A New Era of ASEAN Collaboration: Thailand and Indonesia Forge Strategic Partnership

On 19 May 2025, Indonesian President Prabowo Subianto paid an official visit to Thailand, his first as head of state and the first Indonesian presidential visit to Bangkok in over two decades.

Hosted by Prime Minister Paetongtarn Shinawatra, the encounter marked a major diplomatic milestone: the elevation of Thailand–Indonesia relations to a strategic partnership, coinciding with the 75th anniversary of bilateral ties. 

Far beyond ceremony, the meeting underscored a shared drive to position Thailand and Indonesia as ASEAN’s dual anchors amid rising geopolitical uncertainty. As Southeast Asia’s second and fourth largest economies, both countries are now aligning to lead ASEAN’s future through economic integration, regional security cooperation, and functional diplomacy.

With total trade between the two nations currently valued at USD 18 billion, both sides acknowledged the untapped potential for expansion. They agreed to strengthen not only bilateral ties but also the wider 10-member ASEAN bloc, leveraging their scale and influence to drive collective economic resilience and intra-regional trade.

This strategic partnership signifies a commitment to deepening cooperation across various sectors, including trade, investment, tourism, food and health security, and defense. Both nations agreed to boost trade and investment, with plans to convene the first Joint Trade Committee meeting later this year to explore avenues for economic integration.

Photo Credit: The Nation

Strategic Partnership Framework: A Roadmap for ASEAN Leadership

The new Thailand–Indonesia Strategic Partnership covers a comprehensive framework, bilateral trade and investment, healthcare and food security, energy transition, digital innovation, and defense and maritime security. A newly signed Memorandum of Understanding on health collaboration strengthens cooperation in communicable disease control and medical tourism, while supporting Thailand’s Bio-Circular-Green (BCG) strategy and Indonesia’s public health priorities.

This diplomatic upgrade signifies a commitment to institutionalise long-term cooperation, facilitate regular head-of-government engagement, and reassert Bangkok and Jakarta as stabilising forces within ASEAN, particularly as the region approaches the ASEAN 2045 vision.

Enhancing ASEAN Security Architecture

Regional threats, from online scams and transnational crime to the Myanmar conflict, featured prominently in talks. Both leaders committed to enhanced law enforcement cooperation, joint military exercises, and shared ASEAN mechanisms to respond to regional instability. The partnership includes commitments to enhance maritime security, counterterrorism efforts, cybersecurity initiatives, and joint military exercises. This collaboration aims to address regional challenges and promote stability.

The urgency of these commitments was underscored by recent Thai-led operations rescuing Indonesian nationals from trafficking syndicates in Myanmar border zones - a stark reminder of the need for cross-border intelligence sharing and regional security coordination. 

Economic Alignment: EV Supply Chains, Halal Trade, and Agri-Innovation

Thailand and Indonesia are rapidly emerging as ASEAN’s future-facing economic engines. Thailand’s leadership in electric vehicle (EV) production and Indonesia’s strength in battery mineral supply chains open avenues for supply chain integration and co-investment.

In parallel, both nations are leveraging their robust agricultural sectors and large Muslim populations to build a regional halal trade corridor, supported by joint innovation in agri-tech, food sovereignty, and infrastructure development.

ASEAN at a Crossroads: Functional Diplomacy Over Rhetoric

With Singapore navigating leadership transition, Malaysia balancing political coalitions, and Myanmar facing international isolation, the Thailand–Indonesia axis offers a pragmatic and operational model for regional leadership.

Rather than symbolic summits, this partnership is grounded in actionable diplomacy, institutional linkages, and targeted regional delivery, signalling a shift from consensus-driven paralysis to bilateral execution with multilateral spillover.

Strategic Alignment Beyond ASEAN: Thailand’s BRICS Ambition

A noteworthy outcome of the visit was Indonesia’s formal support for Thailand’s bid to join BRICS, the intergovernmental group originally comprising Brazil, Russia, India, China, and South Africa, and recently expanded to include new emerging economies. President Prabowo Subianto’s endorsement signals a shift in regional thinking that ASEAN countries are looking beyond traditional alliances to explore multi-polar economic cooperation frameworks that reflect shifting global power dynamics. 

Indonesia’s backing strengthens Bangkok’s diplomatic momentum and suggests growing intra-ASEAN alignment on engaging new global platforms, especially as both countries seek to hedge against US–China rivalry and strengthen their economic sovereignty.

Thailand’s possible accession would also mark the first ASEAN member to join the BRICS bloc, reinforcing its ambition to serve as a bridge between ASEAN and emerging power centres.

Personal Diplomacy and Political Symbolism

In September 2024, Indonesia’s president-elect Prabowo Subianto visited Bangkok and met with Prime Minister Paetongtarn Shinawatra and her father, former Prime Minister Thaksin Shinawatra, at the Shinawatra family residence. Sharing images of the meeting on Instagram, Prabowo congratulated Paetongtarn on her premiership and also thanked Thaksin for hosting a warm dinner, highlighting the enduring friendship between their families and extending an invitation to visit Indonesia.

This informal encounter drew regional attention, not only for its symbolism but for the clear signal it sent about the role of personal diplomacy in shaping future bilateral relations. While no official statements were issued, the optics of the meeting suggest a desire to deepen ties beyond government-to-government channels, possibly laying the groundwork for backchannel coordination on sensitive regional issues and economic cooperation through trusted networks.

The visit to Thailand followed Prabowo’s stop in Cambodia, where he met with Prime Minister Hun Manet and Senate President Hun Sen, reflecting his broader regional outreach ahead of his formal inauguration as president.

Photo Credit: Khaosod

Business Diplomacy Driving Regional Integration

The accompanying Thailand–Indonesia business forum reinforced the role of the private sector in translating high-level diplomacy into real-world partnerships. Businesses from both countries expressed commitment to collaborate on digital health, clean energy, halal exports, and green logistics.

This evolution of ASEAN business diplomacy helps anchor investor confidence and unlocks predictable, cross-border opportunities for public–private value chain development, especially in sustainability, smart manufacturing, and regional connectivity infrastructure.

Final Insight: From Symbolism to Regional Strategy

The two leaders also launched efforts to improve air connectivity, welcoming new direct flight routes connecting more Thai and Indonesian cities, including Bangkok–Surabaya and Bangkok–Medan. These routes are expected to boost tourism, business travel, and cargo efficiency across both nations.

The two leaders announced new direct flight routes, including Bangkok–Surabaya and Bangkok–Medan, aimed at boosting tourism, business travel, and logistics between the two countries. These routes support greater economic integration and people-to-people connectivity.

To sustain momentum, President Prabowo and Prime Minister Paetongtarn committed to more frequent high-level exchanges, reinforcing a shared intent to institutionalise strategic dialogue. The establishment of a Bilateral High-Level Dialogue mechanism will drive collaboration on supply chain resilience, food and energy security, and clean energy investment complementing existing ASEAN and RCEP frameworks.

As Thailand and Indonesia chart a joint path forward, their partnership signals a transition from symbolic engagement to results-driven regional leadership. In a time of global uncertainty, this is more than a diplomatic upgrade. It is a strategic blueprint for ASEAN resilience, cohesion, and future-readiness.