PORT MORESBY, KOMPAS – Leaders of the Asia Pacific Economic Cooperation (APEC) have failed to agree for the first time in history on a formal declaration during the summit on Sunday in Port Moresby, Papua New Guinea.
The differences between the United States and China over global trade rules were the main cause of the APEC leaders’ failure in approving a statement.
Foreign Minister Retno LP Marsudi, who accompanied President Joko “Jokowi” Widodo to the summit, said that the opinions of the US and China differed sharply. Indonesia, along with a number of other member countries, tried to offer a middle ground to bridge the two giants, but could not reach an understanding.
"We tried to bridge [the US and China], but the gap between them is both very large and difficult to bridge," Retno said after the summit.
Negotiations over the Leaders’ Declaration were tough, reaching a deadlock and were adjourned. However, an agreement was not reached even after negotiations resumed.
Several APEC leaders left the meeting before the event formally ended. Chinese President Xi Jinping and US Vice President Mike Pence left first. When President Jokowi left the meeting room at around 3:30 a.m., local time, only a few leaders were left in the room.
During the meeting, Indonesia sought to negotiate with other APEC member countries, not only with US and Chinese representatives. Foreign Minister Retno tried to lobby other countries, such as Thailand and Papua New Guinea. " I held various talks from the morning, but it seems the gap cannot be bridged at this time," said Retno.
The meeting ended without an APEC Leaders’ Declaration. Retno said the drafting of the declaration was handed over to the APEC chairman, Papua New Guinea Prime Minister Peter O’Neill.
The wide disagreements between the US and China on trade, investment and the Pacific triggered debates over the issues, with the US and its western partners issuing their response to China\'s Belt and Road Initiative (BRI).
"You know, there are two giants in the room," O\'Neill said at the closing press conference when asked about which countries did not agree.
According to the APEC website, the Leaders’ Declaration has been made at every APEC leaders summit since the first summit in 1993. O\'Neill said that, as the host of the summit, he would release at Chairman’s statement, but did not provide a timeframe.
Indonesia was still committed to supporting liberalized trade and investment. However, liberalization must be aimed at promoting equality and an inclusive economy.
According to the heads of state, APEC must guide the implementation of free trade in the Asia-Pacific. The summit was part of efforts to meet the 2020 target of free trade in the Asia-Pacific as the APEC member countries agreed in the 1994 Bogor Declaration.
Infrastructure project
During the summit’s retreat, President Jokowi stressed the importance of developing infrastructure in the region. The President also said that one of the keys to development was the availability of infrastructure.
"The President said that the cost of infrastructure development was covered by the government. Therefore, the government needed to innovate to raise infrastructure development funds," said Retno.
President Jokowi also used the occasion to invite Asia-Pacific countries to prioritize tourism industry development, citing figures that current world tourism growth had reached 7 percent, two times the average growth rate of the world economy of 3.5 percent. According to Bloomberg\'s estimates, a quarter of new jobs will come from the tourism sector in the next 15-25 years. (Anita Yossihara from Port Moresby, Papua New Guinea/ REUTERS/SAM)