ASEAN vows to keep markets open amid risks

MANILA, Philippines — The Philippines is pushing for certainty in the Association of Southeast Asian Nations (ASEAN) investment environment, citing the impact of geopolitical events such as the Middle East conflict on investor sentiment and economic activity.

Speaking at the ASEAN Economic Ministers’ Retreat in Taguig, Trade Secretary Cristina Roque said that recent developments in the Middle East highlight  the importance of shielding the region from global shocks that impact investor confidence and economic performance.

“Let us ensure that ASEAN remains a region where investment is met with certainty, and where cooperation creates genuine opportunity for our people,” she said.

She said geopolitical tensions bring immediate economic shocks that manifest in volatile energy markets, disrupted shipping lanes and shifting investor confidence.

Roque said the current landscape requires the region to go beyond keeping markets open, but also strengthening its coordination and foresight for better response.

“This is why the transition of the ASEAN Geoeconomics Task Force into the ASEAN Geoeconomic Group is so critical. Alongside the High-Level Task Force on Economic Integration, this body will ensure we are not just reacting to global shifts – we are navigating them together,” she said.

Recognizing the impact of the prolonged Middle East conflict on the economy and jobs, the ASEAN economic ministers vowed to keep markets open to mitigate effects on the region.

“We remain committed to keeping the ASEAN market open for trade and investment, by maintaining a transparent and predictable regional economic architecture,” the ASEAN economic ministers said in a joint statement.

In addition, the economic ministers said they would continue to work with industry stakeholders and development partners to strengthen and sustain business and investor confidence in the region, while strengthening regional supply chains.

The economic ministers also emphasized the importance of strengthening regional energy security and resilience through continued collaboration.

As the United States launched investigations on ASEAN members over the alleged failure to prevent imports made from forced labor, the economic ministers will be monitoring developments to ensure the probe is consistent with international trade rules.

ASEAN members covered by the US probe are the Philippines, Cambodia, Indonesia, Malaysia, Singapore, Thailand and Vietnam.