China–Indonesia relations

Source: Wikipedia, the free encyclopedia.
Chinese–Indonesian relations
Map indicating locations of China and Indonesia

China

Indonesia
Diplomatic mission
Embassy of China, JakartaEmbassy of Indonesia, Beijing

USSR
.

Sukarno's

Guided Democracy relied on two conflicting support pillars, the military and the communists. He favoured the Communist Party of Indonesia (Indonesian: Partai Komunis Indonesia, or PKI), which grew to be the largest political party with 3 million members and in August 1965, Sukarno declared his intention to commit Indonesia to an anti-imperialist alliance with China and other communist regimes and warned the Army not to interfere.[1][2]
The military, nationalists, and the Islamic groups objected to the prominence of the PKI, fearing the imminent establishment of a communist state in Indonesia and regarded Sukarno's close alliance with communist China as compromising Indonesia's sovereignty. This culminated in the progressive sidelining and eventual ousting of Sukarno from 1965 till 1967 by Suharto and his supporters, who instigated a prolonged persecution and eventual elimination of the PKI with estimates of killings varying from 500,000 to 1 million.[3][4][5] In 1967, Suharto introduced orders banning Chinese literature, culture and characters, encouraging the abandonment of Chinese names and suspended diplomatic relationships with China, to be restored only in 1990.[6][7]

Indonesian public opinion of China's influence has been evolving. According to a 2014 BBC World Service Poll, was largely positive, with 52% expressing a mainly positive view compared to 28% expressing a mainly negative view.[8] A Pew Research Center poll in 2019 indicated favourability had dropped since then, with 36% of Indonesians expressing a favourable view of China and 36% expressing an unfavourable view.[9][needs update][10] More recently, in December 2021, in a survey from Australian think tank the Lowy Institute, Indonesians are becoming increasingly wary of China and Chinese investments, with six in 10 agreeing that Jakarta should join with other nations to limit Beijing's rise. Only 43% of Indonesians polled said they felt China’s growth was good for Indonesia – down from 54% in 2011. Almost half the 3,000 respondents aged 17–65 said they believed China's aim was to dominate the region.[11] An important factor in relations is the small, only 3% of the population, but long-established and economically influential Chinese diaspora. This group has been keen to take advantage of trading opportunities with China, which has become Indonesia's biggest trading partner since the signing of the Indonesia-China Strategic Partnership in 2005. Trade flows increased steadily, turning in 2008 into a rising trade deficit for Indonesia. Two-way investment was boosted by President Joko Widodo and CCP general secretary Xi Jinping’s close personal relationship, leading to a surge in investment under China's Belt and Road Initiative (BRI). Inbound investment from China, including Hong Kong, in 2019–2020, ranked second after Singapore[12] Both countries are among the largest nations in Asia in terms of both area and population. China is the second-most populous nation in the world, while Indonesia has the 4th largest population.[13]

Both nations are members of the

APEC and the G20
.

China has an embassy in Jakarta and consulates in Surabaya and Medan, while Indonesia has an embassy in Beijing and consulates in Guangzhou, Shanghai, and Hong Kong.

A summary of China-Indonesian relations voiced by Mercator Institute for China Studies identified 4 distinct phases: from close allies (1950s–1965) to enemies (1966–1990), to distant associates (1990–2014), to their current close partnership.[12]

History

The Zheng He memorial statue in Sam Poo Kong temple, Semarang, commemorate the Ming naval voyage to Indonesian archipelago.

The relations between imperial China and ancient Indonesia commenced during the 7th century, possibly earlier. Indonesia was part of the maritime

Chou Ju-kua
began to visit and wrote about the Indonesian archipelago.

Most ancient Chinese-Indonesia relations were trade-motivated and throughout their shared history, most were harmonious and peaceful, with one exception. In 1293, Kublai Khan of

Rembang
which have had significant Chinese populations since Majapahit era.

During the colonial

Chinese settlements
were established in West Kalimantan, the east coast of Sumatra, and the northern coast of Java.

After the Indonesia's independence in 1945 and the acknowledgement of its sovereignty from the Dutch in 1949, Indonesia established political relations with China (previously with

People's Republic of China) in 1950.[22] Indeed, it was the first country in Southeast Asia to establish official diplomatic relations with the PRC.[23] During the Sukarno administration, China and Indonesia enjoyed close relations. In the 1950s to 1960s the Chinese Communist Party had close relations with their Indonesian counterparts. Sukarno supported and won the bid for the 1962 Asian Games held in Jakarta. There was political tension when the Indonesians refused the entry of delegations from Taiwan. After the International Olympic Committee imposed sanctions on Indonesia due to this exclusion policy, Sukarno retaliated by organising a "non-imperialist" competitor event to the Olympic Games, called the Games of New Emerging Forces (GANEFO
). Sukarno responded that the IOC was itself political because it did not have the People's Republic of China as members; the IOC was simply "a tool of the imperialists and colonialists."[24] Sukarno formed a new alliance with China, North Korea, North Vietnam, and Cambodia which he called the "Beijing-Pyongyang-Hanoi-Phnom Penh-Jakarta Axis". After withdrawing Indonesia from the "imperialist-dominated" United Nations in January 1965, Sukarno sought to establish a competitor organisation to the UN called the Conference of New Emerging Forces (CONEFO) with support from the People's Republic of China,[25] who at that time was not yet a member of United Nations. With the government heavily indebted to the Soviet Union, Indonesia became increasingly dependent on China for support.[26] Sukarno spoke increasingly of a Beijing-Jakarta axis,[26]

Protest at the Indonesian embassy in Beijing in April 1967 following Suharto's assumption of presidential power

However, after an unsuccessful coup attempt in 1965 resulted in the fall of Sukarno and the consolidation of power by right-wing military general Suharto, Indonesia severed diplomatic relations, maintaining that Communist China was partly responsible for the coup attempt.[27] Diplomatic relations however, were restored and resumed in 1990, resulting in the normalization of China-Indonesia ties.

Political relations history

Mao Zedong and Sukarno

China and Indonesia established diplomatic relations on April 13, 1950, which were suspended on October 30, 1967, due to the occurrence of the September 30 event of 1965, the subsequent 1967 seizure of power by Lt. General Suharto which appointed him to the office of acting president, the stepping down of President Sukarno, and the eventual beginning of the capitalist 'New Order', which, under Suharto's presidency, would last thirty-one years.

Bilateral relations have improved since the 1980s. Foreign Minister Qian Qichen of China met with President Suharto and State Minister Moerdiono of Indonesia in 1989 to discuss the resumption of diplomatic relations of the two countries. In December 1989, the two sides held talks on the technical issues regarding the normalization of bilateral relations and signed the Minutes. Foreign Minister Ali Alatas of Indonesia visited China on invitation in July 1990 and the two sides issued the Agreement on the Settlement of Indonesia's Debt Obligation to China and the Communique on the Resumption of Diplomatic Relations between the two countries.[citation needed] The two countries issued the "Communiqué on the Restoration of Diplomatic Relations between the Two Countries".[citation needed
]

Premier Li Peng visited Indonesia on invitation on August 6, 1990. In his talks with President Suharto, the two sides expressed their willingness to improve relations between the two countries on the basis of the Five Principles of Peaceful Co-Existence and the Ten Principles of the Bandung Conference. On 8 August, Foreign Ministers of China and Indonesia on behalf of their respective governments, signed the Memorandum of Understanding on the Resumption of Diplomatic Relations. The two sides declared the formal resumption of the diplomatic relations between China and Indonesia that day.

China's cautious response to the

Foreign Minister Tang Jiaxuan made a direct appeal to the Indonesian government to ensure the protection of Chinese Indonesian communities.[28]

In September 2017, two giant pandas, Cai Tao and Hu Chun, arrived in Jakarta from Sichuan province to be placed in Taman Safari in Bogor as part of the 60th anniversary celebrations of China–Indonesia bilateral relations.[29]

In December 2018, the issue of China's

Xinjiang re-education prisons based on the persecution of Islamic citizens and human rights abuses against the Uyghur Muslim minority was brought up in parliament. Indonesian Vice President Jusuf Kalla said: "we don't want to intervene in the domestic affairs of another country."[30]

Trade and investment

Countries which signed cooperation documents related to the Belt and Road Initiative

Trade between China and Indonesia is on the rise, especially after the implementation of ACFTA since early 2010. Indeed, while in 2003 trade between Indonesia and China reached only US$3.8 billion, in 2010 it multiplied almost 10 times and reached US$36.1 billion.[31] China's transformation into the fastest growing country in the 21st century has led to an increase of foreign investments in the bamboo network, a network of overseas Chinese businesses operating in the markets of Southeast Asia that share common family and cultural ties.[32][33]

China has remained on top of Indonesia's key major trading partners, serving as the country's largest export and import market. China serves as Indonesia's largest export destination after overtaking Japan and United States, reaching US$16.8 billion.[34][35][36] China is also Indonesia's most important source of imports, reaching US$30.8 billion, or 22.7% of Indonesian imports in 2016.[37] The balance however was in favour of China as Indonesia booked a trade deficit of US$14 billion in 2016.[38]

In Indonesia, Chinese companies invest in sectors including mining, hydropower, solar panel production, electric vehicle batteries, and industrial silicon.[39]: 106 

From China's perspective, since 2010 ASEAN as a whole has become its fourth-largest trading partner after the European Union, Japan and the United States. Among ASEAN member countries, Indonesia was China's fourth-largest trading partner, which, according to data as of May 2010 from the Ministry of Commerce of the People's Republic of China, amounted to US$12.4 billion, after Malaysia (US$22.2 billion), Singapore (US$17.9 billion) and Thailand (US$15.7 billion).[31]

Being the second-largest donor of foreign aid to Indonesia after Singapore, China has also financed and developed multiple infrastructure projects in the country to create more growth in its economy, particularly in the utility, transportation, industry and tourism, with surging inflows of aid in recent years.[40]

KCIC400AF in Halim station, East Jakarta. The Jakarta-Bandung HSR is the first Chinese overseas high-speed rail project as a prestigious example of Belt and Road Initiative

On late September 2015, Indonesia awarded a multibillion-dollar Jakarta-Bandung high-speed railway project to China.[41][42][43] It was said that China's offer to build the Jakarta-Bandung line without requiring loan guarantee nor funding from Indonesia was the tipping point of Jakarta's decision.[44][45] The Jakarta-Bandung high-speed rail is planned to begin its operations to public in 2019.[46] However, the project was stalled for several years due to land acquisition problem and ensuing COVID-19 pandemic. Jakarta-Bandung High-speed rail was officially opens its service on 2 October 2023.[47]

In late 2021, the president of Indonesia Jokowi Widodo broke ground on a $132 billion U.S. "green" industrial estate to be constructed on Borneo with investments from China and the United Arab Emirates and electrified by a hydropower plant funded by China.[48]  

Culture

Batik Pesisiran with the image of qilin, demonstrate Chinese-influenced images, testify the centuries-old relations between China and Indonesia.

Since ancient times,

Chinese Indonesians
according to 2010 census, which formed 1.20% of the Indonesian population.

State visits

President Yudhoyono of Indonesia and Peng Qinghua, member of 18th Central Committee of the Chinese Communist Party, in Jakarta, June 17, 2013.

The bilateral relations developed gradually since the resumption of diplomatic relations of the two countries. Since the resumption of diplomatic ties between the two countries, President Yang Shangkun (in 1991), Chairman of NPC Standing Committee Qiao Shi (in 1993) and Vice Premier Zhu Rongji (in 1996), Vice President Hu Jintao (in 2000) of China visited Indonesia. President Suharto (in 1990), Speaker of Parliament Suhud (in 1991), Vice President Sudharmono (in 1992) and Chairman of the Supreme Advisory Council Sudomo (in 1997) visited China. Chinese leader Jiang Zemin paid a state visit to Indonesia in November 1994 after he attended the second APEC Leaders' Informal Meeting. In December 1999, President K.H. Abdurrahman Wahid of Indonesia paid a state visit to China, during which the two countries issued a joint press communiqué. In July 2000, Vice President Hu Jintao visited Indonesia at the invitation of Vice President Megawati.[citation needed]

In November 2001, Premier Zhu Rongji paid a visit to Indonesia. In March 2002, Indonesian President Megawati Sukarnoputri paid a state visit to China.[citation needed] In April, President Abdurrahman Wahid of the Indonesian People's Consultative Assembly visited China. In September, Chairman Li Peng of the NPC paid an official friendly visit to Indonesia.[citation needed]

Starting from 1991, the foreign ministries of the two countries set up a consultation mechanism and up to now it has held six times of consultation. In March 2002, the two countries exchanged notes in regard with the setup of Indonesian consulates general in Guangzhou. Indonesia has its consulate-general in Hong Kong.

From November 8 to 11, 2014, newly elected Indonesian President

Belt and Road Forum from May 14 to 15, 2017.[50]

Tiongkok

Tiongkok (中国) is the

Chinese Indonesians felt that the term (in reference to them) was derogatory and racist, connoting "backwardness, humiliation, queues and bound feet".[52] After the fall of President Suharto in 1998, the use of Tiongkok has seen a re-emergence.[53]

On 14 March 2014, Indonesian President Susilo Bambang Yudhoyono signed Presidential Decree (Keputusan Presiden) No. 12/2014 to change the legal use of the Indonesian-language term to refer to China. Changes included replacing the term Cina or China to Tiongkok to refer to China as a country, and Tionghoa to refer to Chinese people, or Chinese descents. This change was meant to eradicate discrimination and prejudice towards Chinese Indonesians.[54]

South China Sea disputes

Territorial claims in the South China Sea
Natuna, Riau Islands

Despite Indonesia's position as a non-claimant state in the South China Sea dispute,

Natuna islands. Although China has acknowledged Indonesia's sovereignty over Natuna islands, China argues that the waters around Natuna islands are Chinese "traditional fishing grounds". Indonesia quickly dismiss this claim and believes it has no legal basis.[56]

In March 2016, the two countries were involved in confrontation near Natuna Islands as Indonesian maritime authority that tried to capture a Chinese trawler accused for

illegal fishing was prevented by Chinese coast guard.[57] Indonesia insists to prosecute Chinese trawler crew, despite Beijing's demand to release them. An Indonesian official said that the "traditional fishing grounds" was not recognised under the UNCLOS. This incident prompted Indonesian military to increase its presence in Natuna area.[58] On 23 June 2016, Indonesian President Joko Widodo visited Natuna islands on a warship, this was meant to send a "clear message" that Indonesia was "very serious in its effort to protect its sovereignty".[59]

Following the

In January 2020, Chinese fishing boats, escorted by Chinese coast guard vessels, once again conducted fishing off the coast of northern islands of Natuna in waters claimed by Indonesia as its

Cakra-class diesel submarine and four F-16C/D fighter jets to the deployment even when China vessels appeared to have backed down from the region.[63]

In December 2021, Chinese coast guard vessels were deployed to halt Indonesian oil exploration in the SCS.[64]

See also

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Bibliography

External links