US investment shifts to ASEAN
As China and India begin to lose luster, private investors are increasingly setting their gaze on the diverse and rapidly growing countries of ASEAN. For US businesses, the shift has become especially palpable.
“ASEAN has risen to much greater prominence, both globally and in Washington D.C.,” Alexander Feldman, President of the US-ASEAN Business Council, said at the US-ASEAN Economic Ministers Roadshow, which concluded on June 13.
“US businesses have taken notice and today ASEAN hosts the largest US foreign direct investment commitment in Asia,“ he continued.
Discussions at the meeting between US businesses and ASEAN ministers revolved around the knowledge economy, with a particular focus on creative industries and the media.
Over the past three years, ASEAN nations have gained greater currency with global investors, partially because of the BRICs stabilization in growth, as well as the diverse cultural, socioeconomic and resource endowments the ASEAN nations offer.
The extraordinary variances of the region – which includes Singapore (per capita GDP $60,000) and Cambodia (per capita GDP $1,000) – gives investors a basket to hedge investments, all within an quickly integrating and high-growth region.
“The interesting thing about Southeast Asia is value shifts,” said Luke Pais, managing director, Ernst & Young Corporate Finance in Singapore.
“So because of the diversity in the region, when one market is up, another market is down,” he continued.
With a GDP of roughly $2.5 trillion, ASEAN is predicted to continue growing at about 7 to 8 per cent per year, Pais cited.
US-ASEAN trade has grown 60 per cent since 2002, making the region the 5th largest trading partner of the US and 4th largest export market.
Exports to ASEAN create about half a million US jobs, with more to come as the region continues to globally integrate economically while expanding growth at home.
As China and India begin to lose luster, private investors are increasingly setting their gaze on the diverse and rapidly growing countries of ASEAN. For US businesses, the shift has become especially palpable. “ASEAN has risen to much greater prominence, both globally and in Washington D.C.,” Alexander Feldman, President of the US-ASEAN Business Council, said at the US-ASEAN Economic Ministers Roadshow, which concluded on June 13. “US businesses have taken notice and today ASEAN hosts the largest US foreign direct investment commitment in Asia,“ he continued. Discussions at the meeting between US businesses and ASEAN ministers revolved around the knowledge...
As China and India begin to lose luster, private investors are increasingly setting their gaze on the diverse and rapidly growing countries of ASEAN. For US businesses, the shift has become especially palpable.
“ASEAN has risen to much greater prominence, both globally and in Washington D.C.,” Alexander Feldman, President of the US-ASEAN Business Council, said at the US-ASEAN Economic Ministers Roadshow, which concluded on June 13.
“US businesses have taken notice and today ASEAN hosts the largest US foreign direct investment commitment in Asia,“ he continued.
Discussions at the meeting between US businesses and ASEAN ministers revolved around the knowledge economy, with a particular focus on creative industries and the media.
Over the past three years, ASEAN nations have gained greater currency with global investors, partially because of the BRICs stabilization in growth, as well as the diverse cultural, socioeconomic and resource endowments the ASEAN nations offer.
The extraordinary variances of the region – which includes Singapore (per capita GDP $60,000) and Cambodia (per capita GDP $1,000) – gives investors a basket to hedge investments, all within an quickly integrating and high-growth region.
“The interesting thing about Southeast Asia is value shifts,” said Luke Pais, managing director, Ernst & Young Corporate Finance in Singapore.
“So because of the diversity in the region, when one market is up, another market is down,” he continued.
With a GDP of roughly $2.5 trillion, ASEAN is predicted to continue growing at about 7 to 8 per cent per year, Pais cited.
US-ASEAN trade has grown 60 per cent since 2002, making the region the 5th largest trading partner of the US and 4th largest export market.
Exports to ASEAN create about half a million US jobs, with more to come as the region continues to globally integrate economically while expanding growth at home.
