Indonesia-Eurasian Economic Union Free Trade Area (I-EAEU FTA), which he believes create a positive psychological impact for trade relations. He pointed to temporary data from May 2025 showing an increase in exports compared to April, indicating that the conflict has not yet affected Indonesia's export flow. The Minister noted that there have been no specific sectors or commodities impacted so far, and he is confident that the trade balance surplus will continue to grow. He concluded by expressing hope for a swift resolution to the conflict.
