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Author: Cullen Hendrix, PIIE Calling Indonesia ‘the Saudi Arabia of nickel’, one of the metals underpinning global steel production and ambitions to decarbonise energy and transport systems, would be an insult to Indonesia’s market dominance. Indonesia’s mines accounted for nearly half of global nickel production in 2022. It has banned raw nickel exports since 2020 as the country pushes to move up global value chains for renewable energy. Indonesia is a G20 member, a developing democracy and has an enormous potential home market for both steel and electric vehicles (EV). But despite the seeming centrality of nickel to net-zero ambitions, Indonesia may find itself in a situation eerily similar to that of Saudi Arabia and its oil reserves — sitting atop plentiful resources whose value is set to wane as the EV sector booms. The challenge lies in navigating two landscapes, one geopolitical and one chemical. In a shifting geopolitical environment, Indonesia is attempting to secure a

Author: Editorial Board, ANU Earlier this year, China ceded its place as the world’s most populous country to India. The population of India is not projected to peak until 2064, when it will be home to 1.7 billion people. The country is home to one in four of every person under the age of 25 in the world. India, in short, is in its demographic prime. In order to capitalise on its potential, however, it must find productive employment for its enormous working-age population. In theory, at least, this ought not pose much of a challenge. China — facing a much different, much less favourable demographic reality — is looking increasingly likely to vacate its position as the world’s factory, owing to higher labour costs and a need to rebalance towards domestic consumption. With the right policy settings, India could snatch a share of China’s low-cost manufacturing sectors, just as the East Asian Tigers once moved into labour-intensive sectors in which Japan could no longer effectively c

Author: Radhicka Kapoor, ICRIER India has recently become the world’s most populous country, with 68 per cent of its population working age individuals between the ages of 15 and 64. This demographic structure — often referred to as a demographic dividend — has the potential to generate very high economic growth if India can create productive employment opportunities for its large working age population. But data from labour force surveys indicates that this is a big challenge for the economy at present. Some 45 per cent of the workforce continues to toil on farms in the agricultural sector, while in the non-agricultural sector, 74 per cent of workers are employed in low-paying informal work in microenterprises. Indeed, among young people aged between 15 and 29 years, approximately 28 per cent are engaged as ‘unpaid helpers in household enterprises’. And here too, the agriculture sector remains the principal source of employment, accounting for 36 per cent of employed youth. Indi

Author: Asrul Sidiq, ANU Indonesians living on Rempang Island are protesting against the construction of a multi-billion-dollar Chinese glass factory. To make way for the Rempang Eco-City project, 7500 local inhabitants must move. This Indonesian National Strategic Project (PSN), backed by a Chinese company’s US$11.5 billion investment, seeks to transform the island into a major industrial, commercial and tourism hub. Despite living on the island for generations, the local inhabitants lack legal land ownership. The project holds potential for economic development and job creation, driven by the abundance of quartz sand resources — a vital component in glass and solar panel manufacturing. But the situation underscores the need for transparent and inclusive decision-making processes that consider the rights and interests of local communities. The local community has occupied the area for decades. The investigation carried out by the Indonesian Ombudsman has revealed that the old vil

Author: Asif Muztaba Hassan, Dhaka On 26 August 2023, the Japanese Ambassador to Bangladesh, Iwama Kiminori, announced that Tokyo had incorporated Dhaka into its ‘Official Security Assistance (OSA)’ framework to enhance defence cooperation. The OSA, which came into effect in April 2023, is Japan’s new security initiative that centres on assisting ‘like-minded’ countries with military aid amid the escalating regional security environment. The other countries currently included in the OSA are Malaysia, the Philippines and Fiji. Outside of Tokyo’s ambitions to be a more involved geopolitical actor in the region, what is also apparent in Japan’s security considerations is the shared context in which the selected countries operate. The Philippines has had numerous skirmishes with the Chinese People’s Liberation Army, coast guard and maritime militia vessels near Ayungin Shoal — an island in the South China Sea under Manila’s control but claimed by China within its ‘ nine-dash line

Author: Peter Layton, Griffith Asia Institute The term ‘ grand strategy ’ may perplex, but many employ the technique even if not naming it such. Most governments seek to build and then apply national power in their attempts to establish sought-after relationships with other states. Grand strategies are whole-of-government, involving diplomatic , informational , military and economic power. They are of most use to states with limited power that need to focus scarce resources on their most important concerns. The grand strategy methodology is a useful framework with which to consider Australia and its contemporary international policies and activities as a middle power . Like other small and middle powers, grand strategy informs Australia’s statecraft ,   the application of diverse forms of national power. Grand strategy also involves building particular forms of national power in a manner appropriate to achieving the desired objectives. Australia has developed a balance of p

Author: Wannaphong Durongkaveroj, Ramkhamhaeng University Thai Prime Minister Srettha Thavisin has promised 10,000 baht (US$275) to every Thai citizen over the age of 16, a form of stimulus designed to inject life into the economy after it was battered by the COVID-19 pandemic. Recipients can use the one-off digital cash handout at local businesses within a four kilometre radius of the recipient’s registered address. The Srettha government projects that the scheme will boost cash flow to the economy by over 2 trillion Thai baht — four times the cost of the policy. Like many countries, the Thai economy was hit hard by the COVID-19 pandemic. Its GDP fell by 6.1 per cent in 2020, the largest contraction since the 1997 Asian Financial Crisis. The number of people living in poverty has risen by almost half a million and economic forecasts appear grim . But it is still unclear whether the digital wallet scheme can solve the socioeconomic issues Thailand is facing. Poverty was risin

Author: Yuhan Zhang, UC Berkeley The establishment of the US–China economic and financial working groups in September 2023 marked a noteworthy pivot in the often-volatile relations between Washington and Beijing. Amid the escalating tensions of what is widely recognised as ‘great power rivalry’, these working groups have the potential to foster greater stability between the world’s two largest economic superpowers. In recent years, ‘decoupling’ has become a buzzword that symbolises the United States and China’s intent to disentangle their economies. The establishment of the working groups challenges this notion to an extent. While certain dynamics of the ongoing trade war and the pandemic may have hinted at a move towards reduced interdependence , complete economic decoupling is likely to harm both the United States and China. Astute policymakers on both sides are wary of the risks associated with decoupling . The reality remains that bilateral economic ties are characterised by