ASEAN, US Engagement Vital To Bolster Economic, Geopolitical Relations - DPM Gan

KUALA LUMPUR, Oct 24 (Bernama) -- It is vital for ASEAN and its dialogue partner, the United States (US), to continuously engage and work towards strengthening economic ties and geopolitical collaboration, said Singapore Deputy Prime Minister and Minister for Trade and Industry Gan Kim Yong today.

Speaking to reporters, Gan said US President Donald Trump’s upcoming attendance at the 47th ASEAN Summit signalled that the US views the economic bloc as a very important partner for people-to-people exchanges as well.

“I think with dialogue and engagement, you can enhance mutual understanding and to also remove potential misunderstanding or confusion. This is very important to enhance the relations between the US and the Asia-Pacific region,” he said after attending the 26th ASEAN Economic Community Council (AECC) Meeting here today. 

Gan was responding to a question on what would constitute a successful meeting or engagement with Trump, given the growing perception that the US has de-prioritised Southeast Asia economically. 

He added that consistent communication at all levels – from top leadership to ministerial, official and business engagements – is crucial to deepening ties and identifying new opportunities for cooperation.

Gan noted that American companies have long been active investors in the region, benefiting both sides through trade, investment and supply chain partnerships, which reflects the mutual advantages of a strong ASEAN–US relationship.

Meanwhile, he said ASEAN had made a significant breakthrough in the Digital Economy Framework Agreement (DEFA), achieving an important conclusion today, after almost two years of negotiations.

According to a statement from Singapore's Ministry of Trade and Industry, once DEFA is concluded, the agreement would mark a new chapter in ASEAN’s digital integration journey and open up more opportunities for businesses of all sizes to tap on ASEAN’s fast-growing digital market. 

Gan said the ASEAN DEFA is targeted to be concluded and signed in 2026.  

“We are very happy that we have achieved a substantial conclusion today. We will move on to the next stage which is going to finalise the agreement by next year and sign it so that it will provide a platform, a foundation for ASEAN members to come together to cooperate on the digital platform,” he added.

Apart from DEFA, ASEAN member states had also signed other key agreements such as the ASEAN Trade in Goods Agreement (ATIGA) upgrade, the ASEAN-China Free Trade Area (ACFTA) 3.0 Upgrade, and the Enhanced ASEAN Power Grid Memorandum of Understanding.  

Gan represented Singapore at the AECC meeting today, which was chaired by Malaysia’s Minister of Investment, Trade, and Industry, Tengku Datuk Seri Zafrul Abdul Aziz.

The 26th AECC precedes the 47th ASEAN Summit and Related Summits, which will be held from Oct 26 to 28, 2025. 

In 2024, ASEAN was Singapore’s largest trading partner, with two-way trade reaching US$220 billion. Singapore’s foreign direct investment inflows into ASEAN totalled US$14.5 billion, underscoring the strong and growing economic ties between Singapore and the ASEAN region.

-- BERNAMA