FTA/CEPA Amid Global Conflict: Opportunity or Trap?
“Against this backdrop of fragmentation, Indonesia should focus on fully utilizing its existing FTAs, CEPAs, and PTAs as a strategy to diversify markets. Bilateral deals include those with Japan, South Korea, Australia, Chile, and the UAE; PTAs exist with Pakistan, Mozambique, and Palestine. Regionally, Indonesia is part of ASEAN FTAs with China, India, Korea, Japan, and Australia–New Zealand, and also a founding member of RCEP—the largest regional trade deal globally, covering 30% of world GDP and nearly one-third of the global population.”
“Indonesia must now prioritize partnerships in the relatively stable Indo-Pacific. With minimal disruptions, this region offers the best path to secure and deepen trade. Through RCEP, Indonesia can access a vast market, simplify rules of origin, and remove 90% of tariffs across member states. It’s an opportunity to shift away from raw commodity exports and move toward industrial transformation through value-added manufacturing in sectors like automotive, electronics, and chemicals, particularly with Japan, Korea, and China seeking reliable production partners.”
https://jakartaglobe.id/opinion/ftacepa-amid-global-conflict-opportunity-or-trap