Anne Patricia Sutanto, Deputy Chairperson for Trade at the Indonesian Textile Association (API), welcomed the Indonesia-European Union Comprehensive Economic Partnership Agreement (IEU-CEPA). She stated that this agreement will boost investment and increase national textile exports to the European Union (EU) market. After nearly 10 years of exploration and negotiation, the IEU-CEPA negotiations were finally concluded on Sunday (July 13th), following a meeting between Indonesian President Prabowo Subianto and European Commission President Ursula von der Leyen. "Clearly, the IEU-CEPA will encourage textile investment in Indonesia and has the potential to increase textile and garment exports to the European Union," said Sutanto, as quoted on Tuesday, July 15th, 2025.
Sutanto stated that currently, around 12% of Indonesia's textile and textile product (TPT) exports are destined for the European market. With the IEU-CEPA, which is expected to enter into force in early 2027, API estimates that TPT exports to the EU could increase significantly. "We estimate a threefold increase in exports in the next five years," said the Head of the Indonesian Textile Industry Association (Apindo) Trade Division. Textile entrepreneurs, Anne said, are ready to expand and increase their penetration of the export market to the European Continent. However, she emphasized that the industry's readiness does not rest solely on business actors. API, she continued, has provided several inputs to the government so that the textile and textile industry ecosystem can meet European market standards, including sustainability. "Strengthening infrastructure and transitioning to renewable and clean energy is crucial, including textile and textile products, in exports to the European Union," she said. She also highlighted the importance of improving bureaucracy, particularly in the licensing process at the regional and national levels.
