7 October 2024

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South China Sea: The Surprising Warm-Up Between Indonesia and China Amid Tensions

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Flags of ASEAN nations with South China Sea backdrop

Indonesia shocked the world by embracing China when most countries around the world developed a cold shoulder towards Beijing over concerns of growing tensions in the South China Sea. Indonesia and China have historically had a complex relationship, with Indonesia generally appearing cautious on how it can deal with its giant neighbor. However, Indonesia has pivoted towards China in its interest in finding a lasting solution that will offer the country economic growth and trade partnership with the largest economy.

Many observers in the region have raised concerns about the reasons behind Indonesia’s move as it may allude to hidden factors. However, the reality of the situation in the South China Sea has forced Indonesia to make the decision to protect its national interest and ensure there is always stability in the region. This is a worrying trend for ASEAN because Indonesia’s position and leaning have forced it to reverse the organization’s historical position. The question on many people’s minds is how Indonesia recently embraced of China ideas will change the narrative in the tension surrounding the jpslot South China Sea.

Map showing territorial claims in the South China Sea
Map showing territorial claims in the South China Sea

Historical background of the South China Sea dispute

South China Sea dispute: historical background and links to natural resources. The South China Sea is among the most complex hotspots of territorial disputes because at least six nations, namely Vietnam, the Philippines, Malaysia, Brunei, Taiwan, and China, legally or de facto claim the islands, reefs, and water space. Although the historical background of the South China Sea dispute began in the early 20th century, when maps and reports of the time suggested that China took the possession of sovereignty over the greater part of the South China Sea, it refers to the unresolved primary issue of the territorial position and overlapping claims.

What stands behind the South China Sea dispute is the tremendous potential of the area in terms of natural resources such as oil, gas, and fishery. Moreover, it is a vital maritime trade route, with billions of tons of goods transiting through its water space annually. Thus, each nation is driven by the desire to maintain its respective claim in order to provide for its economic interest. South China Sea disputes involve several key nations with strategic interests. China, as the most assertive claimant, has built an artificial island and implemented a military presence.

The United States, as the leading global power in the Asia-Pacific region, States, as one of the concerned stakeholders and hold on its position and freedom of navigation.

Key players in the South China Sea tensions

Vietnam and the Philippines, two of the most vocal claimants, have gone to great diplomatic and legal lengths to assert their rights to waters. However, even countries with more humble claims such as Malaysia and Brunei have concerns given China’s growing assertiveness. Indonesia, a non-claimant state, has traditionally acted as a de facto mediator and advocate for peaceful resolution. However, due to its recent alignment with China, its role is now being questioned.

Indonesia’s traditional approach to south China sea dispute Indonesia has adopted a wait-and-see approach to the south China sea dispute for many years. Being an archipelago with much of its territory bordering on claimed waters, the superb economy has a vested interest in ensuring stability and a peaceful resolution of conflict. Indonesia has pressed for a code of conduct among the claimant states and stressed dialogues and negotiations. Indonesia’s traditional strategy centers on establishing a unified ASEAN front.

It has encouraged member states to coordinate their activities in addressing the disputes. However, this approach has limited effectiveness with internal divisions and each country’s national interests making a unified approach difficult. As a non-claimant state, Indonesia’s interests and activities have been affected by conflict in the south c China sea through impacts on illegal fishing activities and external vessels’ presence.

Cargo ships navigating through the South China Sea

Indonesia’s traditional stance on the South China Sea dispute

Therefore, there are several factors that have influenced Indonesia’s unexpected shift towards China in the situation concerning the South China Sea. One such factor is the economic benefits that can be achieved from closer cooperation with the economic powerhouse. Being the world’s second-largest economy, China offers many opportunities for trade or investments that Indonesia, benefitting from its middle class and many resources, can take advantage of. In terms of connectivity and economic integration, it should be also mentioned that Indonesia has been attracted by the considerable Belt and Road Initiative project.

In turn, Indonesia is also interested in maintaining stability and not allowing itself to be caught in the middle of foreign conflict. Therefore, its policy towards China is aimed at influencing its policy and reducing the potential of conflict. Additionally, Indonesia’s alignment with China is a strategic effort to avoid overreliance on any of the countries and establish good relations with all of them. As such, using the shifting global architecture, Indonesia is practicing realpolitik that benefits its national interests and strives for self-reliance. Meanwhile, the economic implications for Indonesia in rapprochement with China are profound.

Indeed, being one of the world’s largest exemplars of the extractive industry, China is a massive market for Indonesian resources, such as coal, palm oil, or rubber. Therefore, increasing export opportunity with China can benefit Indonesia and its wealth at the same time.

Factors leading to Indonesia’s shift towards China

Moreover, due to the focus on infrastructure connectivity, China’s BRI may also be beneficial for Indonesia. The increased number of ports, new roads, and railways will make Indonesia’s facilities more accessible and attractive to the global market and investors. Nevertheless, the country should closely monitor the conditions and economic terms of these rolling investment projects to be re-imbursed promptly and not accumulate an immense amount of debt as a result of BRI or lose its sovereignty in exchange for the help or investment from China.

Political considerations behind Indonesia’s “embrace” of China Indeed, Indonesia’s pivot to China also comes from political reasoning. The country strives to demonstrate its significance in regional policies and demonstrate itself as an essential stakeholder while remaining a non-claimant for the territorial conflict in the SCS. Indonesia attempts to drive the dialogue and the conversation on the problem and the resolution without being directly involved in the contention, which it can do by engaging with China and discussing the issue and the possible outcome with other nations.

Furthermore, Indonesia’s political consideration also includes the desire to diversify the political alliances and refrain from being too socialist or communist. Pivoting to China will help to balance out the relationship with other powers in the region, such as the United States and Japan, without centring too much support around one strong country.

Economic benefits for Indonesia in partnering with China

However, the embrace of China has also drawn criticism and even sparking concern. Many argue that by getting close to China, Indonesia would compromise its sovereignty and security. More specifically, China’s assertion in the South China Sea has led to a lot of concern by the neighboring countries and the wider international community. Moreover, because Indonesia may seek to please China, it may become economically dependent, limiting its traditional role as a neutral player in these disputes.

Similarly, it is certain that as Indonesia gets economically entangled with China, the two partners are likely to create an unbalanced relationship. Key concerns include debt-trap diplomacy whereby China offers infrastructure projects in exchange for a loan, which will allow it to dictate the borrower’s affairs. As such, Indonesia needs to be more transparent and assertive during negotiations. In addition, it must continue to protect its national interests and that of the region. Implications of Indonesia’s Position on the South China Sea tensions Consequently, Indonesia has grave implications for the South China Sea dispute.

As one of the neutral and strong countries in the dispute, Indonesia would set the pace and influence the behavior of the other claimant and external powers. Its closeness to China is likely to influence other claimants to move closer to allies, redistributing power and the general influence in the region. Indonesia’s proximity would also affect the unity and the voice of ASEAN on the South China Sea dispute. Typically, ASEAN has favored a coordinated approach and peaceful disagreement. However, Indonesia’s stance is likely to create a rift within the organization, leading to the replication of the European Union.

Indonesian President meeting with china's XI
Indonesian President meeting with china’s XI

Future prospects for the South China Sea dispute

However, the implications of Indonesia’s actions regarding the South China Sea tensions will be seen in the years to come. Overall, the region closing the door for cooperation fully might be even more dangerous than quiet diplomatic maneuvering. Thus, it is essential to ensure that Indonesia can pursue its national interests while serving as a guarantee for the development and peaceful resolution in the region. Conclusion/Future of the South China Sea dispute.

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