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Indonesian Foreign Minister Sugiono announced after meeting Chinese Foreign Minister Wang Yi that Indonesia and China had agreed to boost trade beyond the US$167 billion threshold during their inaugural Comprehensive Strategic Dialogue. The talks held in Jakarta on August 21, 2026 emphasized untapped economic potential that the existing trade level failed to represent. “Because this figure does not encompass all the potential of both countries, we also agree to continue enhancing cooperation in the trade sector to increase the volume and figures,” Sugiono said. The two officials initiated preliminary work on a 2027-2031 action plan while identifying fresh avenues for partnership in energy, minerals and maritime trade.
Discussions during the dialogue produced agreements to pursue new mechanisms in artificial intelligence, advanced technology and quarantine standards according to a report by Antara News. Plans for the joint development of communication satellites formed another pillar of the expanded cooperation. Expanded use of local currency in financial transactions also received attention as officials sought to reduce reliance on third-party currencies. The ministers reaffirmed support for ongoing Belt and Road Initiative projects, including measures to increase passenger capacity on the Jakarta-Bandung High-Speed Railway.
Antara News reported that bilateral trade between the two countries reached $147.79 billion in 2024 and rose to $104.82 billion in the first eight months of 2025 alone. Chinese investment in Indonesia amounted to $8.1 billion in 2024, with additional inflows recorded in 2025. These figures illustrate the rapid growth in economic relations that have made China Indonesia’s largest trading partner in recent years. The latest commitment to push trade higher aligns with this trend and the priorities of the Prabowo Subianto administration in food security, critical minerals and infrastructure.
Maritime security, navigation safety and marine research will see heightened collaboration under the new framework, the dialogue concluded. Capacity building initiatives and expanded STEM scholarship programs for Indonesian students in China received endorsement from both sides. Indonesia also conveyed its support for China’s organization of the APEC 2026 leaders’ meeting in Shenzhen. The CSD mechanism, launched following Sugiono’s April 2025 trip to Beijing, precedes a second round of 2+2 ministerial talks on defense and foreign policy.
The report on the inaugural session of the Comprehensive Strategic Dialogue indicated that both economic and strategic issues received attention in a comprehensive manner. Antara News noted that officials addressed regional and global priorities through the established channels between the two strategic partners. Further technical meetings are anticipated to flesh out the details of the agreed initiatives across all sectors, according to statements after the meeting.
