The Association of Southeast Asian Nations (ASEAN) is a more open market for international trade business than either the E.U. or the U.S., according to a World Economic Forum report released on Nov. 30.
The World Economic Forum appreciated the “constructive involvement in the global economy” of the ten members of the ASEAN – Brunei, Cambodia, Indonesia, Laos, Malaysia, Singapore, Philippines and Myanmar.
“ASEAN’s progression as an economic power comes at a time when the U.S. and European Union are becoming less relevant for regional Asian markets,” WEF said in the recent Global Enabling Trade Report.
Trump’s Trade policy and Asian Markets
US President-elect Donald Trump campaigned on a promise to withdraw from international trade agreements and possibly impose huge tariffs. European states, influenced by the populist forces, have been under severe pressure.
Trump made the free trade debate one of the central topics of his campaign after criticizing Asian economies like China, Mexico, and Japan. He suggested increasing a 45% tariff on Chinese goods, said he would declare China a currency manipulator on his very first day in the Oval Office, proposed taxing imports from its neighbors, argued in favor of “ripping up” trade deals, and called them, “disaster for the United Sates.”
WEF Chief’s Warning
World Economic Forum’s founder has emphasized the importance of free trade and globalization.
“Free trade remains the most powerful contributor to global economic growth and social progression. The challenge for world leaders today is to take on protectionism but they also have an obligation to make trade a source for more comprehensive growth,” he said in a statement.
Pakistan, China and India are among the other fastest-growing Asian economies in the world.
Pakistan’s economy has stabilized from near-crisis circumstances. The country’s economic growth, under China Pakistan Economic Corridor, has increased manifolds. When completed, the CPEC will help Pakistan emerge as powerful global economy.
References: World Economic Forum / image: cfr.org
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