RRI.CO.ID, Jakarta - Indonesia and Japan are deepening their strategic partnership, with cooperation now extending beyond traditional industry ties to include energy transition and global supply chain resilience. The growing collaboration has become a key pillar in supporting economic growth and industrial transformation in both countries.

Indonesian Coordinating Minister for Economic Affairs Airlangga Hartarto highlighted Japan’s longstanding role in shaping Indonesia’s automotive ecosystem during a meeting with Executive Acting Secretary-General of Japan’s Liberal Democratic Party (LDP), Koichi Hagiuda, in Tokyo on Wednesday, March 11, 2026.

“Japan has played an important role in building Indonesia’s automotive industry. Today, Indonesia is not only a domestic market but also a production base exporting vehicles to more than 70 countries,” Airlangga said in a press release issued by the coordinating ministry on its official website.

Indonesia expressed appreciation for Japan’s investment in the sector and pledged to maintain a competitive investment climate. Future efforts will focus on strengthening tier-2 and tier-3 component industries to reinforce supply chains and foster the emergence of universal brands.

Hagiuda, in turn, voiced support for Indonesia’s push toward cleaner fuels, including the B40 biodiesel program and plans to introduce E20 fuel by 2028. Japanese automakers, he noted, are prepared to align with Indonesia’s energy transition agenda in the transport sector.

Beyond automotive cooperation, renewable energy collaboration is advancing under the Asia Zero Emission Community (AZEC) framework. Projects already underway include the Muara Laboh geothermal plant in West Sumatra, the Legok Nangka waste-to-energy project in West Java, and a hydropower initiative in North Kalimantan.

The two sides also discussed future opportunities in strategic industries, with Japan’s Organization for Metals and Energy Security (JOGMEC) -- established under Prime Minister Sanae Takaichi -- expected to play a role in expanding resource and industrial cooperation. Japan sees Indonesia as a key partner in strengthening economic security, particularly in technology supply chains such as semiconductors.

The meeting underscored the increasingly close partnership between Indonesia and Japan in advancing strategic sectors. Looking ahead, both nations aim to further reinforce collaboration to drive sustainable economic growth and build globally competitive industries. ***