Turkey and Indonesia Strengthen Trade Ties
**The Presidency of Communications of Turkey has released a shared 64-item joint statement following a meeting between President Recep Tayyip Erdoğan and Indonesian President Prabowo Subianto.** The two leaders have set an ambitious bilateral trade target of $10 billion, aiming to achieve this milestone initially through a limited preferential trade agreement by 2026, followed by the development of a preferential trade plan that aligns with the Turkey-Indonesia Comprehensive Economic Partnership Agreement (CEPA). President Prabowo Subianto expressed his pride in hosting President Erdoğan during his state visit to Indonesia.
As they commemorate the 75th anniversary of diplomatic relations, themed ‘Partnership for People; Partnership for a New World,’ both leaders recognized the significance of this visit. They reiterated their commitment to fortifying cooperation between Turkey and Indonesia, emphasizing benefits not only for their nations but for global welfare as well. This inclusive approach sets the tone for future collaboration across various sectors.
A Landmark Year for Bilateral Relations
The leaders acknowledged the 75th anniversary as a pivotal moment in their bilateral relationship, envisioning a partnership that could span a century by 2050. They agreed to expand collaborations in critical sectors such as trade, defense, health, energy, infrastructure, and technical cooperation to honor this milestone in 2025. This aligns with their long-term goals to deepen the ties between their countries.
Additionally, both Presidents expressed a unified vision to strengthen inter-people connections through educational initiatives, scholarship programs, language learning, cultural exchanges, and tourism. They co-chair the First High-Level Strategic Cooperation Council established in 2022, which aims to oversee their strategic partnerships in key areas, including trade, investment, and socio-cultural cooperation.
Commitment to Economic Cooperation
During the Council meetings, Presidents Erdoğan and Prabowo engaged in candid discussions, sharing perspectives on regional and global issues of mutual interest. This dialogue has led to significant agreements, further enhancing their understanding across a broad spectrum of topics. In light of the shifting global trade environment, both leaders reaffirmed their commitment to achieving the bilateral trade target of $10 billion.
The statement underscored the necessity for increased cooperation between the economic and trade authorities of both nations to foster an environment conducive to greater trade flows and closer economic ties. They acknowledged the importance of the existing Economic and Technical Cooperation Joint Commission (KEK), agreeing to leverage this platform to facilitate private sector participation in their bilateral trade agenda.
Investment and Agricultural Cooperation
Both sides highlighted the critical role of bilateral investment efforts, expressing a desire to enhance agricultural cooperation through technical meetings, visits, and training programs. They emphasized the importance of expediting approval procedures for agricultural products to boost trade flows and maximize their economic partnership’s potential.
Turkey also expressed its readiness to support Indonesia’s development goals, particularly through the Turkish contracting sector’s capabilities. This includes providing sustainable housing solutions aimed at delivering 3 million affordable homes annually for low-income families in Indonesia, illustrating Turkey’s commitment to contributing to Indonesia’s growth.
Expanding Trade and Tourism Opportunities
Recognizing the potential for growth in trade and tourism, both leaders encouraged increased cooperation in civil aviation. They conveyed their determination to implement the Preferential Trade System (TPS-OIC) among members of the Organization of Islamic Cooperation and the D-8 group, alongside enhancing technical cooperation within the halal industry.
This commitment reflects a broader strategy to capitalize on mutual strengths and create synergies that benefit both nations, paving the way for a more integrated approach to trade and tourism.
Strategic Defense Collaboration
On defense matters, the joint statement highlighted the strategic importance of collaboration in the defense sector, aimed at bolstering national security and enhancing strategic autonomy. The leaders discussed the necessity of developing a comprehensive roadmap for defense cooperation, focusing on high-tech industries through mutually beneficial projects.
They agreed to go beyond mere procurement, welcoming the establishment of joint ventures and offices for leading Turkish defense firms in Indonesia. Furthermore, they prioritized training and education for Indonesian students and military personnel in key areas such as cybersecurity and counter-terrorism, aiming to enhance human resource capabilities.
Regular Meetings to Monitor Progress
To ensure the effective implementation of their strategic defense cooperation, both leaders agreed to conduct regular 2+2 meetings between their Foreign and Defense Ministers. These meetings will serve as a platform to discuss and monitor advancements in their defense collaboration, set to continue into 2025.
This structured approach not only reinforces their commitment to mutual defense goals but also strengthens the overall partnership between Turkey and Indonesia, ensuring that both nations can navigate future challenges together.
