EU, Indonesia Sign CEPA and Investment Pact

A Scandinavian Airlines flight carrying European Commission Vice‑President Roxana Mînzatu was diverted to Sweden after Copenhagen Airport briefly shut down amid reported drone sightings; Mînzatu and her team later continued to Copenhagen by taxi for an EU Youth Conference. In Bali, after nearly a decade of talks accelerated by recent U.S. tariff measures, the EU and Indonesia announced a substantive conclusion and signing of a Comprehensive Economic Partnership Agreement (CEPA) and an accompanying Investment Protection Agreement led by Trade Commissioner Maroš Šefčovič. The pact will eliminate tariffs on roughly 80% of goods (many accounts say nearly all), is expected to save EU exporters about €600 million a year, and will protect hundreds of EU food products. It opens markets for cars, machinery, chemicals and pharmaceuticals and secures more predictable access to critical raw materials for Europe’s clean‑tech and steel industries, while Indonesia gains expanded access for palm oil, rubber, textiles, footwear and other labor‑intensive exports. Concessions on palm oil have prompted environmental concern, and both agreements still require ratification by the EU Council and the European Parliament, with Indonesia seeking fast‑tracking as part of Brussels’ broader Indo‑Pacific diversification strategy.