Protectionism threatens Region: Asia asks for urgent union

China, Japan, South Korea and Asean countries appeal to the reinforcement of regional unity and cooperation, sounding the alarm over the growing protectionism

During the 28th Meeting of Finance Ministers and Governors of Asean central more three, held on May 4 in Milan, Italy, ASEAN members, along with China, Japan and South Korea, requested greater unit and regional cooperation to deal with increasing uncertainties, including growing protectionism and volatile global conditions, in a joint statement issued after the meeting.

The joint statement, which did not mention the US nominally, occurred at the time new US comprehensive tariffs threaten to hardly reach Southeast Asia, Nikkei Asia said.

Chinese finance minister Lan Fo’an attended the meeting and co -president some sessions.

Lan emphasized that the global economy is undergoing profound adjustments, with globalization facing contrary winds and the growing unilateralism and protectionism. Instability and uncertainties have increased notably. The 10+3 regional economies show strong resilience and have significant growth potential, but also face complex and severe internal and external challenges. China is willing to work with all parties in Table 10+3 to maintain openness and inclusion, promote solidarity and cooperation and continually deepen regional financial collaboration, in order to face global instability and uncertainty with the stability and certainty of this region, Lan said.

The joint statement issued after the meeting, released on the Asean website, noted that “the escalation of commercial protectionism weighs on global trade, leading to economic fragmentation, affecting trade, investment and capital flows throughout the region. Short -term prospects can also be affected by other external risks, including more restrictive global conditions, slowing growth in the main commercial partners and reduction of flows investment”.

In addition, the statement also stressed that “amid growing uncertainties and long -term structural changes, we reaffirm our full commitment to multilateralism and a multilateral trade system based on rules, non -discriminatory, free, fair, open, inclusive, equitable and transparent, with the World Trade Organization at its nucleus.”

In addition to sectoral tariffs, including cars, the US government announced “reciprocal” fares in early April, which are expected to have a hard blow to many export -dependent Asian economies, according to Kyodo News.

Cambodia and Vietnam, ASEAN members, are facing heavy US rates of 49% and 46%, respectively, although the US has later announced a 90 -day break for most countries, according to Kyodo News.

The US imposed 24% rates on imports in Japan, including a 10% basic rate that remains in force while negotiations continue.

During the meeting, the heads of finance also agreed to update the Chiang Mai multilateralization initiative, launched in 2010, expanding its scope to cover pandemics and natural disasters.

Originally published by Global Times on 05/05/2025