Abstract:
IK-CEPA aims to enhance trade and innovation. Its development from the initial CEPA
initiative in 2012, through a temporary halt, its reactivation in 2017, and ratification in
2020 reflects the challenges and commitments involved. This thesis explores Republic
of Korea and Indonesia national interest perspectives towards IK-CEPA Agreement
between 2017 - 2023 focusing on factors that support the ongoing CEPA cooperation
between Indonesia and Korea. Using a descriptive qualitative research method,
supported by literature, the thesis analyzes government efforts and actor interests in
IK-CEPA’s benefits across various market sectors. The analysis comprehensive
approach that utilizes e-books, journals, government documents, and other sources as
well as applying Hans J. Morgenthau's National Interest theory, this study aims to
provide an in-depth understanding of each country's perspective, highlighting the
intensity and thoroughness of the approach. The study finds that despite challenges and
trade agreement complexities, national interests guide foreign policy and bilateral
relations. Both countries face international trade challenges and are working to stabilize
their economies by leveraging domestic and regional potential. The CEPA approach
aids in achieving beneficial international trade and economic growth, particularly in
export-import trade, FDI, market access, tourism, and labor. IK-CEPA represents a key
milestone in Indonesia-Korea diplomatic relations, underscoring the importance of
economic alliances in advancing national interests and regional collaboration.
