The November 2025 Indonesia-Netherlands Policy Planning Dialogue (PPD) in The Hague represents a significant, if understated, step in a bilateral relationship increasingly shaped by global instability. The dialogue, convened by the Foreign Policy Strategy Agency (FPSA) of Indonesia and the Strategic Policy Unit (ESA) of the Netherlands, is a crucial component of the ongoing Indonesia-Netherlands Plan of Action (PoA) 2024-2025, and importantly, a test case for how nations grapple with the burgeoning complexities of global governance. The meeting’s focus – multilateralism, geo-economic developments, and regional security – powerfully reflects a world confronting escalating polarization and a profound challenge to traditional alliance structures. The event underscores the imperative for strategic foresight and adaptive policy-making, particularly concerning the fractured landscape of international cooperation. Key themes include regional security, multilateralism, and geo-economic developments.
Historically, the Indonesia-Netherlands relationship has been characterized by trade and investment, with the Netherlands serving as a primary gateway to European markets for Indonesia’s burgeoning economy. Post-World War II, the relationship evolved into a deeper diplomatic engagement, bolstered by shared strategic interests, particularly within Southeast Asia. However, the current iteration of the PoA is driven by a more pronounced recognition of systemic risks – climate change, resource scarcity, and the destabilizing impact of great power competition – demanding a proactive, collaborative approach. The Netherlands, a major player in European Union policy, brings significant weight to these discussions, while Indonesia’s position as a rapidly growing economic force and a key regional actor adds a vital perspective.
Multilateralism Under Strain
The dialogue’s primary theme – multilateralism – immediately acknowledges the fundamental challenges facing international institutions. The rise of illiberal democracies, the erosion of international norms, and the demonstrated ineffectiveness of bodies like the United Nations in addressing conflicts have fueled skepticism about the value of collective action. As Dr. Sarah Chavas, Senior Fellow at the Chatham House, noted, “We are witnessing a ‘multilateral fatigue’ globally, a reluctance to cede sovereignty or accept the constraints of international law. The PPD’s insistence on ‘reforming’ multilateral institutions is not merely rhetorical; it represents a pragmatic recognition of this reality.”
The Netherlands, deeply embedded in the EU’s policy-making machinery, views minilateral platforms – such as the Partnership for Global Resources – as a potential mechanism to address specific global challenges, complementing broader multilateral efforts. This approach reflects a desire to maintain influence within existing structures while simultaneously seeking practical solutions to pressing issues. However, the dialogue’s success hinges on the ability of both nations to actively participate in strengthening existing frameworks, not simply seeking alternative avenues for engagement.
Geo-Economic Resilience and the I–EU CEPA
The second key theme, geo-economic developments, highlighted the vulnerabilities exposed by recent global crises – notably the war in Ukraine and rising protectionist trade policies. Indonesia’s ambition to become a global economic powerhouse is predicated on diversifying its trading partners and building domestic resilience. The Indonesia-European Union Comprehensive Economic Partnership Agreement (I–EU CEPA) is increasingly viewed as a crucial tool for mitigating these risks. “The CEPA isn’t just about trade volume; it’s about establishing a stable and predictable economic relationship, particularly in the face of geopolitical uncertainty,” stated Professor Johannes Groendy, Head of the Department of International Economic Relations at Leiden University.
The PPD’s focus on economic resilience aligns with a broader trend amongst Southeast Asian nations, many of whom are re-evaluating their reliance on Western-dominated supply chains. The Netherlands, with its strategic location and advanced logistics capabilities, is positioned to play a key role in facilitating this diversification, potentially fostering greater trade flows with other emerging markets.
Regional Security: Indonesia’s Dynamic Equilibrium
In the area of regional security, Indonesia reaffirmed its commitment to the principle of “dynamic equilibrium” – a longstanding Indonesian foreign policy doctrine emphasizing maintaining a balance of power within the Indo-Pacific region. This approach, predicated on non-interference in the internal affairs of other states and a preference for dialogue over confrontation, remains central to Indonesia’s approach to regional security challenges, particularly in the context of the South China Sea dispute and the evolving dynamics within the Quad security arrangement.
The Track 1.5 discussion, involving leading think tanks, served to sharpen the analytical debate surrounding global fragmentation – framing it not just as a risk, but also an opportunity for states to forge more tailored and effective partnerships. The Foresight Workshop, exploring emerging trends, acknowledged the potential for technological disruption and climate-related security risks to further exacerbate existing tensions. The agreement to host the next PPD in Indonesia in 2026, alongside the development of a joint policy paper, signifies a commitment to sustained dialogue and strategic alignment. The emphasis on enhanced embassy coordination, alumni networks, and triangular cooperation signals a strategy for deepening collaboration across multiple levels.
Looking ahead, the Indonesia-Netherlands PPD represents a valuable, albeit contained, experiment in navigating a turbulent international landscape. Short-term outcomes – further refinement of the PoA and increased bilateral cooperation – are likely. However, the long-term implications depend on the ability of both nations to adapt to a world where traditional alliances are fraying and the principles of multilateralism are being fundamentally challenged. The success of the 2026 PPD will be a critical indicator of whether Indonesia and the Netherlands can contribute to building a more stable and resilient international order, or succumb to the forces of fragmentation.