Indonesia, South Korea ink US$102 billion deals across defense, tech, and energy

Indonesia and South Korea have solidified their strategic partnership through a series of more than 20 agreements valued at US$102 billion, signed during Indonesian President Prabowo Subianto's visit to Seoul on April 1, 2026. These comprehensive deals cover a wide array of critical sectors, signaling a deepening of bilateral ties.

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More than 20 concrete agreements are included, with commitments in a government-to-government (G2G) nature in the fields of politics, defense, economy, education, culture, technology, and AI.

Ambassador to South Korea, Cecep Herawan, highlighted that the cooperation extends beyond economic interests. It encompasses intergovernmental collaboration in politics, defense, education, culture, technology, and artificial intelligence (AI). This broad scope underscores the shared vision between the two nations as fellow middle-power countries aiming for long-term development and mutual benefit.

Defense cooperation forms a cornerstone of the relationship. Indonesia has been a significant partner for South Korea's defense industry since 1979, being one of its earliest customers for defense products. Indonesia currently operates South Korean-made KAI KT-1 Woongbi trainer aircraft and KAI T-50 Golden Eagle fighter trainers. However, the collaboration now involves more than just procurement; Indonesia is actively participating in the development of South Korea's defense industry.

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The two countries are now not only establishing trade relations but also expanding collaboration in sectors deemed important for long-term development.

This joint development is exemplified by Indonesia's involvement in the KF-21 Boramae fighter jet project. Indonesian engineers and pilots are directly engaged in the program, facilitating a crucial transfer of knowledge and experience. Ambassador Herawan noted this unique dynamic, stating, "Korea learned defense industry from America. We learned the defense industry that Korea has learned from America to Korea."

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We are not only buying for defense purposes. Indonesia also becomes a partner in the development of Korea's defense industry.

Beyond defense, the agreements also target advancements in electric vehicles, semiconductors, renewable energy, and industrial investment. These initiatives are designed to bolster key industries and foster innovation, further strengthening the economic and technological ties between Jakarta and Seoul.

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Korea learned defense industry from America. We learned the defense industry that Korea has learned from America to Korea.