The speech by Ambassador Michelangelo Pipan, President of the Italy-ASEAN Association at the High Level Dialogue on ASEAN-Italy Economic Relations in Manila
When the Italy ASEAN Association was founded with the intent of promoting relations between Italy and the ASEAN countries, back in 2015, the world was a very different place: in virtual absence of major troubles the economy was booming, interest rates were low thanks to equally low inflation, free trade was reigning, globalisation was the name of the game. In that context the Association’s job in pursuing its goals was rather straightforward, although everything but easy: as Italian businesses were far from tapping the extraordinary opportunities offered by the ASEAN countries, it was necessary to attract their attention to and increase their awareness of the vast openings existing in each and every ASEAN member country and the very favourable atmosphere provided by the ASEAN stance towards international trade, let alone the strong sympathy everything Italian enjoyed in the area. In 2015 ASEAN became a Community also in the economic field, making possible a practically unhindered circulation of goods and capitals. Then came the RCEP agreement opening up an enormous common market in this part of the world. Those achievements consolidated the ASEAN role and made its member countries an even more appealing partner, one that could not be overlooked. In fact the Italian government did not fail to realise that and sought the status of ASEAN’s Development Partner, which was achieved in 2020. Since its inception the Association pursued its mission mostly implementing awareness activities with the support of its members, some of the major Italian Corporations, and in cooperation with the Italian official bodies. We soon realised that it was of the utmost importance to bring the Italian CEOs to ASEAN to meet their counterparts, to see with their own eyes the dynamism of the people, governments and entrepreneurs in these countries. That’s how the cooperation with TEH Ambrosetti was initiated and the HLDs started.
Fast forward nine years, so much has changed on the global stage. After the disruption brought about by the pandemic and the subsequent expectations arising from the unprecedented financial resources made available by many governments and international organisations, war broke in Eastern Europe, then in the Middle East, in South Sudan, inflation rose, so did interest rates, trade barriers started to be Introduced and then strengthened . The world is now a totally different place. But how have these portentous events changed the landscape for us, for the perspectives of the relations between the EU and ASEAN? How are they affecting the work of our Association? Well, if anything, I am convinced that ASEAN as well as our work have become more relevant, because in a scenario where containment, confrontation, inward looking attitudes seem to take hold in so many places and cause a dangerous fragmentation of the international order., Asean stands out for the perseverance in sticking to its founding principles: a stalwart champion of free-trade as a means to growth and peace - convinced that stability can be achieved through development and vice versa ,an unconditional supporte of multilateralism, ASEAN’s policy remain that of resorting to discrete diplomatic dialogue for the solution of controversies, a policy so intrinsically linked to the success of the association that has been dubbed “the ASEAN Way”. In recent times, this has been coupled with the “ASEAN Centrality” a concept that - extending the other basic ASEAN principle of non-interference - signifies the unwillingness of the block to be pushed to take sides in the major power’s contest for predominance in the area. No wonder only a few days ago, when participating to the 14th ASEAN- UN summit in Vientiane , the SG of the UN, Mr Gutierrez, praised the Association as a “wonderful model for the world….a bridge builder and a messenger for peace “, lauding is commitment to multilateralism and its efforts to defuse tension by prioritising dialogue and respect of international law. At the same time in spite of geopolitical uncertainty and conflicts, the World Bank estimates that global trade to GDP ratio has reached 74%, exceeding pre pandemic levels. According to other authoritative sources world exports have grown 1,8% last year and are looking to grow 3.5% in 2024. In this scenario it has been said by experts on the area that “South East Asia is poised to be the biggest winner in global trade over the next decade, even amid (possible) escalating confrontation between the major powers”. Moreover, last year the six major ASEAN economies attracted more FDI than China (that incidentally looks to become soon the major foreign investor in the area). On top of this ASEAN continues to look ahead and is drafting a new ASEAN Community Vision 2045 to be adopted next year. At the same time the EU is advancing its work for the establishment of FTAs with more ASEAN nations, including the Philippines our host this year. All this considered, the work of our Association has become even more essential, in my view, for the reciprocal benefit of Italy and the ASEAN countries. A lot can be achieved thanks to a strong complementarity: we have In front of us a rich tapestry of opportunities can can be woven on the solid framework of the EU-ASEAN relations. It is thus a great privilege to hold the 8th edition of the HLD in Manila and we are most thankful to the Philippines government to host it. We are also extremely grateful to the many organisations and individuals whose commitment contributed to make it happen. I align myself to the individual thanks that were presented earlier by Mr Tavazzi. I know from personal experience- back in 1981 Manila was the first posting abroad of my diplomatic career- of the many opportunities for bilateral cooperation the stand in front of our two countries and the rest of ASEAN. Having expanded considerably since then, they are clearly spelled out in today’s program and reach out to the most contemporary fields of activities - let me remind you that the World Intellectual Property Office has chosen the Philippines as pilot country for measuring the contribution of the creative industry to GDP. I trust they will get a significant impulse today thanks to your discussions. In conclusion, I wish you the best of success and thank you for your kind attention.
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