The Political Economy of Indonesia’s Development Strategy under China-USA Power Rivalry and Hegemonic Competition: A Middle Power with Its Hedging Strategy

Muhamad Iksan and Jenn-Jaw Soong

Chinese Economy, 2023, vol. 56, issue 4, 304-320

Abstract: In the new century, a growing power rivalry and contest between China and USA has significantly impacted the Asia-Pacific region. In turn, Indonesia has tried to avoid being caught in the middle between these two great powers. Among unanswered questions are how to respond to influences affecting politics and security and how to interact concerning economic cooperation and market integration. This article will explore how Indonesia tried to protect its own national interests amid this great-power competition by making strategic and timely policy choices from 2016 to 2022. We offer a new argument and interpretation for how a middle-sized power like Indonesia can flexibly and efficiently operate a hedging strategy toward US and China to promote its own security and development. Neoclassic realism will be applied to interpret a strategic triangle. As such, we explore Indonesia’s state leadership, domestic politics, political culture, and economic entity within the context of US-China power rivalry, closely in related to facing China’s Belt-and-Road initiative (BRI) as well as US’s Indo-Pacific Strategy with Indo-Pacific Economic Framework (IPEF).

Date: 2023
References: Add references at CitEc
Citations:

Downloads: (external link)
http://hdl.handle.net/10.1080/10971475.2022.2136696 (text/html)
Access to full text is restricted to subscribers.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:mes:chinec:v:56:y:2023:i:4:p:304-320

Ordering information: This journal article can be ordered from
http://www.tandfonline.com/pricing/journal/MCES20

DOI: 10.1080/10971475.2022.2136696

Access Statistics for this article

More articles in Chinese Economy from Taylor & Francis Journals
Bibliographic data for series maintained by Chris Longhurst ().