# ASEAN’s Balancing Act: Navigating Economic Nationalism and Development

- Link: https://www.thailand-business-news.com/asean/128476-aseans-balancing-act-navigating-economic-nationalism-and-development
- Published: 2024-02-29T12:54:33+07:00
- Author: East Asia Forum

**ASEAN trade with China is increasing, leading member states to balance protectionism
with liberalization in the global market.**

In 2023, ASEAN trade showed three main trends: reduced intra-regional transactions,
increased reliance on external partners like China, and continued complexity of 
trade agreements. There are also emerging patterns of protectionism and resource
nationalism. As ASEAN countries adjust to the fast-paced global market, they will
continue to balance protectionist measures with further liberalization in 2024 and
beyond.

ADVERTISEMENT

## ASEAN Economic Growth in 2023

ASEAN is the world’s economic dark horse, poised to become a global centre of growth.
As member states heavily rely on trade, it is essential to analyze the development
of ASEAN trade in 2023.

## Intra-ASEAN Trade Trends

In 2023, despite efforts to promote intra-regional trade, most of ASEAN’s trade 
remained with extra-regional countries.  The percentage of intra-ASEAN trade in 
relation to member states’ total trade [experienced a decline](https://data.aseanstats.org/trade-quarterly)
from 22.5 per cent in the first three quarters of 2022 to 21.8 per cent in the corresponding
period in 2023.

### Related**Posts**

###  󠀁[What Would an ASEAN-Canada Free Trade Agreement Mean for Foreign Investors?](https://www.thailand-business-news.com/asean/331504-what-would-an-asean-canada-free-trade-agreement-mean-for-foreign-investors)󠁿

###  󠀁[Offering incentives for companies on the Green List with the IDX Green Equity designation](https://www.thailand-business-news.com/asean/indonesia/331229-offering-incentives-for-companies-on-the-green-list-with-the-idx-green-equity-designation)󠁿

###  󠀁[Indonesia Representative Offices: What They Can and Cannot Do](https://www.thailand-business-news.com/asean/324537-indonesia-representative-offices-what-they-can-and-cannot-do)󠁿

###  󠀁[Vietnam Emerges as the European Union’s Top Trading Destination Within Southeast Asia](https://www.thailand-business-news.com/european-union/331200-vietnam-emerges-as-the-european-unions-top-trading-destination-within-southeast-asia)󠁿

## Increasing Trade with China

Trade between China and ASEAN is set to grow significantly, with China emerging 
as a crucial trading partner for many ASEAN member states. This trend is driven 
by geopolitical tensions and Southeast Asia’s role as a trade transit corridor.

ASEAN is the third-largest economy in Asia and the fifth-largest in the world. It
is a significant emerging market with high consumption potential, making it crucial
for China to address issues related to weak domestic demand and overcapacity in 
production.

## Future of ASEAN Trade

As ASEAN continues to navigate global trade dynamics, the region’s increasing reliance
on China, proliferation of FTAs, and concerns over economic nationalism are expected
to shape trade trends in 2024 and beyond.

**Read original article here :** : [ASEAN’s trade-off between economic nationalism and development](https://eastasiaforum.org/2024/02/24/aseans-trade-off-between-economic-nationalism-and-development/?rand=86372)