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Germany and Indonesia: Bilateral relations
Indonesia is one of Germany’s most important partners in Southeast Asia. Bilateral relations are wide-ranging and friendly. Diplomatic relations were established in 1952, and a comprehensive partnership was agreed in 2012 with the signing of the Jakarta Declaration.
As the largest members of the EU and the Association of Southeast Asian Nations (ASEAN) respectively, Germany and Indonesia connect on numerous points. Shared interests include upholding a rules-based international order and managing regional security challenges. Both countries are committed to democracy and human rights and work together within multilateral organisations such as the United Nations and the G20.
As a rising economic power, Indonesia holds great potential for Germany. Germany is Indonesia’s principal European trading partner, and German businesses are active in the country across many different sectors. Increasing mobility for skilled workers is another important area of cooperation. An EU trade agreement with Indonesia is currently being negotiated. Indonesia is also aiming to join the Organisation for Economic Co‑operation and Development (OECD).
Indonesia’s role in the field of climate and environment is globally relevant – not only because of its extensive forests, peatlands and marine ecosystems and its rich biodiversity, but also because it is one of the world’s largest emitters of greenhouse gases. As part of development cooperation efforts, Germany is addressing the protection of global assets such as the climate, the environment and biodiversity with Indonesia, and supporting Indonesia with the energy transition and the protection of natural resources. Germany plays a particularly significant role as a co‑leader of the International Partners Group (IPG), one of the parties to the Just Energy Transition Partnership (JETP), which is intended to accelerate the transition to renewable energy in Indonesia.
Germany and Indonesia enjoy various forms of cultural exchange. Both countries benefit from a long-standing partnership in research and academia as well as on university grants and vocational education and training. For years Germany has been one of the top choices for Indonesian students wanting to study abroad. As the country with the largest Muslim population, Indonesia is also an important partner for dialogue on religious issues.