Singapore urges ASEAN to compete against China

Singapore urges ASEAN to compete against China

Singapore's trade and industry minister said Friday that Southeast Asian countries should adopt a common stand in competing against China.

George Yeo, speaking to reporters after meeting businessmen in the northern Malaysian city of Penang, said that the Association of Southeast Asian Nations could "give China a run for her money" if the group's 10 member countries and 500 million consumers came together.

"If we stay compartmentalized and have different standards, ASEAN will be in a difficult position," Yeo was quoted as saying by the Malaysian news agency, Bernama.

With a cheaper labor force and fast-growing economy, China has been bleeding foreign investment away from Southeast Asian nations in recent years and is expected to widen the gap since recently joining the World Trade Organization.

Yeo said that Southeast Asian countries could focus on their competitive advantages with Thailand providing raw materials, for example, or Indonesia workers.

ASEAN, which is in the process of implementing an internal free-trade area, comprises Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, the Philippines, Singapore, Thailand and Vietnam. -- AP