{"id":98586,"date":"2026-02-09T10:31:05","date_gmt":"2026-02-09T09:31:05","guid":{"rendered":"https:\/\/power-shift.de\/?p=98586"},"modified":"2026-05-20T15:18:54","modified_gmt":"2026-05-20T13:18:54","slug":"cepa-handelspolitik","status":"publish","type":"post","link":"https:\/\/power-shift.de\/en\/cepa-handelspolitik\/","title":{"rendered":"CEPA: EU-Indonesia trade agreement \u2013 background, risks, options for action"},"content":{"rendered":"<div class=\"wpb-content-wrapper\"><div class=\"vc_row wpb_row vc_row-fluid wpex-relative\"><div class=\"wpb_column vc_column_container vc_col-sm-12\"><div class=\"vc_column-inner\"><div class=\"wpb_wrapper\">\n\t<div class=\"wpb_text_column wpb_content_element\" >\n\t\t<div class=\"wpb_wrapper\">\n\t\t\t<h2>New guide to the EU-Indonesia trade agreement<\/h2>\n<p>The planned trade agreement between the <span class=\"hover:entity-accent entity-underline inline cursor-pointer align-baseline\"><span class=\"whitespace-normal\">European Union<\/span><\/span> and <span class=\"hover:entity-accent entity-underline inline cursor-pointer align-baseline\"><span class=\"whitespace-normal\">Indonesia<\/span><\/span> (CEPA) is more than just a customs agreement: It touches on key issues such as raw materials, deforestation, climate, labour and human rights, and political room for manoeuvre. Our new guide \u2018Between Nickel Boom and Palm Oil Curse\u2019 sets out the key provisions \u2013 fact-based and with a view to global justice.\u00a0<a href=\"https:\/\/power-shift.de\/wp-content\/uploads\/2026\/02\/PowerShift_Reisefuehrer_EU-Indonesien_final.pdf\">Download the travel guide as PDF now.<\/a><\/p>\n<h2>Brief overview CEPA: What you need to know in 3 minutes<\/h2>\n<ul>\n<li data-start=\"2379\" data-end=\"2527\">CEPA aims to expand trade, including by reducing tariffs on: <strong data-start=\"2449\" data-end=\"2462\">More than 98 %<\/strong> tariff lines.<\/li>\n<li data-start=\"2379\" data-end=\"2527\">The trade structure is <strong data-start=\"2554\" data-end=\"2570\">asymmetrical<\/strong>: Raw materials\/agricultural goods to the EU, high value added industrial goods to Indonesia.<\/li>\n<li data-start=\"2379\" data-end=\"2527\">Indonesia is a key partner for <strong data-start=\"2742\" data-end=\"2771\">Nickel, bauxite and palm oil<\/strong> \u2013 with significant risks to forests, biodiversity and human rights.<\/li>\n<li data-start=\"2379\" data-end=\"2527\">Although the sustainability chapter contains levers (including Paris\/ILO as \u2018essential elements\u2019), it remains weak and difficult to enforce on key points.<\/li>\n<li data-start=\"2379\" data-end=\"2527\">In the ratification process, this <span class=\"hover:entity-accent entity-underline inline cursor-pointer align-baseline\"><span class=\"whitespace-normal\">European Parliament<\/span><\/span> In the end, only one <strong data-start=\"3171\" data-end=\"3182\">Yes\/No<\/strong> \u2013 Changes to the text are then no longer possible.<\/li>\n<li data-start=\"2379\" data-end=\"2527\">Our position: <strong data-start=\"3295\" data-end=\"3340\">No ratification in its current form<\/strong> \u2013 as long as minimum human rights, social and environmental requirements are not bindingly secured.<\/li>\n<li style=\"list-style-type: none;\"><\/li>\n<\/ul>\n<hr data-start=\"3932\" data-end=\"3935\" \/>\n<h2 data-start=\"3937\" data-end=\"3971\">What is CEPA and why now?<\/h2>\n<p data-start=\"3973\" data-end=\"4398\">Negotiations on the Comprehensive Economic Partnership Agreement (CEPA) have been concluded. Follow now <strong data-start=\"4087\" data-end=\"4102\">translation<\/strong> in all official EU languages; and <strong data-start=\"4131\" data-end=\"4183\">Legal scrubbing \u2013 thereafter<\/strong> The formal political decision-making process begins. <br data-start=\"4272\" data-end=\"4275\" \/>On the one hand, the EU member states must vote on the agreement in the Council. After that, the European Parliament votes.<\/p>\n<hr data-start=\"4400\" data-end=\"4403\" \/>\n<h2 data-start=\"4405\" data-end=\"4467\">EU-Indonesia trade: Structure and planned liberalisation<\/h2>\n<p data-start=\"4469\" data-end=\"4935\">The EU mainly imports raw materials and agricultural goods from Indonesia, while it exports processed industrial goods. This structure is not \u2018neutral\u2019 \u2013 it shapes value creation, working conditions and environmental burdens along global supply chains. <br data-start=\"4771\" data-end=\"4774\" \/>With CEPA, tariffs on <strong data-start=\"4800\" data-end=\"4813\">More than 98 %<\/strong> customs tariff lines are abolished and further barriers to trade are removed.<\/p>\n<hr data-start=\"4937\" data-end=\"4940\" \/>\n<h2 data-start=\"4942\" data-end=\"5017\">Raw materials &amp; Industrial policy: Nickel, bauxite \u2013 and political leeway<\/h2>\n<p data-start=\"5019\" data-end=\"5466\">Raw materials are at the heart of CEPA. Indonesia is a global leader in nickel (via <strong data-start=\"5104\" data-end=\"5112\">50 %<\/strong> worldwide promotion; 2023 approx. <strong data-start=\"5148\" data-end=\"5167\">1.8 million tonnes<\/strong>). <br data-start=\"5209\" data-end=\"5212\" \/>At the same time, Indonesia is pursuing a strategy to strengthen raw materials <strong data-start=\"5279\" data-end=\"5305\">Processed in the country<\/strong>. These include export restrictions, such as export bans on unprocessed nickel (since 2020) and bauxite (since 2023).<\/p>\n<p data-start=\"5468\" data-end=\"6010\">A central conflict: The EU is pushing for \u2018free\u2019 trade in raw materials, with Indonesia, among others, facing the <span class=\"hover:entity-accent entity-underline inline cursor-pointer align-baseline\"><span class=\"whitespace-normal\">WTO<\/span><\/span> sued; a WTO panel assessed Indonesia\u2019s 2022 nickel export ban as WTO-infringing (appeal pending due to blocked Appellate Body). <br data-start=\"5807\" data-end=\"5810\" \/>CEPA threatens to further reduce industrial policy space without binding safeguards against environmental degradation or human rights violations.<\/p>\n<hr data-start=\"6012\" data-end=\"6015\" \/>\n<h2 data-start=\"6017\" data-end=\"6077\">Deforestation &amp; Biodiversity: CEPA does not protect forests<\/h2>\n<p data-start=\"6079\" data-end=\"6489\">CEPA aims to increase trade in products closely linked to deforestation, in particular nickel and palm oil (plus, among others, wood, paper, rubber, coffee, cocoa). <br data-start=\"6284\" data-end=\"6287\" \/>According to <a href=\"https:\/\/www.google.com\/url?sa=t&amp;source=web&amp;rct=j&amp;opi=89978449&amp;url=https:\/\/www.globalforestwatch.org\/\"><span class=\"hover:entity-accent entity-underline inline cursor-pointer align-baseline\"><span class=\"whitespace-normal\">Global Forest Watch<\/span><\/span><\/a> Since 1950, more than <strong data-start=\"6370\" data-end=\"6385\">740,000 km2<\/strong> Indonesian rainforest deforested, burned or degraded.<\/p>\n<ul data-start=\"6491\" data-end=\"6941\">\n<li data-start=\"6491\" data-end=\"6714\">\n<p data-start=\"6493\" data-end=\"6714\"><strong data-start=\"6493\" data-end=\"6509\">Nickel mining:<\/strong> According to Indonesian data <strong data-start=\"6540\" data-end=\"6554\">doubled<\/strong> deforestation in areas where nickel is mined; In addition, rivers are polluted and mangroves are damaged.<\/p>\n<\/li>\n<li data-start=\"6715\" data-end=\"6941\">\n<p data-start=\"6717\" data-end=\"6941\"><strong data-start=\"6717\" data-end=\"6728\">Palm oil:<\/strong> Indonesia is the world's largest producer and exporter; Three years after the entry into force of an agreement with the EU, the government expects an <strong data-start=\"6870\" data-end=\"6898\">Increase in exports by 50 %<\/strong>.<\/p>\n<\/li>\n<\/ul>\n<p data-start=\"6943\" data-end=\"7114\">The travel guide shows: Without clear, binding mechanisms, CEPA threatens to exacerbate \u2013 rather than stop \u2013 deforestation dynamics.<\/p>\n<hr data-start=\"7116\" data-end=\"7119\" \/>\n<h2 data-start=\"7121\" data-end=\"7188\">Human rights &amp; labour rights: Risks of CEPA along supply chains<\/h2>\n<p data-start=\"7190\" data-end=\"7647\">loud <a href=\"https:\/\/www.walkfree.org\/global-slavery-index\/\"><span class=\"hover:entity-accent entity-underline inline cursor-pointer align-baseline\"><span class=\"whitespace-normal\">Walk Free Foundation<\/span><\/span><\/a> are around in Indonesia <strong data-start=\"7259\" data-end=\"7285\">1.8 million people<\/strong> affected by forced labour \u2013 especially in mining, plantation and manufacturing industries. <br data-start=\"7426\" data-end=\"7429\" \/>On palm oil plantations, labour and human rights violations are systematically documented (e.g. forced and child labour, wage fraud, restriction of freedom of association).<\/p>\n<p data-start=\"7649\" data-end=\"7889\">According to the guidebook, groups that already bear the brunt of extractivist models are particularly at risk: Women, indigenous communities, workers<em data-start=\"7806\" data-end=\"7825\">inside, small farmers<\/em>inside and fishermen.<\/p>\n<hr data-start=\"7891\" data-end=\"7894\" \/>\n<h2 data-start=\"7896\" data-end=\"7940\">Climate effects of CEPA: \u201cFull gas into the climate crisis\u201d<\/h2>\n<p data-start=\"7942\" data-end=\"8420\">According to the travel guide, global trade flows cause about <strong data-start=\"8010\" data-end=\"8025\">a quarter<\/strong> global greenhouse gas emissions. <br data-start=\"8102\" data-end=\"8105\" \/>CEPA would further aggravate this trend by increasing trade in deforestation-related agricultural goods (particularly palm oil), increasing trade in critical raw materials (particularly nickel, including carbon-intensive processing), increasing greenhouse gas-intensive goods and increasing freight traffic.<\/p>\n<hr data-start=\"8422\" data-end=\"8425\" \/>\n<h2 data-start=\"8427\" data-end=\"8493\">Sustainability chapter: Why \"good on paper\" is not enough<\/h2>\n<p data-start=\"8495\" data-end=\"9044\">Like all recent EU agreements, CEPA contains a chapter on sustainable development (\u2018trade and sustainable growth and development\u2019). On the positive side, Paris\/ILO core labour standards are anchored as an \u2018essential element\u2019 and can theoretically trigger sanctions mechanisms, but not initiated by those affected, but only by governments. <br data-start=\"8807\" data-end=\"8810\" \/>At the same time, forests, biodiversity, gender, human rights remain in the mode of dialogue and volunteering.<\/p>\n<hr data-start=\"9046\" data-end=\"9049\" \/>\n<h2 data-start=\"9051\" data-end=\"9115\">EU Deforestation Regulation: Important step \u2013 but with gaps<\/h2>\n<p data-start=\"9117\" data-end=\"9523\">The EU adopted a regulation on deforestation-free supply chains in 2023. However, the travel guide makes central boundaries visible: Mineral raw materials are <strong data-start=\"9277\" data-end=\"9294\">not included<\/strong>\u00a0and the entry into force has been postponed several times under lobbying pressure, with the risk of further weakening.<\/p>\n<p data-start=\"9117\" data-end=\"9523\">In addition, the agreement does not refer to the deforestation regulation at all, but to the Indonesian ISPO, which is strongly criticized (for lack of transparency, weak instruments for enforcement, insufficient protection of indigenous groups and workers, among other things).<\/p>\n<h2 data-start=\"9530\" data-end=\"9598\">Intellectual property: Seed &amp; Medication as a matter of justice<\/h2>\n<p data-start=\"9600\" data-end=\"9702\">The IPR chapter is one of the most competitive parts of CEPA.<\/p>\n<ul data-start=\"9703\" data-end=\"10363\">\n<li data-start=\"9703\" data-end=\"10042\">\n<p data-start=\"9705\" data-end=\"10042\"><strong data-start=\"9705\" data-end=\"9717\">Seed:<\/strong> The EU successfully pushed for the recognition of strict plant variety rights regimes based on the model of <span class=\"hover:entity-accent entity-underline inline cursor-pointer align-baseline\"><span class=\"whitespace-normal\">UPOV<\/span><\/span> (1991). This prohibits the reproduction, exchange or reuse of seeds and endangers smallholder structures as well as food sovereignty.<\/p>\n<\/li>\n<li data-start=\"10043\" data-end=\"10363\">\n<p data-start=\"10045\" data-end=\"10363\"><strong data-start=\"10045\" data-end=\"10061\">Medications:<\/strong> The guide warns against TRIPS-plus effects: Patent protection and possible \u2018backdoors\u2019 could delay\/restrict generics, increase prices and worsen access to medicine, especially for poor and rural populations.<\/p>\n<\/li>\n<\/ul>\n<hr data-start=\"10365\" data-end=\"10368\" \/>\n<h2 data-start=\"10370\" data-end=\"10431\">Ratification: Who decides \u2013 and what are the levers?<\/h2>\n<p data-start=\"10433\" data-end=\"11055\">After legal scrubbing and translation, CEPA is expected to be <strong data-start=\"10500\" data-end=\"10511\">EU-only<\/strong> treated (not as a \u2018mixed agreement\u2019). The process: Vote in <span class=\"hover:entity-accent entity-underline inline cursor-pointer align-baseline\"><span class=\"whitespace-normal\">Council of the European Union<\/span><\/span>, then the consent of the European Parliament. Parliament can only <strong data-start=\"10781\" data-end=\"10808\">Agree or Reject<\/strong> \u2013 Amendments to the text are no longer possible. <br data-start=\"10894\" data-end=\"10897\" \/>In addition, the guide refers to a \u2018review\u2019 clause as a possible back door to anchor corporate rights in retrospect, in the investment protection part of the agreement that has been put on hold.<\/p>\n<hr data-start=\"11057\" data-end=\"11060\" \/>\n<h2 data-start=\"11062\" data-end=\"11132\">Our demands: Really fair trade instead of access to raw materials<\/h2>\n<p data-start=\"11134\" data-end=\"12024\">The guide outlines key elements for a just deal: Climate justice (including reduction targets, reducing resource consumption, fossil phase-out, energy democracy\/transition transition), human rights\/indigenous rights\/labour rights with effective sanctions (including FPIC), fair trade in raw materials (participation of affected communities, environmental impact assessment and human rights impact assessment, local added value), food sovereignty (seed safeguarding), health (access to affordable generics) \u2013 as well as democratic negotiations with civil society and trade unions. <br data-start=\"11767\" data-end=\"11770\" \/>And explicitly: <strong data-start=\"11788\" data-end=\"11828\">No special rights for corporations<\/strong> against environmental, social or health policies; Dispute resolution through transparent, democratic procedures based on national\/international courts.<\/p>\n<p data-start=\"12026\" data-end=\"12194\"><strong data-start=\"12026\" data-end=\"12046\">Need for action:<\/strong> As long as these requirements are not met, the EU and Indonesia will not be allowed to ratify the agreement.<\/p>\n<hr data-start=\"8901\" data-end=\"8904\" \/>\n<h2 data-start=\"9320\" data-end=\"9348\">Find out more<\/h2>\n<p data-start=\"9320\" data-end=\"9348\"><a href=\"https:\/\/power-shift.de\/en\/themen\/handelspolitik-und-investitionspolitik\/\">More on the risks of trade and investment policy.<\/a><\/p>\n<p data-start=\"9320\" data-end=\"9348\"><a href=\"https:\/\/power-shift.de\/en\/podcasts\/\">Compass Global Economy \u2013 the PowerShift Podcast.<\/a><\/p>\n<p data-start=\"9320\" data-end=\"9348\"><a href=\"https:\/\/power-shift.de\/en\/mitsprache-guide-crma\/\">Current PowerShift publications on the topic.<\/a><\/p>\n<hr data-start=\"2844\" data-end=\"2847\" \/>\n<h2 data-start=\"9350\" data-end=\"9499\">Press &amp; Background<\/h2>\n<p data-start=\"9350\" data-end=\"9499\">For interviews, audio and data please contact:<br \/>\n<a href=\"https:\/\/power-shift.de\/en\/presse\/\"><strong>Adrian Bornmann<\/strong><\/a><br \/>\nSpeaker for press and public relations<\/p>\n<p><strong><a href=\"https:\/\/power-shift.de\/wp-content\/uploads\/2026\/02\/PowerShift_Reisefuehrer_EU-Indonesien_final.pdf\">Download the travel guide as PDF now.<\/a><\/strong><\/p>\n<p><strong>Printed copies can be ordered here: <\/strong><a href=\"https:\/\/power-shift.de\/en\/product\/reisefuehrer-eu-indonesien-abkommen\/\"><strong>shop<\/strong><\/a><\/p>\n\n\t\t<\/div>\n\t<\/div>\n<\/div><\/div><\/div><\/div>\n<\/div>","protected":false},"excerpt":{"rendered":"The planned trade agreement between the European Union and Indonesia (CEPA) is more than just a customs agreement: It touches on key issues such as raw materials, deforestation, climate, labour and human rights, and political room for manoeuvre. Our new guide \u2018Between Nickel Boom and Palm Oil Curse\u2019 sets out the key provisions \u2013 fact-based and with a view to global justice.\u00a0Now the \u2026","protected":false},"author":4,"featured_media":98498,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":"","_members_access_role":[],"_members_access_error":""},"categories":[379],"tags":[350,64,286],"post_series":[],"thema":[15],"coauthors":[459],"class_list":["post-98586","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-reisefuehrer","tag-cepa","tag-handelspolitik-de","tag-kritische-rohstoffe","thema-handelspolitik","entry","has-media"],"acf":[],"_links":{"self":[{"href":"https:\/\/power-shift.de\/en\/wp-json\/wp\/v2\/posts\/98586","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/power-shift.de\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/power-shift.de\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/power-shift.de\/en\/wp-json\/wp\/v2\/users\/4"}],"replies":[{"embeddable":true,"href":"https:\/\/power-shift.de\/en\/wp-json\/wp\/v2\/comments?post=98586"}],"version-history":[{"count":10,"href":"https:\/\/power-shift.de\/en\/wp-json\/wp\/v2\/posts\/98586\/revisions"}],"predecessor-version":[{"id":98669,"href":"https:\/\/power-shift.de\/en\/wp-json\/wp\/v2\/posts\/98586\/revisions\/98669"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/power-shift.de\/en\/wp-json\/wp\/v2\/media\/98498"}],"wp:attachment":[{"href":"https:\/\/power-shift.de\/en\/wp-json\/wp\/v2\/media?parent=98586"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/power-shift.de\/en\/wp-json\/wp\/v2\/categories?post=98586"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/power-shift.de\/en\/wp-json\/wp\/v2\/tags?post=98586"},{"taxonomy":"post_series","embeddable":true,"href":"https:\/\/power-shift.de\/en\/wp-json\/wp\/v2\/post_series?post=98586"},{"taxonomy":"thema","embeddable":true,"href":"https:\/\/power-shift.de\/en\/wp-json\/wp\/v2\/thema?post=98586"},{"taxonomy":"author","embeddable":true,"href":"https:\/\/power-shift.de\/en\/wp-json\/wp\/v2\/coauthors?post=98586"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}