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Jakarta Balances AI Cooperation with China-Led WAICO and US-Led Pax Silica

Indonesia recently joined a China-led AI organization after a US-led initiative, navigating the intensifying tech rivalry. Coordinating Economy Minister Airlangga Hartarto clarifies Jakarta's 'multisource' strategy.

Jakarta Balances AI Cooperation with China-Led WAICO and US-Led Pax Silica
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HARIANEXPRESS – Indonesia recently joined the China-led World Artificial Intelligence Cooperation Organization (WAICO), which has prompted discussions about its approach to the escalating technological competition between Beijing and Washington. This engagement follows Jakarta’s prior participation in the United States-led Pax Silica initiative just months earlier.

Coordinating Economy Minister Airlangga Hartarto addressed these concerns, asserting that Indonesia is committed to collaborating with both global powers. He emphasized that the country is pursuing a balanced, ‘multisource’ strategy for its digital ecosystem development.

Indonesia’s Strategic Engagements in Global AI

Indonesia became one of the 29 founding members of the World Artificial Intelligence Cooperation Organization (WAICO) last week. This intergovernmental body, established in Shanghai, aims to foster international cooperation and improve global AI governance, according to China.

The move by Indonesia to join WAICO occurred several months after its involvement with Pax Silica. Pax Silica is a United States-led initiative designed to enhance supply chains for artificial intelligence and semiconductors.

These simultaneous engagements have raised questions regarding Indonesia’s method for navigating the intensifying technological rivalry. The competition between Beijing and Washington in the crucial AI industry is growing significantly.

Clarifying Non-Conflicting Objectives

Minister Airlangga Hartarto rejected any suggestions that WAICO and Pax Silica are competing entities. He clarified that each initiative serves different purposes, thus avoiding conflict.

“These are not two conflicting initiatives, as their focus and priorities are somewhat different,”

Airlangga explained the distinct priorities of each organization. He stated that WAICO primarily focuses on the practical applications of AI.

Conversely, Pax Silica seeks to strengthen the broader AI ecosystem, which includes cooperation outlined under the Indonesia-US Agreement on Reciprocal Trade (ART).

Embracing a Multisource Digital Strategy

Indonesia’s approach highlights a commitment to a diverse range of partnerships for its technological advancement. This is part of Jakarta’s broader “multisource” strategy for developing its digital ecosystem.

An example of this strategy is Indonesia’s collaboration with a United Kingdom-based semiconductor company. This partnership falls under President Prabowo Subianto’s chip development program, further illustrating a varied international engagement.

Coordinating Minister’s Visit to Shanghai AI Conference

As part of these engagements, Coordinating Economy Minister Airlangga Hartarto visited technology and robotics exhibition booths at the World Artificial Intelligence Conference. The conference took place at the Shanghai World Expo Exhibition and Convention Center in Shanghai, China, on July 18, 2026.

The World Artificial Intelligence Conference was held from July 17 to 20, 2026. This significant event attracted approximately 300,000 visitors, showcasing the global interest in AI advancements.

More than 1,100 companies featured their developments across three venues during the conference. These presentations covered advancements in artificial intelligence, intelligent computing, and embodied intelligence.

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