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ASEAN-Australia Trade and Investment: New Economic Power That The World Is Unaware Of

    ASEAN-Australia Special Summit 2018 (Setnasasean)
    ASEAN-Australia Special Summit 2018 (Setnasasean)

    ASEAN – In the middle global phenomenon, ASEAN’s regional economic recovery proceeds continuously. It is supported by its location at the center of the Indo-Pacific as the strategic location for international trade.

    ASEAN trading movements show commitment with constant agreement reform by ASEAN Economic Community (AEC). The agreement’s content includes regional economic integration, transparency, and removal of transaction restrictions.

    ASEAN Economic Community Table (Invest ASEAN Photo/File)
    ASEAN Economic Community Table (Invest ASEAN)

    The AEC agreement simplifies ASEAN trade. It has been proven that the US chose ASEAN as an export destination after Canada, Mexico, and China. Indeed, ASEAN markets were open for agricultural products, chemicals, transportation equipment, electronics products, and industrial processes.

    Further, ASEAN takes sides with investors through open occasions on the newest industries for a stronger global supply chain. With consistency to unite access to data and information that predicts the next business potential in mind, especially for investors. ASEAN is committed to improving fair procedures on trade and is open to conference negotiations with partners.

    These facets are what drove Australia to choose ASEAN as a trade and investment partner. In a speech delivered by Senator The Hon Penny Wong in a statement to the ASEAN-Australia Ministerial meeting, he said, “It was a Labor Government, under Gough Whitlam, who originally negotiated for Australia to be an ASEAN Dialogue Partner in 197. And as Foreign Minister in the Albanese Labor Government, I will seek to continue the deep ties between Australia and ASEAN. It is a source of great pride to Australia that we have established a Comprehensive Strategic Partnership with ASEAN.”

    Relative to this, ASEAN responded positively by raising 8 pillars covering trade and investment at the ASEAN Business Advisory Council in Jakarta on 30 January 2023. It is no coincidence that the pillars of trade and investment are also Australia’s vision listed in the Plan of Action to Implement the ASEAN-Australia Strategic Partnership.

    Based on the final ASEAN-Australia Plan of Action (POA) in 2015-2019, there are several specific points regarding Australia’s strategic participation in international transaction security. These points include capital market development facilities, technical assistance to address barriers to financial integration, and regulations for international payment and remittance services.

    The WA-ASEAN Trade and Investment Dialogue 2019 (Perthusasia Photo/File)
    The WA-ASEAN Trade and Investment Dialogue 2019 (Perthusasia)

    Those plans were finally implemented in conduct of The WA-ASEAN Trade and Investment Dialogue 2019. The dialogue aimed to develop connectivity between Western Australia and Southeast Asia within the technology and infrastructure scope.

    Whereas in the Plan of Action in 2020-2024, ASEAN-Australia focuses more on improving regulations for more inclusive economic growth. The goal is to create more digital trade and investment opportunities.

    ASEAN-Australia-New Zealand Upgrade Negotiations (ASEAN Photo/File)
    ASEAN-Australia-New Zealand Upgrade Negotiations (ASEAN)

    These efforts were reaffirmed at the 40th and 41st ASEAN Summit in Cambodia on 13 November 2022. The conference emphasized that inclusivity must be demonstrated by the involvement of micro, small, and medium enterprises and the smooth flow of goods in periods of crisis.

    The series of discussions, plans, and actions mentioned above are clear evidence of the seriousness of ASEAN-Australia to strengthen economic development as a form of global transition and adaptation. The hope is that ASEAN-Australia relations can continue to experience sustainability.

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