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Jakarta, CNBC Indonesia – US Secretary of State Mike Pompeo’s visit to Indonesia on Thursday (10/29/2020) yesterday apparently enraged the Chinese side. The reason is that Pompeo is said to have carried out an attack and provoked China.
However, the conflict between the United States and China in the waters of the South China Sea does not appear to have had a significant impact on the Indonesian economy. Mohammad Faisal, CEO of Core Indonesia, a group of economic experts, confirmed this.
“I see that so far it is still in the context of mere geopolitical relations. Therefore, it does not penetrate directly into trade, although it will certainly have something to do with the economy. But to have a direct and significant impact (in Indonesia), not I think so, yes. “Faisal said when contacted by CNBC Indonesia on Friday (10/30/2020).
Trade between Indonesia and China itself refers to a trade agreement through the ASEAN-China Free Trade Area (ACFTA). According to Faisal, ACFTA already has special agreements and obligations that each country must fulfill.
Meanwhile, with the US, Indonesia does not have any specific trade agreements. However, Indonesia is negotiating an extension of the Generalized System of Preferences (GSP) mechanism.
“But I think that the direct connection with the conflict in the South China Sea does not affect too much or extend to Indonesia’s trade problems, because there is no agreement directly related to trade,” he added.
Hikmahanto Juwana, a professor of international law at UI and rector of General Achmad Yani University (Unjani), also said that the conflict between the United States and China did not really affect Indonesia. This is because RI is executing a free and active foreign policy that does not side with a single country.
“Indonesia is not afraid to convey these criticisms even though it depends on China’s debt. This shows that Indonesia has pursued a free and active foreign policy in which Indonesia does not side with China or the United States, but with the right. international, especially from UNCLOS “, said Hikmahanto.
In addition, Hikmahanto said that what Pompeo expected during the visit could not be done by Indonesia, that is, the United States hopes that Indonesia will become an anchor for ASEAN, especially to confront China.
“It is difficult for Indonesia to realize this hope, considering that Indonesia is pursuing a free and active foreign policy, so it is unlikely that ASEAN will be behind the United States to confront China,” he continued, adding that there are several countries in ASEAN that are very pro-China.
“The parties of these countries will find it difficult to make decisions by consensus for ASEAN to take on China.”
The conflict in the South China Sea is escalating. The United States recently deployed a coast guard ship to the Western Pacific to monitor illegal fishing in the disputed waters.
The United States accuses China of violating international law by sending its warships as escorts for Chinese fishing boats to the fishing grounds of other countries.
China itself claims 80% of the waters of the South China Sea under the concept of a nine-dash line. The South China Sea itself is rich in resources and is the world’s main trade route.
[Gambas:Video CNBC]
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