Presented to the Political Science Department

De La Salle University - Manila

Term 2, A.Y. 2021-2022

In partial fulfillment
for the course
The Filipino and ASEAN
(LCASEAN Y13)

Written Report: Laos and the ASEAN

Submitted by Group 6:
Tensuan, Anne Nicole S.
Wedingco, Victoria Jade C.
Xu, Ysabel H.
Yagi, Kimichiro B.
Zapanta, Richard Alvin

Submitted to:
Mr. Allen B. Surla

May 4, 2022
I. Introduction
Laos, also known as Lao People’s Democratic Republic (PDR), is a landlocked
country in Southeast Asia that is bordered by Thailand, China, Myanmar, Vietnam, and
Cambodia. Vientiane is the capital and largest city of Laos, and it is located on the
Mekong River, which is the longest river in Southeast Asia that marks the Laos-Thailand
border. Lao or Laotian is the official language of the country spoken by the majority of its
population, while French and English are minority languages commonly used in major
tourist destinations (Kiprop, 2017). The European influence on their language is one of
the many effects of the French colonization of Laos that lasted from the late nineteenth to
the mid-twentieth centuries. Since gaining independence, Laos has implemented
economic reforms and tourism developments to progressively reduce the country’s debts
and reliance on international help (The Editors of Encyclopaedia Britannica, 2005).
Despite still being considered as a poor country, Laos has made significant progress in
decreasing its poverty over the last two decades. In fact, the country’s poverty rate was
reduced from 46 percent in 1993 to 18 percent in 2019 (World Bank Group, 2020).
A. Flag

Figure 1. Laos Flag

Although a communist country, Lao PDR does not utilize a five-pointed star on its
flag. Instead, the Laotian flag consists of three horizontal stripes and a central white disk.
The red stripes at the top and bottom symbolize the bloodshed of the Lao people in their
fight for freedom and independence during the French colonization. On the other hand,
the wider blue stripe in the middle represents the Mekong River, which is a symbol of the
nation’s prosperity due to it being a vital source of income for the country. Lastly, the
white disk represents the full moon over the Mekong River, and the unity among the Lao
people in support of their communist government (Sache, 2005).
B. Cuisine

Lao cuisine is influenced by many of its neighboring countries, but most

particularly by Thailand. In fact, the northeastern region of Thailand used to be a part of
Laos, and this explains the many similarities between the two countries’ cuisine. One of
the most famous Lao dishes is called thum mak hoong, which is a green papaya salad
normally eaten with sticky rice and grilled chicken, and the equivalent of this dish in
 Thailand is called som tam. But unlike the sweet flavor of the latter, the former is
characterized by its spicy and acidic taste. Other examples of Lao dishes that are nearly
identical to Thai dishes of the same name are tom khaa kai and khao laat kaeng. Like
many other Southeast Asian countries, sticky rice is also a staple of all Laotian dishes
since it balances the generally strong flavors of Lao food. Another popular Lao dish is
called larb or laab, which is a type of meat salad with fresh herbs. It has a symbolic
importance to the Lao culture because it is a mandatory dish in all their ceremonies or
celebrations (FoodandRoad, n.d.; Pham, n.d.).
C. Landmarks
The Hindu temple of Vat Phou and the town of Luang Prabang are the two
UNESCO World Heritage Sites in Laos. First, Luang Prabang is the old capital of Laos
located in its northern region. It is notable for its well-preserved architectural and artistic
heritage that reflects both the traditional Lao architecture and the French colonial
buildings. The second site is the Champasak cultural landscape, including the Vat Phou
Temple complex. It is a religious complex that is an embodiment of the Hindu vision of
the connection between man and nature (UNESCO World Heritage Centre, n.d.). Aside
from those, another iconic landmark in Laos is Pha That Luang, or the Great Stupa
located in Vientiane. It is a gold-covered Buddhist monument that serves as the country’s
national symbol (Muscato, n.d.). Another significant Lao landmark is a war monument
also located in Vientiane called Patuxai, which translates to Victory Gate. It was built to
commemorate the Laotians who served the nation and fought for their country’s
independence (Dunnell, 2019).
II. Laos and the ASEAN Community Pillars
A. Political-Security Community Pillar
After the decades of civil war and a centrally planned economic regime, linking
with the ASEAN community was one of the dominant milestones of the Lao PDR as the
country was able to actively cooperate among its ASEAN Member States to influence its
region to belong in peace, stability, and prosperity. From the perspective of the
political-security community pillar, the Lao PDR was able to nurture cooperation and
relations on regional political and security matters. In the area of regional defense and
security affairs, the Lao PDR was able to maintain its external and diplomatic relations to
strengthen its military relationships and strategies with the goal of establishing a positive
environment for restoration plans. This includes having exchange agreements among
military delegations to brace the cooperation with Cambodia, Myanmar, Thailand, and
Vietnam. The mentioned countries have opened and established Defense Attache Offices
in Laos, and vice versa in order to strengthen military relations and cooperation (Boupha,
n.d.).
Relatively, Lao PDR has been actively participating in the ASEAN
political-security cooperation through the conversion of ASEAN as an area of peace,
freedom, and neutrality, and a Southeast Asia Nuclear-Weapon-Free Zone to commit that
the ASEAN zone is free from nuclear and weapon destructions. Moreover, the country
diligently engaged in the ASEAN Defense Ministers’ Meeting (ADMM) to promote
 mutual trust and confidence, ADMM+Plus for capacity building and better prepare the
ADMM for traditional and transnational security challenges, ASEAN Chief of Defense
Force Informal Meeting (ACDFIM) to facilitate dialogues for ASEAN militaries,
ASEAN Regional Forum (ARF) for security dialogue discussions, and providing
international workshops or annual trainings for its local armed forces (Boupha, n.d.).
Looking at the negative side, Lao PDR has also been through non-traditional
security threats. One of these issues includes drug trafficking, illegal trade, and
immigration along the Mekong River and shared borderlands with Vietnam, China,
Cambodia, Myanmar, and Thailand. Apart from them, human trafficking, terrorism, and
natural disasters have all harmed domestic stability and security. Although there was
development in the relationship between Laos among the ASEAN community, this
situation has also been a factor for a negative impact on security. The Lao PDR was also
involved and caught in between because of its two ally countries - China and Vietnam
regarding their issues with the South China Sea. Laos, which was thought to be moving
into China's sphere of influence, looks to be gradually relying on China while preserving
its longstanding ties with Vietnam. However, because Vietnam provides a powerful
counterweight to China and is regarded as a reliable ally, Laos has always had to tread
carefully (Boupha, n.d.).
B. Economic Community Pillar
Lao PDR became a member of the ASEAN Economic Community (AEC) in
1997. Joining the AEC has improved its integration with regional value chains; such that
it enabled the country to attract investment that will contribute to the modernization of
the economy, accessibility of technology, and establishment of competitive conditions in
the private sector (Ithavong, 2015). Moreover, the AEC has provided Lao companies with
the opportunity to break through the tightness of their domestic market by exporting and
pursuing overseas business opportunities. Better transportation will facilitate trade in
perishable goods while access to seaports will provide connectivity to international
markets. However, these benefits will not occur automatically because almost all sectors
of the economy will most likely confront increasing competition. That said, companies
should learn to adapt, innovate, and become more efficient and productive to be
head-to-head with stronger producers from the region (Ithavong, 2015).
One of the main pillars of AEC is the single market and production base, wherein
the free flow of goods is a key feature. For the ASEAN, the trade in goods flows in and
out of the region has been improving due to the lowered trade costs that were led by the
progressing trade liberalization. Whereas for Laos, the significant impact of the free flow
of goods on their country cannot seem to be identified because of the lack of data and
research (Ithavong, 2015). But given that tariff reduction is one of the agendas of the
ASEAN Trade in Goods Agreement (ATIGA), Laos was able to reduce its tariffs to 0-5%
for nearly 100% of the total products. This suggests more accessible imports and
decreasing prices. Moreover, in anticipation of increased trade flows to and through Laos,
there is increasing foreign investment in infrastructure. Cheaper overall trade cost also
encourages foreign firms to develop manufacturing plants in the country, thus allowing
them to take advantage of lower labor and energy costs, while also having the ability to
readily export products to the region (Ithavong, 2015). The aforementioned opportunities
 associated with the free flow of goods also came with challenges for Laos. One of which
is that some uncompetitive industries may have suffered from the free flow of goods in
ASEAN as their products were unable to compete with cheaper but higher quality
production in other member states of ASEAN, which can now be imported into Laos at a
lower cost (Ithavong, 2015).
Aside from the free flow of goods, the liberalization of trade in services also plays
an important role in economic development. According to O’Neill (2022), the service
sector makes up about 40.73% of Laos’s GDP. So, having the liberalization of trade in
services in ASEAN has offered Laos many opportunities, such as increased investment in
the service sectors, higher competitiveness of the manufacturing and agricultural
enterprises in the country, and economic opportunities to specialize in intermediate and
export services.
Furthermore, foreign investment in Laos and ASEAN was said to have increased
over the past years. Ithavong (2015) stated that Laos attracted $900 million worth of
foreign investment in 2014. Most of which were sourced from China’s electricity
generation and mining companies. However, foreign direct investments are reported as
not being equally distributed within the ASEAN as some countries have received higher
investment inflows. With that, Laos will have to focus on obtaining intra-ASEAN
investments from foreign investors who have a commanding presence in the other
ASEAN Member States. Additionally, the shift of labor-intensive and low-skilled
segments of the production processes from Thailand to Laos may help Laos fit into the
regional value chains (Ithavong, 2015). This will be possible if they leverage lower labor,
land, and energy costs, as well as provide geographic proximity and cultural similarity. In
general, Laos has to continuously enhance its overall environment in business and trade,
such as by reducing trade barriers and having a competitive business climate because
these will provide investors with assurances that their investment will yield profits.
C. Socio-Cultural Community Pillar
The ASEAN Socio-Cultural Community (ASCC) Blueprint 2025 envisions an
ASEAN community that engages all people and encourages inclusivity, sustainability,
resiliency, and dynamism. The end goal is to build a sharing society that values the
well-being and welfare of all people. Currently, the Deputy Secretary-General (DSG) of
ASEAN for ASCC is H.E. Ekkaphab Phanthavong, who was also the permanent
representative of the Lao PDR to ASEAN prior to assuming the present post (Ministry of
Foreign Affairs, 2021). Laos has played its role in supporting and hosting many cultural
initiatives through ASEAN such as the following: ASEAN Young Contemporary Music
Concert, Writers Symposium and ASEAN Literary Books Exhibition, and National
Identity Sculpturing Camp for Young ASEAN Fine Arts Students. Such events allowed
ASEAN countries to exchange experiences and cultures, consequently promoting
regional multilateral cultural cooperation. To also support cultural expressions on a
national level, financial grants and training opportunities are provided for different
organizations in Laos through the Lao Culture Challenge Fund (LCCF). With the theme
of “Lao, for Lao”, the LCCF aims to boost social cohesiveness and increase access to
cultural activities in the country (UNESCO, 2018).
 In terms of progressing toward a more inclusive community, one of the strategies
implemented by Laos is the Lao PDR Inclusive Education Project which aims to provide
educational provisions for disabled children. This project centered on fostering
child-centered approaches and expanding the special school provision to cater to the
educational needs of all children (Grimes, Sayarath, & Outhaithany, 2011). Moreover,
Laos also implemented the National Strategy and Plan of Action on Inclusive Education
to address the barriers to accessing quality education. Aside from this, the policy also
focuses on establishing an educational system that constantly adapts to the individual
needs of all learners (Ministry of Education and Sports, 2011).
With regard to achieving a balance between social development and a sustainable
environment, Lao PDR established its mitigation plans against climate change through
the National Strategy on Climate Change of Lao PDR. The country recognizes the
possible impact of climate change in the areas of water resources, ecosystems, and crop
production. With this, different adaptation and mitigation plans were devised for the
following key sectors: agriculture and food security, forestry and land-use change, water
resources, energy and transport, industry, urban development, and public health.
Ultimately, the goal is to secure the resilience of the said sectors to climate change
(United Nations Development Programme, 2012).
III. Laos and the ASEAN way
Over the past decades, the ASEAN countries have developed a distinct style of
diplomacy known as “ASEAN way”, which emphasizes an informal and progressive
approach to co-operation through the habit of consultation and dialog, while keeping the
Association’s institutionalization to a minimum (Katsumata, 2003). Noordin Sopiee, a
Malaysian scholar, would later describe them as the “ground rules of interstate
termination within the ASEAN community with regards to conflict and its termination.”
(Acharya, 2014). Katsumata (2003) have identified four elements that constitute the
ASEAN way, which are namely: the principle of non-interference in the internal affairs of
other members, quiet diplomacy, the non-use of force, and decision-making through
consensus. The principles of non-interference and non-use of force are shared by all
international organizations of the modern era, although it was able to take on special
importance in Third World regional bodies because of anti-colonial struggles and the
demand for recognition in international affairs (Acharya, 2014). The ASEAN way is a
decision-making process that emphasizes discussion and consensus, as well as members
equality and the importance of cooperation despite the extensive length of time it takes to
reach an agreement. This encourages member countries to respect one another, resulting
in regional peace (Tekunan, 2014).
A. Laos and its relationship with Thailand
Since the Pathet Lao took power, Laos and Thailand have had a tense relationship
as the Thais have viewed Laos as a base of support for the insurgency. The reason behind
this is that hundreds of thousands of Lao refugees who have crossed into Thailand are
viewed as their economic burden. Three months of bloody war for a disputed border area
happened between Laos and Thailand from 1987 to 1988. Later, when the two countries’
relations improved, Thai business people took advantage of Laos’ economic reform to set
 up businesses and border towns became market centers for Thailand. Thai companies
have also become major investors in the growing economy of Laos (Dayley & Neher,
2013).
The centuries-old problem of a strong Thailand versus a weak Laos has not been
solved by improved relations. As Laos began to reform, fear arose that Thailand might
attack Laos with its economic power, given that Thailand failed to destroy Laos using its
military. Although the Lao government later distanced itself from this position, many
Laotians remained concerned that Thailand would intervene once again. Many such fears
have subsided in Laos since it joined ASEAN in 1997, with its strong principle of
non-interference (Dayley & Neher, 2013).
B. Laos on the Rohingya Crisis
The Rohingya are one of the many ethnic minorities in Myanmar with Rohingya
Muslims representing the largest percentage of Muslims in the country. However, the
government of Myanmar denies Rohingya citizenship as they are seen as illegal
immigrants from Bangladesh (BBC News, 2020). Brought about by unspeakable violence
and brutality by the military, the Rohingya were forced to flee. By the end of August
2021, 890,000 Rohingya refugees were hosted by Bangladesh, forming the world’s
largest refugee camp (UNICEF, 2022).
Unlike Indonesia, who has been actively addressing the issue of the Rohingya
crisis by providing aid in cooperation with Myanmar government and the International
Committee of Red Cross; Laos, together with Indonesia, agreed to help solve the
humanitarian crisis in Rakhine, Myanmar, when Indonesia President Joko “Jokowi”
Widodo and Laotian Prime Minister Thongloun Sisoulith met in Bogor, West Java last
October 12, 2017. The Indonesia-Laos declaration hoped to pave the way for stronger
collaboration with the remaining eight ASEAN countries to step up efforts and hold
Myanmar accountable (Sheany, 2017).
C. Laos on the Myanmar Coup d’état
On February 1, 2021, the Myanmar military seized power in a coup d’etat for
alleged voter fraud in the November 2020 elections wherein the National League of
Democracy, led by Aung San Suu Kyi, won a landslide re-election victory (Nachemson
& Fishbein, 2022). The initial response to the first waves of protests was restrained;
however, this escalated into the military’s brutal efforts to put down the movement as
they continued to eliminate resistance by firing rocket launchers and burning down
homes (Goldman, 2021).
On March 12, 2021, Laos released an official statement regarding the Myanmar
coup situation through its Ministry of Foreign Affairs. The statement explains how the
Lao PDR stresses the importance of “maintaining political stability in all ASEAN
Member States in order to achieve a stable, peaceful, and prosperous ASEAN
Community”. It also encourages “peaceful resolution through constructive dialogue and
reconciliation”. Lastly, the Lao PDR expresses its readiness to work with the ASEAN
Member States to “assist in creating an environment conducive to achieving lasting peace
 and stability in Myanmar”. The Lao PDR’s strong adherence to the non-interference
policy is very evident as they call for a “return to normalcy in accordance with the will
and interests of the people of Myanmar” (Phonevilay, 2021). Apart from the official
statement, responses to the Myanmar crisis were somewhat muted and underwhelming.
In late May 2021, the ASEAN worked together to water down a United Nations
resolution calling for an arms embargo. Laos was one of the ASEAN Member States that
abstained when the resolution was voted on (Enos & Coe, 2021). While the UN and
Western countries work on the condemnation of the Myanmar military, Laos, along with
the other ASEAN Member States, take on more hands-off approaches to show strong
adherence and dedication to the ASEAN Way’s non-interference policy (Al Jazeera,
2021).
D. Laos on the South China Sea Dispute
Four out of the ten ASEAN Member States, namely the Philippines, Vietnam,
Malaysia, and Brunei, have rival claims to parts of the South China Sea. Being the
biggest trade partner of several ASEAN countries, China reached a consensus with
Brunei, Cambodia, and Laos stating that the issue with the South China Sea is not a
China-ASEAN dispute and how it “should not affect China-ASEAN relations” as said by
China’s Foreign Minister Wang Yi (Staff, 2016). By supporting China’s consensus, the
three countries expressed that they will neither join Vietnam and the Philippines in their
fights against China’s assertiveness nor will they seek multilateral dispute resolution
(Kundu, 2016). Laos’ stance on the South China Sea disputes has been viewed by the
Chinese public and the media as support for China’s territorial claims. Acting as the
chairman of ASEAN in 2016, Laos was highly criticized as they adopted a mild or even
detached approach toward the South China Sea issue (Hongliang, 2016).
Given the position of Laos as the ASEAN chair, China being among the biggest
investors of Laos, and Vietnam being a close ally, Laos finds itself at a difficult position.
By pursuing a more balanced relationship with China, Laos retains a neutral stance on the
matter by cooperating instead of confronting. In a way, Laos’ stance can be interpreted as
strong adherence and dedication to the ASEAN Way. However, given how four out of the
ten ASEAN Member States are affected by the matter, it opens the question of how far
Laos is willing to go in pursuit of maintaining the non-interference policy.
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