The ASEAN Foreign Ministers' Retreat, a pivotal gathering in the ASEAN calendar, convened at the Langkawi International Convention Centre, Malaysia, over two days from January 18 to January 19. As the first high-level meeting hosted by Malaysia as the 2025 ASEAN Chair, the retreat emphasized the theme "Inclusivity and Sustainability." The convergence of foreign ministers from all ten ASEAN member states underscored the bloc's commitment to addressing pressing regional issues and advancing strategic initiatives.
Key discussions during the retreat revolved around the development of a regional power grid and the Digital Economy Framework Agreement (DEFA). The ASEAN power grid project emerged as a critical initiative aimed at facilitating energy sharing and enhancing cross-border electricity trade among member states. In line with this, the ministers deliberated on creating a completely integrated Southeast Asia power grid system to bolster regional energy resilience.
Alongside energy integration, the retreat highlighted digital transformation as a central focus. The DEFA seeks to position ASEAN as a leading digital economy, fostering cooperation and promoting inclusive growth and development. Projections indicate a significant expansion of the ASEAN digital economy, expected to soar from approximately US$300 billion to nearly US$1 trillion by 2030. In this context, discussions centered on establishing a regional digital payments system to interlink the digital payment infrastructures of all ASEAN member countries.
The retreat also addressed geopolitical dynamics impacting the region. Dr. Vivian Balakrishnan emphasized the necessity for ASEAN to engage major powers flexibly. He noted,
“all major powers in an omnidirectional principle” – Dr. Vivian Balakrishnan
Dr. Balakrishnan stressed the importance of maximizing strategic autonomy while avoiding entanglement in superpower rivalries.
“careful so that we don't become ensnared and tangled in superpower contestation, but at the same time, we maximise our strategic latitude, our right to choose our own destinies, and to do so by making common cause by adherence to long-held principles which lead to fairer and equitable and constructive outcomes for all of us” – Dr. Vivian Balakrishnan
The situation in Myanmar garnered attention, with some ASEAN member states engaging with Myanmar's military government independently. The approach underlined the complexities within the bloc in addressing internal challenges while adhering to ASEAN principles.
External pressures on ASEAN were another focal point of discussion. Dr. Balakrishnan remarked on the evolving geopolitical landscape, particularly in light of changes in U.S. policy directions.
“You first have to ask yourself why America is apparently changing direction, and … it's got to do with their own domestic sense of opportunity, of fairness and preparedness for the future” – Dr. Vivian Balakrishnan
He urged ASEAN not to indulge in labeling exercises but rather prepare for potential policy shifts with strategic adjustments.
“sort out its own domestic political policy arrangements” – Dr. Vivian Balakrishnan
As President Trump prepared for his inauguration on January 20, Dr. Balakrishnan expressed anticipation regarding forthcoming policies from the new U.S. administration.
“So we should not get into a labelling or pejorative exercise. President Trump will be inaugurated tomorrow (Jan 20). We look forward to his inauguration, and to the policies, and we will have to make the necessary adjustments even as he makes changes to his policies” – Dr. Vivian Balakrishnan
In his remarks, Dr. Balakrishnan also highlighted ASEAN's proactive role in integrating regional payment systems, citing examples of existing connections between Thailand, Malaysia, India, and Indonesia.
“In fact, ASEAN is taking the lead and our pioneering work in linking our payment systems to Thailand, Malaysia to India, Indonesia is also watching the space very closely. (This) Is another example of how ASEAN integration can often be a nucleus and working prototype of the future” – Dr. Vivian Balakrishnan
He underscored the significance of this initiative for ASEAN integration and future potential.
“That's why I view this as an important project. I view this as an important icon of ASEAN integration and of ASEAN potential for the future” – Dr. Vivian Balakrishnan
The retreat's discussions on regional integration and strategic autonomy reflect ASEAN's commitment to navigating external pressures while enhancing internal cohesion. By focusing on energy connectivity and digital transformation, ASEAN aims to reinforce its economic resilience and regional stability.
Leave a Reply