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Central & South Asia

China–Taiwan Tensions: An Indonesian Perspective

Tensions between China and Taiwan have escalated, bringing increased military activity in the region. Indonesia is diplomatically aligned with China but maintains unofficial ties with Taiwan and has interests in both. This is President Prabowo’s opportunity to support peaceful dialogue on the Taiwan issue and advocate for Taiwanese rights.
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April 05, 2025 05:20 EDT
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Pressure from China and Taiwan’s desire to be independent has raised their people’s concerns. On December 20, 2024, Chinese President Xi Jinping emphasized that Taiwan is not a country but a part of China’s sovereignty, calling it, “One Country, Two Systems.” Taiwanese President Lai Ching-te refused his statement.

In his remarks on March 14, Lai labeled China a “foreign hostile force” as he described the cross-strait situation and unpacked the series of new national security initiatives. China replied by deploying 59 aircraft around Taiwan’s territory. China has done this frequently since the administration of former Taiwanese President Tsai Ing-wen. In response, Taiwan showcased its Kuang Hua VI fast attack missile boats and Tuo Chiang-class corvettes near Kaohsiung, a major trade route and one of Taiwan’s biggest ports, hoping to deter China.

China is serious about “bringing” Taiwan back. China’s Taiwan Affairs Office stated, “Those who play with fire will surely be burned.” Xi was redundant in his New Year’s speech when he claimed that “no one can ever stop China’s reunification.” Tensions between both nations have posed a real concern to Asia, as the war in Ukraine continues unabated. This tenseness impacts Asia’s innocents.

Indonesia’s involvement with China and Taiwan

Indonesia has maintained a diplomatic relationship with China since the 1950s. When UN Resolution 2758 passed in 1971, the nation only recognized China, not Taiwan. This is called the One-China Policy. But Indonesia has also acknowledged Taiwan by building the Taiwan Economic and Trade Office in its capital of Jakarta. In this position, Indonesia has respected international law.

China and Taiwan are essential partners for Indonesia. China is one of its largest investors and trading partners. Compared to other Southeast Asian countries, Indonesia was the biggest recipient of Chinese investment, as it received around $7.3 billion in 2023. On March 20, 2025, the two nations signed a deal about the Batang Industropolis Special Economic Zone worth Rp 60 trillion (over $3.6 billion). Meanwhile, Taiwan is home to 300,000 Indonesian workers and plays a pivotal role in Taiwan’s New Southbound Policy.

Over three months into his tenure, Indonesian President Prabowo Subianto has not yet responded to the cross-strait issue, especially as a mediator — former President Joko “Jokowi” Widodo visited Ukraine and Russia separately in 2022 to show Indonesia’s role as a peace mediator. During former President Soeharto’s reign (1968–1998), the nation was known as a global player. Indonesia is recorded as a top country that has contributed to international conflicts since 1957, when it mobilized over 2,000 peacekeepers at the United Nations in Sinai, Egypt. However, during Jokowi’s reign (2014–2024), Indonesia’s political legitimacy decreased due to Jokowi’s domestic focus.

Prabowo’s chance to support Taiwanese rights

Taiwan’s issue could be a tool for Prabowo to increase Indonesia’s political standing. He already did, in fact, when Indonesia joined the BRICS+ group on January 7. He believes that Indonesia’s participation could result in equal dialogue rather than hostility.

Instead of making policy toward the issue, Prabowo could begin by stating the issue’s narrative. In 2018, Former Foreign Minister Retno Marsudi said, “Indonesia… a true partner for world peace, security and prosperity.” Indonesia should be an active player in world affairs, like it has in its support of the Palestinian cause in the Gaza war.

To improve Indonesia’s legitimacy, Prabowo should broaden his definition of humanity to include the Taiwanese. Our nation is adamant about human rights, and the Taiwanese deserve them as much as anyone else. Though Indonesia is economically dependent on China, it could speak up for Taiwan’s rights if Prabowo wills it.

The current tensions between China and Taiwan should alarm Indonesia. Prabowo could change Jokowi’s foreign policy direction to respond actively to international issues, rather than focusing solely on domestic affairs.

[Lee Thompson-Kolar edited this piece.]

The views expressed in this article are the author’s own and do not necessarily reflect Fair Observer’s editorial policy.

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