Malaysia calls for stronger ASEAN integration to address U.S. trade pressures

Malaysian Foreign Minister Mohamad Hasan called on Southeast Asian nations on Sunday to accelerate regional economic integration, diversify their markets, and stay united to tackle the fallout from global trade disruptions resulting from sweeping U.S. tariff hikes, according to the Associated Press.

“ASEAN nations are among those most heavily affected by the U.S.-imposed tariffs. The U.S.–China trade war is dramatically disrupting production and trade patterns worldwide. A global economic slowdown is likely to happen,” Mohamad said. “We must seize this moment to deepen regional economic integration, so that we can better shield our region from external shocks.”

ASEAN countries, many of which rely on exports to the U.S., are reeling from tariffs imposed by President Donald Trump’s administration ranging from 10% to 49%. Six of the association’s 10 member nations were among the worst-hit with tariffs ranging from 32% to 49%. This would likely affect ASEAN’s targeted growth forecast of 4.7% this year, trade officials said.

ASEAN has not been able to secure a meeting with the U.S. as a bloc. But when U.S. President Donald Trump last month announced a 90-day pause on the tariffs, countries including Malaysia, Indonesia, Thailand, and Vietnam swiftly began trade negotiations with Washington.

The meeting of foreign ministers preceded a planned ASEAN leaders’ summit Monday in Malaysia, the bloc’s current chair. In a bid to bolster economic partnerships, ASEAN leaders also are scheduled to hold a joint summit on Tuesday with Chinese Premier Li Qiang and leaders from the Gulf Cooperation Council.

ASEAN’s unity is crucial as the region grapples with the impacts of climate change and disruption from the malevolent use of artificial intelligence and other unregulated techologies, Mohamad said, adding that ASEAN’s centrality will be tested by external pressure, including a superpower rivalry.

“External pressures are rising, and the scope of challenges has never had higher stakes,” he said. “It is therefore crucial that we reinforce the ties that bind us, so as to not unravel under external pressures. For ASEAN, unity is now more important than ever.”