Mon Jan 27 06:48:08 UTC 2025: ## India and Indonesia Deepen Defence and Economic Ties

**New Delhi, India** – President Prabowo Subianto of Indonesia concluded a state visit to India Sunday, resulting in a significant strengthening of defence and economic cooperation between the two nations. The visit, which coincided with India’s Republic Day celebrations where President Subianto was the chief guest, yielded a joint statement outlining enhanced collaboration across numerous sectors.

Key agreements include India’s support for Indonesia’s defence modernisation through expertise sharing, and joint efforts to remove trade barriers. Discussions are underway for Indonesia to acquire the BrahMos missile system from India, with a deal potentially worth $450 million nearing finalization.

Both countries committed to boosting cooperation in counter-terrorism, health, food security, infrastructure, science and technology, space, education, climate change, and Indo-Pacific initiatives. A particular focus will be placed on strengthening domestic defence manufacturing capabilities, utilizing the joint defence cooperation committee (JDCC).

Economically, the two nations aim to accelerate the resolution of outstanding tariff and non-tariff barriers, with plans to convene the second meeting of the working group on trade and investment and the 4th biennial trade ministers’ forum. Bilateral trade has skyrocketed from $4.3 billion in 2005-06 to $29.40 billion in 2023-24, solidifying Indonesia’s position as India’s second-largest trading partner within ASEAN. The two leaders also agreed to expedite the review of the ASEAN-India Trade in Goods Agreement (AITIGA) this year to further unlock economic potential.

Beyond economic ties, both countries reaffirmed their commitment to maintaining peace and stability in the Indo-Pacific region, upholding freedom of navigation, and promoting peaceful dispute resolution in accordance with international law, including the UN Convention on the Law of the Sea (UNCLOS). They expressed support for the full implementation of the Declaration on the Conduct of the Parties in the South China Sea (DOC) and the early conclusion of a substantive Code of Conduct (COC).

Furthermore, India and Indonesia strongly condemned terrorism and pledged to enhance cooperation in combating this threat. The two nations also committed to expanding collaboration in digital infrastructure, capacity building, and cybersecurity, as well as exploring joint projects in renewable energy and critical mineral mining. President Subianto’s visit marked the 75th anniversary of diplomatic relations between the two countries.

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