Indonesia and Japan are expanding their cooperation in startups, the digital economy, green industry, and workforce capacity building. This collaboration was discussed during the third Public-Private Dialogue Track (PPDT) 1.5 meeting on February 28, 2025, attended by government officials and private sector representatives from both countries.

The Indonesian delegation was led by Edi Prio Pambudi, Deputy for Coordination of Economic Cooperation and Investment at the Coordinating Ministry for Economic Affairs. Meanwhile, the Japanese delegation was headed by Matsuo Takehiko, Vice Minister for International Affairs at Japan's Ministry of Economy, Trade, and Industry (METI).

In the digital economy and startup session, Deputy Edi emphasized the importance of strengthening cooperation between Indonesia and Japan to enhance both countries' economic strengths. He highlighted the Fast Pitch Track program as a key initiative to support collaboration in the startup sector. "Japan is Tomodachi, Indonesia's trading partner. We appreciate Japan's initiative to establish new collaborations, especially in the digital economy sector by developing artificial intelligence," said Edi.

Both sides agreed on the need to create supportive ecosystems that drive startup growth and innovation. The Coordinating Ministry for Economic Affairs and METI also plan to start intensive discussions to promote further collaboration in artificial intelligence (AI) development.

The meeting also highlighted green industry cooperation. Japan introduced the Asia Zero Emission Community (AZEC) agenda, presenting potential projects to support Indonesia’s mineral downstreaming efforts and its transition to renewable energy. "With the continuation of industrial cooperation projects between Indonesia and Japan under AZEC’s green economy principles, we hope that relations between the two countries can proceed more comprehensively," stated Vice Minister Matsuo.

Japanese private sector participants showcased demonstration projects focused on decarbonizing industrial areas and shared their vision for contributing to Indonesia’s net-zero emission targets. On the other hand, Indonesian private sector representatives discussed policies and projects related to mineral downstreaming to support the renewable energy sector.

In addition, both countries agreed on initiatives to boost the capacity of Indonesian workers. Future cooperation will focus on skill development in the manufacturing sector through the Manufacturing Industry Development Centers (New MIDEC) initiative, which aims to create internship opportunities and skill certification programs for Indonesian workers.

The Indonesian government is committed to addressing feedback from Japan regarding challenges faced by Japanese companies operating in Indonesia. The Indonesian delegation included representatives from the Ministry of Industry, Ministry of Trade, Ministry of Investment/BKPM, Ministry of Energy and Mineral Resources, Ministry of Foreign Affairs, and the Chamber of Commerce and Industry.

This article was created with AI assistance.