The two parties had concluded their negotiations on the free trade agreement, as earlier declared by President Prabowo Subianto and his Russian counterpart, Vladimir Putin, he told journalists at the hotel lobby where the Indonesian head stayed in St. Petersburg on Friday (June 20).
"The FTA with the Eurasian Economic Union has been concluded. All negotiation materials have been finalized and agreed upon by both parties," Minister Airlangga said in response to a reporter's question.
Following the approval of the entire negotiation package, the next step will be the signing of the agreement, which will eliminate market barriers between Indonesia and the Eurasian Economic Union, Airlangga said.
Related news: Indonesia, Eurasian Economic Union wrap up free trade talks
"Yesterday, it was officially announced by President Putin and President Prabowo regarding the EAEU agreement," Airlangga added.
President Prabowo Subianto and President Vladimir Putin jointly announced the conclusion of the FTA negotiations during a press conference held at the Konstantinovsky Palace in St. Petersburg on Thursday (June 19).
President Prabowo was in St. Petersburg from June 18 to 20 on an official visit to fulfill President Putin’s invitation to participate as the keynote speaker in the Saint Petersburg International Economic Forum (SPIEF) 2025 on Friday.
Indonesia and the EAEU members -- Russia, Armenia, Belarus, Kazakhstan, and Kyrgyzstan -- commenced the negotiations for the free trade agreement in December 2022, and as of June 2025, five negotiation rounds and several intersessional meetings had taken place.
Indonesia’s negotiating team was led by Director General of International Trade Negotiations at the Ministry of Trade Djatmiko Bris Witjaksono.
The free trade agreement with the EAEU opens up new export opportunities for Indonesia, especially for key commodities such as crude palm oil (CPO) and its derivatives, copra, coffee, natural rubber, and cocoa butter.
On the other hand, Indonesia also expects increased imports from the EAEU for several strategic commodities, including wheat, phosphate, coal, raw materials for chemical fertilizers, and semi-finished iron.
With a combined population of over 460 million people across Indonesia and the EAEU, the agreement is expected to expand market access, improve logistics, and boost two-way investment flows between the two regions.
Indonesia and the EAEU's trade value was recorded at USD1.57 billion from January to March 2025, marking an increase of 84.63 percent compared to that of the same period in the previous year.
In addition to trade, Indonesia is opening its doors to the EAEU investment in key sectors such as manufacturing, transportation, logistics, mining, and agriculture.
Foreign direct investment from the EAEU region into Indonesia has also shown a positive trend, amounting to USD273.7 million in 2024.
Related news: Indonesia looks to improve trade with Eurasia
Translator: Primayanti
Editor: Rahmad Nasution
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