ASEAN

Definition: ASEAN (Association of SouthEast Asian Nations) is an organization of 10 Asian nations that promotes the economic growth of the member countries. Members include: Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, Philippines, Singapore, Thailand, and Vietnam. The group intends to form an EU-type common market by 2015. ASEAN has begun a five-year plan of action with China to expand free trade in information and communications technology. Tariffs were lowered in 2005, increasing trade by 24% to a total of $160 billion.

The multilateral trade agreements between ASEAN and its neighbors lessen these countries’ need for the World Trade Organization (WTO). Communication among these long-standing enemies in the name of trade means that these countries realize the preeminent importance of economic prosperity for all, regardless of ancient grudges and even democratic principles. A single-minded focus on economic goals will lead this region into continued prosperity for the long-term. (Source: ASEAN web site, Channel News Asia web site, China People’s Daily web site) <h3>Facts about ASEAN</h3> The 10 ASEAN countries are small: their total 2005 GDP was only $884 billion, compared to China’s $2.2 trillion, Japan’s $4.6 trillion, the U.S. $12.5 trillion and the EU's $13.5 trillion. However, their GDP growth rates were forecast by the IMF to be in the 5-6% range for 2007, vs. 2-3% for the U.S. (Source: IMF World Economic Outlook 2006)