The Association of Southeast Asian Nations (ASEAN) Explained
article-820

The Association of Southeast Asian Nations (ASEAN) Explained

5 Min.

ASEAN is a group of ten countries in Southeast Asia that work together to increase economic growth and cultural ties. Since 1993, ASEAN has been creating the ASEAN Free Trade Area, which has led to a significant increase in trade. The organization aims to promote regional economic growth, social progress, cultural development, peace, stability, collaboration, and mutual assistance among member countries. However, the organization faces challenges due to differing national security stances and relationships with major global players like the United States and China.

Basics

ASEAN, short for the Association of Southeast Asian Nations, was established in 1967 through the Bangkok Declaration. Initially, it consisted of five member countries: Indonesia, Malaysia, the Philippines, Singapore, and Thailand. Its primary objectives were to defuse regional tensions and combat the spread of communism.

As ASEAN evolved, it broadened its membership to include communist states like Vietnam (1995) and Laos (1997), along with quasi-communist Cambodia (1999). Brunei joined in 1984, and Myanmar became a member in 1997. Additionally, a 1995 agreement established a nuclear-free zone in Southeast Asia.

Economic Growth and Trade

Since 1993, ASEAN has been working to create the ASEAN Free Trade Area, resulting in a remarkable surge in trade. According to the ASEAN report, the total merchandise trade within ASEAN increased from $790 billion in 2000 to $2.6 trillion in 2020. With a combined GDP of $3 trillion in 2020, ASEAN ranks as the world's fifth-largest economy, boasting a population of 661.8 million.

Core Objectives

ASEAN's core objectives, as outlined in its Declaration, include fostering regional economic growth, social progress, cultural development, peace, stability, collaboration, and mutual assistance among member countries. It also emphasizes cooperation in education, research, and agriculture.

Member Countries

ASEAN's membership has expanded since its inception, with the following member countries as of 2022:

Country

Joined

Brunei DarussalamJanuary 7, 1984
CambodiaApril 30, 1999
IndonesiaAugust 8, 1967
MyanmarJuly 23, 1997
Lao PDRJuly 23, 1997
MalaysiaAugust 8, 1967
The PhilippinesAugust 8, 1967
SingaporeAugust 8, 1967
ThailandAugust 8, 1967
VietnamJuly 28, 1995

The original five member countries are indicated in bold. Additionally, there's an organization called ASEAN Plus Three, which includes the original ten members and adds the People's Republic of China, Japan, and the Republic of Korea (South Korea).

ASEAN Fundamentals

Economic Focus

ASEAN aims to maintain control of the region, bolster its economic standing, and enhance its global security presence. It also encourages the preservation and development of each member country's distinct culture while fostering cross-border support networks.

Economic Initiatives

The establishment of the ASEAN Free Trade Area (AFTA) in 1992 was a pivotal step toward creating a single market within ASEAN, facilitating intra-ASEAN trade and investment. AFTA has led to significantly reduced tariffs, with some sectors experiencing substantial emphasis. The Regional Comprehensive Economic Partnership (RCEP) signed in 2020 expanded the economic sphere of ASEAN countries.

Impact of the Pandemic

The COVID-19 pandemic had a significant impact on ASEAN's economic landscape, with estimated losses in tourism and trade nearing $400 billion.

Security Challenges

While economic coordination has been relatively successful, security cooperation faces challenges due to differing national security stances. Key security concerns for ASEAN member countries include China's South China Sea claims, human rights issues, political repression, drug trafficking, refugee crises, natural disasters, and domestic and international terrorism.

The Myanmar Coup

The coup in Myanmar in 2021 further complicated ASEAN's security dynamics. Some member countries supported the violent overthrow, while others did not, leading to divisions within the organization. These internal disagreements are exacerbated by individual nations' unique relationships with China and the United States, prompting increased military development in some ASEAN nations.

ASEAN's Relationships

ASEAN's relationships with major global players are crucial to its stability and prosperity.

United States

The United States is the fourth-largest trading partner of ASEAN, with bilateral trade exceeding $307 billion in 2020. Although the U.S. withdrew from the Trans-Pacific Partnership (TPP), its partnership with ASEAN remains strong. The decision to exit the TPP had significant economic repercussions for other member nations.

China

China holds a central position in ASEAN's relations as a member of ASEAN Plus Three and its largest trading partner. Both parties have signed various agreements, emphasizing political-security, economic, and socio-cultural cooperation. However, tensions arise, such as disputes in the South China Sea, which can strain relationships within ASEAN.

A Brief History of the ASEAN

Founders

The five foreign ministers of Indonesia, Malaysia, the Philippines, Singapore, and Thailand are considered the founding fathers of ASEAN. They initiated the organization in 1967 through the Bangkok Declaration, based on a few simple articles aiming to promote cooperation in various fields and uphold principles of justice and the rule of law.

Formation

The conception of ASEAN emerged during a dispute between the Philippines and Malaysia, mediated by Thailand. Fearing the influence of other rising powers, the nations swiftly realized the need for collective action. The entire process, from the initial idea to the drafting of documents, took a mere 14 months.

Conclusion

The Association of Southeast Asian Nations plays a substantial role on the global stage, boasting economic strength and positioning itself between the United States and China. While it strives for prosperity, ASEAN faces challenges due to international differences. Its commitment to regional cooperation, economic growth, and security remains unwavering, as it navigates complex relationships with major global players. ASEAN's remarkable journey from its founding principles to its current standing highlights the organization's resilience and determination to foster stability and prosperity in Southeast Asia.

 

The Association of Southeast Asian Nations (ASEAN)
ASEAN Free Trade Area (AFTA)