Indonesia, Switzerland sign minerals cooperation pact

Indonesia and Switzerland have signed a memorandum of understanding (MoU) on cooperation in the minerals and metals sector to promote downstream investment and strengthen industrial ties as Southeast Asia's largest economy pushes ahead with value-added processing of its natural resources.

Investment and Downstreaming Minister Rosan Roeslani said the agreement completes the signing process initiated by Swiss President Guy Parmelin on June 23 in Basel during Swissmem Industry Day 2026.

In a statement on Friday, Rosan described the agreement as a milestone that strengthens bilateral ties while supporting sustainable downstream investment and Indonesia's industrial transformation.

"Indonesia's abundant mineral resources can create greater added value, quality jobs and stronger industrial competitiveness through downstream processing. Switzerland offers expertise in technology, innovation, financing, logistics and global market access," he said.

Rosan said the partnership supports Indonesia's broader strategy to transform its economy by expanding domestic processing of natural resources.

He said the government is prioritizing downstream development of strategic minerals through advanced processing and manufacturing, particularly for electric vehicle batteries, renewable energy and green industries.

Swiss Ambassador to Indonesia, Timor-Leste and ASEAN Olivier Zehnder said the agreement establishes a stronger foundation for complementary cooperation in the minerals and metals sector.

He noted the signing coincides with the 75th anniversary of diplomatic relations between Indonesia and Switzerland in 2026.

Zehnder said he expects the partnership to deepen bilateral economic relations while delivering sustainable benefits to both countries.

The framework covers investment promotion, sustainable mineral and metals supply chains, technology and knowledge transfer, workforce development, and Environmental, Social and Governance (ESG) implementation.

It also includes clean technology development, stronger downstream industry governance, and business missions, seminars, exhibitions, training and business-matching initiatives.

Swiss investment in Indonesia totaled about US$1.33 billion between 2021 and the first quarter of 2026, led by the food, transportation and warehousing, telecommunications, and chemical and pharmaceutical sectors.

The countries' economic ties have also strengthened under the Indonesia-European Free Trade Association Comprehensive Economic Partnership Agreement (IE-CEPA), which aims to improve business certainty and facilitate investment.

Editing by Reiner Simanjuntak