GCC-Asean trade expected to surge 30pct to US$180bil by 2026
KUALA LUMPUR: Trade volume between the Gulf Cooperation Council (GCC) and Asean is forecast to grow by an average of 30 per cent, reaching US$180 billion (RM846 billion) by 2026.
Kuwait's Crown Prince Sheikh Sabah Khaled Al-Hamad Al-Sabah said the investment potential between both sides is huge.
"We are pleased that the GCC was Asean's seventh largest trading partner in 2023, with a total trade volume of US$ 130.7 billion.
"We anticipate this to grow by an average of 30 per cent, reaching US$ 180 billion by 2026.
"The investment potential between both sides is vast, and the growth in GCC-Asean trade, which exceeded US$ 128 billion in 2023, along with rising Gulf investments in Asian markets, reflects mutual confidence and deepening economic integration," he said in his opening remarks at the 2nd Asean-GCC Summit here today.
Sheikh Sabah Khaled is the president of the current session of the Supreme Council of the GCC.
He also said that it is important for both regions to strengthen cooperation in economic, trade, investment, and technical fields.
"We look forward to achieving positive outcomes in the ongoing negotiations for a Free Trade Agreement (FTA) between both sides," he said.
On the Summit, Sheikh Sabah Khaled said it will strengthen cooperation between both sides.
"The first Riyadh Summit between both sides, held on Oct 20, 2023, was a successful beginning to map out a comprehensive cooperation framework.
"We aim to build upon this momentum, guided by the Asean-GCC Strategic Partnership Framework 2024–2028, which serves as a roadmap for institutionalising this partnership and transforming it into practical mechanisms capable of achieving tangible progress," he said.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
The Sun
29 minutes ago
- The Sun
MIDF Research: Crude oil prices to remain under pressure as supply outpaces demand
KUALA LUMPUR: Crude oil prices are expected to remain under pressure and could fall below US$65 (RM274) per barrel (pb) due to persistent oversupply and weaker demand projections, according to MIDF Amanah Investment Bank Bhd (MIDF Research). However, MIDF Research noted that prices may stabilise over the longer term, even as inventories continue to rise. Sentiment surrounding trade policy developments between the United States and China remains a significant risk to market movements, it said in a note. 'Natural gas and liquified natural gas (LNG) are expected to see a rebound after May 2025's maintenance round concluded for most of the global gas and LNG facilities. Nevertheless, the downside risks to the lower oil price remain on new exploration projects, but may be beneficial for onshore storage, long-term tankers and retail fuel,' it said. MIDF Research opines that the scenarios of the global oil market and global economy will continue to keep Brent crude oil price within the US$60-65 pb range, averaging around US$62 pb this month. 'This lower expectation is considering the risks of post-US trade tariff pause, as well as the stockpiling of oil inventories in the near term,' said MIDF Research. Meanwhile, the investment bank said Asean collaborations have offered a brighter outlook for the oil and gas (O&G) sector. MIDF Research stated that Petroliam Nasional Bhd (Petronas) is continuing its aggressive exploration and production activities in the upstream sector, despite lower crude oil prices. Meanwhile, the midstream and downstream divisions are expected to turn towards sustainability and green energy solutions, integrating these initiatives into their operations. 'During the Asean summit that concluded in May 2025, the transportation and logistics of LNG and carbon capture and storage (CCS) were highlighted as strategic priorities for the region. 'More focus was set on renewable energy and hydrogen projects to be integrated with the conventional O&G developments, providing a balanced and sound energy transition as highlighted in Malaysia's National Energy Transition Roadmap,' it noted. MIDF Research said regional cooperation is likely to expand through energy security, carbon credit management, Environmental Corporation America compliance and CCS solutions. 'In addition, we opine that domestic demand and robust LNG exports will continue to locally support the sector. 'Overall, we retain a 'Neutral' view on the O&G sector, as it continues to face challenges, primarily from oil price volatility, driven by output hikes from the Organisation of the Petroleum Exporting Countries plus and non-Opec producers, including sluggish global demand due to tariff-related uncertainties,' it added. – Bernama
The Sun
an hour ago
- The Sun
China's Report Highlights Commitment to Peace in South China Sea
BEIJING: Xinhua Institute, a think tank affiliated with Xinhua News Agency, on Sunday released a report highlighting China's commitment to building the South China Sea into a sea of peace, friendship, and cooperation. The report, titled 'Making the South China Sea a Sea of Peace, Friendship and Cooperation: China's Actions' and published in both Chinese and English, noted that China has always been a steadfast advocate, promoter, and guardian of peace and stability in the South China Sea, reported Xinhua. According to the report, China has long maintained that peace and stability in these waters depend on collaborative efforts between China and member states of the Association of Southeast Asian Nations (ASEAN). Through deepened trust and cooperation across political, economic, and cultural spheres, this partnership has created lasting mutual benefits. Consequently, China has emerged as a reliable force for maintaining regional peace and stability while promoting cooperation and development in the South China Sea. The report stated that China has always adhered to the principles of building the South China Sea into a sea of peace, friendship, and cooperation: equal-footed consultation, rule-based co-management, mutually beneficial cooperation, and a constructive role. The report called on China and ASEAN countries to ensure that the solutions of the South China Sea issues remain in their own hands, to adhere to sound principles and direction in addressing the issues, and to continue upholding the notion of a maritime community with a shared future. The report also called for joint efforts by China and ASEAN countries to build the South China Sea into a sea of peace, friendship, and cooperation that benefits the people of all regional countries. The think tank report has received positive evaluations from experts. They believe the report comprehensively explained China's practical achievements, insights, and pathways in advocating for the South China Sea to become a sea of peace, friendship, and cooperation, marking a significant academic contribution to the study of South China Sea issues. Zhang Jie, a research fellow at the Chinese Academy of Social Sciences, noted that the report not only offered historical depth but also summarised the latest developments in the South China Sea situation. It further clarified China's principled stance and comprehensively demonstrated China's positive contributions to the peace and stability of the South China Sea based on facts. Yang Xiao, a research fellow at the China Institutes of Contemporary International Relations, stated that the report, with a vision for a better future in the South China Sea, creatively explained and summarised China's consistent adherence to the principles on South China Sea issues. Those principles serve as the foundation for China-ASEAN dialogue, cooperation, and constructive development, carrying significant theoretical and practical importance for the future, consensus-building, and bridging differences. Ma Chao, associate research fellow at the Maritime Silk Road Research Institute of Hainan Normal University, believed that China, upholding the concept of a maritime community with a shared future, has deepened cooperation with parties in the South China Sea. The report once again demonstrated China's sincere commitment to maintaining peace and stability in the region, helping the international community better understand, appreciate, and respect China's stance on the South China Sea.
The Sun
an hour ago
- The Sun
China committed to building South China Sea into sea of peace, friendship, cooperation: report
BEIJING: Xinhua Institute, a think tank affiliated with Xinhua News Agency, on Sunday released a report highlighting China's commitment to building the South China Sea into a sea of peace, friendship, and cooperation. The report, titled 'Making the South China Sea a Sea of Peace, Friendship and Cooperation: China's Actions' and published in both Chinese and English, noted that China has always been a steadfast advocate, promoter, and guardian of peace and stability in the South China Sea, reported Xinhua. According to the report, China has long maintained that peace and stability in these waters depend on collaborative efforts between China and member states of the Association of Southeast Asian Nations (ASEAN). Through deepened trust and cooperation across political, economic, and cultural spheres, this partnership has created lasting mutual benefits. Consequently, China has emerged as a reliable force for maintaining regional peace and stability while promoting cooperation and development in the South China Sea. The report stated that China has always adhered to the principles of building the South China Sea into a sea of peace, friendship, and cooperation: equal-footed consultation, rule-based co-management, mutually beneficial cooperation, and a constructive role. The report called on China and ASEAN countries to ensure that the solutions of the South China Sea issues remain in their own hands, to adhere to sound principles and direction in addressing the issues, and to continue upholding the notion of a maritime community with a shared future. The report also called for joint efforts by China and ASEAN countries to build the South China Sea into a sea of peace, friendship, and cooperation that benefits the people of all regional countries. The think tank report has received positive evaluations from experts. They believe the report comprehensively explained China's practical achievements, insights, and pathways in advocating for the South China Sea to become a sea of peace, friendship, and cooperation, marking a significant academic contribution to the study of South China Sea issues. Zhang Jie, a research fellow at the Chinese Academy of Social Sciences, noted that the report not only offered historical depth but also summarised the latest developments in the South China Sea situation. It further clarified China's principled stance and comprehensively demonstrated China's positive contributions to the peace and stability of the South China Sea based on facts. Yang Xiao, a research fellow at the China Institutes of Contemporary International Relations, stated that the report, with a vision for a better future in the South China Sea, creatively explained and summarised China's consistent adherence to the principles on South China Sea issues. Those principles serve as the foundation for China-ASEAN dialogue, cooperation, and constructive development, carrying significant theoretical and practical importance for the future, consensus-building, and bridging differences. Ma Chao, associate research fellow at the Maritime Silk Road Research Institute of Hainan Normal University, believed that China, upholding the concept of a maritime community with a shared future, has deepened cooperation with parties in the South China Sea. The report once again demonstrated China's sincere commitment to maintaining peace and stability in the region, helping the international community better understand, appreciate, and respect China's stance on the South China Sea.
