Russia and Indonesia sign a free trade agreement giving Russian businesses preferential access to the Indonesian market and boosting trade ties in ASEAN.
On 21 December 2025, during a meeting of the Supreme Eurasian Economic Council in Saint Petersburg, representatives from Russia and Indonesia signed a Free Trade Agreement (FTA).
This announcement was made on 21 December 2025.
The FTA provides Russian businesses with preferential access to Indonesia, the world’s fourth most populous country. According to Russian Minister of Economic Development Maxim Reshetnikov, the deal also enables Russia to expand its trade presence within ASEAN.
Reshetnikov highlighted that the potential of Russian-Indonesian trade remains significant. “Over the past five years, trade turnover with Indonesia has increased 1.3 times. This year, we are observing positive growth – from January to October, our mutual trade turnover rose by more than 15%,” he said.
Under the agreement, 99% of current Russian exports to Indonesia will receive preferential market access. “Thanks to tariff exemptions, Russian companies could save up to 3 billion rubles (USD 36.2 million) annually,” Reshetnikov added. He also noted that the FTA lays the groundwork for diversifying trade and fostering cooperation in industry, agriculture, the digital economy, and other areas of mutual interest.
The deal will reduce Indonesia’s average tariff level by more than half – from 8% to 3.2% – while the majority of Russian shipments will be fully exempt from customs duties.
This agreement is expected to strengthen bilateral economic ties and provide a strategic boost to Russia’s trade engagement in Southeast Asia.
The agreement was signed on behalf of Russia by Deputy Prime Minister Alexey Overchuk.
