(Ottawa, 26th) Indonesia and Canada have officially signed a Comprehensive Economic Partnership Agreement, one of the efforts by both countries to expand global economic ties after the United States increased tariffs, aiming to reduce trade barriers and streamline investment procedures, allowing goods from both countries to better enter each other's markets.
Indonesian President Prabowo visited Ottawa after attending the United Nations General Assembly in New York on Wednesday (September 24), and together with Canadian Prime Minister Carney signed the aforementioned agreement. This is Indonesia’s first Comprehensive Economic Partnership Agreement with a trade partner in North America.
According to the agreement, Canada will remove import tariffs on more than 90% of Indonesian products. At the same time, Indonesia will open 85.8% of its market to Canada to a limited extent, including products such as frozen beef and wheat.
Indonesia is a small market for Canadian goods, not ranking among Canada's top ten trading partners, but it is Canada's largest export market in Southeast Asia and a gateway for Canada to enter this rapidly growing region. Last year, the total trade volume between the two countries was about 4 billion US dollars (about 17 billion ringgit).
On Tuesday (the 23rd) this week, Indonesia also reached a Comprehensive Economic Partnership Agreement—after nearly a decade of negotiations—with the European Union, aiming to diversify its relations and reduce dependency on the US market.
Additionally, Indonesia and Canada have signed a memorandum of understanding on cooperation in the field of defense. In a subsequent joint statement, the two leaders said this would bring new content to their existing defense dialogue and joint military training. These two G20 countries also agreed to support the development of each other's defense industries.
At the joint press conference, Carney said: “We will deepen cooperation in maritime security, cyber defense, peacekeeping, and military education. This is vital to Canada’s Indo-Pacific strategy.”
“This sends a strong signal to the world that Canada and Indonesia are committed to jointly upholding regional and world peace and stability.”
Prabowo stated that Indonesia and Canada will continue their commitment to international peacekeeping. “We cherish our relationship with Canada, hope to send more young people here for training, and work together in the field of defense.”
Indonesian President Prabowo visited Ottawa after attending the United Nations General Assembly in New York on Wednesday (September 24), and together with Canadian Prime Minister Carney signed the aforementioned agreement. This is Indonesia’s first Comprehensive Economic Partnership Agreement with a trade partner in North America.
According to the agreement, Canada will remove import tariffs on more than 90% of Indonesian products. At the same time, Indonesia will open 85.8% of its market to Canada to a limited extent, including products such as frozen beef and wheat.
Indonesia is a small market for Canadian goods, not ranking among Canada's top ten trading partners, but it is Canada's largest export market in Southeast Asia and a gateway for Canada to enter this rapidly growing region. Last year, the total trade volume between the two countries was about 4 billion US dollars (about 17 billion ringgit).
On Tuesday (the 23rd) this week, Indonesia also reached a Comprehensive Economic Partnership Agreement—after nearly a decade of negotiations—with the European Union, aiming to diversify its relations and reduce dependency on the US market.
Additionally, Indonesia and Canada have signed a memorandum of understanding on cooperation in the field of defense. In a subsequent joint statement, the two leaders said this would bring new content to their existing defense dialogue and joint military training. These two G20 countries also agreed to support the development of each other's defense industries.
At the joint press conference, Carney said: “We will deepen cooperation in maritime security, cyber defense, peacekeeping, and military education. This is vital to Canada’s Indo-Pacific strategy.”
“This sends a strong signal to the world that Canada and Indonesia are committed to jointly upholding regional and world peace and stability.”
Prabowo stated that Indonesia and Canada will continue their commitment to international peacekeeping. “We cherish our relationship with Canada, hope to send more young people here for training, and work together in the field of defense.”