Quiet Powerhouse: The Remarkable Growth of ASEAN Nations
From a region once overshadowed by Cold War tensions to a current global powerhouse of diplomacy and commerce, ASEAN has traversed 56 years, establishing itself as the world's most successful and peaceful regional organisation despite internal and external diversity and challenges.
Referred to as the "silent giant," the Association of Southeast Asian Nations (ASEAN) possesses the potential to ascend as a global superpower in practical terms. Its diverse member nations’ (Brunei, Myanmar, Cambodia, Timor-Leste, Indonesia, Laos, Malaysia, the Philippines) Domestic Product of £3.2 trillion underpins its status as a dynamic economic and geopolitical force. Through strengthened economic integration, enhanced diplomatic collaboration, and the leveraging of collective strength, ASEAN can wield substantial global influence.
This transformation into an economic behemoth, set to claim the title of the world's fifth-largest economy according to HSBC, showcases the potential of unity amid diversity. ASEAN's success is intricately linked to its well-functioning internal system, with rapidly expanding consumer markets and its global status as a manufacturing and technology hub contributing significantly. While economic growth is a primary objective, the organisation also places substantial emphasis on social progress, cultural development, and a steadfast commitment to peace and security, often employing unanimous voting as opposed to majority voting. This collective mindset, contrasting with Western individualism, has been a key driver of ASEAN's ascent.
In a report by Mckinsey, projections for the year 2030 indicate that up to 70% of the Asian population will transition into the middle class, driven by technology proliferation and e-commerce growth in the region. This trend has opened doors for businesses to invest in Asian countries, reinforcing their economies. The successful adaptation to the digital age has not only fostered global competitiveness but also positioned Asia as a promising tech and startup hub. Despite economic challenges, such as the reliance on tourism and pandemic-induced disruptions, ASEAN's resilience and adaptability are evident as it diversifies into e-commerce and online businesses.
ASEAN's strength is deeply rooted in its global trade relationships, with the majority of its nations engaged with the World Trade Organization. The organisation's commitment to infrastructure development and connectivity projects empowers industries, enabling them to compete effectively on the global stage. Notably, ASEAN played a significant role in Asia's economic integration, establishing the Asian Free Trade Area in 1992 to stimulate intra-Asian trade and investment, create a single market, and attract foreign capital.
Moreover, ASEAN's adeptness in diplomatically navigating the US-China rivalry has made it a model for managing geopolitical competition, offering valuable insights for the developing world. As the global South prioritises economic development over entanglement in great power rivalries, ASEAN's ability to strike a harmonious balance between these forces positions it for continued ascendancy. Paradoxically, ASEAN's significant advantage lies in its inherent diversity and relative lack of dominance, making it non-threatening to major powers. In the global South, where most governments prioritise economic development and avoid aligning with either Beijing or Washington, ASEAN's heterogeneous nature resonates with the prevailing sentiment.
In essence, ASEAN's remarkable growth journey, spanning over half a century, highlights the power of unity, adaptability, and diplomatic finesse. As a dynamic economic force and a model for managing geopolitical tensions, it stands poised to shape the future of the global stage. ASEAN's legacy is one of resilience and promise, holding the potential to influence our world in profound ways.
Image courtesy of FCDO via Flickr, ©2023. Some rights reserved.
The views and opinions expressed in this article are those of the author and do not necessarily reflect those of the wider St. Andrews Foreign Affairs Review team.
