GNED 07
These
THE CONTEMPORARY WORLD
LESSON 4
REGIONALIZATION, ASIAN
REGIONALISM, ASEAN,
INTEGRATION
REGIONALIZATION
Globalization and regionalization
are the two key defining features of
the contemporary world especially
in politics. Regionalization and
globalization are not completely
new processes. Nonetheless, it can
be said there was a re-emergence of
both processes in relevance,
influence and intensity since the
1980s and especially during the
1990s after the end of the Cold
War. There has been an explosion
of new and reinvigorated existing
regional organizations, the EU,
NAFTA, Mercosur, the Arab
League, or ASEAN and so on.
REGIONALIZATION: The
process of dividing an area into
smaller segments called regions.
The inexorable forces of
globalization and ‘regionalization’
have reshaped the world economic
landscape over the past quarter
century. Global trade and financial
flows have registered
unprecedented growth during this
period. Intraregional economic
linkages have also become much
stronger with the proliferation of
regional trade agreements and
common currency areas.
developments have appeared to
affect the evolution of global and
regional businesses cycles in
unexpected ways. For example,
despite the presence of strong
global trade and financial linkages,
there was significant variation in
growth performance across
different regions during the 2008 –
2009 financial crises. Specifically,
some regions (e.g. Asia) exhibited
surprising resilience during the
worst of financial crisis and rapidly
returned to high growth whereas
some others (e.g., North America
and Europe) experienced deep and
prolonged contractions.
In economic point of view,
globalization is a process of making
world’s economy more integrated,
the process of bringing more and
more parts of the world together
into one seamless economy.
Regionalization on the other hand,
is a process that generally similar to
globalization, but can compete with
it to some degree.
Although the two are similar,
regionalization can be opposed to
globalization. This occurs when a
region tries to integrate itself, but
then puts up barriers against the rest
of the world. This would be a
situation if, for example, China and
the countries of South East Asia
integrated but then prevented
extensive integration with the rest
of the world’s economy.
While globalization suggests that
the world is becoming more
interconnected, regionalization
demonstrates that global relations
are organized in different regions:
global connections that have
increased the flow of people, ideas,
animals, and plants over time
influences regions differently
depending on where the touch
down.
REGIONAL INTEGRATION
(REGIONALISM): The process
by which two or more nation-states
agree to co-operate and work
closely together to achieve, peace,
stability, and wealth.
CONCEPTS OF
REGIONALISM
Bjorn Hettne (1996) suggested that
regionalism as a concept has
varying degrees.
1. REGION as a geographical
unit. – A region can be interpreted
as a place, as a physical
environment. For example, we can
determine Asia as a region based on
the land and water boundaries
surrounding it.
2. REGION as social system. – A
region can be interpreted as a
conglomerate of people occupying
a particular space and possessing a
unique dynamic of interaction. For
example, Asia can be determined as
a region based on the group of
people occupying it and the shared
ancestry, language, and culture
these people have.
3. REGION as an organized
cooperation. – A region can be
interpreted as a group of nations
who agree to take part and form a
formal organization. For instance,
Southeast Asia is a region within
Asia, and it has been formalized
through memberships in the
Association of Southeast Asian
Nation or ASEAN.
Why do countries form regional
associations?
1. MILITARY DEFENSE –
Established in 1949, North Atlantic
Treaty Organization (NATO)’s
primary purpose is to provide
collective defense or its member
states against external threats,
particularly during the Cold War
era when the Soviet Union posed
significant military threat to
Western Europe. The alliance is
based on the principle of collective
security, where an attack on one
member is considered on attack on
all, leading to mutual defense
through military cooperation and
coordination.
2. ECONOMIC CRISIS – During
economic crises, such as the Asian
Financial Crisis In 1997, ASEAN
countries along with China, Japan,
and South Korea, has worked
together to provide financial
assistance, promote regional
financial cooperation, and
implement measures to strengthen
economic resilience among member
states. The Chiang Mai Initiative
Multilateralization (CMIM) is one
such mechanism established by
these countries to address financial
emergencies and stabilize regional
currencies.
3. RESOURCES – Countries need
to pool their resources together to
make themselves more powerful.
The Organization of the Petroleum
Exporting Countries (OPEC),
established in 1960, rose in power
when they took over domestic
production controlled crude oil
prices across the globe.
the Chinese, Indian, and Khmer
civilizations. It has also been the
home of influential cultural,
philosophical, and religious
movements. Hinduism, Judaism,
Christianity, Buddhism, Taoism,
and other oriental philosophies and
religions generally originated from
an Asian country and have
proliferated around the globe.

4. PROTECTION OF
INDEPENDENCE – The African
Union (AU) was established in
2001 to promote unity and
solidarity among African nations
and to safeguard their sovereignty
and territorial integrity. Member
states collaborate on security issues,
conflict resolution, and
peacekeeping operations to protect
their independence and stability
across the continent.

ASIAN REGIONALISM In the contemporary world, Asia

Asia is the largest and most has become an economic force
populated continent in the world. characterized by reduced poverty
Geographically, it is separated from and fast-paced economic
the European continent by the development (Asian Development
Urals, from Africa by the Suez Bank, 2008).
Canal, from the North America by
the Bering Strait. It is composed of DYNAMICS OF ASIAN
distinct regions such as Central REGIONALISM
Asia, East Asia, South Asia, In 2008, the Asian Development
Southeast Asia, and the Middle Bank published a book on the
East. emerging regionalism in Asia.
Asia has been the cradle of Haruhiko Kuroda, the president of
several ancient civilization such as
ADB, in the foreword of his
manuscript, articulated that
integration is contributory to the
economic development experienced
by Asian countries then. Kuroda
identified some factors which are
influential in the growing
integration at that time:
• Enhanced dialogue between
citizens of various nations – This
facilitated by growing tourism
activities in the regions and the
consistent multilateral meetings
among the leaders of nation-states.
• Expanding intraregional trade
and investments – This brings
forth closer financial markets and
interdependent economies.
• Increased connectivity – This
facilitated by regional infrastructure
projects as well as collaboration in
delivering public goods.
Furthermore, Kuroda noted that the
“market-friendly, multi-track, and
multi-speed” approach of the Asian
integration is beneficial for the
Asian region because of the
following reasons:
• Members can integrate based on
their capacity is vis-à-vis the
available opportunities
• It opens up for collaboration and
merging of smaller groups
• It is responsive to business and
open markets
There are various benefits
perceived from the Asian
Integration. Some of those
discussed by ADB (2008, p.13) are
as follows:
• It harnesses the strengths of
diverse economies
• It provides platform for
connecting financial markets
(reduced capital, shared risks)
• It makes the economy more
resilient to global risks
• It pools resources
• It creates regional mechanisms for
safety and security
However, there are also challenges
(ADB, 2008, p. 17):
• The need to establish compatible
product standards
• The need to establish guidelines
that buffer financial contagion and
ensure compatible financial
regulations
• The need to coordinate
macroeconomic policies
• The need to manage cross-border
environmental and social polices
(e.g., fair treatment of migrant
workers)
Amidst challenges and criticisms,
cooperation in the Asian region
remain to exist, in principle, to
serve the goals of its members.
These cooperations are as follows:
• APEC (Asia Pacific Economic
Cooperation)
• EAS (East Asian Summit)
• APc (Asia Pacific Community)
• EAC (East Asian Community)
• ASEAN (Association of Southeast
Asian Nations)
• APT (ASEAN Plus Three)
ASEAN INTEGRATION
When discussing about Asian
regionalism, one cannot veer away
from discussing the evolution and
dynamics of the Association of
Southeast Asian Nations (ASEAN).
In the early 1960s, there was
already an emerging organization
among Philippines, Thailand, and
Republic of Malaya in what was
called the Association of Southeast
Asia (ASA). It was established in
July 31, 1961 by Thanat Khoman
(Thailand), Felixberto Serrano
(Philippines), and Tunku Abdul
Raman (Malaya). While the
articulated goal of this regionalism
process was cultural and economic
cooperation, there were also
political goals gleaned. Some
challenges were encountered from
its inception such as: lack of
confidence from other Southeast
Asian nations, presumed political
goals, and the dissent from other
states because of their alignment
with the Western Bloc.
In 1963, another confederation was
form, convened by then President
Diosdado Macapagal. This was
referred to as MAPHILINDO
(Great Malayan Confederation)
involving Malaysia, Philippines,
and Indonesia, which aimed to
unite “nations of Malay origins.”
This did not last very long and was
terminated by Indonesia-Malaysia
Konfrontasi- the former’s policy
arguing against the formation of the
Federation of Malaysia.
Four years after, representatives
from Indoensia and Singapore, with
those from three ASA member
states, engaged in formal
discussions in a coastal resort in
Bang Saen, where they formulated
the idea of a Southeast Asian
cooperation. Thus, in August 8,
1967, these foreign ministers sat
down in Bangkok, Thailand and
signed the ASEAN Declaration.
Also referred to as the Founding
Fathers of ASEAN, the five
ministers present were Adam Malik
(Indonesia), Narciso R. Ramos
(Philippines), Tun Abdul Razak
(Malaysia), Sinnathamby
Rajaratnam (Singapore), and
Thanat Khoman (Thailand).
The goal of ASEAN is a more of
cooperation in terms of economic,
social, cultural, technical, and
educational and other fields. Also,
in its promotion of regional peace
and stability through abiding
respect for justice and the rule of
law and adherence to the principles
of the United Nations Charter. It
was stipulated that the association
will be open for participation by all
States in the Southeast Asian region
subscribing to its aims, principles,
and purposes. It proclaimed
ASEAN as representing “the
collective will of the nations of the
Southeast Asia to bind themselves
together in friendship and
cooperation and, through joint
efforts and sacrifices, secure for
their peoples, and for posterity the
blessings of peace, freedom, and
posterity.”

This integration of the Southeast
Asian region was anchored in the
following reasons:
1. FOR REGIONAL
STABILITY AND SECURITY –
In the aftermath of World War II
and the Cold War, Southeast Asian
countries sought a platform for
regional cooperation to ensure
peace, stability, and security in the
region. SEAN has established
mechanisms such as the ASEAN
Regional Forum (ARF) and the
Treaty of Amity and Cooperation in
Southeast Asia (TAC) to promote
dialogue, conflict prevention, and
confidence-building measures
among member states and external
partners.
2. FOR ECONOMIC
DEVELOPMENT AND
PROSPERITY – By fostering
economic cooperation and
integration, ASEAN aimed to
promote economic growth, trade,
and investment among member
states, thus improving the standard
of living for their populations.
ASEAN has implemented
initiatives like the ASEAN
Economic Community (AEC) to
promote economic integration
through measures such as the
elimination of tariffs,
harmonization of standards, and
facilitation of trade and investment
flows among member states.
3. FOR SOCIAL AND
CULTURAL COOPERATION –
ASEAN seeks to promote social
progress and cultural development
in the region, fostering mutual
understanding and cooperation
among member states. ASEAN
conducts various cultural
exchanges, educational programs,
and initiatives to promote cultural
understanding and cooperation
among member states. For example,
ASEAN organizes cultural
festivals, promotes heritage
conservation, and supports
educational exchanges among
member states.
4. FOR POLITICAL
COOPERATION – The
organization aims to strengthen
political cooperation and mutual
assistance among member states,
promoting democracy, the rule of
law, and good governance. ASEAN
facilitates political dialogue and
cooperation through mechanisms
such as the ASEAN Political-
Security Community (APSC),
which aims to promote democracy,
the rule of law, and good
governance among member states.
Additionally, ASEAN promotes
conflict resolution and mediation
efforts in the region.
 shows purity and yellow
5. FOR REGIONAL IDENTITY symbolizes prosperity. The circle
AND UNITY – ASEAN serves as represents the unity of ASEAN.
a platform for promoting a sense of
regional identity and unity among ASEAN also faces several
Southeast Asian nations, fostering challenges including:
solidarity and cooperation in
1. DIVERSE ECONOMIC
DEVELOPMENT – Member
states vary significantly in terms of
economic development, which can
lead to disparities in the
implementation of integration
measures and uneven distribution of
benefits. For example, countries
like Singapore and Brunei have
high-income economies, while
countries like Laos and Myanmar
addressing common challenges and
have lower-income income
opportunities. ASEAN promotes a
economies. This economic disparity
sense of regional identity and unity
can make it challenging to
through initiatives such as the
implement such measures that
ASEAN Socio-Cultural
benefit all member states equally.
Community (ASCC), which aims to
strengthen social cohesion, promote
2. POLITICAL DIFFERENCES
human development, and foster a
AND DISPUTES – Political
sense of community among
tensions and disputes among
member states. ASEAN also
member states, particularly
organizes events like the ASEAN
regarding territorial claims and
Summit and the ASEAN Day to
sovereignty issues, can impede
celebrate regional unity and
cooperation and integration efforts.
solidarity.
For example, territorial disputes in
the West Philippine Sea. Several
THE ASEAN EMBLEM
ASEAN countries have coastlines
The ASEAN Emblem represents a
along the water. These includes:
stable, peaceful, united and
Vietnam, Philippines, Malaysia,
dynamic ASEAN. The colors of the
Brunei, and Indonesia. This led to
Emblem -- blue, red, white and
disputes over sovereignty, fishing
yellow -- represent the main colors
rights, resource exploration, and
of the crests of all the ASEAN
freedom of navigation within the
Member States. The blue represents
region.
peace and stability. Red depicts
courage and dynamism. White
3. SOCIO - CULTURAL Summit, an annual meeting of
DIVERSITY – Differences in leaders from ASEAN and the three
language, culture, and social norms East Asian countries to discuss
among member-states can pose regional issues and cooperation
challenges to achieving social priorities.
cohesion, potentially undermining
the cooperation among member ASEAN+3 cooperation plays a
states. crucial role in promoting regional
integration, stability, and prosperity
ASEAN +3 COOPERATION in East Asia by fostering dialogue,
building trust, and deepening
ASEAN+3 Cooperation refers to a economic and political ties among
framework of cooperation between participating countries.
the member states of the
Association of Southeast Asian
Nations (ASEAN) and three East
Asian countries: China, Japan, and
South Korea. This framework was
established to promote economic,
political, and security cooperation
among the participating countries.

The ASEAN+3 cooperation

mechanism was formalized in 1997
during the Asian Financial Crisis
when ASEAN countries sought
support and cooperation from
China, Japan, and South Korea to
address the economic challenges
facing the region. Since then,
ASEAN+3 cooperation has
expanded to cover a wide range of
areas, including finance, trade,
investment, energy, environment,
education, culture, and disaster
management.

Key initiatives under the

ASEAN+3 framework include the
Chiang Mai Initiative, which aims
to enhance regional financial
stability through currency swap
arrangements, and the ASEAN+3