INDONESIA'S POSITION BASED ON THE AUSTRALIAN ASEAN NEW ZEALAND FREE TRADE AGREEMENT AND ITS IMPACT FROM A BUSINESS LAW PERSPECTIVE

Indonesia as one of the major countries in South East Asia acts as a prominent business center between the East and the West. Business activities soon attract the attention of other countries in similar geography to share the wealth such as Malaysia, Filipina, Myanmar, Cambodia, Singapore, Vietnam, Thai/and, Laos, Myanmar and Brunei Darussalam. However, the international society would have to face the import taxes that impedes f oreign goods from flowing into state member' market. Australia and New Zealand as a fellow business partner then proposes the Australian Asean New Zealand Free Trade Agreement (AANZFTA) to the Association of South East Asian Nations (ASEAN) that allows members to conduct free trade among them in almost every sector, including goods, services, investment, intellectual property and new issues (Singapore Issues). However the agreement is suspected by some parties to condone a subtle form of liberal economy that may allow Australia and New Zealand to influence the national economy of the weaker state, not mentioning endangering ASEAN' bargaining position in the World Trade Organization. This article attempts to explain the position of Indonesia 's economic sovereignty by signing the AANZFTA which imposes several clauses affecting the economic activity and how will the agreement bring impact to Indonesia 's national economy of from a business law perspective.