Japanese Prime Minister Sanae Takaichi and Indonesian President Prabowo Subianto agreed to deepen cooperation on energy supply chains, including liquefied natural gas and coal, alongside expanded economic and industrial collaboration during the latter's visit to Japan, Bloomberg reported on March 31. Japan also pledged to increase its provision of defense equipment to Indonesia.
The Iran war and attendant disruptions to Middle Eastern energy flows have increased Japan's urgency to secure alternative and more geographically diversified sources of fuel, thereby elevating Indonesia's role as a complementary supplier. More broadly, the deepened ties build on Japan's longer-term strategy of strengthening economic integration and security ties with Southeast Asia.