- Indonesia targets 100% trade boost with EAEU post-FTA
- 2024 trade $4.1B; exports surge 36% to $1.5B
- Signing at Dec 20-21 EAEU Summit in St. Petersburg
Indonesia has set a very challenging goal to double its bilateral trade volume with the Eurasian Economic Union (EAEU) right after the ratification of the Free Trade Agreement (FTA) between Indonesia and the EAEU (I-EAEU FTA). Trade Minister Budi Santoso made this point clear when he explained that the trade can be turned to a 100% extension just by the single-use of the agreement; this is a way of harvesting the record growth trajectory that has been going on for years now.
The overall trade between the EAEU (Russia, Kazakhstan, Armenia, Belarus, and Kyrgyzstan) and Indonesia in 2024 reached $4.1 billion. To the bloc, Indonesian exports were worth $1.5 billion, a considerable 36 percent increase over the previous year, whereas imports from EAEU countries reached $2.4 billion, with a slight 4 percent decrease.
As a result, the FTA is likely to abolish tariffs altogether on Indonesian goods that are destined for the EAEU markets which means enormous new spaces for what are the top export categories such as crude palm oil, textiles and apparel, manufactured goods, agricultural produce, and fisheries products. On the other hand, Indonesia is importing from the EAEU what is necessary such as wheat and fertilizers, which are the basis of food security and agricultural productivity in the country.
Also Read: Indonesia Boosts Auto Local Sourcing Through SME Partnerships
The actual signing of the agreement will be done at the EAEU Summit in St. Petersburg, Russia, on December 20-21, 2025. Ministers of Trade from both sides will sign the document in the presence of the heads of state thus marking the official moment. The procedures for ratification have already started and there is a smooth coordination among the authorities concerned about setting clear timelines for the entire process and execution.
Besides this important agreement opening the doors of the international market for Indonesia, it also acts as an instrument of economic diversification by lessening the risks of global trade fluctuations and deepening the bilateral relations with non-traditional partners in a multipolar world.