What's happened
On May 27, 2025, Malaysia hosted the inaugural ASEAN-GCC-China Summit in Kuala Lumpur, aiming to enhance economic cooperation amid rising global tensions. Leaders from ASEAN, the Gulf Cooperation Council, and China pledged to deepen trade ties and address mutual concerns, signaling a shift towards greater collaboration in the Global South.
What's behind the headline?
Strategic Implications
- Geopolitical Context: The summit occurs against a backdrop of increasing US-China rivalry, with countries in the Global South seeking to assert their influence and create alternative economic frameworks.
- Economic Collaboration: The leaders emphasized the importance of enhancing trade, supply chains, and infrastructure, which could lead to a more integrated economic bloc that counters US tariffs.
- Future Prospects: The collaboration may pave the way for a new economic alliance, potentially reshaping global trade dynamics and providing a counterbalance to Western influence.
Key Areas of Focus
- Sustainable Development: The summit prioritized sustainable development, food security, and digital economy initiatives, indicating a commitment to addressing global challenges.
- Local Currency Use: The agreement to expand local currency use in trade settlements could reduce reliance on the US dollar, furthering economic independence.
- Regional Stability: The joint statement highlighted a commitment to a rules-based multilateral trading system, reflecting a desire for stability amid global uncertainties.
What the papers say
According to the South China Morning Post, Premier Li Qiang described the summit as a 'groundbreaking initiative' for regional cooperation, emphasizing the need for mutual trust amid geopolitical tensions. In contrast, The Japan Times highlighted the summit as a potential model for new economic cooperation, suggesting it could empower the Global South against unilateral US tariffs. Both sources agree on the significance of the summit but differ in their emphasis on the implications for US-China relations and the potential for a new bloc in the region.
How we got here
The summit follows previous engagements between ASEAN and the GCC, including a 2023 summit in Riyadh. It reflects a growing trend of countries seeking to diversify partnerships amid escalating US-China tensions and trade conflicts, particularly under the Trump administration's policies.
Go deeper
- What were the main outcomes of the summit?
- How does this summit affect US-China relations?
- What are the implications for global trade?
More on these topics
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China, officially the People's Republic of China, is a country in East Asia. It is the world's most populous country, with a population of around 1.4 billion in 2019.
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Malaysia is a country in Southeast Asia. The federal constitutional monarchy consists of thirteen states and three federal territories, separated by the South China Sea into two regions, Peninsular Malaysia and Borneo's East Malaysia.
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Li Qiang is a Chinese politician and a member of the Politburo of the Communist Party of China. He is the current Party Committee Secretary of Shanghai, and formerly served as Governor of Zhejiang and Party Secretary of Jiangsu.
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The Cooperation Council for the Arab States of the Gulf, originally known as the Gulf Cooperation Council, is a regional intergovernmental political and economic union consisting of all Arab states of the Persian Gulf except Iraq, namely: Bahrain, Kuwait,
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Dato' Seri Anwar bin Ibrahim is a Malaysian politician who has twice served as the 12th and 16th Leader of the Opposition since May 2020 and from August 2008 to March 2015.
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Donald John Trump is an American politician, media personality, and businessman who served as the 45th president of the United States from 2017 to 2021.