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ASEAN summit kicks off in Kuala Lumpur as U.S.–China trade rift looms large

by Juliane C.
October 29, 2025
in News
ASEAN

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Last week, the ASEAN Summit began in Kuala Lumpur, attended by leaders from ten Southeast Asian countries and other global partners such as the United States, China, and Japan. In the current global context, with rising tensions between China and the United States in particular and the region’s economic and diplomatic unpredictability, the bloc seeks, with this meeting, to reaffirm its relevance and preserve its autonomy in an increasingly polarized global scenario.

ASEAN seeks to reassert its relevance in a world divided between rival powers

Founded in 1967, the Association of Southeast Asian Nations (ASEAN) was created with the goal of promoting political stability and economic cooperation among its members. Today, the group of countries faces challenges in maintaining its unity amid the polarization generated by the U.S.-China conflict over its economy and security.

On the North American side, the U.S. aims to maximize its presence in the Indo-Pacific and, at the same time, seeks to reduce its dependence on Chinese products and supply chains. Meanwhile, Beijing, despite recent trade restrictions, remains the main trading partner of most Southeast Asian countries.

From ASEAN’s perspective, the meeting highlighted the bloc’s challenge in balancing this polarity so as not to lose economic opportunities and maintain neutrality as much as possible.

US and China launch new chapter in trade dispute during summit

Tensions between the United States and China have intensified in recent weeks due to a tariff dispute between the countries. In direct response to a Chinese decision to consider increasing restrictions on the export and use of rare earth minerals, Washington is threatening to impose new tariffs on Chinese technology products.

The rare earth export issues, coupled with the long history of disagreements between the countries, have made the meetings between American and Chinese representatives among the most highly anticipated sideline meetings. U.S. Treasury Secretary Scott Bessent and Chinese Vice Premier He Lifeng are representing their countries to lead these negotiations.

Economic tensions spill into diplomacy as Washington and Beijing test regional alliances

The power struggle between the two countries is not limited to trade but also encompasses political and technological influence. Donald Trump’s administration wants to demonstrate diplomatic interest in the region even after years of focusing domestically. Its presence in Kuala Lumpur is seen as a gesture of rapprochement, but also as an attempt to assert its leadership in the face of an increasingly assertive China.

Meanwhile, countries like Indonesia and Vietnam are trying to capitalize on the rivalry. By attracting investment and companies seeking to diversify their production chains outside of China, these governments see the dispute as an opportunity for growth and modernization.

Kuala Lumpur summit marks a decisive moment for ASEAN’s global relevance

In addition to the dispute between the major powers, the summit will also address sensitive regional issues. One of the main ones is the truce between Thailand and Cambodia, following border clashes in July. The agreement, brokered with US support, is expected to be officially signed during the event, a symbolic gesture of regional stability.

In the economic arena, a meeting of the RCEP — the world’s largest trade agreement — is also planned to discuss internal reforms and potential new accessions. Experts point out that this move seeks to demonstrate that Asia remains the engine of global growth, despite political uncertainty and trade conflicts.

The Kuala Lumpur summit takes place at a critical and crucial moment for the future of ASEAN, amidst the ongoing disputes between the U.S. and China. Aiming to balance the interests of each of the two powers while preserving cooperation with both countries, the bloc is attempting to reaffirm its global relevance.

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