Jakarta expects to conclude trade talks with EU soon


Airlangga Hartarto. -- PHOTO: REUTERS

JAKARTA: Indonesia says that free-trade negotiations with the European Union (EU), which have been ongoing for nine years, are expected to be concluded by the end of June.

Airlangga Hartarto, the chief economic minister for South-East Asia’s biggest economy, met with EU Commissioner for Trade Maros Sefcovic in Brussels.

“Indonesia and the EU have agreed to conclude outstanding issues and we are ready to announce a conclusion of substantial negotiations by the end of June 2025,” Hartarto said in a statement last Saturday.

Indonesia will get zero tariffs for 80% of its export products to the EU and removal of non-tariff barriers, as it pushes for bigger market access for footwear, garments, palm oil and fishery products, Hartarto told a press conference later last Saturday.

The EU has discussed Jakarta’s rules on mandatory use of local content in products sold in Indonesian market, the automotive industry, trade of critical minerals and investment facilities, Hartarto said.

Indonesia and the EU had previously disagreed on EU trade rules for products with potential links to deforestation that could affect Indonesian palm oil.

Hartarto said the bloc’s deforestation rules were not part of the free-trade negotiations, but Sefcovic had “promised to provide special treatment towards Indonesia regarding deforestation”.

He did not elaborate. — Reuters

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