Indonesia Turkey Trade Agreements Boost Defense and Economy
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Indonesia and Turkey Forge Stronger Ties

Indonesia’s President Prabowo Subianto and Turkey’s President Recep Tayyip Erdogan met on Wednesday to discuss and sign multiple agreements that aim to enhance trade and defense cooperation between their nations. This pivotal meeting took place in Bogor, Indonesia, where Erdogan was received with traditional ceremonies, including a marching band and a display of national pride from local schoolchildren.

During the discussions, President Prabowo emphasized the importance of increasing trade between Indonesia and Turkey, declaring it mutually beneficial. He stated, “We are committed to increasing trade between the two countries.” Additionally, Prabowo highlighted the intent to bolster joint production in the defense sector, which includes collaborative training for troops and coordinated efforts against terrorism.

Strategic Agreements Signed

The meeting resulted in the signing of a dozen agreements encompassing various sectors such as trade, energy, higher education, and religious affairs. A notable highlight was the agreement to establish a drone manufacturing facility in Indonesia, a move that underscores both nations’ commitment to advancing their defense capabilities. Erdogan’s visit marks a significant step in cementing their partnership, as he referred to Prabowo as “my close friend, my brother,” showcasing the personal rapport between the leaders.

In addition to the agreements, the two leaders convened their first High-Level Strategic Cooperation Council meeting. Erdogan mentioned that they discussed pressing global issues, including the situations in Syria and Palestine, while also outlining future goals to boost bilateral trade to an impressive $10 billion annually.

Current Trade Landscape

According to Indonesia’s trade ministry, the bilateral trade value between Indonesia and Turkey reached $2.4 billion in 2024. This figure reflects the growing economic relationship fostered between the two countries over the years. The last significant meeting between the leaders occurred in July in Ankara, shortly before Prabowo was inaugurated as Indonesia’s president, succeeding Joko Widodo, who had laid a strong foundation for bilateral relations.

In 2023, Indonesia took a considerable step towards modernizing its military by acquiring 12 Turkish drones for approximately $300 million. This deal highlights the strategic military collaboration between the two nations, both of which are active members of the Organisation of Islamic Cooperation, where they frequently align on issues concerning Palestine and express their criticisms of Israel.

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