What is ASEAN and why does the bloc matter amid global tensions?

The Association of Southeast Asian Nations (ASEAN) is heading into its 49th summit in Manila amid mounting geopolitical and economic pressures, with the Iran war, intensifying US-China rivalry and multiple regional conflicts threatening to test the bloc's unity.

Leaders from major global powers are expected to join the November 15-17 gathering hosted by the Philippines, where energy security, artificial intelligence and regional stability are likely to feature prominently.

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The 11-member grouping is also confronting a series of challenges closer to home, including the prolonged civil war in Myanmar, tensions between Thailand and Cambodia, and competing territorial claims in the South China Sea.

The summit comes at a time when ASEAN is seeking to maintain its influence in an increasingly polarised geopolitical environment while managing differences among its own members.

How ASEAN came into being

ASEAN was established on August 8, 1967, when Indonesia, Malaysia, the Philippines, Singapore and Thailand signed the Bangkok Declaration.

The founding members sought to strengthen regional cooperation, promote economic development and maintain peace and stability in Southeast Asia.

Unlike the European Union, ASEAN does not have a central institution with the authority to impose decisions on member countries. Its functioning is largely based on consultation, consensus and the principle of non-interference in domestic affairs.

An 11-member bloc with growing economic weight

The grouping expanded beyond its original five members over the following decades. Brunei joined in 1984, Vietnam in 1995, Laos and Myanmar in 1997, and Cambodia in 1999.

Timor-Leste became ASEAN's 11th member in October 2025.

The bloc had a combined population of 693.2 million in 2025, accounting for 8.4% of the world's population. Its collective economic output stood at $4.3 trillion, which would make it the world's fifth-largest economy if the members were treated as a single economic unit. Goods trade amounted to $4.4 trillion, according to ASEAN data.

The ASEAN Economic Community aims to create a single market and production base across the region. However, differences in regulations, non-tariff barriers and uneven progress among members continue to constrain deeper economic integration.

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Political and economic differences also complicate collective decision-making. Member countries have varying relationships with Washington and Beijing, while four ASEAN nations have formal claims in the South China Sea.

Regional cooperation, but limited crisis management

One of ASEAN's biggest achievements has been creating a platform for regular dialogue among countries that have historically experienced political and territorial tensions.

Its regional forums bring major powers, including China, the United States, Russia, Japan and India, into discussions with Southeast Asian nations.

The bloc has also expanded economic cooperation through a network of free-trade agreements and the Regional Comprehensive Economic Partnership. The trade pact connects ASEAN members with China, Japan, South Korea, Australia and New Zealand.

However, economic and political crises have repeatedly tested the grouping's ability to respond collectively.

The 1997-98 Asian financial crisis exposed the region's vulnerability to external economic shocks. It also encouraged greater financial cooperation with China, Japan and South Korea, leading to the Chiang Mai Initiative in 2000.

The initiative has since evolved into a $240 billion regional financial safety net. In 2026, ASEAN added a facility to provide rapid liquidity during sudden disruptions, including natural disasters and pandemics.

Security challenges have proved more difficult to address. The conflict in Myanmar, the Thailand-Cambodia border dispute and tensions in the South China Sea continue to expose the limitations of ASEAN's consensus-based approach.

Why ASEAN centrality matters

The concept of ASEAN centrality refers to the bloc's ambition to remain at the centre of regional institutions and diplomatic arrangements, rather than allowing larger powers to dictate Southeast Asia's strategic direction.

By bringing major powers into regional forums, ASEAN gives its smaller members a platform to collectively influence discussions on trade, security and geopolitics.

However, the principle faces growing pressure as competition between Washington and Beijing intensifies and major powers increasingly pursue alternative diplomatic and security groupings.

ASEAN's reliance on consensus and non-interference can also slow decision-making and weaken collective responses to regional crises. The bloc has no enforcement mechanism to compel members to implement common decisions.

What is on the agenda at the Manila summit?

The November 15-17 summit is expected to focus on energy security, artificial intelligence and transboundary pollution, alongside continuing regional concerns involving Myanmar, Thailand and Cambodia, and the South China Sea.

The Iran war has made energy security an urgent priority, with disruptions to fuel supplies and volatility in global energy prices threatening economies across Southeast Asia.

The Philippines has also placed artificial intelligence among its priorities during its tenure as ASEAN chair.

The Myanmar crisis is expected to remain a major challenge. ASEAN's five-point consensus, adopted in 2021 to facilitate peace and dialogue, has failed to stop the fighting in the country.

Meanwhile, the ceasefire between Thailand and Cambodia has held since December, although their underlying border dispute remains unresolved.

Environmental concerns have also returned to the regional agenda. Months of wildfires in Indonesia have caused transboundary haze, affecting air quality in neighbouring Singapore and Malaysia.

In the South China Sea, tensions persist even as ASEAN continues negotiations with China over a proposed code of conduct to manage disputes. Maritime confrontations remain a concern for countries with competing territorial claims.

US-China rivalry is also likely to feature in discussions on the sidelines of the summit. The White House has said US President Donald Trump will hold a special summit with ASEAN leaders on November 17 and meet Philippine President Ferdinand Marcos Jr. during his visit.

The gathering will therefore be an important test of whether ASEAN can maintain its collective diplomatic influence at a time when geopolitical competition, regional conflicts and economic uncertainty are increasingly pulling its members in different directions.