http://www.atimes.com/atimes/Southeast_Asia/NH21Ae01.html

Aug 21, 2012 

SPEAKING FREELY

Indonesia and Chinese 'congagement' 
By Jennifer McArdle 


Speaking Freely is an Asia Times Online feature that allows guest writers to 
have their say. Please click here if you are interested in contributing. 

If one were to ask various Indonesian strategic thinkers, what policy, if any, 
Indonesia is pursuing towards China; one would likely hear phrases like Foreign 
Minister Marty Natalegawa's "dynamic equilibrium", "balance of power", or 
President Susilo Bambang Yudhoyono's doctrine of "one thousand friends, zero 
enemies". 

"Congagement" would not be mentioned. Congagement, or the idea of combining 
engagement and containment, seems to make Indonesian strategic thinkers uneasy. 
The engagement part seems to pose no problem - Jakarta is deepening economic 
and political ties with Beijing. The idea of containment, however, still 
conjures up images of the Cold War when the US embarked on a policy of 
preventing the spread of communist ideology. 

Yet, "congagement" does not solely advocate pursuing a policy of engagement in 
congruence with a policy of containment. Rather, it asks policymakers to 
transcend both. "Congagement" seeks to offer strategic flexibility in an opaque 
period of Chinese transition. In essence, it would yoke Beijing and Jakarta 
together, enmeshing China within the current international system, while giving 
equal consideration to deterrence. It would prepare for potential Chinese 
provocations within Indonesia's Exclusive Economic Zone (EEZ), while also 
notifying the Chinese leadership that such adventurism could prove to be 
hazardous. 

Indonesian policy makers, although they may be unaware, are already pursuing 
the beginnings of a "congagement" strategy. Jakarta has been building an 
economic and political web between itself in Beijing, while also in some ways 
hedging against China's uncertain rise. 

Indeed, economically, China is Indonesia's second-largest trading partner. 
Trade reached US$60 billion in 2011, with expectations that it will reach $80 
billion by 2015. Beijing has been heavily investing in Indonesia's 
infrastructure with $19 billion of investment credit pledged and another $9 
billion in infrastructure loans offered. China also recently offered to build a 
coastal surveillance system to complement the existing US funded Integrated 
Maritime Surveillance System (IMSS). 

Politically, Jakarta and Beijing entered into a Strategic Partnership in 2005, 
with plans to boost cultural exchanges and people to people cooperation in the 
coming year. Both Indonesia and China have sought to maximize bilateral ties, 
while keeping political disputes as modest as possible: Jakarta has embraced 
Beijing's "One China" policy, while Beijing remained fairly mum after the 1998 
riots in Jakarta against Indonesians of Chinese dissent. 

Indonesia, as de-facto leader of the 10-member Association of Southeast Asian 
Nations (ASEAN), has encouraged the inclusion of China in various regional 
forums from ASEAN+3, the broader ASEAN Regional Forum and APEC (Asia-Pacific 
Economic Cooperation). Jakarta and Beijing have also enhanced 
military-to-military cooperation through joint naval missile developments, 
joint exercises, maritime security, national defense industry exchanges and 
cooperation in non-traditional security fields. 

Yet, despite increased engagement, Jakarta has attempted to curb against 
potential incursions within its maritime backyard through military 
modernization and multilateral initiatives. The Ministry of Defense's strategic 
planning objective of achieving "minimum essential forces" by 2024 envisions a 
naval force with "green water" capabilities, with the capacity to protect key 
sea-lanes and choke points against potential conventional or non-conventional 
threats. 

Acquisition plans include diesel electric submarines, missile-guided 
destroyers, fast attack missile boats, torpedo boats and minesweepers. 
Additionally, Jakarta, by supporting the inclusion of key extra-regional 
actors, such as the United States and Russia in forums such as the East Asia 
Summit, while also discreetly encouraging the United States to remain actively 
involved in the region is providing a diplomatic hedge to possible Chinese 
expansionism. 

Indonesia's current policy, despite showing signs of a "congagement" strategy, 
falls short of credibly responding to the various destabilizing trends that are 
currently rippling through the South China Sea. Notwithstanding certain forward 
thinking acquisition plans, Jakarta's current strategy revolves primarily 
around a "diplomatic security perspective" - with diplomacy construed as the 
first line of defense - through regional and international cooperation. If 
diplomacy failed to prevent a conventional military strike on Indonesia's 
territory, then Indonesia would revert to a seemingly archaic "Total People's 
War" strategy to protect its territorial integrity. 

However, as last month's ASEAN Summit in Cambodia demonstrated, utilizing 
diplomacy as the main mechanism for forward protection may not be sound. 
ASEAN's July 2012 summit witnessed the first time in 45 years that ASEAN was 
unable to produce a joint communique, as the group was split over the South 
China Sea. With the ASEAN member states fracturing, concerns are arising that 
the organization will no longer be able to effectively respond to overlapping 
territorial claims amongst themselves and China. 

Indonesia's strategy coupled with ASEAN's recent failure appears all the more 
disconcerting as China more aggressively flexes its muscles in the South China 
Sea. The infamous 2009 Impeccable incident, the illegal detainment of over 700 
Vietnamese fisherman, the Scarborough Shoal faceoff, and the 2009 and 2010 
fishery standoffs in Indonesian waters, when taken together, seem indicative of 
a larger trend by the Chinese to assert control of its historic claims to the 
South China Sea. 

China's "9 dotted line" (delineating its claim of much of the South China Sea) 
overlaps with Indonesia's EEZ, adjacent to the Natuna Islands: Indonesia's 
energy rich sea bed with Asia's largest concentration of natural gas reserves. 
An interview with a key Indonesian strategic thinker, Andi Widjajanto, in 
Jakarta early last month revealed that the Indonesian government is beginning 
to view the Natuna Islands and their surrounding waters as a potential major 
flashpoint with the Chinese. Indeed, after a visit to the Natuna Island this 
past May, Major General Paul Lodewijk asserted that its surrounding waters were 
highly vulnerable to foreign incursions, both Chinese and Malaysian, because of 
its resource wealth and made plans to add additional troops. 

Building on Indonesia's current policies and instigating a full "congagment" 
strategy will provide Indonesia with the versatility it currently needs. If 
China in the future were to cooperate and respect territorial delineations 
outlined by Article 56 of the United Nations Council on the Law of the Seas 
(UNCLOS) treaty, of which China is a signatory, Jakarta's policy could move it 
towards enhanced mutual accommodation with Beijing. However, if China continues 
to pursue expansionist policies, flexing its muscles in a bid to gain access to 
key Indonesian resources and sea-lanes, Jakarta's posture could revert into 
classic containment and hard balancing through other extra-regional powers. 

What can be done to expand on Indonesia's current policies in order to flesh 
out a more substantive policy of "congagement" towards China? 

1. First of all, work towards enhancing economic, political and cultural ties 
with Beijing. Focus on addressing key economic stumbling blocs between both 
states, particularly difficulties faced by Indonesian local industries due to 
flood of Chinese imports from the passing of ACFTA. 

2. Secondly, Indonesia should encourage ASEAN members to delineate areas of 
conflict and seek to resolve territorial disputes within the group allowing it 
to present a united front when engaging China. After the breakdown on the ASEAN 
summit in Phnom Penh, Indonesia's efforts, creating common ground among member 
states and releasing a six-point statement asserting the "ASEAN way", was a 
step in the right direction. However, as the Philippines and Vietnam did not 
entirely agree with the statement, more must be done. 

3. Third, Indonesia should work towards developing and building upon current 
military to military interactions and exchanges. Military contact will help 
China's military understand Indonesia's militaries capabilities, concerns and 
intentions should it feel threatened. More importantly, it will also allow the 
Indonesian military to better understand China's capabilities and potential 
weaknesses. When engaging in defense cooperation, Indonesia should explicitly 
state the nature of the defense relationship to quell concerns among ASEAN 
member states. Jakarta should continue to pursue trust building military 
measures such as the proposed trilateral military initiative between China, 
Indonesia, and the United States outside Darwin. 

4. Finally, Indonesia needs to strengthen its own capabilities in order to 
deter potential Chinese expansionism. Indonesia's military must develop an 
effective offensive sea denial capability utilizing key asymmetric 
capabilities: mines, submarines and missile armed fast attack crafts. Indonesia 
currently does have an area-access/ area denial (A2/AD) concept, which 
emphasizes the deployment of naval mines and submarines in Indonesian waters, 
however it remains tactically defensive. In this field as in others, it may 
prove useful for Indonesian strategists to take a leaf out of China's book - 
and adopt a posture that is more tactically offensive, while remaining 
strategically defensive. 

Jennifer McArdle is a Washington based Asia security analyst and a Non-Resident 
Fellow at the Observer Research Foundation, New Delhi 

(Copyright 2012 Jennifer McArdle) Speaking Freely is an Asia Times Online 
feature that allows guest writers to have their say. Please click here if you 
are interested in contributing. Articles submitted for this section allow our 
readers to express their opinions and do not necessarily meet the same 
editorial standards of Asia Times Online's regular contributors 



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