2025 News Snippet Indias Engagement With ASEAN East Asia Summit And Trade Agreements

In 2025, the Indian Prime Minister participated in the 19th East Asia Summit (EAS) held in Jakarta, Indonesia. The EAS, a forum for leaders to discuss strategic, political, and economic matters, includes ASEAN members and other key partners like Australia, China, Japan, India, New Zealand, South Korea, Russia, and the US. Simultaneously, the 5th Joint Committee Meeting convened in Jakarta to review the ASEAN-India Trade in Goods Agreement (AITIGA), which aims to reduce trade barriers and deepen economic ties. India currently faces a trade deficit with ASEAN.

India's Engagement with ASEAN: Navigating the East Asia Summit and Trade Dynamics in 2025

The year 2025 marked a significant juncture in India's ongoing diplomatic and economic engagement with the Association of Southeast Asian Nations (ASEAN) and the broader East Asian region. The Prime Minister's participation in the 19th East Asia Summit (EAS) in Jakarta, Indonesia, and the concurrent review of the ASEAN-India Trade in Goods Agreement (AITIGA) highlighted India's commitment to strengthening its ties with Southeast Asia, addressing trade imbalances, and contributing to regional stability and prosperity. These events were not isolated occurrences but rather integral components of India's "Act East Policy," a strategic framework designed to foster closer economic cooperation, cultural ties, and strategic relations with countries in the Asia-Pacific region. The summit and the trade agreement review offered a platform for India to advance its interests within a complex geopolitical landscape, characterized by the rise of China, the evolving role of the United States, and the persistent need for regional cooperation on a variety of pressing issues.

The East Asia Summit: A Platform for Dialogue and Cooperation

The East Asia Summit (EAS), established in 2005, stands as a premier forum for leaders to engage in strategic dialogue and cooperation on political, security, and economic issues. The EAS brings together the ten member states of ASEAN (Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, Philippines, Singapore, Thailand, and Vietnam) with eight dialogue partners: Australia, China, India, Japan, New Zealand, Russia, South Korea, and the United States. This composition makes the EAS a unique platform, encompassing a diverse range of countries with varying interests and strategic priorities. The summit provides a crucial space for these nations to address pressing regional challenges, exchange perspectives, and coordinate efforts on issues of common concern.

The EAS agenda typically focuses on six priority areas: environment and energy, education, finance, global health issues, natural disaster management, and ASEAN connectivity. These areas reflect the interconnectedness of the region and the shared challenges faced by its member states. Discussions on environment and energy, for example, address the need for sustainable development and the transition to cleaner energy sources. Education initiatives promote human capital development and facilitate the exchange of knowledge and skills. Finance-related discussions focus on promoting financial stability and cooperation. Global health issues, highlighted by the COVID-19 pandemic, underscore the importance of collaborative efforts to prevent and respond to health crises. Natural disaster management is crucial in a region prone to earthquakes, tsunamis, and other natural hazards. Finally, ASEAN connectivity seeks to improve infrastructure, transportation, and digital links within the region, fostering economic integration and facilitating trade and investment.

India's participation in the EAS is a cornerstone of its Act East Policy. The summit allows India to engage with key regional and global players, including major powers like China and the United States, on a range of critical issues. It provides a venue to articulate India's vision for the Indo-Pacific region, emphasizing a rules-based order, respect for international law, and the promotion of peace, stability, and prosperity. Through the EAS, India seeks to enhance its influence, build strategic partnerships, and contribute to the collective security and well-being of the region. The summit also offers an opportunity for India to promote its economic interests, including trade and investment, and to showcase its capabilities in areas such as technology, innovation, and human resource development.

The ASEAN-India Trade in Goods Agreement: A Balancing Act

The ASEAN-India Trade in Goods Agreement (AITIGA), signed in 2009, represents a significant milestone in the economic relationship between India and ASEAN. The agreement aims to reduce trade barriers, liberalize trade in goods, and deepen economic ties between the two sides. AITIGA focuses on tariff reductions and other measures to facilitate trade, including the elimination of non-tariff barriers, simplification of customs procedures, and the promotion of investment. The agreement covers a wide range of products, including agricultural goods, manufactured products, and raw materials.

The AITIGA has been instrumental in boosting trade between India and ASEAN since its implementation. However, the trade relationship has not been without its challenges. India has consistently faced a trade deficit with ASEAN, meaning that its imports from ASEAN have exceeded its exports to the region. This trade imbalance is a source of concern for India, as it can have implications for its overall economic performance and its ability to compete effectively in the global market.

The 5th Joint Committee Meeting to review the AITIGA, held in Jakarta in 2025, was a crucial step in assessing the agreement's effectiveness and identifying areas for improvement. The review process likely involved an analysis of trade flows, tariff structures, and non-tariff barriers. The committee would have examined the impact of the agreement on various sectors, including manufacturing, agriculture, and services. The review also presented an opportunity to address outstanding issues and concerns, such as the need for further tariff reductions, the elimination of non-tariff barriers, and the simplification of customs procedures. The goal of the review was to ensure that the AITIGA continues to serve its purpose of promoting trade and investment and to make it more responsive to the evolving economic landscape.

The review process is also influenced by the broader context of India's trade policy and its engagement with other regional and global trade agreements. India's approach to trade agreements is often characterized by a focus on balancing economic interests with strategic considerations. India seeks to negotiate agreements that are mutually beneficial, ensuring that its domestic industries are protected while also promoting its export competitiveness. The review of the AITIGA reflects this approach, as India seeks to find a balance between its economic interests and its strategic objectives in the ASEAN region.

Historical Context: India's Evolving Relationship with Southeast Asia

India's engagement with Southeast Asia is rooted in deep historical, cultural, and economic ties. For centuries, India has had extensive interactions with the countries of Southeast Asia, marked by the spread of Buddhism, Hinduism, and Indian cultural influences. These historical connections have laid the foundation for strong people-to-people links and a shared cultural heritage.

In the post-colonial era, India recognized the strategic importance of Southeast Asia and its role in shaping the regional and global order. During the Cold War, India maintained close ties with the Soviet Union but also sought to cultivate relationships with non-aligned countries in Southeast Asia. The formation of ASEAN in 1967 provided a new framework for regional cooperation, and India gradually increased its engagement with the organization.

The launch of India's "Look East Policy" in 1991 marked a turning point in its relationship with Southeast Asia. The policy was driven by several factors, including India's economic reforms, its desire to integrate with the global economy, and its recognition of the strategic importance of the Asia-Pacific region. The Look East Policy focused on strengthening economic cooperation, promoting cultural ties, and building strategic partnerships with the countries of Southeast Asia.

Over time, the Look East Policy evolved into the "Act East Policy," reflecting a more proactive and comprehensive approach to engagement with the region. The Act East Policy emphasizes not only economic cooperation but also strategic and security cooperation, cultural exchange, and people-to-people links. The policy is underpinned by a vision of a free, open, and inclusive Indo-Pacific region, where all countries can prosper and contribute to peace and stability.

India's engagement with ASEAN has been a central pillar of its Act East Policy. India recognizes ASEAN's centrality in the regional architecture and its role in promoting regional cooperation. India has established a comprehensive strategic partnership with ASEAN, encompassing a wide range of areas, including trade and investment, security, connectivity, and cultural exchange. India has also actively participated in various ASEAN-led forums, such as the EAS, the ASEAN Regional Forum (ARF), and the ASEAN Defence Ministers' Meeting Plus (ADMM-Plus).

Key Actors and Their Interests

Understanding the key actors and their respective interests is crucial for analyzing India's engagement with ASEAN and the broader East Asian region.

India: India's primary interests in the region are multifaceted. Economically, India seeks to expand its trade and investment, gain access to new markets, and enhance its competitiveness. Strategically, India aims to build partnerships to counter China's growing influence, promote regional security, and ensure freedom of navigation in the Indo-Pacific. Culturally, India seeks to strengthen its historical and cultural ties with the countries of Southeast Asia and to promote its soft power.

India's official position is that it is committed to strengthening its ties with ASEAN and promoting regional economic integration. India's actions include actively participating in the EAS, reviewing the AITIGA, and pursuing other trade and investment initiatives. India also engages in various security dialogues and cooperation mechanisms with ASEAN member states and other regional partners.

ASEAN: ASEAN's primary interests are to promote economic growth, maintain regional stability, and balance the influence of major powers. ASEAN seeks to deepen its economic and strategic partnerships with India, recognizing India's growing importance in the region. ASEAN's actions include hosting the EAS, negotiating and implementing trade agreements like AITIGA, and engaging in other cooperative efforts with India. ASEAN also seeks to maintain its centrality in the regional architecture and to promote its own vision for the Indo-Pacific region.

China: China's interests in the region are driven by its economic dominance, its desire to expand its influence, and its strategic competition with the United States. China actively participates in the EAS and seeks to expand its economic and strategic influence in the region. China promotes its own trade and investment initiatives, such as the Belt and Road Initiative (BRI), and seeks to strengthen its partnerships with ASEAN member states. China's actions are often viewed with suspicion by other countries in the region, as they raise concerns about its growing assertiveness and its potential to undermine the existing regional order.

The United States: The United States is another key actor in the region, with its interests focused on maintaining its influence, promoting a rules-based order, and countering China's growing power. The US participates in the EAS and seeks to strengthen its alliances and partnerships in the Indo-Pacific. The US also engages in various security dialogues and cooperation mechanisms with regional partners, including India, and promotes its own economic and strategic initiatives.

Broader Implications and the Future Outlook

India's engagement with ASEAN and its participation in the EAS and the review of AITIGA have significant broader implications for the region.

Political Implications: India's active engagement with ASEAN reinforces its commitment to the Act East Policy and its role as a regional power. It strengthens India's diplomatic standing and its ability to influence regional affairs. India's participation in the EAS and its efforts to strengthen economic ties with ASEAN contribute to the development of a more multipolar and inclusive regional order.

Diplomatic Implications: India's engagement strengthens its diplomatic relations with ASEAN member states and other EAS participants. It provides a platform for India to engage in dialogue and build consensus on key regional issues. India's diplomatic efforts also contribute to the promotion of peace, stability, and cooperation in the Indo-Pacific region.

Economic Implications: The potential for increased trade and investment between India and ASEAN has significant economic implications. Enhanced economic ties can contribute to India's economic growth, create jobs, and improve living standards. The review of the AITIGA and other trade initiatives can help to address trade imbalances and facilitate greater economic integration.

Security Implications: India's engagement with ASEAN promotes regional stability and cooperation on security issues. India participates in various security dialogues and cooperation mechanisms with ASEAN member states and other regional partners. These efforts contribute to countering terrorism, addressing maritime security challenges, and promoting peace and stability in the Indo-Pacific region.

Looking ahead, India's engagement with ASEAN is likely to continue to evolve. Efforts to strengthen trade relations and address trade imbalances will remain a priority. Further cooperation on security and strategic issues is expected. India is likely to play a more significant role in regional affairs, contributing to the development of a more multipolar and inclusive regional order. The success of India's engagement with ASEAN will depend on its ability to navigate the complex geopolitical landscape, to balance its economic and strategic interests, and to build strong partnerships with the countries of Southeast Asia.