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Indonesia, China agree to boost economy, security ties

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Jakarta Post - August 24, 2026

Yvette Tanamal, Jakarta – Indonesia and China have pledged to intensify cooperation across strategic sectors, including in trade, military and a joint development in the South China Sea, as Jakarta welcomed a "stronger chapter" in its bilateral ties with Beijing.

The commitment was conveyed during a series of high level talks in Jakarta involving Chinese Foreign Minister Wang Yi, who kicked off his agenda on Friday with the inaugural Comprehensive Strategic Dialogue (CSD) meeting, a new ministerial-level forum to review bilateral ties and chart strategic priorities.

The meeting was co-led by Wang and Foreign Minister Sugiono and attended by senior officials from both countries overseeing development planning, agriculture and commerce, among other sectors.

Ahead of the talks, Wang said the world was facing a "heavy blow", including on its development agenda, amid the spread of unilateralism and hegemonism. He called Jakarta-Beijing ties crucially significant to strengthening strategic communication and coordination, serving as a good example of Global South cooperation.

"This is what the times call for, and it would also go far beyond the bilateral scope," Wang said via an interpreter. "Let us play the role of two major countries."

Economic ties took center stage during the two-hour meeting, with both sides calling for an increase in bilateral trade to match the two economies' potential. Meanwhile, Jakarta called on Beijing to sustain its investment in Indonesia.

Aside from expanding market access for top Indonesian commodities, the discussion also covered the continuation of China's Belt and Road Initiative in Indonesia, including the continuation of the Jakarta-Bandung high speed railway, according to Sugiono.

The two countries also pledged to deepen financial cooperation to support priority development projects and expand local currency transactions, while stepping up collaboration of food security, energy and minerals through industries focused on national resilience.

The foreign ministers also pointed out the establishment of a China-Indonesia energy forum, while pledging to build a comprehensive, open and green energy and mining partnership. Indonesia holds among the world's largest reserves of nickel, gold, bauxite and copper.

"For Indonesia, the People's Republic of China is an important partner in our national development and in promoting stability, peace and prosperity in the region. Today, our bilateral relationship is entering a stronger chapter," Sugiono said in a joint statement after the talks.

Wang also called on Indonesia to unite with China in "opposing power-based politics" and remain vigilant against efforts to "challenge the post-World War II order and reverse the course of history".

He pointed to the South China Sea as an area where the two countries could deepen cooperation, including by concluding Code of Conduct (COC) negotiations and joint developments.

"We have also agreed to resume fisheries cooperation, while strengthening maritime cooperation and promoting joint development in the South China Sea," Wang said.

The Chinese Embassy in Jakarta did not immediately respond to inquiries on the exact location of the joint development projects.

Security talks

Wang and Sugiono also joined a 2+2 meeting with Defense Minister Sjafrie Sjamsoeddin and his Chinese counterpart Dong Jun on Friday afternoon.

Sjafrie told reporters after the 2+2 talks that discussions had centered on evaluating current cooperation and the possibility of future partnerships, including prospects for China to provide assistance and technology transfer for building facilities in Indonesia.

The minister said no discussions took place about the United States or Indonesia's possible purchase of Chinese J-10 fighter jets.

The ministers talked about the continuation of the Heping Garuda joint military exercise, slated for late this year in Sumatra. It was last held in 2024.

The defense ministers held a one-on-one meeting earlier on the day. After the morning meeting, Dong described military ties between the two countries as increasingly becoming "higher in quality and more effective".

"Together, we will thwart malicious intentions by external forces and provide an example for Global South countries in developing new models of defense cooperation," Dong said via an interpreter.

Indonesia-China military cooperation has recently come under scrutiny following a joint exercise involving the passage of the two countries' warships in waters east of Taiwan. The drill drew strong condemnation from Taipei.

Responding to Dong's remark after the morning meeting, Sjafrie said Jakarta respected Beijing's views while continuing to uphold its own.

"We listen to all of his comments because he has his own views," the defense minister said, "but we have to reconcile them with the realities of our own country."

Source: https://asianews.network/indonesia-china-agree-to-boost-economy-security-ties

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