Indonesia and Uzbekistan Launch Free Trade Agreement Negotiations

Indonesia and Uzbekistan officially commenced negotiations for a Free Trade Agreement (FTA) on Monday, March 2, 2026, signaling a strengthened commitment to economic cooperation between the two nations. Alongside the launch of negotiations, a trade and investment cooperation agreement was signed.

Strengthening Trade and Investment Ties

The launch of the FTA negotiations was marked by a joint statement signed via video conference by Indonesian Trade Minister Budi Santoso and Uzbekistan’s Minister of Investment, Industry, and Trade, Laziz Kudratov ¹. This initiative reflects a shared vision to foster a closer, more open, and sustainable economic partnership amidst evolving global economic dynamics.

Expected Benefits of the FTA

Both countries anticipate that the FTA will expand market access for their flagship products, strengthen value chains, and create opportunities for businesses, including micro, small, and medium enterprises (MSMEs) ². Uzbekistan’s strategic geographical position in Central Asia is viewed as a potential gateway for Indonesian products to access broader regional markets ².

Growing Trade Volume

Total trade between Indonesia and Uzbekistan reached US$181.4 million in 2025, demonstrating a 48.9% increase over the past five years (2021-2025) ². This growth underscores the potential for further economic collaboration.

Joint Working Group Established

In addition to the FTA negotiations, the ministers established a joint working group through the signed Agreement on Trade and Investment Cooperation. This group will focus on enhancing information exchange, technical expertise, identifying mutually beneficial projects, and organizing joint training programs, meetings, and seminars ².

Uzbekistan: A Strategic Partner

Indonesia considers Uzbekistan a strategic partner in Central Asia for enhancing regional and global trade connectivity ⁴. Minister Santoso emphasized the Indonesian negotiating team’s commitment to concluding the talks on schedule whereas safeguarding national interests ¹.