Indonesia’s exports to the EU are projected to increase by up to 60 percent in the early stages of implementation.The agreement is also expected to raise Indonesia’s national income by USD 2.8 billion, create new jobs, and contribute to poverty reduction. Hartarto noted that it will have a direct impact on five million workers in labor-intensive sectors.Key sectors to benefit include palm oil, coffee, textiles and apparel, footwear, and furniture. The agreement also opens the door for Indonesia to export more high-tech products, such as smartphones and telecommunications equipment — a step toward greater export diversification.In terms of trade facilitation, both sides have agreed to simplify export-import procedures and enhance cooperation between customs authorities.The IEU-CEPA is aligned with Indonesia’s Economic Package Program for the second half of 2025, aimed at boosting employment and industrial growth.The agreement is expected to take effect on January 1, 2027, after ratification by both parliaments. Upon implementation, Indonesian products will immediately enjoy zero tariffs in 90 percent of the EU market, with further reductions to follow. Translator: Resinta SulistiyandariEditor: M Razi RahmanCopyright © ANTARA 2025