"We need to conduct diplomacy and forward-looking engagement not only with the US, but also with China," Pangestu said during an event titled "Dynamics and Current Developments in the World: Geopolitics, Security, and Global Economy" held in Jakarta on Sunday.
She noted that China is preparing to face off with the US while simultaneously seeking to strengthen ties with ASEAN.
"In my opinion, we must negotiate in good faith," she added.
Pangestu also stressed the need for Indonesia to strengthen its domestic autonomy through genuine reform.
She warned of potential consequences from global trade shifts, such as a flood of imported goods into Indonesia, and urged the government to proactively manage these impacts.
In her view, ASEAN should respond collectively and work on building trust across the region. She also emphasized the importance of maintaining a strong commitment to the World Trade Organization (WTO) and continuing domestic reforms.
"This is evident from President Prabowo Subianto’s diplomatic efforts and recent statements by ASEAN economic ministers," she said.
Pangestu cautioned against adopting protectionist policies and encouraged ASEAN to prioritize structural economic reforms over trade restrictions.
However, she also noted that Indonesia must put its national interests first, while still contributing to the broader regional and global landscape—particularly as a representative of both the region and developing countries.
"I’m confident we can still play a significant role, but everything must begin with domestic reform," she concluded.
On April 2, President Donald Trump announced a new import tariff policy aimed at reducing US dependence on foreign imports. This policy imposed a 10 percent base tariff on all imported goods, with additional tariffs applied to countries running large trade surpluses with the US, including Indonesia.
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Translator: Imamatul Silfia, Resinta Sulistiyandari
Editor: Anton Santoso
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