Indonesia and China have taken a significant step toward strengthening their strategic partnership, holding their first-ever joint foreign and defense ministerial dialogue, known as a “2+2 meeting,” in Beijing on April 21, 2025. The meeting, which brought together Indonesia’s Foreign Minister Sugiono and Defense Minister with their Chinese counterparts, Foreign Minister Wang Yi and Defense Minister, marks a new chapter in bilateral relations. As geopolitical rivalries intensify in the Asia-Pacific region, this dialogue signals Indonesia’s intent to balance its economic ties with China alongside security concerns, particularly in the contested South China Sea.
A Milestone in Bilateral Relations
The inaugural 2+2 meeting between Indonesia and China is a historic development, as it is the first of its kind between China and any Asian nation. While Indonesia has established similar forums with countries like the United States, Australia, and Japan, this dialogue with China underscores a shift toward deeper engagement beyond economics. Since the two nations signed a comprehensive strategic partnership in 2013, their relationship has largely focused on trade and investment, with China emerging as Indonesia’s largest economic partner. However, the absence of a robust security component has limited the partnership’s scope—until now.
The timing of this meeting is critical. As China’s assertiveness in regional affairs grows, particularly in the South China Sea, Indonesia faces mounting pressure to address security concerns while maintaining its non-aligned stance. The dialogue offers a platform for frank discussions on both global and bilateral challenges, from trade wars to territorial disputes. For Indonesia, a country that prides itself on navigating big-power rivalries without taking sides, this engagement with China is a delicate balancing act. 
South China Sea: A Persistent Flashpoint
One of the most pressing issues on the agenda is the escalating tension in the South China Sea, where China’s expansive maritime claims, often referred to as the “nine-dash line,” overlap with the territorial waters of several Southeast Asian nations. While Indonesia maintains that it has no direct territorial dispute with China in the Natuna Sea, part of its exclusive economic zone (EEZ), frequent incursions by Chinese fishing vessels—often accompanied by China Coast Guard ships—have led to skirmishes with Indonesian naval forces. These incidents highlight a gap between Indonesia’s official stance and the on-the-ground reality.
During the 2+2 meeting, both sides reportedly discussed ways to manage such tensions. A joint statement issued after a meeting between Indonesian President Prabowo Subianto and Chinese President Xi Jinping in November 2024 had proposed economic cooperation in disputed areas as a potential solution. While details of the ministers’ discussions remain undisclosed, analysts suggest that exploring joint resource management in the Natuna Sea could be a pragmatic step—if both sides can agree on terms. For now, the issue remains a sticking point, with Indonesia insisting that China’s claims to traditional fishing grounds in the area lack legal basis under international law, particularly the United Nations Convention on the Law of the Sea (UNCLOS).
Indonesia also used the forum to push for progress on a long-delayed Code of Conduct (CoC) for the South China Sea, a framework negotiated through the Association of Southeast Asian Nations (ASEAN). For over two decades, ASEAN member states have urged China to finalize the CoC to ensure disputes are resolved peacefully and without the use of force. While China has often been criticized for stalling these negotiations, the 2+2 dialogue offers a chance for Indonesia to apply direct pressure on Beijing to expedite the process. A finalized CoC could significantly reduce the risk of conflict in one of the world’s most strategically important waterways.
Building Trust Through Security Cooperation
Beyond territorial disputes, the ministerial dialogue focused on confidence-building measures to address mutual suspicions. Indonesia has historically been wary of China’s regional ambitions, a sentiment rooted in past experiences, including the Chinese Communist Party’s involvement in Indonesian politics during the 1960s. More recently, concerns about China’s growing military presence in the South China Sea have fueled unease in Jakarta. By fostering regular high-level discussions on security and defense, both nations aim to mitigate misunderstandings and build a foundation for sustainable cooperation.
Currently, Indonesia’s security ties with the United States remain far more developed. The annual Garuda Shield joint military exercise with the US continues to expand, and Indonesia sources much of its military equipment from American suppliers. In contrast, military collaboration with China is minimal, reflecting a cautious approach to deepening ties with Beijing. However, the 2+2 meeting could pave the way for incremental progress, potentially leading to joint exercises or other forms of security cooperation in the future. For China, engaging with Indonesia—the largest country in Southeast Asia by population and a key ASEAN member—offers a chance to bolster its image as a responsible regional power.
Navigating Big-Power Rivalry
The broader geopolitical context adds complexity to Indonesia’s evolving relationship with China. As tensions between the US and China intensify, Indonesia finds itself at the center of a strategic tug-of-war. China’s rapid economic rise over the past two decades has made it an indispensable partner for Indonesia, with bilateral trade reaching record levels. Yet, Beijing’s increasingly assertive foreign policy has raised concerns among Indonesian policymakers and the public alike. At the same time, the US remains a critical ally in security and defense, providing a counterbalance to China’s influence.
Indonesia’s non-alignment policy, a cornerstone of its foreign policy since independence, requires it to tread carefully. Engaging with China through platforms like the 2+2 meeting does not signify a shift away from the US or other Western partners. Instead, it reflects Jakarta’s pragmatic approach to safeguarding its national interests amid a rapidly changing geopolitical landscape. By diversifying its partnerships, Indonesia aims to avoid over-reliance on any single power while promoting regional stability—an outcome that benefits not only itself but also the wider Asia-Pacific region.
Economic Ties as a Foundation
While security cooperation is the focus of the recent dialogue, economic ties remain the bedrock of Indonesia-China relations. China’s status as Indonesia’s top trading partner is underpinned by massive investments in infrastructure, mining, and manufacturing. Projects under China’s Belt and Road Initiative, such as the Jakarta-Bandung High-Speed Railway, have transformed Indonesia’s economic landscape, though not without controversy over debt and labor issues. The challenge for Indonesia is to ensure that closer security ties with China do not compromise its economic sovereignty or create imbalances in the relationship.
During the 2+2 meeting, discussions likely touched on aligning economic and security priorities to create a more holistic partnership. For instance, protecting maritime trade routes in the South China Sea is vital for both nations, given the region’s role as a conduit for global commerce. Joint efforts to combat piracy or ensure freedom of navigation could serve as low-risk areas for collaboration, building trust before tackling more contentious issues like territorial disputes.
Regional Implications
The Indonesia-China dialogue carries implications beyond bilateral relations. As the largest and third-largest countries in Asia by population, respectively, their ability to work together on security matters could have a stabilizing effect on the region. ASEAN, which often struggles to present a unified front on issues like the South China Sea, stands to benefit from stronger coordination between two of its key stakeholders. If Indonesia can leverage its influence to encourage China to adopt a more cooperative stance within ASEAN frameworks, the prospects for regional peace and stability improve significantly.
However, challenges remain. Smaller Southeast Asian nations, some of which have direct territorial disputes with China, may view Indonesia’s engagement with Beijing with skepticism. Ensuring that the 2+2 dialogue does not undermine ASEAN’s collective bargaining power will be crucial for Jakarta. Balancing bilateral gains with regional responsibilities is a tightrope that Indonesia must walk with care.
As this new chapter in Indonesia-China relations unfolds, questions linger about the long-term impact of their security cooperation. Will it lead to a genuine reduction in tensions in the South China Sea, or will underlying mistrust continue to hinder progress? For now, the 2+2 meeting represents a promising start, offering a platform to address shared challenges and build a more balanced partnership in an increasingly complex world.
