In a media interview with CNBC, Professor Kishore Mahbubani shares how US VP Kamala Harris' visit to Singapore and Vietnam has emphasised that ASEAN will be an important arena of geopolitical competition between the US and China. He asserts that her visit to Southeast Asia is a "very positive development" and that it will benefit the region.
Even as companies seek to reorient their supply chains to reduce their reliance on China, Mahbubani reiterates that there is still strong dependence on China by MNCs as "no country can match [their] capabilities in so many areas". China accounts for the highest amount of imports in the US at 41% of its total imports. However, he advocates for a China+1 strategy as companies will need additional sources for manufacturing and supplies, instead of relying solely on China. This creates a huge opportunities for ASEAN, as the US has invested in ASEAN more than it has in China, India and Korea combined. Southeast Asia provides "massive opportunities for American business, not to substitute what China is doing, but to complement it."
Source: CNBC
Date: 25 August 2021
Link: 'Massive opportunities' for ASEAN if manufacturers look beyond China (cnbc.com)
August 27, 2021
