Abstract

In November 2009, the European Union (EU) and Indonesia signed a Partnership Cooperation Agreement (PCA). This agreement strengthened the bilateral relations between the EU and Indonesia that has been existed for more than thirty years, under the 1980 EC-ASEAN Partnership Agreement (EAPA). In addition to that, the PCA aims to be a legal framework and guideline for expanding cooperation between the two parties. Economic interests were primary force behind the establishment of EC-ASEAN interregional relations. However, the development of the EC's foreign policy profile and its intraregional tendencies in Asia became the other main reason for the EC's engagement with Southeast Asia. This aspiration is formalised by the signature of the 1980 EC-ASEAN Cooperation Agreement, which encompasses aspects of trade, economic and development policy. However, the different level of development and political principles between the EU and ASEAN made this interregional relation have some difficulties. The EU further considers to strengthening bilateral partnership with the individual ASEAN countries, including Indonesia, which is significant particularly, in order to maintain EU economic and political interests, and to manage global and regional issues. Among Southeast Asian countries, Indonesia is the first country which signed the PCA with the EU. In spite its remarkable transition from an authoritarian to a democratic country at the end of the 1990s, Indonesia is still faced with some internal challenges. Meanwhile, the stability of Indonesia is a necessary condition to secure EU economic and political interests in this country and in the region. In conclusion, the PCA allows both sides to more easily to build connections. The EU needs the PCA in order to show its capacity in the development of Indonesia. It can help the EU public diplomacy in Indonesia. For Indonesia, direct interaction through PCA, provides an opportunity to gain bigger support from the EU, which is significant to back up Indonesia's current achievement and Indonesia effort to raise its international posture. Secondly, the PCA enables the EU to look for its strategic partner to support interregional relations. PCA gives an opportunity for the EU to strengthen its partnership with Indonesia on non-economic issues. In addition to that, the partnership will support EU involvement in Southeast Asia and will back up its interregional relations. Thirdly, the PCA can contribute to the improvement of Indonesia's internal capacity as a regional and global actor. Therefore, the commitment, capabilities and good coordination between state and non-state actors from Indonesian side, are significant in ensuring all programmes under PCA work well. Fourthly, the partnership under PCA gives an opportunity to strengthen Indonesia's position to be considered as one of the EU's significant partners in Southeast Asia. This partnership means that Indonesia is significantly recognised in the region for its dynamic achievements. Bilateral relations with the EU will boost Indonesia's leadership position in Southeast Asian region.

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