In a bold move aimed at strengthening Australia’s economic ties with Southeast Asia and diversifying its trading partners, Prime Minister Anthony Albanese has embarked on a pivotal journey to Jakarta. There, he is set to reveal the Southeast Asian Economic Strategy, a comprehensive plan that contains 75 strategic recommendations.
This initiative, crafted under the guidance of Australia’s special envoy for Southeast Asia, former Macquarie chief Nicholas Moore, is poised to reshape the country’s economic landscape and reduce its reliance on China.
The announcement is scheduled to take place at the ASEAN Indo-Pacific Forum, a platform for regional cooperation and dialogue, on Wednesday.
This strategic unveiling underscores Australia’s commitment to deepening its engagement with the dynamic economies of Southeast Asia, which are collectively home to over 650 million people and boast a rapidly growing middle class.
At its core, the Southeast Asian Economic Strategy seeks to turbocharge economic relations between Australia and the Southeast Asian region. One of the most ambitious goals of the strategy is to bolster two-way trade with Southeast Asia by an astounding $534 billion by the year 2040.
This significant target represents a substantial increase from the current trade volume and underscores the Prime Minister’s dedication to expanding Australia’s economic footprint in the region.
Prior to the summit, Mr. Albanese characterised the strategy as the “most comprehensive undertaking ever undertaken concerning Australia’s economic future with Southeast Asia.”
Agriculture, natural resources, renewable energy, and education emerged as four of the ten key sectors that Australia ought to focus on until 2040.
Since assuming office, the Albanese administration has been actively pursuing diversification of economic relationships to mitigate the excessive dependence on China, particularly as Beijing continues to extend its influence in the region.