The Philippines and its neighbors in the Association of Southeast Asian Nations (ASEAN) are moving to fortify regional trade pacts and energy security frameworks as escalating Middle East tensions threaten to destabilize global supply chains.
Trade Secretary Cristina Roque said the economic ministers comprising the ASEAN Economic Community Council convened on Thursday, April 30, to discuss the impact of the Middle East crisis on the region and the necessary coordinated response to alleviate the worsening situation.
With the economic stability of member economies already being tested by pressures on energy supply and food security risks, Roque said economic ministers emphasized the need to keep trade open and predictable.
“ASEAN agreed to avoid trade-restrictive measures, including export bans on essential goods. In times of uncertainty, predictability is stability. And stability begins with keeping goods moving across borders,” she said in a virtual press conference.
To uphold open trade within the 11-member bloc, economic ministers are calling for the strengthening of existing FTAs with dialogue partners such as China and South Korea to reduce bottlenecks and ensure that essential goods move without unnecessary delays.
While no specific measures have been laid out yet, Roque said improving these agreements would involve their “full implementation.”
“We need to strengthen these FTAs because we need to at least keep the preferential tariffs,” she said.
As endorsed by the region’s energy ministers on Monday, Roque said ASEAN is now advancing the ratification of the ASEAN Framework Agreement on Petroleum Security (APSA) to ensure stable and resilient energy connectivity and supply.
Under APSA, countries aim to enable coordinated emergency responses such as fuel-sharing to address ongoing supply disruptions caused by Middle East tensions, she said.
As chair of this year’s ASEAN, the Philippines is also pushing to accelerate efforts to realize the proposed ASEAN Power Grid (APG).
The APG is a regional power grid initiative that would allow member economies to share resources more efficiently and build resilience against external energy shocks.
Further, Roque said economic ministers have agreed to safeguard energy supply for essential services, particularly healthcare, as part of “a shared regional responsibility.”
Officials also affirmed the need to strengthen food security and supply chain coordination, in addition to providing more support to local enterprises, especially micro, small, and medium enterprises (MSMEs).
“ASEAN is strongest when it acts together, especially in times of uncertainty. As Chair, the Philippines remains committed to ensuring our response remains practical, coordinated, and focused on what matters most: people,” said Roque.
