Indonesia and Australia are close to signing a new defense treaty

Indonesian and Australian leaders announced Wednesday they have nearly completed negotiations on a significant new bilateral defense treaty, marking a milestone in the security relationship between the two neighboring nations.

The announcement came during Indonesian President Prabowo Subianto’s first state visit to Australia, where he met with Australian Prime Minister Anthony Albanese in Sydney to discuss regional security cooperation and strengthen ties between the Indo-Pacific neighbors.

“The governments of Australia and Indonesia have just substantively concluded negotiations on a new bilateral treaty on our common security,” Albanese told reporters during a joint press conference with Prabowo. The Australian leader expressed confidence that the completed treaty would be formally signed during his scheduled visit to Indonesia in January.

The security pact represents a significant deepening of defense ties between Australia and Indonesia, the world’s third-largest democracy and Southeast Asia’s biggest economy. According to Albanese, the treaty will establish regular security consultations between leaders and ministers of both nations, creating a framework for identifying and implementing mutually beneficial security initiatives.

A key provision of the agreement includes a commitment that if either country faces security threats, they will “consult and consider what measures may be taken either individually or jointly to deal with those threats,” Albanese explained.

President Prabowo, who previously served as Indonesia’s defense minister before winning the presidential election earlier this year, emphasized the cultural and strategic importance of the agreement. “Good neighbors will help each other in times of difficulties, and in Indonesian culture, we have a saying: when we face an emergency, it is our neighbor that will help us,” he said.

The treaty comes at a time of increasing geopolitical tensions in the Indo-Pacific region, particularly as China expands its military and economic influence. For Australia, strengthening ties with Indonesia represents a critical component of its regional security strategy, providing a buffer against potential threats from the north and enhancing stability in its immediate neighborhood.

Indonesia, with its sprawling archipelago of more than 17,000 islands, occupies a strategically vital position between the Indian and Pacific Oceans. Its territorial waters include crucial global shipping lanes, including portions of the South China Sea, where territorial disputes with China have created regional tensions.

Regional security experts note that the timing of this agreement is significant, as both nations navigate complex relationships with major powers. Australia has been working to balance its economic ties with China against security concerns, while Indonesia has traditionally maintained a non-aligned foreign policy approach.

Dr. Rebecca Strating, an Indo-Pacific security specialist at La Trobe University in Melbourne, described the agreement as “a natural evolution of the security relationship between Australia and Indonesia, reflecting shared concerns about regional stability and the changing strategic landscape.”

“This treaty represents more than just military cooperation,” she explained. “It signals a deeper political commitment between two regional powers who recognize their security is increasingly interdependent.”

The agreement builds upon existing defense cooperation between the two countries, including joint military exercises, counter-terrorism initiatives, and maritime security operations. However, it elevates these activities into a more formalized framework with explicit consultation mechanisms.

Economic ties are also expected to benefit from the strengthened relationship. Two-way trade between Australia and Indonesia reached approximately $17.8 billion last year, with significant potential for growth as Indonesia continues its economic development under Prabowo’s administration.

The treaty marks another step in Australia’s efforts to diversify its security partnerships beyond its traditional alliances with the United States and United Kingdom, reflecting the increasingly complex security environment in the Indo-Pacific region.