The Indonesia-Australia Comprehensive Economic Partnership Agreement (IA-CEPA) has achieved significant milestones in its fifth year of implementation. The value of trade in goods and services between the two countries has doubled in the past five years. In 2019, total trade between Indonesia and Australia was recorded at 17.7 billion Australian dollars. This figure will jump to 35.5 billion Australian dollars, or approximately IDR 382 trillion, by 2024.
Australian Ambassador to Indonesia, Rod Brazier, described this growth as evidence of the success of the two countries’ strategic partnership. Brazier added that Indonesia now enjoys a trade surplus with Australia of 3.13 billion Australian dollars (approximately IDR 33.7 trillion) in 2024.
“Over the past five years, the IA-CEPA has driven trade and investment growth, creating significant opportunities for shared prosperity and economic resilience. This means lower prices, more opportunities, and more efficient business processes in both countries. It also means more jobs and investment,” Brazier said at the IA-CEPA’s fifth anniversary celebration in Jakarta on Thursday (July 3, 2025).
Indonesia and Australia’s economic partnership is growing rapidly in complementary sectors, such as mining, agriculture, food, education, and services. This strengthens their positions as key partners in the Indo-Pacific region.
“Geopolitical tensions and trade uncertainty demonstrate the need for a high-quality agreement like the IA-CEPA. This agreement provides certainty for businesses and supports regional stability,” he emphasized.
Expanding Economic Cooperation: In the near future, Indonesia and Australia will conduct a review of the IA-CEPA to expand the scope of cooperation. According to Brazier, this step aims to maximize the economic potential of both countries and aligns with the agreement between Australian Prime Minister Anthony Albanese and President Prabowo Subianto. This review includes new strategic sectors, such as green energy and critical minerals. He also revealed that Prime Minister Albanese views Indonesia as one of the most promising economies in the world.
“Lithium is one example. We want to enhance Australia’s role as a reliable lithium supplier to Indonesia’s rapidly growing battery sector. Indonesia has the potential to become a top five global economy by 2030. Agreements like the IA-CEPA will be crucial in supporting that achievement,” Brazier explained.
July 3, 2025, CNBC Indonesia
(https://www.cnbcindonesia.com/news/20250703175006-4-646079/perdagangan-ri-australia-melonjak-2-kali-lipat-tembus-rp-382-t)