ASEAN Summit saw diplomatic and economic breakthroughs, say analysts

The ASEAN Summit concluded on Tuesday, March 27, after a series of high-level engagements aimed at reinforcing regional cooperation and strategic partnerships.

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Volunteers taking pictures on the last day of the 46th ASEAN Summit, at the Kuala Lumpur Convention Centre in Kuala Lumpur. PHOTO: THE STAR

May 29, 2025

PETALING JAYA – The Asean Summit saw diplomatic and economic breakthroughs, besides stronger ties with China and the Gulf Cooperation Council (GCC), underscoring the region’s growing ability to navigate complex global challenges under Malaysia’s leadership, say analysts.

Asian Strategy and Leadership Institute chief executive officer Danial Rahman said the inaugural Asean-GCC-China Summit, which ran concurrently with the 46th Asean Summit, was significant in light of the Middle East trip by US President Donald Trump earlier this month.

“The GCC countries are well aware of the ongoing global nuances, so by participating in the Asean-GCC-China Summit, it shows that they see Asean as a vital and neutral bridge with China and the wider Indo-Pacific,” he said when contacted yesterday.

The Asean Summit concluded on Tuesday after a series of high-level engagements aimed at reinforcing regional cooperation and strategic partnerships.

Held under Malaysia’s 2025 Asean Chairmanship themed “Inclusivity and Sustainability”, the two-day summit included the 2nd Asean-Gulf Cooperation Council Summit, the inaugural Asean-GCC-China Summit and the 16th Indonesia-Malaysia-Thailand Growth Triangle (IMT-GT) Summit.

The summit also saw Asean, GCC and China reaffirming their commitment to deepen cooperation across broad areas, charting a united and collective path towards a peaceful, prosperous and equitable future.

Prime Minister Datuk Seri Anwar Ibrahim also announced on Tuesday during the summit that he had written to Trump, seeking his support for an Asean-US meeting.

Other key highlights include the signing of the Kuala Lumpur Declaration on Asean 2045 and the formal admission of Timor-Leste as Asean’s 11th member by October.

It also made known bold initiatives on digital economy and green financing and a firm, united stance on regional issues such as those related to the South China Sea, the Myanmar crisis and broader global conflicts.

The upgraded Asean-China Free Trade Area (ACFTA) 3.0 and the revised Asean Trade in Goods Agreement (Atiga) are slated to be signed at the 47th Asean Summit to be held in October in Kuala Lumpur.

Danial said ties with the GCC were pragmatic, while relations with China remained crucial for trade, investment and regional peace and stability.

“The GCC nations, which in recent times have been playing a key role as peace negotiators in the volatile Middle East, in turn are able to strengthen their bond with Asean.

“China, on the other hand, with its premier as leader of the delegation, has stayed on its consis­tent path of engagement and charm offensive,” he said, noting that Chinese President Xi Jinping had a recent tour of some South-East Asian countries.

“If at all, it sends a signal to the US of the robustness of the Asean region. Hence, the invitation to Trump for a US-Asean summit should be viewed in a new light,” said Danial.

He also said Asean’s principle of centrality had remained firm.

“On this point, some have criticised the idea of an ‘Asean response’ to the tariff issue because the US has traditionally only engaged with individual nations.

“But some of these critics missed a critical point. If Asean does not behave as a cohesive bloc, then they’ll forever be divi­ded.

“Leveraging on collective economic strength and potential will be one of Asean’s key strategic advantages, not just economically but also security-wise,” added Danial.

He noted that the estimated total gross domestic product (GDP) of all Asean states amoun­ted to about US$3.6 trillion (RM15.2 trillion).

This is projected to grow to about US$4 trillion (RM16.9 trillion) with well over 450 million middle class consu­mers.

“So, even if the US refuses to engage with an Asean bloc, Asean must set the precedent to go in as one with a united voice on key regional economic issues,” he said.

He said in the medium to long term, Asean is expected to mirror European Union’s market-style approach, which has proven influential in setting high standards for trade, sustainability and growth.

This had reshaped how investors, businesses and governments across the United States, Africa and Asia approach policies, products and regulations, Danial said.

“So, critics who say this will never happen have gotten it wrong. This is not just optimism, rather, it is pragmatism for continued Asean relevance and strength,” he said.

Universiti Malaya socio-political analyst Datuk Prof Dr Awang Azman Awang Pawi said the 46th Asean Summit marked a significant step forward in Asean’s long-term strategic vision and geopolitical positioning.

“The Kuala Lumpur Declaration on Asean 2045 articulates a bold and forward-looking agenda that aims to shape a resilient, innovative, dynamic and people-centred regional bloc by mid-century,” he said.

He said the KL Declaration provides a necessary strategic blueprint, and recalibrating external ties offers Asean room to maneuver in a complex global environment.

Aside from that, he said Timor-Leste’s impending admission signals Asean’s openness and inclusivity, though it brings challenges in terms of capacity-building and integration.

Awang Azman also pointed out that the commitment to digital economy and green financing underscores Asean’s awareness of structural transformation and its need to remain competitive amid the global tech and climate transitions.

The summit, he said, demonstrated improved coherence in addressing contentious regional issues, especially those linked to the South China Sea and the Myanmar crisis, although implementation remains the key test.

“The summit reiterated Asean’s Five-Point Consensus and showed stronger language regarding Myanmar’s junta,” he said.

He said that declarations must evolve into decisive and impactful policies on issues such as those on Myanmar or otherwise, Asean would risk being seen as a passive actor in its own region.

However, he highlighted several positive steps in addressing the Myanmar issue, including support for Asean’s Special Envoy mechanism and increased coordination with the United Nations and external partners.

“Moving forward, Asean must reconsider its consensus-based decision-making when dealing with humanitarian crises and breaches of regional norms, especially when such crises threaten Asean’s legitimacy and credibility,” he said.

“So, in summary, the 46th Asean Summit was progressive in vision but cautious in action.”

The summit, he said, showed ambition but its real success hinges on whether declarations are matched by enforceable policies, regional cooperation mechanisms and political will from all member states.

“Let us hope that under Malaysia’s leadership, these aspirations translate into bold execution and not mere diplomacy,” he added.

Amir Fareed Rahim, strategic director at risk consultancy KRA Group, said the summit projected Asean as a maturing economic bloc, grappling with an increasingly complex geopolitical and economic landscape.

“While there is progress on the economic side, especially on Atiga and ACFTA 3.0, Asean showed its limits on more complex issues like Myanmar,” he said.

Nonetheless, he said the summit focused on what matters at present, which is geo-economic challenges in light of the tariff war and its impact on Asean’s economic future.

“It is also being proactive by focusing on economic ties by being the bridge for economies like GCC and China,” said Amir Fareed.

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