Japan and Indonesia Hold Summit to Strengthen Supply Chain Security and Maritime Defense Cooperation

Golden Ten Data reported on March 31 that Indonesian President Prabowo Subianto and Japanese Prime Minister Sanae Takaichi have pledged to deepen economic ties and strengthen cooperation on energy security to jointly address market turbulence caused by the Iran war. “We unanimously agreed that Indonesia and Japan will work together to encourage all parties to seek de-escalation. If needed, we are also prepared to serve as mediators,” Prabowo said on Tuesday after meeting Takaichi in Tokyo. Takaichi stated that the two sides discussed the situation in the Middle East and confirmed the two countries will closely cooperate on ensuring energy security, but did not give details on the specific areas of cooperation. Energy remains a top priority for both leaders. More than 90% of Japan’s oil depends on Middle Eastern supplies. While Indonesia’s direct reliance on the region is lower, in recent years around 20% to 25% of its crude oil imports have passed through the Strait of Hormuz, making it highly vulnerable to global price fluctuations. In addition, Japan also imports liquefied natural gas and coal from Indonesia. Indonesian officials have sought to reassure the market and its trading partners, stating that fuel supplies remain stable and are being replenished, with no current plans to raise subsidized prices.