Japanese Prime Minister Suga Yoshihide and Indonesian President Joko Widodo are holding talks.
Suga chose Vietnam and Indonesia as the destinations for his first overseas trip since taking office last month.
Indonesia is a key member of the Association of Southeast Asian Nations.
Suga is expected to stress the country is Japan's strategic partner and shares basic values.
Chief among his priorities is securing a pledge to work together on a range of regional issues, including addressing China's growing maritime presence in the region.
Suga wants to step up cooperation in the field of security, including holding a meeting of foreign and defense ministers from both countries.
And he plans to speed up negotiations on the transfer of defense equipment to Indonesia.
The coronavirus pandemic will also likely be on the agenda. Indonesia has the highest number of cases in Southeast Asia.
Suga will likely offer loans to help limit the economic fallout in the country. And he hopes to secure a plan to ease entry restrictions for nurses and caregivers coming to Japan as foreign workers.