Indonesia and EU Finalize Landmark Trade Deal, Boost Visa Access
A comprehensive economic partnership between Indonesia and the European Union has been reached, signaling a major win for both sides amidst growing global economic uncertainty. The agreement, finalized during a pivotal visit by President Prabowo Subianto to Brussels, is expected to unlock new opportunities for trade and investment, alongside eased travel restrictions for Indonesian citizens.
A Decade of Negotiations Culminates in Agreement
After nearly a decade of negotiations – spanning 19 rounds of discussions – consensus on the Indonesia-European Union Comprehensive Economic Partnership Agreement (I-EU CEPA) has been achieved. A spokesperson for the Indonesian Foreign Ministry stated that the agreement represents “a momentum of strategic economic achievements” for both Indonesia and the EU, allowing for expanded market access in an increasingly complex geopolitical landscape.
The breakthrough came during President Subianto’s meetings with European Commission President Ursula von der Leyen on July 12 and 13, 2025. The I-EU CEPA is slated for official signing in September 2025.
Expanding Economic and Diplomatic Ties
Securing commitments to finalize the trade deal and strengthen the overall strategic partnership were key objectives of President Subianto’s trip. Beyond the trade agreement, the visit yielded another significant outcome: a decision by the EU to simplify visa procedures for Indonesian travelers.
The EU will implement a “visa cascade” policy, easing access for Indonesians seeking multiple-entry visas to EU member states. According to a senior official, this policy is anticipated to “bolster people-to-people relations” between Indonesia and the 27 nations of the European Union.
Benefits for Business, Investment, and Travel
The new visa policy is expected to facilitate increased business and investment cooperation between Indonesia and Europe, as well as foster stronger personal connections. The Indonesian Foreign Ministry expressed optimism that the policy will benefit Indonesians traveling for business, investment, and personal enrichment. Increased engagement is also anticipated to positively impact EU member states.
The I-EU CEPA and the visa policy represent a significant strengthening of ties between Indonesia and the EU, demonstrating a commitment to mutual growth and collaboration in a challenging global environment.
