Latest news with #AssociationofSouthEastAsianNations
GMA Network
23-05-2025
- Politics
- GMA Network
PH negotiator to China, ASEAN is new foreign secretary
The Philippines' top negotiator to China and the Association of South East Asian Nations (ASEAN) has been chosen as the new foreign affairs secretary in a major Cabinet reshuffle ordered by President Ferdinand "Bongbong" Marcos Jr. Maria Theresa Lazaro will assume the post as Marcos' foreign affairs chief, replacing Enrique Manalo, who will return to his former post as Philippine Permanent Representative to the United Nations in New York, which he held from 2020 to June 30, 2022 under former President Rodrigo Duterte. Lazaro will take over the helm at the Department of Foreign Affairs on July 31, but she would still go through confirmation proceedings in Congress. A seasoned career diplomat, Lazaro, 66, negotiated a landmark agreement with China on a provisional arrangement for the Philippine delivery of supplies to Filipino forces at Ayungin Shoal (Second Thomas Shoal) to prevent a repeat of past confrontations. Signed in July 2024, the agreement that covers Ayungin and seeks to avoid altercations after a violent clash between Philippine Navy special forces and Chinese coast guard personnel on June 17, 2024 at the Philippine-occupied area. Since the forging of the agreement, succeeding resupply missions to the shoal have been peaceful with Chinese ships keeping watch at a distance. As DFA's Undersecretary for Bilateral Relations and ASEAN, Lazaro also leads negotiations for a crucial Code of Conduct in the South China Sea, which aims to prevent a major conflict in the disputed waters, called by Manila as the West Philippine Sea. Lazaro, whose career in the foreign service largely focused on crafting Philippine foreign policy, spearheads negotiations for communiques in the ASEAN as the Philippines' representative to the bloc's senior official meetings or SOM. Lazaro retired from the Foreign Service in 2024, but was re-appointed by Marcos. She served multiple times at the Office of Asian and Pacific Affairs, including as its assistant secretary. She was also Manila's ambassador to Paris and Permanent Delegate to UNESCO. She served as ambassador to Switzerland, consul general to Sydney, and deputy consul general to New York. Early in her diplomatic career, Lazaro served at the Philippine Embassy in Madrid, the Philippine Mission to the UN in Geneva, and the Philippine Embassy in Bangkok. She has a Bachelor of Arts in International Studies from Maryknoll College and a Bachelor of Laws from the University of the Philippines. — VDV, GMA Integrated News
GMA Network
21-05-2025
- Politics
- GMA Network
PH wants 'intensified negotiations' on SCS code, says DFA official
The Philippines will push for 'intensified negotiations' on a crucial 'Code of Conduct' that aims to prevent a major conflict in the South China Sea during a Southeast Asian leaders' summit in Kuala Lumpur next week, a Foreign Affairs official said Wednesday. Foreign Affairs Secretary Enrique Manalo earlier said Manila is targeting the code's completion during its chairmanship of the Association of South East Asian Nations (ASEAN) in 2026. 'The Philippines will call for more intensified negotiations toward a substantive and effective Code of Conduct in the South China Sea, in view of the commitment made by ASEAN and China to conclude the COC by 2026,' Foreign Affairs spokesperson Teresita Daza said in response to a query by GMA News Online on the Philippines' initiatives during the summit on May 26 to 27. Malaysia is this year's ASEAN chairman. Diplomatic sources have said that the negotiations have advanced to the most contentious issues, called 'milestones,' including the scope of the disputed waters it will cover and whether the Code of Conduct should be legally binding or not. A regional code of conduct aims to prevent conflicting territorial claims in the vast potentially-oil rich region from erupting into violent confrontations or worse, an economically-devastating major conflict. In August 2018, the Association of South East Asian Nations (ASEAN) and China agreed to a single draft of the code of conduct or COC, with an agreement reached in November 2018 for both sides to finalize the document within three years, starting from 2019. No final document was agreed upon since then, but ASEAN and China have reset the target to 2026. Manalo, in a previous interview, declined to say if the Philippines would seek a legally binding code. 'We believe that a meaningful COC anchored on international law, particularly the 1982 UNCLOS, is vital to maintaining peace, stability, and freedom of navigation in the region,' Daza said. Four ASEAN members - Malaysia, the Philippines, Vietnam, and Brunei - are involved in the long-unresolved territorial disputes. China and Taiwan have similar claims virtually in the entire sea body, which is an important passageway for global trade and commerce. China, which considers the sea disputes a purely Asian issue, is opposed to any foreign intervention, particularly from the United States. Although Washington is not a party to the disputes, it has declared that it is in its national interest to ensure freedom of navigation and overflight in the contested waters. —AOL, GMA Integrated News
Hindustan Times
20-05-2025
- Business
- Hindustan Times
Navigating the FTA maze
As India approaches its economic goals, including exploring the path of free trade agreements (FTAs), like many other growing economies, India faces an important challenge: maximising the potential of its IT sector, while preserving local manufacturing under the Make in India campaign. Achieving this requires a delicately balanced legal and policy framework which embraces global opportunity without signing away national interest. The Make in India initiative has been the forefront of the current government's economic development initiative since 2014 – with an aim to increase the contribution of India's manufacturing sector to 25% of India's total Gross Domestic Product (GDP) by 2025. However, due to increasing foreign competition through imports, its contribution has stagnated between 14% - 17% as of 2024. FTAs globally have produced mixed results. For example, FTAs such as the India-UAE Comprehensive Economic Partnership Agreement (CEPA) and India-Singapore Comprehensive Economic Cooperation Agreement (CECA) have increased exports in industries like engineering, textiles and gems and promoted IT collaboration. However, FTAs with the Association of South East Asian Nations (Asean), Japan, and South Korea have increased trade deficits driven by cheaper imports from China in sectors such as electronics and textiles. These imports, often rerouted through FTA partners (like Asean), damage domestic manufacturing operations. Consequently, these FTAs risk undermining Make in India. Further, exports are also impacted by a stronger nationalistic ideology in these regions. India's IT sector is positioned to benefit from FTAs, as these could improve market access – especially in territories like the European Union (EU), where relaxing visa requirements could significantly expand service export opportunities. However, other non-tariff barriers, such as EU's regulatory standards (e.g., GDPR compliance) and high import standards create substantial compliance costs. Further, FTAs with open procurement clauses might also expose smaller Indian IT companies to competition from global giants. India has signed 15 FTAs till date and is currently engaged in negotiations with key partners like the US, and the EU. Import surges and increased global competition pose challenges for sensitive sectors, such as agriculture, pharma, and smaller IT companies, necessitating policy adjustments. There is a need for India to align FTAs with our national priorities as FTAs without proper strategic safeguards could run the risk of prioritising imports over domestic production, and increasing dependence on foreign players, which could impede Make in India and Atmanirbhar Bharat. Measures that may be taken include: · Establishing robust review mechanisms such as joint working groups with partner countries, to monitor import surges, non-tariff barriers, and the overall impact of the FTA. · Protecting sensitive sectors like agriculture and small-scale manufacturing from tariff concessions, similar to what India has done in the past, to protect domestic industries. · Investing in research and development to enhance the competitiveness of domestic industries and create a niche for Indian products as a result of increased quality. · Maximising IT benefits through the following: Current government initiatives like the Production-Linked Incentive (PLI) scheme, have significantly contributed to the growth in key sectors like manufacturing and export of smartphones. FTAs can further enhance these policy measures by securing reciprocal market access for Indian IT services, thereby off-setting import pressures. PLI coupled with FTAs can also lead to increased foreign investment in domestic IT sector, thereby enhancing not just the service component of India's IT sector but also the product and software development component. Aligning FTAs with domestic priorities is important for India to maximise its growth potential and establish itself as a leading economic powerhouse. This requires a balanced strategy of openness and resilience, which includes stronger review mechanisms, prioritized reciprocal access, eased professional mobility, fostered technology collaborations, and investments in skills and infrastructure. These efforts will be key to solidifying India's IT leadership and advancing Make in India (for the world). This article is authored by Probir Roy Chowdhury, partner & corporate chair, JSA Advocates and Solicitors.
Hindustan Times
24-04-2025
- Business
- Hindustan Times
National responses to global tariff disruptions
The imposition of unilateral tariffs by the US on China in 2018 marked the onset of a conflict that rapidly expanded beyond a bilateral dispute into a global tariff war. This escalation, particularly pronounced during the second term of the Trump administration, signalled a departure from the post-Cold War paradigm of rules-based globalisation and liberalised trade that had facilitated decades of shared economic progress. In a symbolic declaration of economic sovereignty, President Donald Trump proclaimed April 2 as 'Liberation Day,' framing the imposition of tariffs as a strategy to restore domestic prosperity by opening foreign markets and dismantling trade barriers. This vision materialised through the implementation of reciprocal tariffs on a broad range of trading partners. The US levied tariffs exceeding $360 billion on Chinese imports, targeting electronics, machinery, textiles, and steel sectors. These actions were legally justified under Sections 201, 232, and 301 of the US Trade Act of 1974, citing national security and allegations of unfair trade practices. Washington estimates saving about $330 billion, but it is at the cost of raising consumer prices by over 7% and lowering its GDP by about 1%, as reported. The scope of these measures soon extended to other major trading partners. Under Section 232, the US imposed tariffs between 10% and 25% on steel and aluminium imports from several countries, including India, Turkey, Brazil, Mexico, and EU member States. Despite their participation in the US–Mexico–Canada Agreement (USMCA), even Canada and Mexico were initially affected, creating temporary strains within the North American trade bloc. Additional trade barriers targeted various goods—agricultural products, automobiles, and intermediate commodities—from economies across Asia and Latin America. These unilateral actions triggered widespread retaliatory measures. National governments responded with targeted interventions aimed at shielding vulnerable economic sectors, stabilising domestic prices, and repositioning themselves within an evolving global trade architecture. China, for instance, implemented reciprocal tariffs of about 34% on US-origin goods valued at $24 billion and sector-specific stimulus packages by expanding the fiscal deficit. Strategic emphasis was placed on sectors like semiconductors and agriculture, alongside efforts to diversify trade through deepened relations with Association of South East Asian Nations (ASEAN) and increased investment in Belt and Road Initiative (BRI) partners. Other countries also adapted in distinct ways. Mexico leveraged the USMCA framework to maintain trade stability while promoting nearshoring by US firms. Industrial policy reforms, infrastructure development, and incentives for workforce training supported this. In Southeast Asia, Indonesia pursued foreign direct investment in manufacturing and engaged actively in the Regional Comprehensive Economic Partnership (RCEP), complemented by domestic price controls to curb inflation. It is using the ASEAN route towards a collective response. Jakarta also relies on diplomatic engagement and trade diplomacy with the US instead of retaliatory tariffs. At 10%, Turkey falls within the lowest bracket of US tariffs, impacting its economy moderately compared to others. India adopted a combination of retaliatory tariffs and industrial policy measures oriented toward self-reliance. Initiatives such as Make in India and Atmanirbhar Bharat were supported through fiscal incentives and credit facilities for micro, small, and medium enterprises (MSMEs). India is anticipated to offer strengthened incentives targeting sectors such as semiconductors, renewable energy, and aircraft components to attract investment from the US. Concurrently, the government is collaborating with domestic manufacturers and plans to launch an online platform to document export restrictions encountered by Indian businesses systematically. In South America, Brazil and Argentina redirected agricultural exports toward China to compensate for lost access to US markets. African countries are looking toward the African Union for a coordinated strategy to tackle the US tariffs. They can strengthen regional cooperation under the African Continental Free Trade Area (AfCFTA) and diversify their exports to the European Union and Asia. Island economies in the Caribbean and Pacific are facing US tariffs starting with the baseline 10% tariff. Despite the diversity of responses, five trends emerged across national strategies. First, many countries pursued new or expanded trade agreements to reduce dependence on the US market. These included RCEP in Asia, AfCFTA in Africa, and numerous bilateral agreements in Latin America and South Asia. Second, efforts to improve manufacturing, including improvements to logistics infrastructure, establishing export zones, and regulatory reforms. Third, governments expanded subsidies and welfare programmes to protect vulnerable populations from the adverse effects of trade disruptions. Fourth, there was a marked emphasis on strengthening local value chains, maintaining strategic reserves, and achieving technological independence, particularly in India, China, and the EU. Lastly, several nations sought negotiations with the US to get favourable tariffs. Despite persistent tariff-related challenges, India and the US are nearing the finalisation of a multi-sectoral bilateral trade agreement. India has lowered tariffs on select US products as part of this process. The visit of Vice President JD Vance serves as a political signal, underscoring the positive trajectory of economic relations between the two nations. These developments suggest that countries adopting adaptive trade strategies, domestic industrial investment, and social protection measures were comparatively more successful in mitigating the socio-economic impacts of escalating trade tensions. Several policy recommendations arise from here. First, enhanced regional integration, particularly through South-South cooperation, such as the BRICS Plus platform, can bolster resilience by diversifying value chains and strengthening collective bargaining power. Second, flexible support mechanisms for MSMEs and informal sectors are essential for safeguarding employment and stimulating post-disruption recovery. Third, investment in localised production capacities, especially in strategic industries such as pharmaceuticals, agriculture, and semiconductors, can reduce exposure to future trade volatility. Fourth, reforming multilateral trade institutions is crucial to curbing unilateral actions and promoting equitable dispute-resolution mechanisms. The global response to US-initiated tariffs reveals a broader transformation in the international political economy, characterised by growing regionalism and a focus on economic self-reliance. Although the trade war originated with a hegemonic actor, its ripple effects necessitated coordinated and multipolar responses. The policy innovations that emerged during this period provide valuable insights for managing future disruptions in global trade, especially for developing economies seeking to balance interdependence with strategic autonomy. This article is authored by Mehdi Hussain, research associate, Indian Council of World Affairs, New Delhi.
Gulf Today
27-03-2025
- Politics
- Gulf Today
Thai PM Shinawatra survives censure motion
Thailand Prime Minister Paetongtarn Shinawatra, 38, won a censure debate by 319 votes to 162 on Wednesday after a two-day debate on Monday and Tuesday. The opposition accused her of inexperience in tackling the challenges facing the country, and also of taking advice from former prime minister and her father Thaksin Shinawatra. They opposition also said that the prime minister avoided giving answers to the media, and she also ended giving wrong answers. After the vote, Shinawatra, speaking to reporters, said that she would learn from the votes polled against her as well as for her. She also said that there would be no cabinet reshuffle though her coalition partners were pressurising her through her father to make changes in her team. She told reporters that she takes advice from her father but nothing more. During the debate she denied charges that she was but a puppet in the hands of her father. The Shinawatras have been controversial. Thaksin, the tycoon, is popular among the poor people, and his time as prime minister of the country saw the country thrive. His sister, Yingluck Shinawatra, was overthrown in a coup in 2014. During the censure debate, opposition leader Rangsiman Rome of People's Party, accused the prime minister of trying to protect her father and to ensure that he did not have to spend even a day in prison. Shinawatra responded by saying that the royal pardon for her father came much before she became prime minister. The conservatives and the military elite in the country resent the popularity of the Shinawatras but they are unable to keep them out of power. If the army had its way it would want the conservatives to rule the country but given the violent fluctuations in the economy, the army has learnt the hard way that it is difficult to manage Thailand with its poor people and the rocky economy. But the army has been insistent that the monarchy should remain inviolable and they have refused to accept that criticising the king does not amount to sedition. So, the populist Shinawatras are allowed to be in office as long as they satisfy the conditions laid down by the army and the monarchists. Thailand remains an important country in the Association of South East Asian Nations (ASEAN) because of its geographical location. It has been the tourist hub of the region even as destinations in Malaysia, and now in Vietnam, have become popular. And the Thais in general have proved that they have a mind of their own. Even the army and the monarchists would not want to push the people over the edge as it were. So, it is a truce, an uneasy one at that, between the populists represented by the Shinawatras, and the conservatives led by the army and the monarchists. Bangkok, the capital of Thailand, has been the centre of global economic importance. Economic boom in Bangkok has usually meant that things are well in the ASEAN, and if there is economic trouble in Bangkok, it is a sign that ASEAN is in trouble as well. The 1997 Asian economic crisis started in Bangkok with the fall in baht, and spread to other countries in the region. So, Bangkok is the economic barometer of the region. Paetongtarn Shinawatra is not yet a political leader on her own terms like her father Thaksin was in some ways. She will be buffeted on all sides by political currents. And if the economy does well, then she can hope to be in power for a longer time. She is now the prime minister because of her surname. She has to establish her own credentials as the leader.
