Prime Minister (PM) of India participated in the 21st ASEAN-INDIA Summit in Vientiane, Lao PDR.
About Association of South East Asian Nations (ASEAN)
It is an inter-governmental grouping aimed at promoting political and economic cooperation and regional stability among its members and other countries in Asia.
It was established in 1967 in Bangkok with the signing of the ASEAN Declaration (Bangkok Declaration) by five members (Indonesia, Malaysia, Philippines, Singapore, and Thailand).
Presently it has 10 members (refer map).
Headquarters: Jakarta, Indonesia.
Institutional mechanism:
ASEAN Summit: Meets annually to discuss regional issues and set policy directions.
Chaired by an annually rotating presidency.
ASEAN Coordinating Council (ACC): Oversees the implementation of ASEAN agreements and decisions.
ASEAN Secretariat: Supports and facilitates ASEAN's activities and initiatives.
ASEAN Regional Forum (ARF): Platform for dialogue and cooperation on political and security issues among ASEAN member countries and their partners.
India joined ARF in 1996.
Decision Making: It is done through consultation and consensus.
ASEAN Future Forum:
Proposed by Vietnam at the 43rd ASEAN Summit in 2023.
It is a common platform for ASEAN member states as well as partner countries to share new ideas and policy recommendations.
India is a founding member.
Key developments of the 21st ASEAN-India Summit
Other Tracks of Diplomacy
Track 1.5 Diplomacy: It occurs when government representatives and non-governmental experts engage in dialogue or meetings together in less formal ways than Track 1 diplomacy.
Track 2 Diplomacy: It denotes a purely unofficial channel for dialogue between non-governmental experts, without direct governmental involvement.
Announced a 10-Point plan aligning with summit theme-Enhancing Connectivity and Resilience.
Reviewedthe progress of theASEAN-India Comprehensive Strategic Partnership and charted the future direction of cooperation.
Leaders agreed to create a new ASEAN-India Plan of Action (2026-2030) to realize the full potential of the ASEAN-India partnership and adopted two joint statements.
Announced a 10-Point plan aligning with summit theme-Enhancing Connectivity and Resilience.
Joint Statement on Strengthening ASEAN-India Comprehensive Strategic Partnership:
Accelerate review of ASEAN-India Trade in Goods Agreement (AITIGA) to enhance trade, simplify processes, and cooperation.
Welcomed the launch of the ASEAN-India Fund for Digital Future to support joint activities.
Joint Statement on Advancing Digital Transformation:
Digital Public Infrastructure (DPI): To share best practices in DPI development, implement joint initiatives for regional integration, and address challenges in Health etc.
Financial Technology: Explore collaboration on cross-border payment systems through innovative digital solutions.
Cyber security: To enhance cyber security cooperation for the digital economy and welcomed the 1st ASEAN-India Track 1 Cyber Policy Dialogue.
About Track 1 Diplomacy: It refers to official diplomacy, where communication is directly between or among governments.
These formal discussions are conducted by diplomats, heads of state, and other official authorities.
Other Key Sectors: Artificial Intelligence (AI), Capacity Building and Knowledge Sharing, Sustainable Financing and Investment, and Implementation Mechanism were also announced.
Importance of ASEAN for India
Economic partnership and Trade: ASEAN is India’s 4th largest trading partner and accounts for 11% of India's global trade.
The bilateral trade between India and ASEAN stood at $ 122.67 Billion during 2023-24.
Convergence with Indo-Pacific strategy: ASEAN Centrality is a crucial component of India's ‘Act East’ policy and its ‘Indo-Pacific’ strategy, reflecting the convergence of interests in the region.
Also, it plays role in stability in the eastern neighbourhood, for example in Myanmar.
Connectivity with North East: Connectivity initiatives with ASEAN can boost economic development in India's northeastern states by positioning them as a hub for regional trade and commerce.
E.g., Kaladan Multi-Modal Transport Project, etc.
Balancing China’s influence: Strengthening ties with ASEAN will help India to counterbalance the growing Chinese influence in the region.
Ensuring maritime security: India engages with ASEAN to secure critical maritime routes, including the Malacca Strait, vital for India's maritime security and trade.
Tourism and education: ASEAN countries are popular among Indian tourists, while ASEAN students increasingly study in India. These exchanges strengthen soft power and goodwill between the regions.
Significance of ASEAN in the Indo-pacific region
Geopolitical and economic centrality: Southeast Asia, where ASEAN is centered, is a crucial conduit and portal to the dynamic Asia-Pacific and Indian Ocean regions, which are key centers of economic growth and geopolitical shifts.
Rules-based order: ASEAN plays a central role in promoting rules-based security architecture in the Indo-Pacific region, which is essential for the region's peace, security, stability and prosperity.
Balancing great power rivalry: ASEAN's centrality helps balance the influence of major powers like the United States and China in the Indo-pacific region.
Connectivity: ASEAN promotes connectivity initiatives to enhance regional integration and development in the Indo-pacific region, complementing the Master Plan on ASEAN Connectivity (MPAC) 2025.
Challenges in India-ASEAN relationship
Economic concerns: India’s decision to walk out of the Regional Comprehensive Economic Partnership (RCEP) had created a sense of economic disappointment for ASEAN members.
Trade imbalances: India's trade deficit with ASEAN has increased over the years.
Trade deficit in 2016-17 was $ 9.66 billion, which increased to $ 43.57 billion in 2022-23.
Lack of Multilateral Engagement: India engages with ASEAN countries more on a bilateral basis rather than through a multilateral approach.
Increasing Chinese influence: Growing Chinese presence in Southeast Asia through Belt and Road Initiative (BRI) limits the ability of ASEAN to harness India’s potential for economic gain and regional stability.
Connectivity: Despite efforts to enhance connectivity, physical and digital connectivity between India and ASEAN countries remains limited.
Delay in completing infrastructure projects (e.g., Kaladan Multi-Modal Transport Project, India–Myanmar–Thailand Trilateral Highway) has impeded the progress of economic cooperation affecting trade, investment and people-to-people ties.
Analysis of ASEAN with respect to other multilateral organizations
QUAD
Challenge to ASEAN Centrality: ASEAN perceives the QUAD as potentially undermining its central role in the Indo-Pacific region.
The involvement of major powers like the USA and India within QUAD's strategic framework raises concerns over ASEAN's influence and leadership in regional security and diplomatic matters.
Impact on ASEAN Regional Forum (ARF): The ARF, established by ASEAN, aims to maintain ASEAN’s influence in the Indo-Pacific by providing a platform for political and security dialogue among 27 participants, including the U.S. and China.
The QUAD’s rise is seen as a competing security initiative, potentially sidelining the ARF.
Threat to the ZOPFAN Framework: To prevent external interference in the Indo-Pacific, particularly in Southeast Asia, ASEAN members signed the Zone of Peace, Freedom, and Neutrality (ZOPFAN) agreement in 1971.
The QUAD’s activities in the region are viewed as potentially undermining this commitment to neutrality.
South Asian Association for Regional Cooperation (SAARC)
Economic and Trade Development: ASEAN has demonstrated rapid growth in regional and global trade compared to SAARC, which has struggled to achieve similar levels of economic integration and cooperation.
Success in Regional Initiatives: ASEAN has achieved significant milestones in areas such as food security, agricultural development, humanitarian assistance, and regional security, often surpassing the accomplishments of SAARC in these sectors.
Bay of Bengal Initiative for Multi-Sectoral Technical and Economic Cooperation (BIMSTEC)
Bridge between South Asia and Southeast Asia: BIMSTEC fosters collaboration between SAARC and ASEAN nations, enhancing intra-regional connectivity and cooperation across South and Southeast Asia.
10-Point plan: It lays a solid foundation for deeper collaboration, mutual respect, and shared growth between India and ASEAN nations, furthering India's vision of ASEAN Centrality in Indo-Pacific highlighted in 2018 Shangri La Dialogue.
Enhance economic and trade ties: Update and expand the scope and effectiveness of ASEAN-India Free Trade Agreement (FTA) to help address the trade imbalances.
Maritime cooperation: A robust maritime cooperation between India and ASEAN is crucial for realization of the full potential of the securing sea lines of communication and for prosperity of the strategic Indo-Pacific region.
Counterbalance China: India should initiate an ‘Indo-Pacific Maritime partnership’ that seeks mutually-beneficial maritime security partnership with ASEAN nations.
Boost connectivity: Complete key connectivity projects (e.g., India-Myanmar-Thailand Trilateral Highway) and explore its extension to other ASEAN countries enhancing trade and cultural ties.
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