ASEAN chief urges ‘bold’ integration amid US tariff concerns

ASEAN must take “bold” steps to accelerate regional economic integration, according to the bloc’s Secretary-General Kao Kim Hourn, as escalating US tariffs disrupt global trade.

Speaking at an investment conference in Kuala Lumpur, he emphasized that ASEAN nations, heavily reliant on the United States as their main export market, have been deeply affected by President Donald Trump’s tariffs.

Kao called for decisive action to ensure ASEAN’s relevance and resilience in a rapidly changing global economy. He stressed the importance of maintaining a stable, predictable, and business-friendly environment as ASEAN faces pressure from the ongoing trade war.

Ahead of a meeting of ASEAN economic and finance ministers, as well as central bank governors, Kao warned that the region’s export-driven economies risk suffering further from the global trade conflict, with China imposing its own tariffs on the US.

While ASEAN nations have chosen dialogue over retaliation, they are seeking ways to diversify their markets and strengthen internal economic ties. Countries like Vietnam and Cambodia have been particularly hard-hit by US tariffs, with duties of 46% and 49% on their exports, respectively. Other ASEAN members have faced significant tariffs, including Laos (48%), Myanmar (44%), Thailand (36%), and Indonesia (32%). Malaysia, Brunei, the Philippines, and Singapore have faced lower but still impactful tariffs.

Kao urged ASEAN nations to act collectively to safeguard their place in an increasingly fractured global economy.