This trade potential follows the UK's move to become a member of the CPTPP. It will file an accession request on December 15, 2024.
"By (our) joining the CPTPP, which currently has 11 (member countries), and will be joined by the UK in December, this opens up the Latin American market; and, we open up the UK market," Hartarto expounded at the Bisnis Indonesia Economic Outlook 2025 here on Tuesday.
The CPTPP currently has Australia, Brunei Darussalam, Canada, Chile, Japan, Malaysia, Mexico, Peru, New Zealand, Singapore, and Vietnam as members.
Following the UK's accession, the trade bloc will account for nearly 15 percent of the global gross domestic product (GDP), making it one of the largest in the world.
Indonesia is currently in the process of becoming a member of the CPTPP. Once the trade agreement is fully implemented, 99 percent of tariff lines between CPTPP member countries will become duty-free.
Hartarto emphasized that Indonesia's efforts to join the CPTPP are in line with the government's strategy to expand its export market to non-traditional countries such as Peru and Mexico.
The step is important considering that Indonesia's current export market share is still smaller compared to other ASEAN countries, including Vietnam.
"The purpose of this economic cooperation is to expand the market. Indeed, we must expand the market because our exports are relatively lower than several other countries in ASEAN, including Vietnam. Therefore, we need to boost our exports," he explained.
The government is also focusing on completing several trade agreements, such as the Indonesia-European Union Comprehensive Economic Partnership Agreement (IEU-CEPA), which is targeted for completion in the first half of 2025.
At the regional level, Indonesia is active in many economic forums, including the Indo-Pacific Economic Framework (IPEF) and the Regional Comprehensive Economic Partnership (RCEP).
Through IPEF, Indonesia is focusing on trade, supply chains, critical minerals, fair economy, and green economy.
In his speech, Minister Hartarto explained that Indonesia is also in the process of becoming a member of the Organisation for Economic Co-operation and Development (OECD) and the group of emerging economies BRICS.
"Indonesia is targeting OECD membership in the next three to four years, and most recently, we have also (begun the process of) accessing BRICS. By doing so, we show that we are a non-aligned country," he said.
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Translator: Bayu Saputra, Yashinta Difa
Editor: Rahmad Nasution
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