Jakarta officials said on Friday that Indonesia and China will broaden military cooperation and coordinate closely on minerals, energy and technology. The announcement came as Indonesia’s president continues to pursue a “free and active” foreign policy that seeks friendly relations with both Beijing and Washington.
High‑level talks set the tone
China’s foreign minister Wang Yi arrived in Jakarta with defence minister Dong Jun for meetings with their Indonesian counterparts. Wang urged both sides to “seize the moment,” noting that the current international environment is “intertwined and complex.” He warned that unilateral and hegemonic actions threaten global cooperation and stability, and said China aims to build high‑level cooperation with Indonesia.
Expanded defence partnership
During the talks, Indonesian defence minister Sjafrie Sjamsoeddin and Chinese defence minister Dong Jun discussed a range of military initiatives. Both ministers said the two militaries will increase joint exercises, officer exchanges and defence‑industry partnerships. Dong described the prospects for cooperation as “broad, higher in quality and more effective.” Sjafrie called the step “progressive” for Indonesia’s defence buildup.
Joint work on minerals, energy and tech
The two governments also pledged collaboration in artificial intelligence, rail transport, green energy, satellites and fisheries. Indonesia, a $1.4 trillion G20 economy rich in nickel, tin, copper, gold and bauxite, is the world’s largest exporter of palm oil and thermal coal, with China among its top buyers. While China dominates investment in Indonesia’s nickel‑processing sector, recent policy changes on exports and mining quotas have prompted some firms to look elsewhere.
Both sides said they will support each other’s core interests and deepen cooperation on energy and mineral resources. Chinese firms such as Contemporary Amperex Technology (the world’s largest EV‑battery maker) and steelmaker Tsingshan Group already have significant operations in Indonesia.
Strategic context
Indonesia’s navy recently conducted routine exercises with China, Japan and the United States east of Taiwan. The location, analysts note, allowed China to send a political signal while Indonesia framed the activity as standard defence diplomacy.
Indonesia also maintains a measured stance on the South China Sea dispute, where China claims most of the waters. Jakarta has said it is not a party to the broader territorial disagreements involving China, the Philippines, Malaysia and Vietnam.
Investment climate
China contributed $3.9 billion in foreign direct investment to Indonesia in the first half of 2026. However, Chinese companies have complained about “excessively stringent regulation, over‑enforcement” and alleged corruption in a letter to the China Chamber of Commerce in Indonesia. They warned that higher taxes and a new nickel‑pricing formula could raise costs and deter further investment.
Indonesia’s leadership says the expanded partnership reflects a balanced approach to foreign relations, seeking economic benefits while safeguarding national interests.
Original reporting: Appleton, WI News Feed (HLL/CB) — read the source article.
