RRI.CO.ID, Shanghai – Indonesia and China strengthen their strategic economic partnership by focusing on balancing trade values and boosting high-quality investments. The two nations are moving toward a more balanced economic relationship after years of rapid trade growth.

This key issue was discussed during a bilateral meeting between Indonesian Coordinating Minister for Economic Affairs, Airlangga Hartarto and Chinese Minister of Commerce, Wang Wentao. The high-level meeting took place in Shanghai, China, on Friday, July 17, 2026.

“Indonesia and China have complementary economic structures. Future cooperation should focus on achieving a more balanced trade deficit, high-quality investment, technology transfer, human resource development, and strengthening national industrial capacity,” Airlangga said, as quoted in an official press release from the ministry.

Data shows that China remains Indonesia’s top trading partner. In 2025, the total trade value between the two countries reached a massive USD 154.6 billion.

From 2021 to 2025, bilateral trade showed a steady positive trend, growing at 7.24% annually. This growth highlights the deeply connected economies of both Asian nations.

China also ranks among the top three foreign direct investors in Indonesia. In 2025, Chinese investment reached nearly USD 8.1 billion, making up about 13% of the total foreign investment.

These funds flowed heavily into processing industries, trade, energy, property, and transportation. The investment helps build infrastructure and creates thousands of local jobs.

To boost this momentum, both nations are utilizing the "Two Countries Twin Parks" (TCTP) framework. This program connects special economic zones and businesses from both countries.

So far, 30 Memorandums of Understanding (MoUs) have been signed under the TCTP, with an estimated value of Rp37.1 trillion or USD 2.06 billion. Indonesia is now pushing to turn these agreements into operational factories and projects.

“The various Memoranda of Understanding that have been signed need to be promptly followed up on to turn them into tangible investments. We also encourage the formation of joint ventures so that TCTP cooperation can yield more concrete economic benefits,” Minister Airlangga said.

Indonesia is also proposing to expand the areas included in the TCTP framework. This expansion aims to open more industrial opportunities and strengthen regional connectivity.

Furthermore, Indonesia hopes the Chinese Ministry of Commerce will encourage more Chinese firms to invest. The government wants them to act as strategic partners and co-developers in Indonesian industrial zones.