Albanese stresses importance of Indonesia’s sovereignty while formalising a treaty-level defence agreement

Anthony Albanese has deflected questions over whether China poses a strategic threat to both Australia and Indonesia as the two countries formalised a defence treaty.

The Prime Minister was greeted with full ceremonial honours in Jakarta on Friday before he sat down with Indonesian President Prabowo Subianto to ink the deal that the pair had first struck late last year.

The formalised security treaty had been first unveiled during the President’s one-day State visit to Australia in November when both leaders boarded the warship HMAS Canberra in Sydney harbour.

Under the Treaty of Common Security existing arrangements are being upgraded including a mutual agreement that both countries would consider a joint military response if either comes under attack.

Among the outcomes of the pact will be deeper consultation between the leaders on security matters, “Australian assistance in infrastructure” and greater integration, including embedding an Indonesian officer into the Australian Defence Force.

“This is very much about the sovereignty of Indonesia, the sovereignty of Australia, but also a recognition that by having the cooperation,” Mr Albanese said.

“The best way to secure peace and stability in our region is by acting together.”

The pact builds on the 2006 Lombok Treaty and the Defence Cooperation Agreement signed in 2024.

Mr Albanese has previously stated it had also been based on the landmark 1995 agreement between Indonesia and Australia, which had been signed by former President Muhammad Soeharto and former Australian PM Paul Keating.

That agreement was later torn up by Indonesia when Australia led a peacekeeping mission into East Timor in 1999..

Asked in Jakarta if Australia and Indonesia agreed on strategic threats in the region, particularly from China, Mr Albanese said the nations didn’t want to “pre-empt those issues”

“Article two (of the pact) speaks about adverse challenges, so it doesn’t specify what that might be because we don’t want to pre-empt those issues,” the PM said.

“It’s just that where there are challenges, and challenges do arise. We know that those challenges could be a range of things.

“We will always consult with our neighbours, but they are sovereign nations and that is recognised in the agreements, the Pukpuk Treaty recognises the sovereignty of PNG and Australia and this treaty very much recognises the sovereignty of Australia and Indonesia.”

The treaty comes after President Prabowo also made a conditional commitment to join US President Donald Trump’s Board of Peace last month at the world Davos forum.

It marked another step towards more proactive internationally partnerships despite the Asian nation’s well-known non-alignment policy.

But it had caused disquiet at home in the Muslim-majority nation.

The President has insisted to the countries Muslim leaders that it was a “transitional administration” not requiring the $US 1 billion sign up fee and Indonesia would be prepared to withdraw if the initiative strayed from its initial goal to resolve the situation in Gaza.

Australia has so far left Mr Trump’s invitation to the Board of Peace unanswered.

Since its formation in mid-2025, the Board of Peace has attracted Turkey, Egypt, Jordan, Saudi Arabia, Qatar, Pakistan and the UAE among others.

Dozens of horseback soldiers, traditional dancers and a motorcade were among the pageantry on display when Mr Albanese arrived at Merdeka Palace for the signing ceremony.

His quick visit to Jakarta marks his fifth to Indonesia in under four years.

Mr Albanese will return to Australia on Saturday, with a planned stop in Perth before travelling back to Canberra ahead of next week’s Parliamentary sitting.