The widening conflict in the Middle East is expected to dominate discussions at a meeting of ASEAN economic ministers on Friday, as Southeast Asian governments assess the impact of rising energy prices and global trade disruptions.
The Philippines, which currently chairs the regional bloc, is hosting the economic ministers’ retreat while foreign ministers will hold a special virtual meeting to address the growing crisis.
Officials are expected to discuss the effects of surging oil prices and disruptions to shipping and logistics across export-driven Southeast Asian economies.
Oil Prices And Trade Disruptions
The conflict has pushed crude oil prices above $100 a barrel and disrupted shipping through the Strait of Hormuz, a crucial route that carries roughly one-fifth of the world’s oil and liquefied natural gas supplies to Asia.
The situation has raised concerns across Southeast Asia, where several countries rely heavily on energy imports from the Gulf region.
Philippines trade undersecretary Allan Gepty said the region could not ignore the risks posed by the crisis.
“The concern is a given,” he told reporters, noting that higher energy prices could affect inflation, jobs and economic stability.
Regional Governments Respond
Several ASEAN countries have already introduced measures to manage the economic impact of the conflict.
The Philippines has shortened its government work week to reduce fuel consumption and is considering suspending fuel taxes to ease rising costs.
Vietnam has reduced retail fuel prices after global oil prices briefly eased, though authorities warned that volatility is likely to continue.
Thailand has also halted energy exports to most countries except Laos and Myanmar as it seeks to safeguard domestic supply.
Call For Diplomatic Resolution
ASEAN foreign ministers have urged restraint and called for an immediate end to hostilities.
In a statement, they described the escalation of the conflict as “particularly regrettable” and stressed the need to protect civilians and resolve disputes through dialogue and international law.
Officials say coordination among ASEAN members will be crucial as the region navigates the economic and geopolitical fallout of the crisis.
(with inputs from Reuters)
