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Responding to Australia's foreign economic policy

Australia looks to cooperate with Indonesia on maritime interests, tackling inequality and social stability, as well as the development of infrastructure, skills and institutions.

Eko NM Saputro (The Jakarta Post)
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Wed, December 6, 2017 Published on Dec. 6, 2017 Published on 2017-12-06T08:08:05+07:00

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Two policemen walk past bollards installed to help protect tourists and locals from a terror attack at the Sydney Opera House on Sept. 20, 2017. Australia looks to cooperate with Indonesia on maritime interests, tackling inequality and social stability, as well as the development of infrastructure, skills and institutions. Two policemen walk past bollards installed to help protect tourists and locals from a terror attack at the Sydney Opera House on Sept. 20, 2017. Australia looks to cooperate with Indonesia on maritime interests, tackling inequality and social stability, as well as the development of infrastructure, skills and institutions. (Agence France-Presse/William West)

R

ecently the Australian government released its 2017 Foreign Policy White Paper, a comprehensive document on promoting an agenda of prosperity and security in a complex and challenging geostrategic environment.

The white paper has many infographics within the 136 pages covering Australian domestic values to global cooperation. The government realizes that technological change, a new international order, Asian economic dynamics, terrorism and climate change will bring opportunities and challenges in future international policy setting.

Clearly, Australia puts the United States as its traditional and core ally, while mentioning China, Japan, South Korea, India and Indonesia as essential partners to Australia’s interests. In particular, Australia uses the Indo-Pacific geopolitical concept as a pivotal focus for its foreign policy.

The Indo-Pacific is defined as a region encompassing the Eastern Indian Ocean to the Pacific Ocean, connected by Southeast Asia and including India, North Asia and the US. Coincidently, US President Donald Trump popularized the Indo-Pacific term — instead of the Asia-Pacific — during his trip in Asia, just a couple of weeks before the white paper was released.

On Indonesia, the white paper reveals the Australian government’s views on Indonesia’s geostrategic position, economic strength and potentials, and its growing influence in regional and international forums. In particular, Australia looks to cooperate with Indonesia on maritime interests, tackling inequality and social stability, as well as the development of infrastructure, skills and institutions.

While the three “Bs” (boat, Bali and beef) are often referred to when simplifying the dynamics of Indonesia-Australia relations, both countries have a strong relationship ranging from trade to people-to-people interaction.

Indonesia and Australia have worked on strengthening trade cooperation through bilateral and regional arrangements. The former is being formalized through the Indonesia-Australia Comprehensive Economic Partnership Agreement (IA-CEPA), while the latter has been discussed through the Regional Comprehensive Economic Partnership (RCEP).

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