China’s investment machine blitzes US in South-East Asia

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Lowy Institute research shows Beijing has consolidated its lead in economic engagement and bolstered defence, diplomatic and cultural ties.

| The United States has lost influence in South-East Asia over the past five years, with fresh Lowy Institute research showing Beijing has increased its lead in economic and diplomatic engagement and made up ground on cultural influence.

Ms Patton said Japan, Korea and India are among other nations that hold sway in the region “but at the end of the day, the US and China are the most important external influences and the direction of travel is not positive for the US”.The research finds the US is more influential overall in only two of the 10 ASEAN countries: the Philippines and Singapore. China’s influence is most marked in Laos, Cambodia and Myanmar, but it is also ahead in Indonesia, the region’s largest economic powerhouse.

The US is a member of neither the Regional Comprehensive Economic Partnership nor the Comprehensive and Progressive Agreement for Trans-Pacific Partnership. “The hospitality received and focus given [by Chinese leaders and business figures] were extraordinary. I consider this a very positive development. This visit is of great benefit to Malaysians,” Mr Anwar told Malaysian media.

 

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