Jakarta. Resource nationalism, which has become an integral economic policy of the outgoing President Joko “Jokowi” Widodo, was among the key subject matters that dominated his final state of the nation address on Friday.

Jokowi is about to retire this October, ending his 10-year rule. 

Under Jokowi’s leadership, the resource-rich Indonesia has banned exports of its unprocessed mineral ores, starting out with nickel in 2020. Indonesia intends to process its metals domestically, while also remaining open if international investors wish to invest in the smelters and processing industry. But not everyone is happy with the restrictions. 

The European Union (EU) even sued Indonesia at the World Trade Organization (WTO) over the nickel export ban. As expected, Jokowi brought up Indonesia’s unwavering resource nationalism in his final state address. Although he did not specifically mention the EU in his speech, Jokowi said he was aware of how Indonesia’s export ban had ruffled the feathers of other countries.

“Although many countries have sued us, opposed us, and even attempted to thwart us, we -- as a sovereign and great nation -- remain steadfast and even continue to march forward,” Jokowi said at the parliamentary building in Jakarta. 

Jokowi also talked about the export ban’s expansion to bauxite and copper. Plans are underway to impose similar restrictions on tin as well as agricultural and plantation sectors. Jokowi stated that the smelters and processing industries --for nickel, bauxite, copper-- have created over 200,000 jobs and given an over Rp 158 trillion (around $10 billion) boost to the state revenue over the past 8 years.

“We want our country’s resources --which God has granted us-- to be managed for the greatest benefit of the people. We shall leverage [these resources] entirely for the wellbeing of the people,” Jokowi said. 

Jokowi went on to boast about how Indonesia had taken over foreign ownership of Indonesia’s assets -- starting from Freeport, the oil-producing Rokan Bloc in Riau, and copper-and-gold miner Newmont Nusa Tenggara. He added: “We have reclaimed our assets which had been managed and exploited by foreign entities for decades.”

The EU sued Indonesia because the bloc feared the nickel export restrictions could take a toll on its stainless steel production. The WTO panel declared that it was in favor of the EU in the nickel lawsuit. However, Indonesia filed an appeal. The case has yet to make progress to this day as WTO’s dysfunctional appellate body has been unable to hear appeals.