Indonesia and Turkey explore preferential trade pact
The two countries discussed raising bilateral trade to US$10 billion and creating a council to strengthen business ties.
Indonesia and Turkey are exploring a preferential trade agreement as they discuss expanding bilateral trade to US$10 billion. Indonesian Deputy Trade Minister Dyah Roro Esti Widya Putri met Turkish Trade Minister Omer Bolat in Istanbul alongside B57+ activities to discuss market access, investment and business participation.
In remarks cited on 4 November 2026, Roro said Indonesia was open to discussing trade arrangements in stages, taking account of both countries’ economic interests. She described a preferential agreement as one option for closer commercial ties, while stressing that it should benefit industries and businesses on both sides.
Such an agreement would offer lower import duties on selected products. Bolat emphasised the need to assess how opening markets would affect domestic industries, job creation, trade balances and the balance of payments. Turkey favoured developing trade in complementary products while safeguarding each country’s industrial interests.
Roro said Indonesia could supply raw materials and intermediate goods to Turkish industries, supporting production and supply chains. The ministers also considered opportunities for investment in both directions, including production partnerships and closer links between industries. Roro called for private-sector involvement in pursuing the opportunities discussed by the governments.
Another proposal under discussion was a High Level Business Council. The proposed body would help businesses communicate and coordinate, identify priority sectors and connect potential partners to develop economic cooperation between Indonesia and Turkey.
