Korea, Indonesia elevate ties as Middle East shock drives energy cooperation

By Ryu Yuna Posted : April 1, 2026, 14:43 Updated : April 1, 2026, 14:43
President Lee Jae Myung and Indonesian President Prabowo Subianto shake hands ahead of a summit at Cheong Wa Dae on April 1, 2026. Yonhap

SEOUL, April 1 (AJP) — South Korea and Indonesia elevated their relationship to a “special comprehensive strategic partnership” on Wednesday, as Middle East tensions disrupting energy markets pushed the two Asian economies to deepen cooperation on supply security and strategic industries.

In their first summit in Seoul, President Lee Jae Myung and Indonesian President Prabowo Subianto framed the upgrade as a response to mounting global uncertainty, with both sides stressing the need for closer coordination on energy, supply chains and defense.

Hosting Prabowo with full state honors, Lee called the bilateral relationship “a blessing” at a time of deepening instability worldwide. He said South Korea has long relied on Indonesia, a trusted supplier of liquefied natural gas, coal and other key resources, over the five decades since the two countries established diplomatic ties.

Prabowo echoed that view, saying rising global uncertainty made the partnership even more important.

He said that the two countries were well placed to complement each other as Pacific nations and trade-dependent economies.

South Korea has strong industrial capabilities and advanced science and technology, while Indonesia has abundant resources and a large market, he pointed out.

As middle powers, the two countries also share the importance of peace and stability, as well as the need for strong security and defense, he said.

The two governments signed 16 memorandums of understanding to expand cooperation in areas including defense, energy, critical minerals and artificial intelligence.

Ten of the agreements were signed in the presence of the two leaders, including plans to establish a high-level diplomatic dialogue channel and resume a joint economic committee that has been suspended since 2023.

Other agreements covered critical minerals, digital development, AI-based primary healthcare, clean energy including renewables and nuclear power, and carbon capture and storage. The two sides also agreed to cooperate on maritime plant services, financial cooperation and intellectual property protection.

Six additional MOUs were signed separately in areas such as environmental cooperation, forestry, wildfire management, development assistance and data collaboration.

The summit underscored growing strategic alignment between the two economies as they seek to deepen cooperation in supply chains, investment and defense industries.
South Korea has been a key partner in Indonesia’s industrial and infrastructure development, while Indonesia’s natural resources have become increasingly important for Korean manufacturers.

Prabowo’s visit was marked by full state protocol, highlighting Seoul’s push to strengthen ties with Southeast Asia’s largest economy.

A state luncheon followed, with Korean and Indonesian dishes prepared with halal-certified ingredients in consideration of Prabowo’s Muslim faith.

After the luncheon, the leaders were scheduled to attend a cultural program featuring a taekwondo demonstration, reflecting Prabowo’s long-standing interest in martial arts as a former military officer and head of Indonesia’s pencak silat association.

Lee was also expected to confer South Korea’s highest honor, the Mugunghwa Order of Merit, on Prabowo in recognition of his contribution to bilateral ties.

Business leaders from major Korean conglomerates including SK Group, Hyundai Motor, Lotte Group and POSCO attended related events, signaling expectations for broader investment and industrial cooperation.

Both governments see the upgraded partnership as a platform to expand collaboration not only in traditional sectors such as defense and infrastructure, but also in emerging areas including AI, shipbuilding, energy transition and cultural content.

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