Enviro News Asia, Chicago — Indonesia and the U.S. state of Illinois have strengthened their economic partnership through the signing of a Memorandum of Understanding (MoU) covering several strategic sectors, including agriculture, clean energy, healthcare, advanced manufacturing and technology.
The agreement was signed by Director General for American and European Affairs at the Indonesian Ministry of Foreign Affairs Grata Endah Werdaningtyas and Illinois Governor JB Pritzker at the Governor’s Office in Chicago on Friday, August 7, 2026.
Grata was accompanied by Indonesian Ambassador to the United States Indroyono Soesilo, Consul General of Indonesia in Chicago Trisari Dyah Paramita and other officials during the signing ceremony.
The cooperation is intended to create new opportunities for businesses in Illinois and Indonesia, with soybean-related industries identified as one of the key areas for collaboration. The partnership also covers clean energy, healthcare, advanced manufacturing and technology.
Governor Pritzker said strong international partnerships would be important to Illinois’ future economic growth. He said cooperation with Indonesia could encourage broader collaboration and generate mutual economic benefits.
Grata said the agreement marked the first time the Indonesian government had signed an MoU directly with a U.S. state government.
Illinois has become an important trading partner for Indonesia. In 2024, Illinois exports to Indonesia exceeded US$715 million, while total bilateral trade approached US$1.7 billion, highlighting significant opportunities to expand economic relations.
Agriculture, particularly soybeans, is among the key areas covered by the agreement. As the largest soybean-producing state in the United States, Illinois views Southeast Asia, including Indonesia, as a strategic market. Indonesia, meanwhile, has opportunities to develop higher-value soybean downstream industries.
Through the Illinois Soybean Excellence Center, the two sides could explore cooperation in developing soybean-based products, including plant-based lubricants, food coatings designed to extend shelf life, bioplastic feedstocks, environmentally friendly inks, industrial adhesives and innovative soy protein-based food products.
Indonesian Ambassador Indroyono Soesilo outlined several potential follow-up initiatives. These include cooperation between Leeco Steel and Indonesia’s Krakatau Steel to develop various steel products, as well as potential collaboration between Indonesia and Argonne National Laboratory on critical minerals and rare earth elements.
Further cooperation is also being explored in soybean downstream industries involving Indonesia’s Ministry of Micro, Small and Medium Enterprises and the Illinois Small Business Development Center network.
Beyond economic cooperation, the MoU also emphasizes education and human resource development. Indonesian students are currently pursuing master’s and doctoral degrees at institutions including the University of Chicago, the University of Illinois and Northwestern University, including through Indonesia’s LPDP scholarship programme.
The five-year MoU provides a framework for developing various collaborative initiatives between Indonesia and Illinois over the coming years.
The agreement demonstrates how subnational cooperation between a U.S. state and an international partner can contribute to economic growth, technological innovation and human resource development while creating new opportunities for businesses and institutions on both sides. (*)
