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Published online by Cambridge University Press: 07 May 2025
The late January visit to Tokyo by Indonesian Vice President Muhammad Jusuf Kalla was full of surprises, just as the two nations announced their expectations that a Free Trade Agreement (FTA) would be signed before the end of 2006.
The last few years have witnessed a wave of bilateral Free Trade Agreements linking, respectively, the US and trade partners across the Pacific, and Japan and trade partners in the Asia-Pacific region. Countries as disparate in economic profile as Australia, Thailand and Indonesia are currently striving to reach agreement with Japan, in part driven by the free market logic symbolized by the World Trade Organization, as much as by neo-liberal economics. But there is also a sense of scramble not to be left behind by their neighbors.