The ministers also said a South China Sea code of conduct – the subject of years of discussions between China and the Association of south-east Asian Nations (ASEAN) – must be “substantive”, consistent with international law and “not prejudice the interests of third parties”.
China, which controversially claims a vast swathe of the South China Sea as its territory, reportedly does not want any code to be subject to the United Nations Convention on the Law of the Sea (UNCLOS) and wants to curb the United States’ involvement in the region.
In 2016, an international tribunal established under UNCLOS ruled against China in a dispute with the Philippines over the two countries’ claims. China has ignored the finding and pursued a program of land reclamation and militarisation of disputed features.
The regional dispute was one of the key issues discussed by Australian ministers Marise Payne and Linda Reynolds and Indonesian ministers Retno Marsudi and Prabowo Subianto during their meeting in Denpasar on Friday.
The joint statement said ministers had noted Australia’s and Indonesia’s strategic outlooks were “converging” in an increasingly contested region.
“They emphasised our two countries’ shared interest in an Indo-Pacific region that is open, inclusive and prosperous, and where countries ahdere to international law and other agreed rules and norms,” the statement read.
Ben Bland, director of the south-east Asia program at the Lowy Institute, said Indonesia, like other countries in the region, was “increasingly concerned by China’s assertiveness” in the South China Sea.
“But it remains reluctant to upset Beijing and wants to be seen as an independent ‘honest broker’ rather than appearing to ‘gang up’ on China,” he said.
While Indonesia is not a claimant in the South China Sea, the country’s Natuna Islands sit at the southern edge of the waters claimed by China and the area has been a source of tension between Jakarta and Beijing.
The Indonesian and Australian ministers also discussed plans for joint deployment of peacekeepers to future conflict zones, with Senator Reynolds calling the development “very exciting”.
Mr Bland said the meeting underlined a “steady maturation” of Australia-Indonesia relations.
“Both countries now need to capitalise on this by thickening economic, military and political ties, while developing more mutual understanding to deal with the inevitable hiccups that arise in neighbourly relations,” he said.
Fergus Hunter is an education and communications reporter for The Sydney Morning Herald and The Age.