Indonesia, Canada Explore Critical Minerals, Nuclear Energy Cooperation
Indonesia and Canada Discuss Investment Links in Minerals, Energy and Fertilizer
Kabarsaji.com – Indonesia and Canada are considering wider cooperation across critical minerals, fertilizer inputs, oil and gas, and nuclear energy, following talks in Toronto between Coordinating Minister for Economic Affairs Airlangga Hartarto and Canadian Prime Minister Mark Carney.
The meeting was held alongside the first Canada Investment Summit and built on a June conversation between President Prabowo Subianto and Carney. The discussions reflected a shared interest in translating high-level diplomatic engagement into practical investment and business opportunities.
Critical minerals and supply-chain resilience
Critical minerals featured prominently in the discussions as both countries seek more secure and sustainable supply chains for materials important to modern industry and energy technologies. Indonesia and Canada are both producers of minerals considered strategically important, creating a basis for cooperation that could involve investment, trade, and industrial development.
“Indonesia and Canada have shared interests in building secure and sustainable critical mineral supply chains,” Airlangga said.
Follow-up work in this area is expected to take place under the Indonesia-Canada Comprehensive Economic Partnership Agreement, or ICA-CEPA. The agreement is intended to provide a broader structure for commercial ties between the two nations, including collaboration involving critical minerals.
For Indonesia, deeper partnerships around mineral supply chains could complement its role as a major resource-producing economy. For Canada, the discussions offer a route to strengthen commercial links with Southeast Asia’s largest economy while engaging with a country that has a significant place in regional industrial and energy development.
Potash, fertilizer and food security
The two sides also examined the possibility of Canadian investment in potash, a key material used in fertilizer production. Indonesia’s fertilizer requirements make access to dependable agricultural inputs an important economic consideration, particularly as food security remains a priority for the country.
Potential potash cooperation would connect agricultural needs with investment policy. A stronger supply relationship could help support Indonesia’s fertilizer needs while opening an area of commercial engagement for Canadian businesses. The subject also fits within the wider food-security focus anticipated under the ICA-CEPA framework.
Food security is closely linked to the availability of fertilizer because agricultural production depends on reliable access to essential inputs. Discussions on potash therefore extend beyond commodity trade and into the longer-term stability of agricultural supply chains.
Oil, gas and future energy planning
Energy was another major element of the Toronto meeting. Indonesia and Canada explored possible opportunities in the oil and gas sector, an area where investment and technical cooperation can support broader energy planning.
The talks did not focus solely on conventional energy. They also included potential cooperation in nuclear power, particularly the development of an ecosystem for small modular reactors, commonly known as SMRs. These reactors are generally designed at a smaller scale than traditional nuclear facilities and have become part of energy-policy discussions in a number of countries looking at long-term power security.
Airlangga said collaboration on nuclear energy could become part of Indonesia’s strategy for strengthening energy security over the long run. Developing an SMR ecosystem would involve more than a single project, as it would require a wider environment of investment, expertise, regulation, technology, and supporting industries.
The inclusion of oil and gas alongside nuclear energy illustrates the broad scope of the countries’ discussions. Immediate energy needs and longer-term energy options were both on the agenda, with the potential for future cooperation spanning established sectors as well as emerging areas of strategic interest.
ICA-CEPA moves toward implementation
Airlangga welcomed the completion of the ratification process for the ICA-CEPA in Indonesia and Canada. He expressed hope that the agreement would enter into force by the end of the year.
Once effective, the agreement is expected to give companies in both countries a clearer platform for expanding cooperation. Food security, energy, and critical minerals are among the areas expected to benefit from the framework.
Trade and economic agreements can provide certainty for businesses considering cross-border partnerships, but their practical value often depends on follow-up investment, company engagement, and sector-specific projects. The Toronto talks highlighted several fields in which Indonesia and Canada could seek to turn the agreement’s framework into concrete activity.
Indo-Pacific engagement and a diplomatic milestone
The meeting also addressed Indonesia’s position in the Indo-Pacific. As Southeast Asia’s largest economy, Indonesia has the potential to play an important role in deeper Canadian engagement with the region. Economic cooperation with Indonesia may therefore carry significance beyond bilateral trade, linking Canada with wider regional markets and policy conversations.
The renewed focus on investment and economic ties comes ahead of a notable diplomatic anniversary. Indonesia and Canada will mark 75 years of diplomatic relations in 2027.
With ratification of the ICA-CEPA completed in both countries, the next phase will center on implementation and the ability of businesses and policymakers to develop projects in the sectors discussed in Toronto. Critical minerals, fertilizer inputs, conventional energy, and possible nuclear cooperation have emerged as key areas where the relationship could gain greater commercial depth in the years ahead.
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