Testing One-China policy

Indonesia's decision to reject the planned visit by Taiwan President Chen Shu-bian last week at the last minute was an embarrassing episode for the government, but it would have been far more embarrassing, and possibly even disastrous for Indonesia, if the visit had been allowed to go ahead.

It is simply too difficult to predict how a politically and economically mighty Beijing would have responded to a visit by Taiwan's top leaders to Indonesia. But it was not worth the risk. Wisely, the government of Indonesia did not want to take any chances, and foiled the visit 24 hours before it was due to proceed.

The government, particularly the Ministry of Foreign Affairs, must have had some clear idea about how angry Beijing would have been. China made its point clear about four months ago when Taiwan Vice President Annette Lu came to Indonesia. Although she came here as a "tourist", and made her entry through Bali, Beijing would have none of this, and made a strong protest, demanding that Jakarta adhere to its "One-China" policy.

The geopolitical situation today has drastically changed from what it was, say, four or six years ago, when Indonesia could entertain top Taiwan government officials "vacationing" in the country and still convince Beijing of its consistency in its policy of recognizing Beijing as the sole representative of China.

In 1998, Taiwan Prime Minister Vincent Siew visited Jakarta in his "personal capacity" and met with president Soeharto. In 1996, Taiwan President Lee Teng-hui spent his holiday in Bali at the same time that his Indonesian counterpart was visiting the island. These visits prompted Beijing to protest, but Indonesia managed to deal with these and repaired the damage quickly.

That was then. This is now.

Today, Beijing has far greater clout in the conduct of its foreign policy, commensurate with its growing economic power. No country in the world can ignore or offend China, including receiving top Taiwan leaders, and hope to get away with it. There will be reprisals, politically as well as economically.

Taiwan has succeeded in flexing its economic clout to secure support from the international community. An economically powerful Beijing can do the same, and far more effectively.

Although Indonesia's economic ties with Beijing today are nowhere as close as its relations with Taiwan, it would be foolish for Indonesia to simply ignore them.

There are already early dividends from the economic ties with Beijing: Indonesia has won a multibillion dollar contract to supply liquefied natural gas, China has pledged to give $400 million in semi-concessionaire loans to Indonesia and China will open its vast market to members of the Association of Southeast Asian Nations (ASEAN) through a free-trade agreement in 2010. Inexpensive Chinese manufacturing products are flooding our markets and Chinese companies are starting to invest in the country.

This is not to belittle the economic importance of Taiwan to Indonesia. Taiwan politicians, in calling for economic reprisals against Jakarta after last week's abrupt cancellation of President Chen's visit, rightly pointed out that Taiwan was a major source of foreign investment in Indonesia, and also a major destination for Indonesian workers.

But it seems totally unfair for Taiwan to continue using its economic clout to test the loyalty of its friends like Indonesia, especially at a time like this when our country has been going from one crisis to another. It is unfair because the question of one China is really for the people of China, both on the mainland and on Taiwan, and for them alone to resolve. They should not impose their problem on their friends.

Indonesia's position, like most of the rest of the world, on this issue has been clear and consistent. We have continued to adhere to the One-China policy. That has not changed, not even when Indonesia severed diplomatic ties with Beijing between 1965 and 1990, and it is unlikely to change in the foreseeable future.

The task at hand now is for both countries to repair the damage caused by last week's episode.

The existing strong economic bonds between Indonesia and Taiwan are beneficial to both countries, and there is no reason why they cannot continue, even as Indonesia is fostering economic relations with China. After all, Taiwan companies too are hopping on the bandwagon to invest in China.

Without formal diplomatic ties, Indonesia-Taiwan relations have expanded to include even pop culture, which brings young people in the two countries together. The concert of Taiwan's F-4 pop idols in Jakarta next month, and the growing popularity of Taiwan's TV soap operas, are cases in point.

There is too much at stake for both Indonesia and Taiwan to allow relations to turn sour simply because of a few bruised egos.