Latest news with #AssociationofSoutheastAsianNations
Arabian Post
a day ago
- Business
- Arabian Post
Linyi Goods at Vietnam Expo Boost Sino-Viet Trade Ties
HO CHI MINH, VIETNAM – Media OutReach Newswire – 19 July 2025 – The China Factory Products Export Fair 2025 was held in Ho Chi Minh City, Vietnam from July 12 to 14. Hundreds of original manufacturers from places like Shandong province's Linyi city displayed thousands of products ranging from daily necessities, office supplies, chemical products, and outdoor equipment to hardware tools. This fair adopted a collaborative format, featuring segmented exhibition zones. With over 70 booths designated for the Chinese factory exhibition area, the event also hosted various online and offline activities. Additionally, 200 renowned Vietnamese and neighboring region brands and enterprises were invited to exhibit and participate, all aimed at facilitating market expansion for Vietnamese local and international exhibitors. The exhibition drew large crowds, with numerous Vietnamese buyers and citizens praising the high-quality products and affordable prices of 'Made in Linyi'. ADVERTISEMENT As a significant exhibitor at this expo, Linyi companies took advantage of direct supply from source factories to offer a wide range of high-quality product selections to the Vietnamese market. This not only met the diverse demands of the Vietnamese market but also established a direct bridge for Chinese and Vietnamese enterprises, promoting deep cooperation and exchange in trade between the two sides. Looking back at 2024, Linyi achieved remarkable results in foreign trade, demonstrating distinctive development trends in trade relations with Vietnam and other Association of Southeast Asian Nations (ASEAN) countries. Regarding trade with Vietnam, bilateral trade continued to steadily expand, with the total import and export volume reaching 4.77 billion yuan ($664.97 million). The trade structure between the two sides showed significant complementary features, with Linyi mainly exporting products such as wood veneer, plywood, and hand tools to Vietnam, while importing aluminum alloys, chemical raw materials, and natural rubber latex. Expanding the perspective to the entire ASEAN region, Linyi saw robust growth in imports and exports with ASEAN in 2024, with a total trade volume reaching 40.15 billion yuan, representing a 16.2 percent year-on-year increase. Looking ahead, Linyi will further deepen economic and trade exchanges with Vietnam and ASEAN countries, expand cooperation fields, elevate the level of cooperation, and achieve mutual benefit, win-win cooperation, and common development. Hashtag: #Linyi The issuer is solely responsible for the content of this announcement.
The Hill
2 days ago
- Politics
- The Hill
ASEAN is collapsing, and nobody wants to admit it
For decades, the Association of Southeast Asian Nations — known as ASEAN — has been treated in Washington and other capitals as a bedrock of regional stability. It has been a model of consensus-driven diplomacy and a potential counterweight to Chinese dominance in the Indo-Pacific. But in 2025, that image is becoming dangerously outdated. ASEAN is no longer a coherent political bloc. Fragmented by internal crises, paralyzed in the face of regional threats, and unable to coordinate a meaningful response to the great power rivalry unfolding around it, ASEAN is collapsing — slowly, quietly, but unmistakably. The crisis is perhaps most vivid in Myanmar, where the military junta that seized power in 2021 is now fighting for its survival. The country is in open civil war. Resistance groups have taken control of large parts of the borderlands, while the regime continues to commit war crimes and ignore every diplomatic overture. ASEAN's so-called Five-Point Consensus — once touted as a pathway to peace — has become a dead letter. The bloc has refused to suspend Myanmar's membership, despite growing international pressure. Its only action has been to exclude the junta from high-level summits, a symbolic gesture that does nothing to halt the violence or alleviate the suffering of civilians. Myanmar is not the only fracture. Thailand, one of ASEAN's founding members and once seen as a stabilizing force in the region, is now consumed by its own political drama. After the 2023 general election, the progressive Move Forward Party won the most seats, only to be blocked from forming a government by the military-appointed Senate. In a stunning reversal, the Pheu Thai Party — once the main opposition to military rule — formed a coalition with those same military-aligned forces. The deal returned the old guard to power, sowing deep distrust among voters. Now, that uneasy alliance is unravelling. Paetongtarn Shinawatra, daughter of exiled former prime minister Thaksin and a prominent Pheu Thai figure, has been suspended from parliament amid an escalating scandal involving a leaked phone call with Cambodian strongman Hun Sen. The call, widely interpreted as backchannel political coordination, has triggered an uproar in Bangkok, deepened factional rifts within the ruling coalition, and prompted speculation that another military coup — Thailand's third in two decades — may be on the horizon. Cambodia, for its part, is not even pretending to operate as a democracy. The 2023 handover of power from Hun Sen to his son, Hun Manet, was engineered with minimal transparency and no serious opposition. Phnom Penh remains one of Beijing's most loyal allies in the region, frequently undermining ASEAN unity on issues involving China — especially in the South China Sea. Laos is similarly aligned with China and effectively absent from ASEAN diplomacy. These trends are not isolated. They expose a deeper structural failure: ASEAN's model of consensus, non-interference and formal equality among states is no longer fit for purpose. It worked — barely — during the Cold War and its aftermath, when the region could afford strategic ambiguity. But today's geopolitical climate is different. Today, the region is a front line in U.S.-China competition, and ASEAN's diplomatic architecture is proving inadequate. It lacks a unified voice on security, democracy, trade or technology — the defining issues of our time. The bloc's inability to act has real consequences. As tensions rise in the South China Sea, with Chinese maritime aggression accelerating around the Philippines and Vietnam, ASEAN has failed to issue even a joint statement of condemnation. As the U.S. and its allies try to build resilient supply chains and technology partnerships, ASEAN members are signing competing deals — often with China — and undercutting each other's positions. Even on trade, where ASEAN was once considered relatively cohesive, real influence has shifted elsewhere. China is now the largest trading partner for nearly every ASEAN state, and the Regional Comprehensive Economic Partnership has further institutionalized Beijing's role at the center of regional commerce. Behind closed doors, ASEAN officials increasingly acknowledge the dysfunction. Some are frustrated by the charade of unity. But the bloc's institutional design — a rotating chairmanship, no enforcement powers, and a culture of diplomatic avoidance — makes real change nearly impossible. The result is performative multilateralism: summits that produce boilerplate communiqués, working groups that avoid hard issues and a growing gap between ASEAN's image and its actual influence. This matters for U.S. strategy. Washington has long relied on ASEAN centrality as a foundation for its Indo-Pacific engagement. But if ASEAN cannot function as a reliable partner, U.S. policymakers will need to shift course. That may mean building more flexible 'mini-lateral' coalitions with individual countries like the Philippines, Vietnam or Indonesia. It may also require confronting the uncomfortable truth that ASEAN's decline helps Beijing, which has long exploited the bloc's divisions to blunt regional resistance to Chinese assertiveness. Southeast Asia remains one of the world's most dynamic regions — economically vibrant, demographically young and strategically pivotal. But its central political institution is in retreat. ASEAN is not dead, but it has become hollow. Until its member states and their international partners are willing to admit that reality, the region will remain vulnerable — not just to external pressure, but to its own slow unravelling. Joseph Black is an American expat currently pursuing a master's in international affairs at King's College London and a Ph.D. in gender studies at Chiang Mai University. He also serves as a research officer at the University of New South Wales.
The Star
2 days ago
- Business
- The Star
Asean accelerates de-dollarisation
Whenever he travels around the Southeast Asian region or to China, Malaysian private equity investor Ian Yoong Kah Yin always uses his e-wallet to settle all payments. Yoong, a former investment banker, seldom travels with a big chunk of cash, preferring to use an app he downloaded on his phone so he can use a QR code to pay in Malaysian ringgit or any local currency. Yoong said using a QR code is not only convenient but also cuts transaction costs as he does not need to convert ringgit to US dollar first and then to another local currency, avoiding double currency conversion rates. The reduced role of the US dollar and the growing role of the Chinese yuan and local currencies used by members of the Association of Southeast Asian Nations is "inevitable", according to Yoong, who noted there are about 100 banks in the ASEAN region that are part of the yuan-based Cross-border Interbank Payment System, or CIPS. "ASEAN economies are accelerating the move away from the US dollar as geopolitical uncertainties, monetary shifts and increasing currency volatility prompt de-dollarisation in the region," Yoong told China Daily. He said Washington's "erratic trade policy decisions" combined with the recent "sharp underperformance" of the US dollar are fueling a rapid shift to other currencies. Yoong's personal experience and insights on using more Chinese and ASEAN currencies in cross-border transactions reflect how ASEAN countries are gradually reducing their dependence on the US dollar to cut transaction costs, enhance efficiency and mitigate the impact of foreign exchange fluctuations. ASEAN leaders have committed to promoting local currency settlements, as stated in the ASEAN Economic Community Strategic Plan 2026-2030 adopted at the 46th ASEAN Summit held on May 26 in the Malaysian capital city Kuala Lumpur. The regional bloc aims to deepen financial integration and inclusion through several measures such as liberalising capital accounts to facilitate seamless cross-border investments and financing, strengthening regional payment connectivity and promoting local currency settlements. Enhancing payment connectivity is also seen as aiding trade and investments in the region. The strategic plan was formulated at a time when the US dollar, which has long dominated global trade and investment, was sinking to multi-year lows. On April 21, for example, the US Dollar Index fell to a three-year low following US President Donald Trump's criticism of Federal Reserve Chair Jerome Powell. On June 26, the dollar sank to a fresh three-year low on the back of a report that Trump was considering nominating the next Fed chair early or a few months before Powell's formal departure in May 2026. Fragility underscored Dutch investment bank ING said the escalating tensions in the Middle East "underscored the recent fragility" of the US dollar. "A spike in geopolitical risk and oil prices should have sent an oversold and undervalued dollar soaring, but the support for the greenback was instead small in size and duration," ING said in its research paper on June 26. Nawazish Mirza, a professor of finance at the Excelia Business School in France, said by allowing direct payments in local currencies, ASEAN states have reduced their reliance on intermediary currencies such as the US dollar, and this has led to lower transaction costs, reduced exchange rate risks, and enabled faster settlement times. Mirza said ASEAN's move toward de-dollarisation has been "unmistakable" over the last two years. He noted that in 2024, the share of intra-ASEAN trade settled in local currencies was above 25 percent, compared to less than 10 percent in 2019. While the US dollar remains dominant overall, accounting for over 70 percent of global trade invoicing, ASEAN's initiatives to promote local currencies and the renminbi are gaining traction, he said. Mirza said policies such as currency swap lines, bilateral local currency settlement agreements, and digital payment innovations, are making non-dollar settlements more viable and attractive. "The speed of this transition will depend on sustained market confidence, liquidity, and the stability of these alternative currencies," he said. Ying Jian, principal strategist at Bank of China's Hong Kong Financial Research Institute, said Chinese enterprises are the "most active participants and promoters" of the international use of the renminbi, and their growing presence in ASEAN has spurred demand for renminbi settlement, trading and financing. In a research paper published in 2024, Ying wrote that in 2023, the renminbi cross-border receipts and payments for trade in goods between ASEAN and China exceeded 2 trillion yuan ($279 billion) for the first time, or 47.8 percent higher than the level in the previous year, and accounted for over 30 percent of the total bilateral trade. Ying also noted that China supports ASEAN's move to explore local currency settlement. The People's Bank of China, the nation's central bank, has signed bilateral currency swap agreements with the central banks of Thailand, Malaysia, Indonesia and Laos. Mirza also hailed ASEAN countries' decision a few years ago to implement a QR code payment system that allows direct payments in local currencies, noting this represents a "significant leap" for ASEAN's regional integration. As early as 2020, Cambodia and Thailand launched a cross-border QR payment system. Singapore's payment linkage with Thailand was established in 2021, and it launched a pilot with Indonesia in 2022. Five Southeast Asian central banks — Indonesia, Malaysia, the Philippines, Singapore, and Thailand — signed a memorandum of understanding on regional cross-border payments ahead of the G20 summit held in Bali, Indonesia, in November 2022. Payment connectivity At the 42nd ASEAN Summit held in May 2023 at Labuan Bajo, Indonesia, ASEAN leaders signed an agreement to advance regional payment connectivity and promote local currency transactions. "The QR interoperable payment system is the way to go," said Joanne Lin Weiling, a senior fellow and co-coordinator of the ASEAN Studies Center at the ISEAS-Yusof Ishak Institute in Singapore. She said this system promotes regional integration and trade and enhances the region's resilience against external headwinds, including growing trade protectionism. Lin, who has used digital wallets while traveling around the region, can personally attest that a QR code payment system is "quicker, more convenient and easily accessible by all citizens as long as they have a smartphone, and bank account that is linked to QR payment". Kriengsak Chareonwongsak, president of the Bangkok-based Institute of Future Studies for Development, said it is crucial for countries like Thailand to promote the use of renminbi to facilitate cross-border payments, given ASEAN's strategic economic ties with China. He cited Bangkok Bank, which is the first Thai bank approved by China's central bank to become a direct participant in China's CIPS. In a statement released in April, Bangkok Bank said becoming a direct participant allows it to facilitate direct international transactions in renminbi via CIPS. This reduces transaction time and ensures faster payments, the bank said. "If they reduce the use of the US dollar (in international transactions), where do they go? They have to go for alternatives. And renminbi is one alternative," he said. For Mirza of Excelia Business School, the main benefits of using the renminbi include reduced foreign exchange costs, diversification of reserves, and closer trade links with China. "Furthermore, while the People's Bank of China has signed several bilateral swap agreements with ASEAN central banks, the operationalisation of the renminbi as a primary settlement currency still lags behind the US dollar in scale and acceptance. For ASEAN, the key is balancing diversification with financial stability, especially as renminbi's full internationalisation remains a gradual process," he said. - China Daily/ANN
Indian Express
3 days ago
- Business
- Indian Express
Why US crackdown on transshipment could have consequences for India
A key element in the flurry of reciprocal tariff letters the United States has sent to countries deeply integrated with its economy, be it Canada and South Korea — or those with close economic ties to China, such as Thailand and Malaysia in the Association of Southeast Asian Nations (ASEAN) region — is the threat of steeper tariffs on transhipped goods. Washington DC views this as a backdoor route for Chinese products to enter its market. Transhipment in trade parlance refers to the practice of importing products from one country and exporting them to another, usually without significant processing or value addition. Indian experts suggest that, in India's case, the US could invoke stringent 'rules of origin' provisions under the trade agreement to discourage the entry of Chinese goods into the US via India. But India's reliance on Chinese products across industry could pose a significant problem while dealing with the US. The Trump administration's crackdown on rerouted goods, which previously allowed countries like Vietnam to serve as conduits for Chinese exports into the US, could extend to India as US Vice President JD Vance during his visit to India in April, issued a veiled warning to New Delhi, stating that the US seeks partners committed to working with America to build things —'not those who merely allow themselves to become conduits for transhipping goods from elsewhere'. This assumes significance for India as its dependence on China has increased sharply, particularly since the Covid-19 pandemic. To be sure, Chinese exports have surged globally — including to the US — following the pandemic, as production in China remained relatively stable while the rest of the world faced disruption. Official trade data indicates a simultaneous rise in imports from China and exports to America. Data from the Commerce and Industry Ministry showed that India's exports to the US in April rose 27.31 per cent to $8.41 billion, up from $6.61 billion in April last year. At the same time, imports from China increased by a comparable margin — up 27.03 per cent to $9.90 billion, compared to $7.79 billion a year earlier. A similar pattern emerged in March, as concerns grew over the possibility of steeper Trump-era tariffs on Chinese goods relative to Indian ones. India's exports to the US jumped 35 per cent to $10.14 billion, while imports from China rose 25.02 per cent to $9.67 billion. During FY25 as a whole, India's exports to the US rose 11.59 per cent to $86.51 billion, while imports from China increased 11.52 per cent to over $113 billion. However, in June the imports from China surged 2.48 per cent but exports to the US jumped 23.53 per cent. This comes amid an increased number of anti-dumping duties that India has begun imposing on high value items such as steel and other industrial goods from China. Decoupling from China has been a slow and painful process even for the US. For India — which aims to expand its manufacturing base to create jobs for its large population — the challenge is even greater. Despite opting out of the China-led Regional Comprehensive Economic Partnership, India's imports from China have continued to surge, surpassing $113 billion in FY25. While poor logistics and a lack of industrial expertise are often cited as reasons why India's manufacturing sector has struggled, the imbalance in the Chinese economy also played a role. The lower cost of Chinese goods has disrupted several Indian industries. In the renewable energy sector, where domestic solar cell manufacturers have struggled to compete with Chinese imports. Chen Gang, Assistant Director and Senior Research Fellow at the National University of Singapore, notes in his report China's Consumption Dilemma in the Age of Trump that 'China's economy has been notoriously imbalanced, characterised by low domestic consumption and an overreliance on export and investment.' China's 'state capitalism has an innate tendency to focus on the 'supply side' instead of the 'demand side',' Gang wrote in his report for the Hinrich Foundation. He adds that this approach has led to 'enormous industrial capacity subsidised by the state but detached from real market demand.' Policies such as 'dual circulation', aimed at promoting self-sufficiency, have inadvertently 'exacerbated industrial overcapacity rather than alleviated it'. That surplus capacity, in turn, has driven Chinese producers to aggressively seek external markets—potentially distorting global trade and fuelling competitive pressures abroad. 'Since the end of its draconian pandemic restrictions, China's economy has struggled to rebound amid weak demand, excess savings, debt crises, and falling property prices and investment,' the report said. 'Economists are urging Beijing to shift focus to boosting consumer demand and away from a debt-fuelled, investment-led model that funnels resources into export-oriented manufacturing at the expense of households.' Ravi Dutta Mishra is a Principal Correspondent with The Indian Express, covering policy issues related to trade, commerce, and banking. He has over five years of experience and has previously worked with Mint, CNBC-TV18, and other news outlets. ... Read More
Hindustan Times
3 days ago
- Business
- Hindustan Times
Spike in imports raises trade diversion concerns
NEW DELHI: India has initiated investigations into an unusual spike in a month in imports of over a dozen products from countries including China, Malaysia, Indonesia, Bangladesh and Nepal, even as the world witnesses large-scale trade diversion because of the US tariff barriers, government officials said. The world's largest container ship, MSC IRINA, is berthed at Vizhinjam port in Thiruvananthapuram, on June 9, 2025. (AP FILE) At least 14 products are under the scanner, including different chemicals, steel tubes, various types of glasses, jute items and paperboards, said a commerce ministry official who asked not to be named. 'Industry bodies, sectoral ministries and government agencies are on high alert to report any unusual import surge due to trade diversion. Based on their inputs, the government will conduct an investigation and take remedial action immediately to protect domestic units,' he added. There has been a sharp 35% decline in Chinese exports to its biggest market, the US in May after the Trump administration announced ' Liberation Day' tariffs from April 5. Despite that China's total exports saw a positive growth, raising suspicion that some of its America-bound merchandise is now being diverted to other markets, a second official said. Prime facie, most of these merchandise originate from China and are shipped via those countries that have favourable trade relationship with India, this person added, requesting anonymity. 'For example, there is an import surge of textured tempered coated and uncoated glass from Malaysia and virgin multi-layered paperboard from Indonesia. It is suspected that some of them originated in China and entered India through Asean FTA.' The Asean-India Trade in Goods Agreement (AITIGA), signed by the then commerce minister Anand Sharma on August 13, 2009, has become a sore point between India and the 10-member block Association of Southeast Asian Nations (Asean). After finding that India-Asean trade deficit surged post AITIGA from from a mere $5 billion in 2010-11 to $43.57 billion in 2022-23, the Modi government has insisted on review of its terms, such as rules of origin (ROO). Negotiations are still on between the two parties despite nine rounds of meetings. 'Talks are progressing in a positive direction and we expect to resolve all issues by the end of this year,' a third official with direct knowledge of the matter said. The 10th round of India-Asean review talks is expected to be held in New Delhi in mid-August. The matter could be resolved by October when a final round (the 11th) of talks will take place in Malaysia, he added. While plugging loopholes in old trade agreements such as the FTA with Asean is a medium-term objective, India is also taking anti-dumping measures against any large-scale trade diversions to India, the second official said. 'The commerce ministry is providing data and information on a regular basis to line ministries to ascertain any surge in imports.' The ministry of commerce and industry plans to launch a monthly 'Global Trade Watch' soon, focusing on product-specific and country-specific trade strategy, the first official said. The monthly report will be circulated within the ministry from next month so that they will factor-in global opportunities and threats and monitor any unusual import surge in their respective domains, he said. Meanwhile, the Directorate General of Trade Remedies (DGTR), the erstwhile Directorate General of Anti-dumping and Allied Duties, has already initiated anti-dumping investigation on imports of thermoplastic polyurethane-based paint protection files, Broms OTBN, and para-tertiary butyl phenol coming from China.
