Indonesia Strengthens Trade Ties with the UK, Accelerates I-UK CEPA Talks and Strategic Commodity Cooperation
JACKTV News.co.id – London, September 17, 2026
The Indonesian Ministry of Trade is strengthening trade and economic cooperation with the United Kingdom by accelerating discussions on the Indonesia-UK Comprehensive Economic Partnership Agreement (I-UK CEPA), supporting Indonesia’s accession to the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), and expanding cooperation in strategic commodities.
The efforts were highlighted by Director General of International Trade Negotiations at the Indonesian Ministry of Trade, Johni Martha, following his working visit to London from September 7–9, 2026.
“Indonesia’s trade relationship with the United Kingdom has significant potential for further growth. We met with several UK government institutions and stakeholders to strengthen bilateral trade through the establishment of the I-UK CEPA. We also appreciate the United Kingdom’s support for Indonesia’s efforts to accede to the CPTPP,” Johni said.
The Ministry of Trade projects that the I-UK CEPA could strengthen the competitiveness of both countries by expanding market access, strengthening supply chains, reducing regulatory barriers, and promoting trade in services and investment.
The need for a stronger trade partnership has become increasingly important as Indonesia is scheduled to no longer receive the United Kingdom’s Developing Countries Trading Scheme (DCTS) preferential scheme starting January 1, 2027.
Meanwhile, UK exports to Indonesia are currently subject to Most-Favoured-Nation (MFN) tariffs of approximately 6–15 percent.
In addition to government-level meetings, Johni led a business forum involving 20 UK companies and think tanks on Tuesday, September 8.
“Input from the business community is very important to accelerating the establishment of the I-UK CEPA,” Johni said.
During the visit, the Indonesian Ministry of Trade delegation also met with the International Coffee Organization (ICO) in London.
The meeting discussed the welfare of smallholder coffee farmers, recognition of specialty Robusta coffee, regenerative agriculture practices, and challenges related to the implementation of the European Union Deforestation Regulation (EUDR).
“We also emphasized the important role of the ICO in supporting the welfare of coffee farmers, most of whom are smallholders. At the same time, major coffee-producing countries need to play an active role in creating global rules that are fairer and more inclusive,” Johni said.
Bilateral trade between Indonesia and the United Kingdom remained relatively stable during 2021–2025, increasing from USD 2.57 billion in 2021 to USD 2.66 billion in 2025.
The two countries have complementary economic strengths. Indonesia offers a large consumer market, abundant natural resources, and a competitive manufacturing base, while the United Kingdom has strengths in high-value products and services, technology, and expertise across various sectors.
Adolf Hutabarat
JACKTV News.co.id
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