When security meets economics: Asean's strategy amid global flux

The grouping has realised that security and economic challenges are intertwined and can no longer be treated separately.

- Liew Chin Tong and Dyah Roro Esti Widya Putri

2025 has been described as the year of geoeconomics ~ a time when economic and security issues have become inextricably linked. Around the world, governments are using trade, investment, resources and technology not just for growth, but as tools of strategic influence.

For Asean, this shift poses challenges but also offers opportunities.

The region’s ability to navigate these crosscurrents will determine how well it can sustain stability, investment and growth in the years ahead.

Over the past year, Asean has seen firsthand how global economic statecraft can reshape the region. From export controls to new industrial policies and competition in emerging technologies, major powers are shaping supply chains and market access in ways that can have ripple effects across Southeast Asia.

Asean cannot afford to stand still. Our shared prosperity depends on ensuring that the region remains open, competitive and resilient, while staying true to the principle of Asean centrality.

RESPONDING TO A MORE COMPLEX WORLD

Asean has acted to strengthen its capacity to manage these shifts. The recent Asean Economic Ministers’ and Leaders’ Statements reaffirmed the region’s commitment to economic integration, open trade and cooperation on critical areas such as digital transformation, sustainable finance and supply chain resilience.

These are not abstract commitments. They reflect Asean’s collective understanding that our economies are now more exposed than ever to the intersection between geopolitics and markets.