Indonesia is the largest economy in Southeast Asia, a member of the G20 group, and a key partner in the "Opening to the East" strategy. With its stable GDP growth of around 5% per year, its domestic market of nearly 290 million people, and its dynamically expanding middle class, the country offers outstanding opportunities for Hungarian exporters.
Our economic dialogue is coordinated by the regular meetings of the Hungarian-Indonesian Joint Committee on Economic Cooperation (JCEC), which will be held for the 8th time in 2026. One of the main elements of our foreign trade relations is technology transfer. Hungarian companies have already achieved significant success in the fields of water management technology, ICT and agricultural technology. Several Hungarian companies are now actively present in the Indonesian market with banking software, e-government solutions and cybersecurity systems.
According to the tied aid loan agreement signed in December 2013, the Budapest Waterworks was able to implement the investment completed in 2019, as a result of which Hungarian technology worth 36.4 million USD provides water supply to hundreds of thousands of residents of 36 Indonesian settlements with small-capacity, mobile water purification plants.
Since 2018, the Embassy has been organizing the annual large-scale business forum called HunIndoTech, the main goal of which is to present competitive Hungarian technologies and innovations, as well as technology-intensive Hungarian companies interested in the Indonesian market.
As the most important milestone of our bilateral economic relations, on January 27, 2021, the Indonesian Ministry of Public Works Highway Authority (BPJT) officially announced that the Hungarian Roatex Zrt. has won the tender for the construction of a cashless and contactless Multi Lane Free Flow (MLFF)-based electronic toll collection system on Indonesian highways and will be able to sign a 10-year concession contract. During the construction of the system, the company will make an investment worth more than 300 million USD. The construction of a new electronic toll collection network covering the entire territory of the world's fourth most populous country is one of the largest Hungarian technology exports ever.
Hungary's main exports: road vehicles and parts, electrical machinery and equipment, pharmaceuticals and chemical products, food and processed products.
Hungary's main imports: energy sources, automotive parts and components, electronic components, industrial production equipment and IT equipment.
Based on Indonesian government priorities and market trends, the greatest potential for Hungarian technology and expertise arises in the areas of water management and environmental technology (development of drinking water networks, wastewater treatment), digitalization and ICT (cybersecurity solutions, fintech, e-government systems), agriculture and food industry (modern agricultural machinery, irrigation solutions, high-value-added food products, processing technologies), infrastructure and construction ("smart city" solutions, sustainable building materials, renewable energy sources), and healthcare (infrastructure modernization, medical devices, pharmaceutical cooperation).
The Comprehensive Economic Partnership Agreement between the European Union and Indonesia (CEPA) will enter into force in 2027, concluding a nearly 10-year series of negotiations, which, due to its outstanding tariff preferences, could significantly facilitate market access for Hungarian goods in the future.
It is important to note that obtaining an Indonesian halal certificate is essential for the export of many products (e.g. food, cosmetics, pharmaceuticals).
In Indonesia, the basis of doing business is personal relationships and trust. It is almost impossible to achieve long-term success without a local representative or distributor, so we recommend that Hungarian companies contact the trade attaché at the Embassy with confidence. Our mission helps you navigate the specifics of the Indonesian market, searches for potential Indonesian cooperation partners, and also creates opportunities for building relationships with government actors.