Three forces in particular stand out: economic fragmentation, with diverging policies and standards reshaping trade flows; the reconfiguration of economic blocs, as partnerships are redrawn; and a surge in industrial output, driven by global overcapacity, that risks displacing Asean’s domestic industries.
The global trade map is being redrawn, and Asean has a window of opportunity to not just adapt, but to lead. The decisions taken now will shape whether the region continues as a passive recipient of external shocks or emerges as an active shaper of its own economic destiny.
Against this backdrop, Asean businesses are clear and vocal about what they need. Volatility is not new to the region — firms have navigated currency crises, trade disruptions, and shocks before — but the simultaneity and scale of today’s geoeconomic shifts have created a uniquely complex challenge.
