Prabowo Meet Xi Jinping, Indonesia-China Pocketed an Agreement of IDR 156 Trillion

The 8th President of Indonesia, Prabowo Subianto visited the Chinese President Xi Jinping on 8-10 November 2024. Prabowo’s visit to Beijing produced several important points that increasingly tightened Indonesia’s relations with China.

For example, Indonesia and China agreed to hold the first meeting of the 2+2 dialogue mechanism for the Foreign Minister and the Minister of Defense in 2025. This functions as the main platform to expand high -level strategic communication and political, security and defense cooperation between the two countries .

Previously, in August 2024, Indonesia and China held a meeting of the 2+2 dialogue mechanism to build regional stability. During the meeting, China stated a clear establishment and proposal regarding issues concerning Chinese core interests and concerns such as the issue of the Taiwan Strait and the South China Sea. In response, Indonesia expressed its commitment to the principle of one China and proposed an appropriate dispute through peaceful negotiations, in order to maintain peace and stability in the South China Sea. In addition, Indonesia reiterated its consistent compliance with the principle of one China, in accordance with the resolution of the UN General Assembly 2758. This recognition refers to the Government of the People’s Republic of China is the only legal government representing all China and that Taiwan is a part that cannot be revoked from China and support peaceful national reunification.

Furthermore, Indonesia and China also officially signed an agreement worth US $ 10 billion or IDR156  trillion at the Indonesia-China Business Forum in Beijing on Sunday (11/10/2024). This cooperation will cover various sectors including food, new energy, technology, and biotechnology.

Launching Reuters on Monday (11/11/2024), the manufacturer of China battery materials GEM signed an agreement with PT Vale Indonesia to build a high-pressure acid pelindian factory in Central Sulawesi. According to the submission in Shenzhen, this cooperation is partly to secure nickel resources. The nickel industry in Indonesia, the largest metal producer in the world, is dominated by Chinese companies including Tsingshan Holding Group and Zhejiang Huayou Cobalt.

In a joint statement after the leaders’ meetings, the two countries agreed to increase collaboration in various sectors such as new energy vehicles, lithium batteries, photovoltaic, and digital economy. They also promised to strengthen partnerships in global energy transitions and jointly ensure the security of global mineral supply and industrial chains. Prabowo, through a separate statement, said he was optimistic that the close cooperation between the two countries would increase regional stability.

According to him, this meeting was an opportunity to strengthen Indonesia-China relations which had been running for several centuries. Prabowo also underlined that China was not only seen as a great force, but also as a large civilization that had long been established with Indonesia.

The cooperation agreement between Indonesia and China signed is:

1. Phytosanitari requirements protocol for fresh coconut exports from Indonesia to China;

2. Technical Work Guidelines for promoting sustainable capture fisheries;

3. Memorandum Understanding about the strengthening of blue economic cooperation;

4. Memorandum Understanding each other about cooperation between mineral resources;

5. Memorandum Understanding each other about the collaboration of green minerals;

6. Memorandum Understanding mutual cooperation in the field of water resources; and

7. Memorandum Understanding mutual cooperation of conformity assessment.

November 11, 2024, CNBC Indonesia(https://www.cnbcindonesia.com/news/20241111114345-4-587224/deal-prabowo-temui-xi-jinping-ri-china-kantongi-kesepakatan-rp156-t)