Coordinating Minister for the Economy, Airlangga Hartarto, commended Japan’s strategic approach to navigating U.S trade tariffs, noting its relevance to Indonesia’s own negotiations with Washington during a bilateral meeting held in Paris, on Wednesday, June 4, 2025, Paris time.

Airlangga met with Japan’s State Minister for Foreign Affairs Fujii Hisayuki to discuss trade and investment ties as well as Indonesia’s bid for full membership in the Organisation for Economic Cooperation and Development (OECD).

“It is essential for Indonesia and Japan to continue supporting each other in navigating tariff-related challenges and maintaining economic stability in the Asia-Pacific region,” Airlangga told a teleconference from Paris on Wednesday evening Jakarta time.

Japan reiterated its support for Indonesia’s OECD accession, which is targeted for completion within three years. Tokyo is assisting Jakarta through workshops and technical studies, particularly on the OECD Anti-Bribery Convention, as part of broader efforts to improve governance and legal frameworks.

Bilateral trade between Indonesia and Japan hit US$35.67 billion in 2024, exceeding pre-pandemic levels, with Indonesia recording a US$5.74 billion surplus. Japan ranked as Indonesia’s sixth-largest foreign investor, channeling US$3.46 billion into over 12,800 projects across strategic sectors such as transport, electronics, machinery, and chemicals.

The two countries also reaffirmed their joint commitment under the Asia Zero Emission Community (AZEC). One major project under the framework, the Muara Laboh geothermal power plant, has now entered the construction phase.

“The Indonesia-Japan strategic partnership is not only vital for our domestic economies but also plays a crucial role in shaping the economic and environmental future of the Asia-Pacific region,” Airlangga cited.

Realized investment

Airlangga announced during a bilateral meeting with Singapore’s Deputy Prime Minister Gan Kim Yong also on Wednesday, Paris time, that Indonesia has secured a total of US$28 million in realized investments for data center development at Nongsa Digital Park in Batam, as of April 2025.

The investment milestone marks the full sale of data center land plots at Nongsa Digital Park and reflects investor confidence in Indonesia’s digital infrastructure, particularly from BW Digital, which has been committed to developing an 80 MW capacity project in the area.

“This marks a major achievement in Indonesia-Singapore cooperation, especially in advancing the Batam-Bintan-Karimun (BBK) economic zone,” Airlangga said.

The two leaders also reviewed progress under the Indonesia-Singapore Six Working Groups (6WG) framework, with renewed commitment to deepen collaboration in strategic sectors including infrastructure, energy transition, health, industrial services, and talent development. Joint programs such as Tech X and university partnerships are expected to play a pivotal role in advancing human capital.

In transport, tangible results have emerged, including Scoot Airlines’ operation from Kertajati Airport and new direct routes to Padang and Labuan Bajo. In agribusiness, both countries are expanding cooperation on fisheries product procurement and electronic certification systems.

The government also reaffirmed its commitment to concluding the ASEAN Digital Economy Framework Agreement (DEFA) by the end of 2025, an initiative championed during Indonesia’s ASEAN chairmanship in 2023.

Additionally, Singapore has invited Indonesia to consider joining the Future Investment and Trade Partnership (FIT-P), an initiative driven by Singapore, the UAE, Switzerland, and New Zealand. Airlangga welcomed the proposal, noting that FIT-P’s principles of openness, fairness, and sustainability align with Indonesia’s trade values.