Is ASEAN Part Of The Global South Or Global North? The Strategic Middle And Pivot 

By Phar Kim Beng

KUALA LUMPUR, Oct 23 (Bernama) -- When ASEAN was founded in 1967 by Indonesia, Malaysia, the Philippines, Singapore, and Thailand, it was unmistakably part of the Global South — a collection of post-colonial states searching for stability, security, and growth amid Cold War rivalries.

Nearly six decades later, however, ASEAN has transcended that limited definition. It now stands at the crossroads of the Global South and North, functioning as a bridge of dialogue, trade, and technology between developing and developed economies alike.

Today, ASEAN is not simply a regional bloc; it is an evolving hub of convergence, where the energy, digital, and trade architectures of Asia, the Middle East, and Europe intersect.

AFTA and Its Three Pillars

ASEAN's success in transforming itself from a conflict-prone region into one of the most economically integrated zones in the world rests on the ASEAN Free Trade Area (AFTA). Established in 1992, AFTA consists of three key pillars:

1. ASEAN Trade in Goods Agreement (ATIGA) — the essential mechanism for tariff elimination, customs harmonisation, and supply-chain facilitation across the region.

2. ASEAN Framework Agreement on Services (AFAS) — liberalising trade in services and allowing more unrestricted movement of professionals and enterprises.

3. ASEAN Comprehensive Investment Agreement (ACIA) — providing protection and promotion for regional and foreign investors.

Among these, ATIGA remains the most vital pillar, serving as both the engine of intra-regional trade and the foundation of extra-regional cooperation.

The modernisation of ATIGA in 2023 reaffirmed ASEAN's commitment to removing non-tariff barriers and enhancing competitiveness. It also ensures that ASEAN continues to serve as a dynamic production hub connecting East Asia, South Asia, and the wider global market.

From Industrial to Digital Integration: DEFA and Beyond

ASEAN's economic transformation does not stop with goods and services. The ASEAN Digital Economy Framework Agreement (DEFA) — expected to be finalised in 2025 — will expand integration into the digital sphere.

DEFA will unify data standards, e-commerce regulations, digital payments, and cybersecurity across ASEAN's 10 member states, creating a digital marketplace of 680 million people projected to exceed US$1 trillion (US$1=RM4.22) in value by 2030.

Together, ATIGA and DEFA represent ASEAN's two-pronged strategy for the 21st century: Deepening traditional trade and industrial cooperation, and accelerating digital connectivity and inclusion.

This twin approach ensures that ASEAN remains relevant amid shifting global supply chains and technological revolutions.

ASEAN's Expanding Global Footprint

ASEAN's strength lies in its ability to cooperate without confrontation. It engages both the Global South and the Global North through flexible, overlapping partnerships.

The relationship between ASEAN, the Gulf Cooperation Council (GCC), and China reached a new high in May 2025 with the successful ASEAN–GCC–China Economic Summit held in Kuala Lumpur.

This historic meeting connected three major growth regions — Southeast Asia, the Gulf, and East Asia — to chart new frameworks for renewable energy, logistics, food security, and digital trade. It demonstrated that ASEAN can host and lead complex multi-civilisational partnerships.

ASEAN is also in active dialogue with BRICS members on reforming global finance and trade systems. Its cooperation with BIMSTEC (Bay of Bengal Initiative for Multi-Sectoral Technical and Economic Cooperation) strengthens its maritime and economic ties with South Asia.

Embracing Best Practices and Global Networks

ASEAN has never confined itself to traditional notions of “developing world” solidarity. It has actively sought to adopt the best practices of the Organisation for Economic Co-operation and Development (OECD), particularly in renewable energy, governance, and sustainable infrastructure. Two emblematic regional projects — the ASEAN Power Grid and the ASEAN Trans Railway Network — exemplify this commitment to green connectivity and energy resilience.

At the same time, ASEAN maintains observer status in the G20, ensuring that Southeast Asia's collective interests are represented in global economic governance. Far from isolating itself, ASEAN complements this with a readiness to engage the G7, recognising that constructive cooperation with advanced economies remains vital to innovation, climate transition, and trade diversification.

In this spirit, ASEAN is also open to the Belt and Road Initiative (BRI) of China, acknowledging its role in infrastructure and connectivity while ensuring projects align with regional sustainability standards. Parallel to that, ASEAN is negotiating new free trade agreements (FTAs) with the European Union and India, further anchoring its role as a bridge between continents.

Strategic Engagement with Emerging Partners

Prime Minister Anwar Ibrahim's participation in the Shanghai Cooperation Organisation (SCO) has drawn regional and international attention to Malaysia's role as a mediator and thought leader within ASEAN. His diplomatic outreach has particularly attracted Turkiye, a key member of the Organisation of Turkic States (OTS), which is currently a Sectoral Partner of ASEAN but now aspires to become a Strategic Dialogue Partner.

Turkiye's growing interest underscores ASEAN's expanding appeal beyond Asia — as a credible, principled and inclusive model of regionalism admired across the Muslim world and the broader Global South.

ASEAN's Hybrid Identity

ASEAN remains economically diverse, with per capita incomes ranging from Singapore's over US$80,000 to Myanmar's under US$2,000, yet it has maintained unity through consensus and trust. It is Southern in spirit but increasingly Northern in sophistication — a hybrid actor that mediates between worlds rather than choosing between them.

Its ability to simultaneously engage with GCC, BRICS, BIMSTEC, OECD, G20, and even G7 reflects a mature confidence. This is not opportunism; it is strategic equidistance — ASEAN's version of constructive engagement in an era of fragmentation.

Conclusion

ASEAN may have been born in the Global South, but it has matured into the strategic centre of global cooperation. Through the AFTA framework — composed of ATIGA, AFAS, and ACIA — and the forthcoming DEFA, ASEAN has built the institutional foundations of an integrated economy. Through its partnerships with the GCC, China, BRICS, BIMSTEC, OECD, G20, and even the G7, ASEAN demonstrates that pragmatic regionalism can coexist with global ambition.

By engaging both the industrial North and the emerging South, ASEAN is proving that leadership need not come from power alone — it can come from balance, inclusivity, and vision.

The ASEAN–GCC–China Economic Summit in Kuala Lumpur in May 2025 marked a turning point, symbolising the region's new role as a convenor of continents and civilisations.

From the power grid to the digital highway, ASEAN's message to the world is clear: the future is not North or South — it is interconnected, cooperative, and ASEAN-centred.

-- BERNAMA

Phar Kim Beng, PhD, is Professor of ASEAN Studies, International Islamic University Malaysia, and Director, Institute of International and ASEAN Studies (IINTAS). ​​​​​​The views expressed in this article are those of the author and do not reflect the official policy or position of BERNAMA.