India-Indonesia: How Maritime Neighbours Are Reshaping the Indo-Pacific

India and Indonesia share 2,000 years of civilisational links and are now deepening a Comprehensive Strategic Partnership focused on maritime security, trade, and countering Chinese influence in Southeast Asia.

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The Breakdown Editorial
18 August 2026

Key Takeaways

India and Indonesia share 2,000 years of civilisational links and are now deepening a Comprehensive Strategic Partnership focused on maritime security, trade, and countering Chinese influence in Southeast Asia.

  • India and Indonesia upgraded ties to Comprehensive Strategic Partnership during PM Modi's Jakarta visit in 2025
  • Bilateral trade grew to $35 billion in 2025, driven by coal, palm oil, and machinery exports
  • Joint military exercises (IND-INDO CORPAT, Garuda Shakti) have expanded to all three services
  • India has offered $1 billion in defence credit and co-production of BrahMos missiles to Indonesia
  • Indonesia's stance on the South China Sea and Myanmar crisis shapes India's ASEAN strategy

Evidence

India's Act East Policy has significantly strengthened ties with Indonesia.

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Supporting Evidence
  • High-level visits have increased from 2 per year (2010-14) to 8 per year (2020-25). Defence cooperation, maritime patrols, and trade have all grown substantially.
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Indonesia is the most important partner for India's Indo-Pacific strategy.

Moderate70%
Primary Sources: 1Evidence: 1 items
Supporting Evidence
  • While Indonesia is crucial as ASEAN's largest economy and a maritime neighbour, India's Indo-Pacific strategy also prioritises Japan, Australia, Vietnam, and the US equally.
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Key Numbers

$35 billionBilateral Trade (2025)Ministry of Commerce
1,20,000Indian Diaspora in IndonesiaMEA
$1.5 billion+Indian Investment in IndonesiaKBRI Jakarta
6+ per yearJoint Military ExercisesIndian Navy

Timeline

1950
1958
1965
1973
1980
1988
1995
2003
2010
2018
2025

India-Indonesia Trade ($ Billion)

08.7517.526.2535201520172019202120232025

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The Breakdown Editorial