ASEAN Pushes for Strengthening Regional Trade Amid Middle East Conflict

Manila - Economic ministers from ASEAN countries have agreed on several steps to strengthen regional trade, supply chain resilience, and joint responses to external dynamics. This was approved at the ASEAN Economic Community Council meeting on Thursday (30/4), chaired by Philippine Trade Minister Cristina Roque, to discuss the economic impacts of the conflict in the Middle East. “We reaffirm the utmost importance of maintaining stable, secure, sustainable, and resilient global supply chains and maritime trade routes, especially for essential goods and services,” according to the joint statement on Friday. The economic ministers stated that their respective countries are committed to “strengthening intra-ASEAN trade and supply chain connectivity” through enhanced logistics coordination, timely information sharing, and ongoing consultations. They agreed not to impose unnecessary non-tariff measures during times of crisis and to strive to keep trade infrastructure open, such as land border crossings, airports, and ports. The ministers also supported the prompt ratification and implementation this year of the Second Protocol to Amend the ASEAN Trade in Goods Agreement. That protocol is an update to the original agreement to improve trade facilitation, dispute settlement, and transparency in the region. Furthermore, the economic ministers acknowledged that the Middle East crisis’s impacts on global energy markets, food security, and transportation are increasingly significant for businesses in Southeast Asia, particularly SMEs. They also viewed that ASEAN countries “may need” to implement emergency measures to address these challenges. Nevertheless, the ministers reminded that such measures must be “targeted, proportional, transparent, and temporary” and should not create unnecessary trade barriers, while remaining consistent with ASEAN rules and those of the World Trade Organization (WTO). The results of the Friday meeting, including key recommendations on regional preparedness, will be submitted by the economic ministers to ASEAN leaders at the 48th ASEAN Summit in Cebu, Philippines, on 8 May.