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Thursday, August 27, 2026

Indonesia, India pursue strategic industrial cooperation at BRICS

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Jakarta (ANTARA) - The governments of Indonesia and India discussed strategic cooperation spanning data centers, digital industrial transformation, and semiconductors.

The potential for enhanced collaboration was addressed during a bilateral meeting between Indonesian Deputy Industry Minister Faisol Riza and Indian Minister of State for Commerce and Industry Jitin Prasada, held on the sidelines of the 10th BRICS Industry Ministers' Meeting in Jaipur, India.

"We hope this meeting will further strengthen ties between our two countries while unlocking more opportunities for concrete, actionable, and mutually beneficial industrial collaboration," Riza said in a statement confirmed in Jakarta on Wednesday.

He noted that the bilateral meeting serves as a follow-up to the deepening relationship between both nations following Indonesian President Prabowo Subianto's visit to India for Republic Day in 2025 and Indian Prime Minister Narendra Modi's state visit to Indonesia in July 2026.

These high-level meetings mark a new chapter in bilateral cooperation across trade, investment, healthcare, pharmaceuticals, industrial downstreaming, and human resource development.

Trade relations between Indonesia and India continue to expand, reaching US$23.16 billion in 2025, with Indonesian exports accounting for US$18.32 billion and imports standing at US$4.84 billion.

However, Indonesia’s non-oil and gas manufacturing exports to India have declined in recent years. Addressing this trend was a key agenda item as both nations aim to expand market access for Indonesian manufactured goods.

The bilateral talks followed Indonesia's admission as a full member of BRICS, opening broader opportunities for industrial collaboration with fellow member states, including India.

The Indian delegation welcomed Indonesia’s proposals for cooperation in strategic sectors, particularly green industry development, semiconductors, and agro-industry.

Indian officials also raised concerns regarding Indonesia’s import quota restrictions on several Indian products. The Indonesian delegation agreed to forward the issue to relevant ministries for review.

Indonesia invited India to expand semiconductor collaboration, given the sector's strategic role in supporting priority areas such as electronics, automotive, telecommunications, energy, and digital transformation.

Digital industrial transformation cooperation will focus on automation, artificial intelligence (AI), smart manufacturing, and data center development to boost both countries' productivity and competitiveness.

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Translator: Ahmad Muzdaffar, Raka Adji
Editor: Arie Novarina
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