Indonesia Yet to Finalize South China Sea Deal with Beijing

Indonesia has yet to reach an agreement with China on joint development areas in the South China Sea, despite ongoing discussions. Indonesian Coordinating Minister for Maritime Affairs and Investment, Luhut Binsar Pandjaitan, revealed that while talks are in progress, no formal agreement has been made.

The issue is particularly sensitive as the South China Sea is a region rich in natural resources, including oil and gas reserves. China claims vast portions of the sea, despite competing claims from several other countries, including Indonesia. The dispute has heightened tensions in the region, with several nations, including the U.S., calling for freedom of navigation and opposing China’s extensive territorial claims.

Indonesia, which maintains its position on not recognizing China’s so-called “nine-dash line” claim over most of the South China Sea, has sought to avoid escalating tensions while still exploring cooperation opportunities with China. The two countries have discussed the potential for joint development projects, including in the area around the Natuna Islands, an area where both countries have overlapping claims.

Minister Pandjaitan emphasized that the Indonesian government is committed to safeguarding its sovereignty and maritime interests while seeking peaceful solutions to regional disputes. He reiterated that any potential agreement would need to respect Indonesia’s territorial integrity and international law.

While there have been no significant breakthroughs in talks so far, the continued diplomatic engagement indicates both sides are willing to negotiate, balancing economic cooperation with the protection of national interests in the strategically important South China Sea.
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