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Indonesia needs to balance Chinese and US influence: Research

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Anton Hermansyah (The Jakarta Post)
Jakarta
Thu, November 26, 2015

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Indonesia needs to balance Chinese and US influence: Research ASEAN: U.S. President Barack Obama arrives to attend the East Asia Summit meeting in Kuala Lumpur, Malaysia, Sunday, Nov. 22, 2015. President Obama is in Malaysia where he joins leaders from Southeast Asia to discuss trade and economic issues, and terrorism and disputes over the South China Sea. (AP/Susan Walsh) (AP/Susan Walsh)

U.S. President Barack Obama arrives to attend the East Asia Summit meeting in Kuala Lumpur, Malaysia, Sunday, Nov. 22, 2015. President Obama is in Malaysia where he joins leaders from Southeast Asia to discuss trade and economic issues, and terrorism and disputes over the South China Sea. (AP/Susan Walsh)

Indonesia needs to balance the influence of China and US in the ASEAN region and therefore opted to prioritize strategic partnerships with other countries, research from the University of Sydney suggests.

According to the research conducted by Natasha Hamilton-Hart and Dave McRae and released on Tuesday, the country'€™s good relationship with the US began since 1949, but turned ugly when President Sukarno declared an '€œanti-imperialist axis'€ in the late 1950s. During that times, the US military and officials reportedly kept in touch with Indonesian counterparts that opposed Sukarno. Following the rise of the new order, the relationship flourished and broadened into aspects such as the military, economy and education. Despite opposing US policies in some areas such as Palestine and the Middle East, the current connection between the two countries is generally warm.

Indonesia'€™s relationship with China is more cultural. After the rise of the new order in 1965, China was accused as the main source of communism. But, in terms of business, Chinese-Indonesians continued to invest in China through Hong Kong and, following the reign of President Abdurrahman Wahid in 1999, the relationship was rejuvenated. In 2006, before the subprime mortgage crisis, the US was a larger export market for Indonesia compared to China and Hong Kong combined, but in 2009, China became Indonesia'€™s main export market.

The research suggests that implementing Indonesia'€™s free and active principle in politics by sustaining equilibrium between the major powers is key.

Indonesia was absent during the launch of the China-led Asian Infrastructure Investment Bank (AIIB) in October 2014, which created a flurry of speculation, but later opted to officially join. As for the US-led Trans-Pacific Partnership (TPP), despite some suggestions not to join, Trade Minister Thomas Lembong stated that the country might participate in the partnership within two years after conducting studies as requested by President Joko '€œJokowi'€ Widodo.

In conclusion, the research states that Indonesia'€™s stance on US'€“China relations is a preference for no single preponderant power in Southeast Asia, expressed through the concept of '€œdynamic equilibrium'€. Nonetheless, historically, the Sino'€“Indonesian relationship has been more troubled and lacks the warmth and familiarity that exists between the United States and Indonesia. Indonesia'€™s foreign policy establishment also tends to be warier of China than the United States.

'€œConsidered against this background, the particular emphasis on the relationship with China under Jokowi thus far reflects a degree of catch-up, rather than overtaking the US'€“Indonesia relationship. Indonesia'€™s deepened bilateral relationship with China in recent years also reflects a pragmatic self-interest, boosted by China'€™s economic rise and the prospects that Chinese prosperity can serve Indonesian interests in securing foreign investment and increasing exports,'€ the researchers added. (kes)(+)

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