Summary of Thesis submitted for Ph. D. degree
by Alexander Christian Chandra
on
Nationalism and Regional Integration Arrangements:
A Case Study of Indonesia and the ASEAN Free Trade Agreement
This thesis analyses the relationship between Indonesian nationalism and ASEAN
regional integration, with specific reference to the ASEAN Free Trade Agreement
(AFTA). Traditionally, the relationship between nationalism and regionalism has most
often been characterised as contentious. This thesis, however, challenges the argument
that nationalism and regionalism cannot co-exist, and argues instead that the two
ideologies can stand in a symbiotic relationship to each other. The relationship between
nationalism and regionalism can be conflicting or mutually exclusive, but can also
sometimes be mutually reinforcing. Therefore, nationalists today are not necessarily
hostile to free trade and closer economic ties with other states.
In 1992, members of ASEAN agreed to closer economic integration through the
formation of AFTA. In principle, this agreement was made to increase the international
competitiveness of ASEAN industries and to make the Southeast Asian region an
attractive investment location. This thesis analyses the contemporary attitude of
Indonesians towards this trade agreement. During the signing of this trade agreement,
little opposition was expressed by Indonesian domestic actors because within Indonesian
politics at the time Indonesian foreign economic policy was the business of the President,
the Nfinistry of Foreign Affairs, the military, and a handful of members of the academic
I
community. The wave of democratisation that emerged as a result of the economic crisis
of 1997 allowed for the greater involvement of domestic actors in determining Indonesian
foreign economic policy. Although the majority of the Indonesian political elite remain
supportive of AFTA, some Indonesian pressure groups, particularly non-governmental.
organisations (NGOs) and civil society organisations (CSOs), have expressed their
scepticism. Despite this, scepticism about AFTA is not a result of increased nationalist
sentiment in Indonesia, but is due instead to the lack of proper information disseminated
to these pressure groups.
ii