Indonesia urges EAEU states to complete ratification of landmark trade agreement
President Prabowo Subianto calls on Eurasian Economic Union members to finalize internal procedures for the Indonesia-EAEU Free Trade Agreement, which would eliminate tariffs on over 90 percent of traded goods and open markets worth US$3.04 trillion.
Indonesia urges EAEU states to complete ratification of landmark trade agreement
Indonesian President Prabowo Subianto urged member states of the Eurasian Economic Union to expedite ratification of the Indonesia-EAEU Free Trade Agreement during his address at the 11th Eastern Economic Forum in Vladivostok, Russia, on Thursday.
Speaking before more than 5,000 participants from over 70 countries at the forum held September 1-4 on Russky Island, Prabowo emphasized Indonesia's readiness to implement the agreement signed in December 2025 between Indonesia and the six EAEU parties: Armenia, Belarus, Kazakhstan, Kyrgyzstan, Russia, and the Eurasian Economic Commission.
Indonesia completed parliamentary approval of the FTA and in July, the president signed the presidential regulation of ratification. The country now seeks immediate implementation once all parties complete their notification procedures.
I respectfully call on every EAEU member state to complete its internal procedures, so that we can make use of this agreement as soon as possible.
Details of the Free Trade Agreement
The comprehensive 15-chapter agreement, signed on December 21, 2025, in St. Petersburg during the EAEU Summit and witnessed by Russian President Vladimir Putin, followed five rounds of negotiations that began in 2023. The FTA commits both sides to eliminating or reducing duties on 11,882 tariff lines, covering over 90 percent of goods traded between the two regions.
Under the agreement's implementation schedule, tariffs on some products will be eliminated immediately upon entry into force, while remaining duties will be phased out gradually over three to 15 years, covering provisions on market access for goods and trade facilitation.
Market Opportunities and Trade Volumes
The agreement opens significant market opportunities for both sides. Indonesia will gain access to the EAEU's combined market of 183.7 million people with a GDP of US$3.04 trillion, while Eurasian producers will access Indonesia's domestic market of over 290 million consumers. As the largest market within ASEAN and hub of the Regional Comprehensive Economic Partnership, Indonesia also serves as a gateway for EAEU businesses to reach the broader Southeast Asian market of approximately 680 million people.
Current bilateral trade between Indonesia and the EAEU reached US$4.5 billion in 2024, with nearly US$4 billion of that trade conducted with Russia. Palm oil represents a major Indonesian export to the region.
Prabowo highlighted that Indonesian business delegations in Vladivostok have already concluded pilot shipments, identified buyers, secured logistics arrangements, and settled compliance and payment procedures in preparation for utilizing the FTA.
Financial Cooperation Proposals
The president also proposed optimizing partnership between Indonesia's sovereign wealth fund Danantara and the Russian Direct Investment Fund. Danantara Indonesia, launched on February 24, 2025, manages substantial state assets and could facilitate connections between capital markets.
Danantara could act as a bridge where Russian and Indonesian capital markets and strategic goals could meet.
Prabowo positioned the fund as a vehicle for deeper financial cooperation between the two nations.
The EAEU, established on January 1, 2015, began with founding members Russia, Belarus, and Kazakhstan, with Armenia joining in January 2015 and Kyrgyzstan in August 2015. The economic bloc aims to facilitate free movement of goods, services, capital, and labor among member states.