ASEAN’s increasing global role

Irecently presided over the first regular meeting of the ASEAN Committee in Washington (ACW) that is now under the chairmanship of the Philippines after Myanmar. ACW is an organization of ASEAN ambassadors to the United States, who regularly engage in discussions on how to further elevate the profile of ASEAN among US legislators, government officials and private sector groups.

I invited US-ASEAN Business Council president Alex Feldman, and Asia Society Policy Institute managing director Wendy Cutler who previously served as the Deputy Trade Representative of the United States to join us for lunch at the Philippine Embassy. We discussed ASPI’s white paper on ASEAN-US relations that will be presented on June 19 at our Chancery in Washington where I will host a dinner. Aside from the ASEAN ambassadors, I also invited several US legislators, businessmen and officials from the Trump administration for the formal presentation of the white paper.

ASPI tackles major challenges faced by the region and provides recommendations on how policy makers can navigate an increasingly complex trade landscape, among others. A recent ASPI Trade Forum Issue Paper titled “Shifting Trade Winds: US Bilateralism and Asia Pacific Economic Integration” authored by Cutler and other Trade Forum members noted that the “AsiaPacific region continues to be a bright spot on the global economic scene,” pointing out that in 2017, nine of the 15 fastest-growing economies were in Asia.

The 2017 Global Economic Prospects issued by the World Bank also listed Laos, Cambodia, Myanmar and the Philippines – all ASEAN member-nations – in its roster of the fastest growing economies in the world. ASEAN is an important trading partner for the US, with the 10-member nations comprising the 4th largest export market for the United States. In 2016, trade between the US and ASEAN stood at $236 billion. Collectively, the members of ASEAN represent a huge market with a GDP of over $2.4 trillion, and a labor force of over 600 million that is the third largest in the world.

During a gathering of American businessmen as well as US and ASEAN diplomats in Washington last month, Deputy US Trade Representative Jeffrey Gerrish noted that there is “a tremendous opportunity to deepen trade ties, enhance economic and job growth and expand US exports.” Gerrish also said the US has an interest in ensuring that the ASEAN remains a free, fair and open trade destination for export and business even as the member-nations pursue integration through the ASEAN economic community.

Democratic Congressman Joaquin Castro of Texas is also convinced that ASEAN is “well-poised to be the success story of our generation,” noting that “the region’s dynamic and young population of 650 million, its innovative economy that approaches three trillion, and the regions critical location at the nexus of critical trade routes equip the region well for success. The United States must support and be part of this success story,” he exhorted.

The growing importance of the regional bloc has not escaped the notice of US policymakers and legislators, as underscored by the passage of a resolution by the US House of Representatives in November last year recognizing the 50th anniversary of ASEAN and the 40th anniversary of US-ASEAN diplomatic relations.

The resolution – authored by Congressman Castro and Republican Congresswoman Ann Wagner of Missouri who are also co-chairmen of the ASEAN Caucus – highlights the strategic and economic importance of the partnership between the US and ASEAN and seeks to raise awareness about the regional bloc’s crucial role in helping maintain peace, prosperity and stability in the region as well as in maintaining global order.

The ASEAN Caucus, which was established in January 2017, aims to expand dialogue and enhance US-ASEAN engagement on high priority issues. The resolution filed by Castro and Wagner is seen as an important initiative in strengthening the ties between the US and the regional group and increasing cooperation on issues that are crucial to American interests such as the maritime disputes in the South China Sea and the denuclearization of North Korea.

We are currently in Honolulu with Executive Secretary Bingbong Medialdea, Foreign Affairs Secretary Alan Peter Cayetano, Defense Secretary Delfin Lorenzana and Interior Secretary Eduardo Año for briefings with US Pacific Command (USPACOM) Commander Admiral Harry Harris, not necessarily on military relations alone but other aspects relative to US engagement in ASEAN. US and Philippine troops recently concluded the 34th Balikatan Exercise to enhance interoperability and heighten response capability on mutual defense, counterterrorism, and humanitarian and disaster response during calamities or nuclear attacks.

The USPACOM will also be conducting meetings with other ASEAN countries like Indonesia and Singapore, with the island state now getting more attention than usual as it is the venue for the meeting between US president Donald Trump and North Korean leader Kim Jong Un. While the summit is still “up in the air” after North Korea threatened to scuttle the talks if the US insists on “unilateral nuclear abandonment,” Trump was cool about it, saying that “If the meeting happens, it happens. And if it doesn’t, we go to the next step… We’ll see what happens.”

That an ASEAN nation was chosen for the potentially historic Trump-Kim summit underscores the growing global importance of the region not only in terms of the economy but in security as well. As noted by analysts, ASEAN leaders are fully supportive of Singapore in facilitating the unprecedented meeting and are helping ensure that the outcome is positive and encouraging. If all goes well, a potential new era of peace and security will enhance ASEAN’s economic growth even more.

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