The European Commission has submitted its proposals on the Comprehensive Economic Partnership Agreement and Investment Protection Agreement with Indonesia to the Council for signature and conclusion, marking the latest procedural step toward the agreements’ ratification.
In a statement on June 29, the Commission presented its proposals on the CEPA and IPA to the Council for signature and conclusion, paving the way for a vote after the summer. Commission President Ursula von der Leyen is tentatively expected to sign the deal in October.
Under the proposed CEPA, the EU said import duties would be removed on 98.5% of tariff lines, while export procedures for EU goods to Indonesia, including agri-food products, would be simplified. The agreement is also expected to open new investment opportunities in Indonesia, particularly in electric vehicles, electronics and pharmaceuticals, and provide protection for 221 EU geographical indications.
The Commission is now seeking the Council’s approval to sign the agreements. After signature, the CEPA and IPA will require the consent of the European Parliament before conclusion and entry into force. The Commission said Indonesian authorities are conducting their own internal ratification procedures in parallel.
Indonesia has previously said it aims to complete its ratification process in the second half of 2026, with implementation targeted for early 2027. Coordinating Minister for Economic Affairs Airlangga Hartarto said after a bilateral meeting with EU Trade Commissioner Maroš Šefčovič in Brussels on June 5 that Indonesia was working to keep the process on schedule.
“We are targeting the IEU-CEPA ratification process to be completed in the second half of 2026 so that implementation can begin in early 2027,” Airlangga said, as quoted from the Coordinating Ministry’s official webpage.
The ministry has also said the agreement is expected to improve market access for Indonesian products to the EU, including through tariff elimination on many export goods. In a separate statement, Airlangga said IEU-CEPA would provide more competitive access for Indonesian manufactured products to the European market.
