REPUBLIC OF KOREA AND INDONESIA NATIONAL INTEREST PERSPECTIVES TOWARDS IK-CEPA AGREEMENT (2017-2023)

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.