Other Briefings
Key Industries for Investment in ASEAN
As ASEAN continues its transition to greater economic integration with the implementation of the ASEAN Economic Community in 2015, the region is seeing strong growth in a number of industries. Among the key business areas are electronics, information and communications technology, textiles and apparel, and medical devices.
Thai Economy Sees Improvement Due to Increased ASEAN Integration
The level of Thailand’s imports and exports has expanded for the first time since April 2013. In year-on-year (YoY) comparisons, both imports and exports have increased. In the Ministry of Finance’s most recent report, June YoY comparisons show the total value of exports is up by 3.9 percent with improvements in both intra-ASEAN and European trade. After signs of slowing this past year, producer and consumer confidence also now appear to be improving.
McKinsey Sees Room for ASEAN Improvement and Future Growth
In its recent report on achieving sustained economic growth in Southeast Asia, the global management consulting firm, McKinsey, highlighted key areas for improvement in ASEAN, particularly the need to improve labor productivity, which still remains low.
ASEAN Tax and Regulatory Update
In this article we highlight some of the recent tax and regulatory actions taken in the ASEAN region. The importance of ASEAN continues to grow, with 2015 set to see the implementation of the ASEAN Economic Community (AEC). The AEC seeks to “transform ASEAN into a single market and production base, a highly competitive economic region, a region of equitable economic development, and a region fully integrated into the global economy.” Collectively, ASEAN represents a market of some 600 million people, with a combined GDP of about US$2.5 trillion and upwards of US$1.5 trillion in trade flowing throughout the region.
Economic Growth Puts Vietnam on Track to Become Largest ASEAN Supplier to the U.S.
The American Chamber of Commerce (AmCham) predicts that Vietnam will become the largest ASEAN supplier to the United States by the end of 2014 – with a net export value of around US$29.4 billion. This would be a historical achievement for a nation surrounded by supply giants. In fact, Vietnam is likely to become the wealthiest Southeast Asian country in terms of trade. Additional statistics indicate that bilateral trade with the United States will surge to US$57 billion by 2020, cementing Vietnam’s prominence as a valuable hub for foreign investment and trade.
EU-Singapore Finalize Free Trade Agreement
The European Union (EU) and Singapore have finalized their negotiations on a free trade agreement (FTA). Singapore expects that exporters of electronics, pharmaceuticals, chemicals, and processed food products will especially benefit from the completion of the FTA.
Trade Ministers Report Progress on Trans-Pacific Partnership (TPP)
Trade Ministers and Heads of Delegation for the nations involved in the negotiations over the Trans-Pacific Partnership (TPP) have reported significant progress in the talks over market access and trade and investment rules. The recent talks took place in Canberra, Australia on October 25-27.
ASEAN Update: Understanding the Geopolitics of the South China Sea Dispute
In recent years, the South China Sea has become a key area of concern for the ASEAN organization. In the face of an increasingly expansionary China, ASEAN has often seemed slow to react and unsure of what strategy it should pursue. While there are options in place, such as the Declaration on the Conduct of Parties in the South China Sea (DOC), there has been little unity in the actions of the ten member nations.
Outlook on ASEAN Investment 2015
Indonesia, Malaysia, and the Philippines are surging ahead of their regional neighbors, with FDI increases of 17, 19 and 20.4 percent, respectively, in 2013, according to Bank of America Merill Lynch. Meanwhile, Singapore continues to receive the lion’s share of total FDI in the region, which last year grew five percent to a net value of nearly US$64 billion. The city-state’s attraction for foreign investors derives not only from its often overlooked manufacturing base, but also as a channel for routing FDI into other locations in ASEAN.
ASEAN Briefing Wins the 2014 On The Edge Innovation Award
ASEAN Briefing and its parent organisation Dezan Shira & Associates has won the 2014 On The Edge Innovation award at the annual Leading Edge Alliance Global Conference.
