Indo-Pacific Surge: India-Indonesia Commit to Deepening Ties, Targeting Critical Minerals and Global Governance Reforms

Indo-Pacific Surge: India-Indonesia Commit to Deepening Ties, Targeting Critical Minerals and Global Governance Reforms​

Strengthening the Comprehensive Strategic Partnership​

The relationship between India and Indonesia witnessed a significant milestone as Prime Minister Narendra Modi concluded a State Visit to Jakarta from July 6–8, 2026. Building on prior engagements, the visit underscored the shared commitment of both nations toward achieving an "upwards trajectory" in their comprehensive strategic partnership. The two leaders held high-level bilateral talks at Istana Merdeka, covering the full spectrum of mutual interests, including defense, trade, digital economy, and science.

During the official meeting, Prime Minister Modi and President Prabowo signed several documents aimed at further strengthening bilateral ties. They agreed to hold regular Summit Meetings on the margins of multilateral events to enhance strategic engagement between the two countries. Furthermore, both leaders affirmed the importance of sustaining Joint Working Group mechanisms, including the Joint Commission Meeting (JCM) and Foreign Office Consultation (FOC).

Boosting Economic Resilience through Critical Minerals and Trade​

Economic cooperation was highlighted as a key pillar of the dynamic ties between the nations. The leaders expressed a strong desire for timely conclusion of the ASEAN India Trade in Goods Agreement (AITIGA) review, aiming for a balanced and mutually beneficial trade environment. Both sides emphasized utilizing existing bilateral economic mechanisms such as the 2nd meeting of the Working Group on Trade and Investment (WGTI).

A major focus was placed on strengthening collaboration in critical minerals and rare earths. The leaders commended ongoing cooperation and welcomed the signing of an MoU between Non-Ferrous Materials Technology Development Centre (NFTDC), Midwest Ltds., and PT. Perusahaan Mineral Nasional (PERMINAS). They also signed an MoU concerning the Minerals and Technology of Steel Supply Chain, along with welcoming the Strategic Joint Venture between Steel Authority of India Ltd. (SAIL) and PT. Krakatau Steel to explore a Stainless-Steel Slab Manufacturing Facility in Indonesia.

Elevating Defence and Maritime Cooperation​

Recognizing their status as strategic maritime neighbors, both leaders reaffirmed their commitment to expanding the defense and maritime partnership. They welcomed the convening of the 3rd Defence Ministers' Dialogue in New Delhi on November 27, 2025. Discussions focused on enhancing engagements across traditional and emerging defense areas.

The two sides agreed to further strengthen naval cooperation and continue working on maritime domain awareness (MDA), coastal surveillance, and search and rescue (SAR). They welcomed the renewal of the Memorandum of Understanding (MoU) on Maritime Safety and Security Cooperation and the conclusion of the Implementing Arrangement between BAKAMLA RI and Indian Coast Guard. Additionally, they agreed to expand mutually beneficial collaboration in defense industry by promoting technology transfer and establishing R&D initiatives.

Committing Zero Tolerance Against Terrorism​

The leaders unequivocally condemned terrorism in all its forms. They called for decisive international efforts to combat terror, including action against globally proscribed terrorists and terror entities listed under UNSC 1267 Sanctions Committee. The two sides committed a zero-tolerance approach to countering terrorism.

Recognizing the linkage between terrorism and transnational organized crime, they agreed to enhance cooperation through sharing information and best practices. The leaders welcomed the planned convening of the 3rd India-Indonesia Security Dialogue (IISD) as a platform to discuss security issues, including cyber security and emerging technology in industry. They also agreed to further explore potential collaboration in the cyber domain, covering digital forensics and CERT cooperation.

Advancing Connectivity and Sustainable Development​

Both leaders stressed enhanced maritime and air connectivity between the countries and encouraged greater port-to-port connections. A significant milestone was achieved with the welcome of the Cross-Border QR Payment Linkage between India and Indonesia, which is expected to enhance transaction efficiency for MSMEs, tourism, and students. The two sides also welcomed the launch of Indonesia Open Network (ION), based on ONDC architecture in India, to boost Indonesian MSME participation in the digital economy.

In terms of environmental preservation, President Prabowo acknowledged India's role in biodiversity conservation. Both leaders signed an MoU on Cooperation in Disaster Management between their respective National Disaster Management Authorities. They also stressed the need for a free, open, transparent, and rules-based Indo-Pacific region, reaffirming commitment to international law, including 1982 UNCLOS.

Regional and Global Governance Commitments​

Taking note of global issues and supply chain disruptions, both Prime Minister Modi and President Prabowo underscored the necessity for greater strategic convergence in multilateral forums. The two leaders reaffirmed a shared respect for sovereignty and territorial integrity.

Both sides agreed to work towards meaningful reforms of international institutions that reflect contemporary geopolitical realities and the aspirations of the Global South. Specifically, they reiterated the need for comprehensive reform and expansion of the United Nations Security Council (UNSC), both in permanent and non-permanent categories. Additionally, they expressed support for global financial architecture reforms and a rules-based trading system centered on the WTO.