INDONESIA DI TENGAH KESEPAKATAN ACFTA

Lidya Christin Sinaga

Abstract

The ASEAN China Free Trade Area ACFTA formally took effect as ofJanuari 1 2010 The initial phase ofthe trade agreement was in force in early 2004 also known as the Early Harvest Programme EHP A free tradearea covering trade in goods between China and the original six ASEAN members including Indonesia is to becompleted by 2010 and the remainingfour by 2015 However the socialization ofEHP scheme by Indonesian go
vernment relativelypoor and made it difficultfor business sector especially Small and Medium Enterprises SMEsin Indonesia to exploit this scheme The full implementation ofACFTA on January 2010 has given strong pushesfrom business sectors to delay the implementation The basic problem is in our domestic capacity and capabilitywhich is not yet competitive enough to compete especially with China products Therefore this paper will analyzethe impact of ACFTA on Indonesia and what should be done to counter the impacts

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Copyright (c) 2016 Lidya Christin Sinaga