ASEAN 10 Creates New Community under Malaysia’s Chairmanship, Erects Wall
against India, China
Southeast Asian leaders signed
a declaration to formally establish an ASEAN community at a summit Sunday in
Kuala Lumpur in a milestone for regional integration.
The ten members of the
Association of Southeast Asian Nations (ASEAN) inked the 2015 Kuala Lumpur
Declaration on the Establishment of the ASEAN Community which will see a
community formed on 31 December 2015.
The move is a landmark
development for ASEAN, which was originally formed in 1967 with just five
members. It is a step towards realizing the idea of a three-pillared community
to deepen regional integration first proposed in 2003 comprising of-
Ø ASEAN Political and Security
Community;
Ø ASEAN Economic Community; and
Ø ASEAN Socio-Cultural
Community.
Even within the ASEAN Economic
Community (AEC), the most well-known pillar, the region is still far from
creating a truly single market and production base with a free movement of
goods and services. As of October 31, ASEAN had only completed 79.5 percent of a full AEC scorecard of over 600 measures.
In the Kuala Lumpur
Declaration on ASEAN 2025 charting the way forward for the community for the
next ten years. Malaysian Prime Minister Najib Razak, who hosted the summit, noted that the ASEAN
Community said that leaders had set the 2025 target to give them the necessary
time and space for even deeper integration.
In addition to the ASEAN
Community, the 27th ASEAN Summit also saw the adoption of a range of other
measures, including a convention against trafficking, a joint statement on
climate change, declarations on aging and higher education and regional plans
of action on eliminating violence against women and children.
At the end of the meeting, Najib handed over the rotating chairmanship of ASEAN to his
Laotian counterpart Thongsing Thammavong.
Laos will chair the regional grouping from January 1.
The ASEAN Summit also saw
several other related summits occur between ASEAN and its external partners which
also produced some notable outcomes. For instance, at the U.S.-ASEAN Summit,
the two sides upgraded their relationship to the level of a strategic
partnership. Japan and India were the others with whom ASEAN had summit meets.
Asean’s declaration and the recent
announcement of another gigantic regional trade agreement among some Pacific
Rim countries, the Trans-Pacific Partnership (TPP), are of interest to India.
The TPP too has kept China and India out. As of now, India has only
multilateral WTO for global trade. However, WTO too is struggling to survive as
the trade powers are looking RTAs after the floundering of WTO.
India’s challenges appear
daunting when dealing with regional trade blocs, in an account of lack of
competitiveness at home. Negotiators are forced to be defensive on account of this domestic concerns.
Concrete opportunities
The ASEAN community includes a
political, security and sociocultural dimension in a region with governments
ranging from communist in Vietnam and quasi-military in Myanmar, to the kingdom
of Brunei and the democracy of the Philippines.
It is the economic community
that offers the most concrete opportunities for integration in a region whose combined GDP would make it the world’s seventh-largest
economy.
At the summit in Kuala
Lumpur, Li Keqiang, China’s premier, called
on the Southeast Asian nations to set aside their differences as tensions rise
over the disputed South China Sea islands, the state news agency Xinhua said.
China, which claims almost the
entire energy-rich South China Sea, has been transforming reefs into artificial
islands in the Spratly archipelago and building airfields and other facilities
on some of them.
Vietnam, the Philippines,
Malaysia, Taiwan and Brunei also have territorial claims in the South China
Sea.
Integrating ASEAN economies,
intended to help the region compete with giants China and India, would create
the world’s seventh-largest single market.
Compared to the European
Union, the AEC is culturally and politically more diverse with various systems
of government including communism (Laos and Vietnam), a military junta
(Thailand), authoritarian (Cambodia), quasi-civilian (Myanmar) and a monarchy
(Brunei).
Corruption
In a number of the ASEAN states
corruption is considered endemic, a problem seen as hampering the economic
integration process.
“I did raise (this) with Prime
Minister Najib – as I have with many of the leaders
here in Southeast Asia, but and also many of the leaders in Africa, in Latin
American and everywhere we go” President Barack Obama told reporters in Kuala
Lumpur Sunday.
A new ASEAN-U.S. Strategic
Partnership announced during the summits in Malaysia outlines five priority
areas of engagement including expanding economic cooperation.