Indonesia, ASEAN, and the Rise of China: Indonesia in the Midst of East Asia s Dynamics in the Post-Global Crisis World

The rise of China and the more dynamic ASEAN-China relations become salient challenges for Indonesia in the wake of the global financial crisis. Economically, cooperation between ASEAN and China through the ACFTA has caused significant negative impacts to Indonesia, as seen from the continuous trade deficit, industrial downturn, and rising unemployment. In the political and military field, there has been changes in China’s political gesture from accommodative to a more assertive one in the light of uncertainty in the South China Sea. The situation has raised the discourse to invite extra regional powers, especially the US, to be more actively Involve in the regional security arrangement. In this context, Indonesia sees ASEAN as an important instrument to bridge all powers in the region by looking forward for dialogue and cooperation instead of conflict and military disputes.