US seeks sweeping privileges in draft Indonesia agreement

By: Abhinandan Mishra
Last Updated: July 19, 2026 04:04:22 IST

A provision states that Indonesia would authorize the United States to exercise criminal jurisdiction over U.S. personnel while they are in Indonesian territory.

The United States has proposed granting its military personnel broad legal privileges and operational protections in Indonesia under a draft Personnel Protection Agreement currently under negotiation between Washington and Jakarta, according to documents reviewed by this publication and independently authenticated by multiple sources familiar with the negotiations.

The draft agreement proposed in July last year and now under active consideration between the relevant offices of the two countries, would establish a legal framework governing U.S. military personnel, civilian employees of the Department of Defense, and U.S. defense contractors operating in Indonesia during ship visits, military exercises, training, humanitarian missions and other mutually agreed activities.

The proposal would allow U.S. military personnel to enter and exit Indonesia using U.S. military identification and travel orders instead of Indonesian visas, wear uniforms while on official duty, and carry arms when authorised by U.S. authorities.

One of the most significant provisions states that Indonesia would authorize the United States to exercise criminal jurisdiction over U.S. personnel while they are in Indonesian territory. The draft further proposes that U.S. personnel receive privileges and immunities equivalent to those accorded to the administrative and technical staff of diplomatic missions under the Vienna Convention on Diplomatic Relations.

The agreement would also exempt the U.S. Department of Defense, its personnel and contractors from a wide range of Indonesian taxes, customs duties, licensing requirements and inspections.

Under the draft, U.S. military aircraft, vessels and vehicles would be permitted to enter, exit and move within Indonesia without paying overflight charges, landing fees, port fees, navigation charges or similar government levies. Aircraft, ships and vehicles operated exclusively by the U.S. Department of Defense would also be exempt from boarding and inspection by Indonesian authorities.

The proposal further authorizes the Department of Defense to import, export and use equipment, supplies, materiel, technology and services in Indonesia without inspection or customs restrictions. U.S. defense contractors would receive similar exemptions and would be permitted to procure goods and services in Indonesia under U.S. procurement regulations.

Another provision would permit the U.S. military to operate its own telecommunications systems in Indonesia and use radio spectrum free of charge for official purposes.

The draft also proposes that claims brought by third parties for damage or loss caused by U.S. personnel would be resolved by the U.S. Government in accordance with U.S. laws and regulations.

According to the draft, the agreement would enter into force through an exchange of diplomatic notes between the two governments rather than through a separate treaty.

The proposed agreement is currently under negotiation and it is not clear whether Indonesia has accepted, rejected or sought to amend individual provisions.

The draft represents the latest indication of expanding U.S.-Indonesia defence engagement amid growing strategic competition in the Indo-Pacific.

Its disclosure follows earlier reporting by the Sunday Guardian concerning a separate U.S. proposal seeking notification-based blanket military overflight access through Indonesian airspace. Indonesian officials subsequently confirmed that discussions on that proposal had taken place.

Indonesia has traditionally pursued what it describes as a “free and active” foreign policy, maintaining defence cooperation with the United States while avoiding formal military alliances. Any agreement granting expanded legal protections and operational access to U.S. forces would likely attract close scrutiny within Indonesia because of its implications for sovereignty and defence policy.

It was not immediately clear whether the draft Personnel Protection Agreement forms part of the same negotiating framework as the previously reported overflight proposal or whether the two agreements are being negotiated separately.

The U.S. Department of Defense, U.S Embassy in Jakarta, the Indonesian Ministry of Foreign Affairs and Indonesia’s Ministry of Defense did not immediately respond to requests for comment by this newspaper.

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