The Changing Map of Growth: Why East Asia and the RCEP Are More Important Than Ever

The RCEP region, led by ASEAN+3, is becoming a significant global economic center. Key focuses include deepening regional integration, enhancing supply chains, managing risks, and driving global growth.

RCEP’s Growing Influence

At the 1st RCEP Business and Investment Summit on September 9, 2026, AMRO Director/CEO Yasuto Watanabe underscored the influential role of the Regional Comprehensive Economic Partnership (RCEP) within the global economic landscape. Initially contributing just 20% to the global GDP in 1990, the RCEP region’s share ascended to 28% by 2025, rivalling North America and outpacing the Eurozone. With 30% each of the world’s population and trade, RCEP, driven primarily by ASEAN+3 (comprising ASEAN, China, Japan, and Korea), has become a pivotal economic area. Representing 92% of RCEP’s GDP, ASEAN+3 is essential to understanding future trajectories.

Regional Dynamics and Global Integration

Watanabe highlighted the progression in ASEAN+3’s economic integration, marked by developing denser supply chains and emerging as a significant demand source. Formerly known as “the world’s factory,” the region has transitioned into a dynamic market contributing to global demand, rising from 20% in 2000 to 27.5% by 2024. Investment interconnectivity further strengthens regional ties, simultaneously enhancing skills and technology through capital flows. While global forces remain influential, regional factors now equally account for ASEAN+3’s economic variations. This intricate network of investment, trade, and demand underscores both opportunities and vulnerabilities within the region’s interdependencies.

Balancing Integration with Resilience

Addressing the inherent risks of intense specialization, Watanabe emphasized the need for a balanced approach to integration within RCEP. The region’s move to higher-value supply chains has led to dependence on select partners, highlighting the hidden risks of concentration. The solution is not reducing integration but enhancing it through broader, more diversified links, sound policies, and robust regional safety nets. Ensuring economic connections remain resilient amidst shocks is vital. If successful, ASEAN+3 will not only continue as a significant global growth driver but also serve as a robust anchor for the world economy, affirming its critical role and potential in shaping economic futures.

Source: The New Geography of Growth: Why East Asia and RCEP Matter More Than Ever – ASEAN+3 Macroeconomic Research Office