The EU is negotiating three new free trade agreements with Malaysia, the Philippines and Thailand, aiming to conclude them by 2027. The deals seek to boost exports and investment while deepening trade relations between the EU and the ASEAN bloc.
Against a backdrop of global trade uncertainty, particularly following the tariffs introduced by the Trump administration earlier this year, the move underscores how both external and intra-regional trade partnerships are gaining importance. As a result, Asian economies are seeking new alliances to mitigate risks.
"We are living in turbulent times where you very much treasure true partnership, friendship, predictability and stability," said Maroš Šefčovič, European Commissioner for Trade and Economic Security, at the ASEAN-EU Business Summit in Kuala Lumpur.
The proposed agreements would remove duties on over 90 percent of bilateral imports, benefiting key sectors such as automobiles, machinery, textiles and food. Indonesia alone could save more than $700 million in duties.
Marking 50 years of ASEAN-EU dialogue, the agreements underline Europe's commitment to a rules-based international trading system while signalling increased competition and opportunity for exporters.
By reinforcing ASEAN-EU relations, the deals aim to bolster economic resilience, open new opportunities for exporters and set a precedent for cooperative trade amid global tension.