ASEAN Remains Key Region For American Businesses -- US-ASEAN Business Council

By Anas Abu Hassan

KUALA LUMPUR, Sept 29 (Bernama) -- The ASEAN region continued to be one of the most valuable markets for American businesses, albeit amid ongoing shifts in the United States (US) trade policy, said the US-ASEAN Business Council.

Its executive vice-president Marc Mealy noted that businesses are now looking for more certainty, and while ASEAN countries may be pursuing more bilateral free trade agreements, the US government has adopted a very different type of trade policy.

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"The one thing I would definitely say is Southeast Asia remains one of the most valuable places for American business in the world. That has not changed, even with the change in US government policy.

"To the degree that both sorts of policy directions play out, people can see where they are and then evaluate the real opportunities they still want to pursue," he said on Bernama TV's 'The Nation' programme today, held in conjunction with the conclusion of the 57th ASEAN Economic Ministers’ (AEM) Meeting.

According to Mealy, most American businesses observe that Southeast Asian governments are continuing to pursue bilateral and plurilateral free trade agreements, with some countries also considering membership in the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP).

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"We have encouraged this. Countries in Southeast Asia are seeing the value of pursuing trade diversification, trying to make sure that producers and manufacturers here have the whole world to compete for their exports.

"Now, given the change in US trade policy, this is the perfect time for governments like Malaysia to diversify their trading relationships wherever they see opportunities for their producers and manufacturers," he added.

On the Regional Comprehensive Economic Partnership (RCEP), Mealy believed that more American businesses are now taking a serious look at how they might leverage the agreement to expand commercial activities across the Asia-Pacific region.

He said RCEP offers additional opportunities for American companies based in Southeast Asia, as it provides greater market access to Japan, China, South Korea, New Zealand and Australia.

"The fact that it is a very large preferential free trade area represents an alternative framework for businesses of all types, enabling countries in Asia to sell goods in a free trade environment," he added.

-- BERNAMA