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  1. 1. ASEAN "One Vision, One Identity, One Community"HEADQUARTERS: JAKARTA,INDONESIAG. Seeta Devi501PGDM-IM
  2. 2. HISTORY ASEAN was preceded by an organisation called the Association of SoutheastAsia, commonly called ASA, an alliance consisting of the Philippines, Malaysiaand Thailand that was formed in 1961.The bloc itself, however, was established on 8 August 1967, when foreignministers of five countries – Indonesia, Malaysia, the Philippines, Singapore, andThailand met at Bangkok
  3. 3. China emerged as global export powerhouse. Increased global exportshare in most commodity groups.Both Malaysia and Philippines lost global market share. Malaysia: adjustment process;Philippines: apparent generalized loss of international competitiveness Singapore: global share holds steady despite high wages and increasedshare in HS 85, other tech intensive products; largest number of productsgained RCA (gross and net) during 2000s; second largest number ofproducts with RCA after Thailand Thailand: largest number of sectors with revealed comparative advantagebut largest number of net loss in RCA during 2000s Indonesia: strong in natural resources. Third largest number of products withRCA but largest number of net loss in RCA
  4. 4. The founding ASEAN countries believed that if they formed an association,something like the European Commission, they will have a better chance tonegotiate trade deals with more established economies such as Japan, US,China, India, etc, that will be beneficial to the region.It also aims to promote cooperation and peace amongst member countriesthrough various avenues such as sports, student exchange, ministerial visits,etc...
  5. 5. •Mutual respect for the independence, sovereignty, equality,territorial integrity, and national identity of all nations•The right of every State to lead its national existence free fromexternal interference, subversion, or coercion•Non-interference in the internal affairs of one another•Settlement of differences or disputes by peaceful manner•Renunciation of the threat or use of force•Effective cooperation among themselves.Objectives
  6. 6. ASEAN Political-Security CommunityThe objectives of the ASEAN Political-Security Community (APSC) are to ensure thatthe peoples and Member States of ASEAN live in peace with one another and withthe world at large in a just, democratic and harmonious environment. Activities in thiscommunity include cooperation on building norms of peace and security, strongrelationships with external partners, the promotion of political development in areassuch as good governance and human rights, as well as specific sectoral meetings ondefence, law, and transnational crime. Traditionally the APSC also includes the ASEANForeign Ministers, who serve core coordinating and decision-making functions inASEAN. As the first ministerial body created at ASEAN’s founding in 1967, the ForeignMinisters’ meeting was termed the ASEAN Ministerial Meeting (AMM). In 2009 withthe implementation of the ASEAN Charter, the Foreign Ministers functions wereseparated into their roles as the ASEAN Foreign Ministers (which retains the acronymAMM) and the ASEAN Coordinating Council.
  7. 7. ASEAN Economic CommunityThe objective of the ASEAN Economic Community (AEC) is to transform ASEAN into a regionwith free movement of goods, services, investment, skilled labour, and freer flow ofcapital. The AEC envisages a single market and production base making ASEAN moredynamic and competitive with new mechanisms and measures to strengthen theimplementation of its existing economic initiatives; accelerating regional integration in thepriority sectors; facilitating movement of business persons, skilled labour and talents; andstrengthening the institutional mechanisms of ASEAN. Initiatives under the AEC include theASEAN Free Trade Area, ASEAN Investment Area, and sectoral cooperation in the specificareas of energy, finance, agriculture and forestry, minerals, science and technology,telecommunications and IT, tourism, and transport.Enabling economic development throughout ASEAN is also an important objective of theAEC. With the enlarged membership of ASEAN came a new set of challenges. Cambodia,Laos, Myanmar and Vietnam were the last four members to join and were acknowledged tohave a significant development gap with the first six members. “Narrowing theDevelopment Gap” thus became an additional priority of ASEAN.
  8. 8. ASEAN Socio-Cultural CommunityThe ASEAN Social-Cultural Community (ASCC) contributes to realisingan ASEAN Community that is “people-centred and sociallyresponsible with a view to achieving enduring solidarity and unityamong the nations and peoples of ASEAN by forging a commonidentity and building a caring and sharing society which is inclusiveand harmonious where the well-being, livelihood, and welfare of thepeoples are enhanced.” Areas of cooperation in this communityinclude culture, arts and information, disaster management,education, environment, health, labour, rural development andpoverty eradication, social welfare and development, youth and civilservice cooperation.
  9. 9. External RelationsAnother essential aspect of ASEAN’s activities today is the development of closepartnerships with other countries. The simultaneous engagement of manyimportant countries with an interest in South East Asia forms part of ASEAN’sstrategy to remain in the driver’s seat in regional developments – ensuring thatthe region is stable and prosperous, and free from domination by any singleexternal power. The main instruments of ASEAN’s relations with its partners arethe promotion of norms of peace and conciliation, and the creation of a networkof economic agreements in the region.Today, ASEAN has established official dialogue relations with ten external partnersincluding Australia, Canada, China, the European Union, India, Japan, Korea, NewZealand, Russia, and the USA. ASEAN also has relations with the United Nationsand a sectoral partnership with Pakistan. At the regional level, ASEAN is thedriving force for forums including the ASEAN Regional Forum, ASEAN+3 (withChina, Japan and Korea) and the East Asia Summit (with Australia, China, India,Japan, Korea and New Zealand).
  10. 10. Strengths of member countries
  11. 11. 1. INDONESIAa. Indonesia is the third fastest growing economy in Asia.b. New Investment Law to attract foreign investment.c. Young and dynamic workforce with more than 50 percent of themare under 29 years old.a. Indonesia has abundant and diverse natural resources such ascrude palm oil, natural gas, tin, copper, nickel, gold, coal, cocoa.
  12. 12. 2. THAILANDa. Thailand enjoys a strategic location and serves as a gateway intothe heart of Asia.b. Abundant natural resources and a skilled and cost-effective workforce help attract foreign investors, and enable them to prosperand develop industry in Thailand.c. Good infrastructure with modernized transportation facilities, aswell as upgraded communications and IT networks that ensureoptimum business and living conditions.d. Thailand as the 12th easiest country in the world in which to dobusiness and has well defined FDI policies.
  13. 13. 3. MALAYSIAa. Malaysia has today become an export-driven economy spurred on by hightechnology, knowledge-based and capital-intensive industries.b. It became an attractive manufacturing and export base in the region withthe government’s support.c. Malaysia also offers a wide range of tax incentives for manufacturingprojects.d. High literacy rates.e. Leaders in rubber makersf. Malaysia can boast of having one of the most well-developedinfrastructure among the newly industrializing countries of Asia.
  14. 14. 4. SINGAPOREa. Singapore is a leading provider of services such as international banking,trade finance, maritime finance, insurance, treasury operations, andasset and wealth management within the region.b. This Republic is the least corrupt nation in Asia and one of the top threeleast corrupt countries in the world.c. Singapore keeps its tax rates and tax laws competitive and takes astrategic, holistic approach towards key pillars of the economy, such aspetrochemicals and electronics.d. The multi-cultural Singaporean workforce is highly educated, highlymotivated and highly productive.e. One of the worlds top transportation hubs for sea and air cargo.Singapores container ports are the busiest in the world.
  15. 15. 5. PHILIPPINESa. The literacy rate in the Philippines is 94.6 percent, among the highest inthe world.b. Philippines the worlds third largest English-speaking country.c. Different incentives schemes are available relative to attract foreigncapital and technology.d. Business friendly environment by privatising Government corporations.
  16. 16. THANK YOU…!