The trade war between the United States (US) and China is occurred at the time the two countries has mutually apply the additional effective tariffs since the beginning of September 2019 on comodity they trade. This trade war could have positive and negative impacts to Indonesia. The positive is Indonesia has potentialy become an industrial countries destination that departs from China to find a new locations. The negative is the demand of raw materials nor the comodity from Chinese to Indonesia will be decrease. This article is a result of research in East Java and South Sumatra Province in 2019. The analysis in this paper is based on the research results using the qualitative methods. The Data collection techniques conducted through the interviews on field with random selected respondents, the field observations and the literature studies. The field research was carried out with the purpose of analyzing the implications of the US-China trade war toward Indonesia. The results of the study shown that Indonesia is transforming its finances in order to remain competitive in global economic uncertainty due to the trade war. In order to meet this need, several steps taken by Indonesia including the regulations harmonization, strengthen the national economy on an inclusive basis and Indonesia’s economic diplomacy.
| Published in | International Journal of Business and Economics Research (Volume 9, Issue 3) |
| DOI | 10.11648/j.ijber.20200903.18 |
| Page(s) | 151-159 |
| Creative Commons |
This is an Open Access article, distributed under the terms of the Creative Commons Attribution 4.0 International License (http://creativecommons.org/licenses/by/4.0/), which permits unrestricted use, distribution and reproduction in any medium or format, provided the original work is properly cited. |
| Copyright |
Copyright © The Author(s), 2020. Published by Science Publishing Group |
United States – China Trade War, Regulations Harmonization, Economic Diplomacy, Protectionism, Economy Transformation
| [1] | “Understanding the US-China Trade War: Analysis and CCG Recommendations”, CCG Report, No. 23. 7. 2018. |
| [2] | Wang, Jiang Yu, “Between Power Politics and International Economic Law: Asian Regionalism, the Trans-Pacific Partnership and U.S.-China Trade Relations”, Pace Int'l L. Rev. No. 30, 2018, hal. 383-439. |
| [3] | Masahiko Tsutsumi, “The Economic Consequences of the 2018 US-China Trade Conflict: A CGE Simulation Analysis”, CIS Discussion Paper Series, No. 672, Center for Intergenerational Studies, Institute of Economic Research, Hitotsubashi University. |
| [4] | Thiebaut, Renata. (2018). An Analysis of the U.S.-China Trade War: How the Section 301 China Intellectual Property Case May Impact New Directives to Promote the 'Made in China 2025'. SSRN Electronic Journal • October 2018, DOI: 10.2139/ssrn.3272153, hal. 15. |
| [5] | Antoine Bouet dan Davis Laborde, “US Trade war with emerging countries in the 21st Century: Make America and Its Partners Lose Again”, The International Food Policy Research Institute Discussion Papers, August 2017. See also, Conybeare, J. A. 1987. Trade Wars: The Theory and Practice of International Commercial Rivalry. New York: Columbia University Press. |
| [6] | Conybeare, ibid. |
| [7] | See, Chad P. Bown and Kara M. Reynolds, “Trade Agreements and Enforcement: Evidence from WTO Dispute Settlement”, American Economic Journal: Economic Policy, 2017, 9 (4): 64–100. |
| [8] | Kalim Siddiqui, “US-China Trade: The Reason Behind and its impact on the global economy”, The World Financial Review, November - December 2018. |
| [9] | Shantayanan Devarajan, Delfin S. Go, Csilla Lakatos, Sherman Robinson, Karen Thierfelder, “Traders’ Dilemma Developing Countries’ Response to Trade Disputes”, Policy Research Working Paper, 8640, World Bank, Nov 2018. |
| [10] | Interview with Yustianus, the Head of Trade Agency of South Sumatera Province, 10th July 2019, Palembang, Indonesia. |
| [11] | Interview with Johanes, Assistant of the Regional Secretary of South Sumatera Province, 9th July 2019. Palembang, Indonesia. |
| [12] | Explanation from Akbar Alfarah and Viktor Alfonso from Industry and Commerce Chambers, South Sumatera Province, 9th July 2019, Palembang, Indonesia. |
| [13] | Zainal Arifin, Dinas Koperasi dan UMKM of South Sumatera’s Province, 10th July 2019, Palembang, Indonesia. |
| [14] | Trade plays an important role in the Indonesian economy. According to the World Bank, despite the global economic slowdown, trade still manages to contribute up to 43% of Indonesia’s total GDP in 2018, amounting up to USD 293 billion. See, https://data.worldbank.org/indicator/NE.TRD.GNFS.ZS?locations. Accessed on 31 Januari 2020. |
| [15] | Maaike Okano-Heijmans, Conceptualizing Economic Dipplomacy: The Crossroads of International Relations, Economics, IPE and Diplomatic Studies, The Hague Journal of Diplomacy 6, 2011, DOI: 10.1163/187119111X566742. |
| [16] | Interview with Zamhadi, the Industry and Commerce Chamber of East Java, KADIN Jatim, 25th June 2019, Surabaya, Indonesia. |
| [17] | The 2020 edition of the World Development Report with the theme "Trading for Development in the Age of Global Value Chains" states that Indonesia's participation in the global value chain is still weak because it is still a supplier of raw and mineral goods. |
APA Style
Humphrey Wangke. (2020). Implications of United States - China Trade War to Indonesia. International Journal of Business and Economics Research, 9(3), 151-159. https://doi.org/10.11648/j.ijber.20200903.18
ACS Style
Humphrey Wangke. Implications of United States - China Trade War to Indonesia. Int. J. Bus. Econ. Res. 2020, 9(3), 151-159. doi: 10.11648/j.ijber.20200903.18
AMA Style
Humphrey Wangke. Implications of United States - China Trade War to Indonesia. Int J Bus Econ Res. 2020;9(3):151-159. doi: 10.11648/j.ijber.20200903.18
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Download@article{10.11648/j.ijber.20200903.18,
author = {Humphrey Wangke},
title = {Implications of United States - China Trade War to Indonesia},
journal = {International Journal of Business and Economics Research},
volume = {9},
number = {3},
pages = {151-159},
doi = {10.11648/j.ijber.20200903.18},
url = {https://doi.org/10.11648/j.ijber.20200903.18},
eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.ijber.20200903.18},
abstract = {The trade war between the United States (US) and China is occurred at the time the two countries has mutually apply the additional effective tariffs since the beginning of September 2019 on comodity they trade. This trade war could have positive and negative impacts to Indonesia. The positive is Indonesia has potentialy become an industrial countries destination that departs from China to find a new locations. The negative is the demand of raw materials nor the comodity from Chinese to Indonesia will be decrease. This article is a result of research in East Java and South Sumatra Province in 2019. The analysis in this paper is based on the research results using the qualitative methods. The Data collection techniques conducted through the interviews on field with random selected respondents, the field observations and the literature studies. The field research was carried out with the purpose of analyzing the implications of the US-China trade war toward Indonesia. The results of the study shown that Indonesia is transforming its finances in order to remain competitive in global economic uncertainty due to the trade war. In order to meet this need, several steps taken by Indonesia including the regulations harmonization, strengthen the national economy on an inclusive basis and Indonesia’s economic diplomacy.},
year = {2020}
}
TY - JOUR T1 - Implications of United States - China Trade War to Indonesia AU - Humphrey Wangke Y1 - 2020/05/29 PY - 2020 N1 - https://doi.org/10.11648/j.ijber.20200903.18 DO - 10.11648/j.ijber.20200903.18 T2 - International Journal of Business and Economics Research JF - International Journal of Business and Economics Research JO - International Journal of Business and Economics Research SP - 151 EP - 159 PB - Science Publishing Group SN - 2328-756X UR - https://doi.org/10.11648/j.ijber.20200903.18 AB - The trade war between the United States (US) and China is occurred at the time the two countries has mutually apply the additional effective tariffs since the beginning of September 2019 on comodity they trade. This trade war could have positive and negative impacts to Indonesia. The positive is Indonesia has potentialy become an industrial countries destination that departs from China to find a new locations. The negative is the demand of raw materials nor the comodity from Chinese to Indonesia will be decrease. This article is a result of research in East Java and South Sumatra Province in 2019. The analysis in this paper is based on the research results using the qualitative methods. The Data collection techniques conducted through the interviews on field with random selected respondents, the field observations and the literature studies. The field research was carried out with the purpose of analyzing the implications of the US-China trade war toward Indonesia. The results of the study shown that Indonesia is transforming its finances in order to remain competitive in global economic uncertainty due to the trade war. In order to meet this need, several steps taken by Indonesia including the regulations harmonization, strengthen the national economy on an inclusive basis and Indonesia’s economic diplomacy. VL - 9 IS - 3 ER -
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