Berliner Boersenzeitung - Indonesia, EU sign long-awaited trade deal

EUR -
AED 4.261874
AFN 76.591666
ALL 92.597073
AMD 422.181196
ANG 2.077013
AOA 1064.163357
ARS 1734.900176
AUD 1.6399
AWG 2.08887
AZN 1.968325
BAM 1.955738
BBD 2.337576
BDT 141.825516
BGN 1.968604
BHD 0.437677
BIF 3469.045487
BMD 1.160483
BND 1.481453
BOB 13.410287
BRL 6.038114
BSD 1.160638
BTN 111.077095
BWP 15.675504
BYN 3.530188
BYR 22745.472905
BZD 2.334176
CAD 1.609898
CDF 2634.297369
CHF 0.940067
CLF 0.027307
CLP 1074.735107
CNY 7.825483
CNH 7.820677
COP 3603.149819
CRC 519.372391
CUC 1.160483
CUP 30.752808
CVE 110.260089
CZK 24.162017
DJF 206.669014
DKK 7.47563
DOP 68.187844
DZD 154.209695
EGP 58.836927
ERN 17.40725
ETB 189.575523
FJD 2.563569
FKP 0.856895
GBP 0.85603
GEL 3.023118
GGP 0.856895
GHS 12.911314
GIP 0.856895
GMD 85.875942
GNF 10197.545796
GTQ 8.856529
GYD 242.817092
HKD 9.100103
HNL 31.119346
HRK 7.535363
HTG 151.805201
HUF 364.496499
IDR 20692.577927
ILS 3.465896
IMP 0.856895
INR 111.057963
IQD 1520.451931
IRR 1595171.347767
ISK 142.194446
JEP 0.856895
JMD 183.394202
JOD 0.822796
JPY 184.616066
KES 150.271402
KGS 101.484102
KHR 4692.851636
KMF 494.366236
KPW 1044.435321
KRW 1614.458562
KWD 0.358114
KYD 0.967169
KZT 536.101502
LAK 26137.610587
LBP 103931.775234
LKR 384.107856
LRD 210.65334
LSL 18.856698
LTL 3.426606
LVL 0.701965
LYD 7.386671
MAD 10.761421
MDL 20.015367
MGA 5001.73412
MKD 61.528055
MMK 2436.1399
MNT 4174.433574
MOP 9.373483
MRU 46.434532
MUR 54.519542
MVR 17.941066
MWK 2012.493021
MXN 19.770533
MYR 4.70889
MZN 74.160694
NAD 18.856698
NGN 1567.84815
NIO 42.70773
NOK 10.909938
NPR 177.727381
NZD 1.973454
OMR 0.446209
PAB 1.160638
PEN 3.908292
PGK 5.140771
PHP 71.744536
PKR 322.102717
PLN 4.324831
PYG 6981.779272
QAR 4.231366
RON 5.246782
RSD 117.389823
RUB 98.636032
RWF 1710.145934
SAR 4.359006
SBD 9.31382
SCR 15.926447
SDG 698.033885
SEK 11.037629
SGD 1.480928
SHP 0.859763
SLE 28.606131
SLL 24334.753902
SOS 663.270458
SRD 44.060118
STD 24019.661541
STN 24.498698
SVC 10.155548
SYP 15088.603907
SZL 18.86216
THB 38.373735
TJS 10.706531
TMT 4.061692
TND 3.392093
TOP 2.794165
TRY 55.630208
TTD 7.872582
TWD 37.079811
TZS 3072.641833
UAH 51.892389
UGX 4328.769893
USD 1.160483
UYU 46.518529
UZS 13695.567016
VES 895.402058
VND 30382.033336
VUV 137.187098
WST 3.151754
XAF 655.936263
XAG 0.018233
XAU 0.000266
XCD 3.136264
XCG 2.091707
XDR 0.820522
XOF 655.927785
XPF 119.331742
YER 275.183963
ZAR 18.847003
ZMK 10445.737551
ZMW 21.731845
ZWL 373.675153
  • CMSD

    0.0700

    21.16

    +0.33%

  • BP

    0.7250

    44.135

    +1.64%

  • BTI

    -0.6200

    55.76

    -1.11%

  • AZN

    3.8750

    163.975

    +2.36%

  • NGG

    -1.7400

    80.41

    -2.16%

  • GSK

    1.0800

    52.23

    +2.07%

  • RIO

    3.7600

    100.45

    +3.74%

  • CMSC

    0.1100

    21.35

    +0.52%

  • BCE

    0.2950

    23.655

    +1.25%

  • RBGPF

    0.3500

    69

    +0.51%

  • BCC

    2.7250

    82.905

    +3.29%

  • JRI

    0.0150

    12.455

    +0.12%

  • RELX

    0.6550

    35.165

    +1.86%

  • VOD

    0.0750

    16.205

    +0.46%

  • RYCEF

    -0.6500

    20.6

    -3.16%

Indonesia, EU sign long-awaited trade deal
Indonesia, EU sign long-awaited trade deal / Photo: SONNY TUMBELAKA - AFP

Indonesia, EU sign long-awaited trade deal

Indonesia and the European Union finalised negotiations on a trade agreement Tuesday after nearly a decade of talks, a senior minister said.

Text size:

The Indonesia-European Union Comprehensive Economic Partnership Agreement (CEPA) is the third deal Brussels has signed with Southeast Asian countries, after Singapore and Vietnam.

The pact was signed by EU Trade Commissioner Maros Sefcovic and Indonesian Minister of Economic Affairs Airlangga Hartarto in Bali and will open investment in strategic sectors such as electric vehicles, electronics, and pharmaceuticals.

"By finalising this agreement, the EU and Indonesia are sending a powerful message to the world that we stand united in our commitment to open rules-based and mutually beneficial international trade,” Sefcovic said after the signing.

"In all, EU exporters will save some 600 million euros ($708 million) a year in duties paid on their goods entering the Indonesian market, and European products will be more affordable and available to Indonesian consumers," EU President Ursula von der Leyen said in a statement.

Indonesia has been in talks with the EU since 2016, but negotiations for a trade deal initially saw little progress.

Issues such as palm oil and deforestation posed stumbling blocks, but US President Donald Trump's sweeping tariff policy "created the urgency" to expedite an agreement, said Deni Friawan, researcher at the Centre for Strategic and International Studies.

The trade deal also included a protocol on palm oil, the EU said in a statement, without providing details.

"This is a ten-year journey that has resulted in a milestone that reflects our commitment and the commitment of stakeholders to an open, fair, and sustainable economic assistance," Airlangga told a news conference.

The agreement is expected to be implemented by 2027, Airlangga added.

Around 80 percent of Indonesian exports to the EU will be tariff-free after the deal comes into force, Airlangga said in June.

- Access opens --

It is expected to benefit the country's top shipments to the bloc including palm oil, footwear, textiles and fisheries, he added.

The EU is Indonesia's fifth-largest trading partner with bilateral trade reaching $30.1 billion last year.

The agreement would further open up EU access to the Indonesian market of around 280 million people, Deni said.

Ties had been frayed by issues including a proposed import ban by Brussels on products linked to deforestation that has angered Indonesia, a major palm oil exporter.

Under the EU deforestation regulation, exports of a vast range of goods -- including soy, timber, palm oil, cattle, printing paper and rubber -- are prohibited if produced on land deforested after December 2020.

The EU has postponed the rule's implementation to the end of this year after a backlash.

However, activists are concerned the trade agreement will lead to more deforestation driven by increased demand for Indonesian palm oil.

"The remaining natural forests in palm oil concessions will potentially be cleared in the near future (and) converted into plantations," said Syahrul Fitra of Greenpeace Indonesia.

(L.Kaufmann--BBZ)