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In July 2005, Japan and Indonesia formally began negotiations on a bilateral free trade and economic agreement. Japan has more investment tied up in Indonesia than in any other Southeast Asian country. And Tokyo is particularly concerned about access to Indonesia’s natural resources, especially gas and oil. Indonesia is currently Japan’s largest supplier of liquefied natural gas.

The two governments aimed to reach a deal by the end of 2006 but it took two years. The pact was signed on 20 August 2007 and went into effect on 1 July 2008. As with JPEPA, a small number of Indonesian nurses and healthcare workers are allowed into Japan to work temporarily under the agreement, provided they pass Japanese language examinations.

last update: May 2012
Photo: Infernal Elf / CC BY-NC 2.0

Japan, Indonesia wrap up free trade negotiations
Japan and Indonesia wrapped up four days of negotiations toward a possible free trade agreement, an official said Friday.
Japan, Indonesia to hold 6th round of free trade talks in Tokyo
Japan and Indonesia will hold a sixth round of talks on a possible free trade agreement next week and work on a draft of the pact, the Japanese Foreign Ministry said Friday.
Nippon Keidanren - Recommendation: "Expectations for the Early Conclusion of the Japan-Indonesia Economic Partnership Agreement (EPA)"
Japan and Indonesia held intergovernmental negotiations four times from July 2005 to April 2006 regarding the conclusion of a bilateral economic partnership agreement (EPA). The EPA negotiations timetable for Japan recently released by the Council on Economic and Fiscal Policy states that Japan will aim to reach an agreement with Indonesia in principle on major points of the negotiations by sometime this summer.
Indonesia to exempt duty on Japanese auto parts
Indonesia plans to exempt duty on several automotive parts imported from Japan to support local industries as both countries are moving closer to sign the Economic Partnership Agreement (EPA), an official said Thursday.
RI-Japan trade deal waiting on new law
Trade Minister Mari Elka Pengestu says the government cannot sign a much-awaited Economic Partnership Agreement (EPA) with Japan by the year’s end unless the House of Representatives speeds up the passage of the new investment bill.
Indonesia speeds up partnership with Japan
Indonesia’s President Susilo Bambang Yudhoyono has called for the speeding up of ongoing negotiations on the proposed Indonesia-Japan Economic Partnership Agreement (EPA) so that it can be signed this year, a spokesman said.
Japan proposes text on resources cooperation with Indonesia for FTA
Japan and Indonesia wrapped up their fourth round of negotiations on a bilateral free trade agreement in Tokyo on Friday, with Japan proposing for the first time a draft clause in the FTA which calls for bilateral cooperation on mineral resources.
Indonesia, Japan resume free trade negotiations
Indonesia and Japan began their fourth round of official negotiations for a bilateral trade and economic cooperation agreement Monday, and hope to reach a basic accord by the end of the year at the latest.
RI to open labor market for Japan
The Indonesian government will open up the domestic labor market in certain sectors to Japanese workers as part of the liberalization of the service sector envisaged under a planned bilateral economic partnership agreement (EPA)
Govt urged to speed up EPA with Japan
With other Southeast Asian countries already finalizing free trade agreements with Japan, the Indonesian government now needed to accelerate the wrapping up of its planned economic partnership agreement with that country, a business forum has urged.