Germany and Indonesia strengthen industrial and energy ties

Germany and Indonesia are strengthening bilateral ties through cooperation in technology, energy, and trade. During a German Unity Day celebration in Jakarta, German Ambassador Ralf Beste highlighted significant industrial contributions, including LRT signaling technology, solar energy, and electricity grid development in Sulawesi. He also noted German involvement in the Just Energy Transition Partnership (JETP) and humanitarian efforts using A400M transport aircraft to assist with disaster relief in Sumatra and Kalimantan.

On the economic front, Indonesian Coordinating Minister for Economic Affairs Airlangga Hartarto expressed hope that the Indonesia-European Union Comprehensive Economic Partnership Agreement (IEU-CEPA) will lead to more competitive pricing for German products, specifically in the automotive sector. Under the agreement, German automotive industries could benefit from tariff reductions approaching zero percent through local assembly schemes (Completely Knocked Down). Germany remains a key supporter of the IEU-CEPA negotiations led by Indonesia.