america - US-ASEAN Business Council [PDF]

AM · BRUNEI DARUSSALAM · CAMBODIA · INDONESIA ·· CAMBODIA LAOS · MALAYSIA · MYANMAR · PHILIPPINES BRUNEI DARUSSALAM · INDONESIA · LAOS · MALAYSIA

RUSSALAM · CAMBODIA · INDONESIA · LAOS · MALAYSIA · MYANMAR · PHILIPPINES · SINGAPORE · T

NEI DARUSSALAM · CAMBODIA · INDONESIA · LAOS · MALAYSIA · MYANMAR · PHILIPPINES · SINGAPO

M · CAMBODIA · INDONESIA · LAOS · MALAYSIA · MYANMAR · PHILIPPINES · SINGAPORE · THAILAND ·

AOS · MALAYSIA · MYANMAR · PHILIPPINES · SINGAPORE · THAILAND · VIETNAM · BRUNEI DARUSS LAYSIA · MYANMAR · PHILIPPINES · SINGAPORE · THAILAND · VIETNAM · BRUNEI DARUSSALAM

AYSIA · MYANMAR · PHILIPPINES · SINGAPORE · THAILAND · VIETNAM · BRUNEI DARUSSALAM CA BRUNEI ·DA

· VIETNAM · BRUNEI ·DA AYSIA · MYANMAR · PHILIPPINES · SINGAPORE · THAILAND · UNITED STATESBRUNEI DARUSSALAM C

PPINES · SINGAPORE · THAILAND · UNITED STATES · VIETNAMBRUNEI · BRUNEI DARUSSALAM · CAMBO- · IN DARUSSALAM · CAMBODIA

D · UNITED STATES · VIETNAM· ·VIETNAM BRUNEI DARUSSALAM · CAMBODIA · ·INDONESIA · PINES · SINGAPORE · THAILAND · BRUNEI DARUSSALAM CAMBODIA ·· LAOS INDONESIA · LAO

· CAMBODIA ED STATES · VIETNAM · BRUNEI DARUSSALAM BRUNEI DARUSSALAM · CAMBODIA · INDONESIA · LAOS · MALAYSIA

AS E A N

MATTERS FOR

AMERICA

MATTERS FOR

AS E A N

AsiaMattersforAmerica.org/ASEAN

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For more than 30 years, the US-ASEAN Business Council has been the premier advocacy organization for American corporations operating within the dynamic Association of Southeast Asian Nations (ASEAN). Worldwide, the Council's 150+ member companies generate over $6 trillion in revenue and employ more than 13 million people. Members include the largest US companies conducting business in ASEAN, and range from newcomers to the region to companies that have been working in Southeast Asia for over 100 years. The Council has offices in: Washington, DC; New York, NY; Bangkok, Thailand; Hanoi, Vietnam; Jakarta, Indonesia; Kuala Lumpur, Malaysia; Manila, Philippines; and Singapore. The ISEAS - Yusof Ishak Institute (formerly Institute of Southeast Asian Studies) is an autonomous organization established in 1968. It is a regional centre dedicated to the study of socio-political, security, and economic trends and developments in Southeast Asia and its wider geostrategic and economic environment. The Institute’s research programmes are grouped under Regional Economic Studies (RES), Regional Strategic and Political Studies (RSPS), and Regional Social and Cultural Studies (RSCS). The Institute is also home to the ASEAN Studies Centre (ASC), the NalandaSriwijaya Centre (NSC) and the Singapore APEC Study Centre.

ASEAN MATTERS FOR AMERICA/ AMERICA MATTERS FOR ASEAN This project explores the important and multi-faceted relationship between the United States and the 10 Association of Southeast Asian Nations (ASEAN) member states. Part of the Asia Matters for America initiative, this publication and its associated website provide tools to explore the strong connections in the US-ASEAN relationship. AsiaMattersforAmerica.org/ASEAN

Project Team E AST- WEST CENTER IN WASHINGTON Director: Satu P. Limaye, Ph.D. Coordinators: Caitlin Brophy, Grace Ruch Clegg Research & Content: Orrie Johan, David Lee, Jaichung Lee, Jeesu Lee, Karen Mascariñas, Khun Nyan Min Htet, Kim Meihua Roy, Stephen Shao, Matthew Short, Peter Valente, Sarah Wang, Matthew Wong US - ASE AN BUSINESS COUNCIL Director: Alexander C. Feldman Coordinators: Kathleen Lunardi, Anthony Nelson Contributors: Elizabeth Dugan, Hai Pham, Artha Sirait, Riley Smith, Matt Solomon, Christopher Wells Copyright © 2017 East-West Center

ASEAN M AT T ERS FOR AM ER I CA

ASEAN MATTERS FOR AMERICA

The East-West Center promotes better relations and understanding among the people and nations of the United States, Asia, and the Pacific through cooperative study, research, and dialogue. Established by the US Congress in 1960, the Center serves as a resource for information and analysis on critical issues of common concern, bringing people together to exchange views, build expertise, and develop policy options.

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3

ASEAN IN PROFILE

INVESTMENT

The Association of Southeast Asian Nations (ASEAN) Has the 3rd Largest Population in the World and a GDP of $2.4 Trillion The 10 countries of ASEAN – Brunei Darussalam, Cambodia, Indonesia, Laos, Malaysia, Myanmar (Burma), the Philippines, Singapore, Thailand, and Vietnam – occupy a strategically important position for trade and security in Asia, and together formed the ASEAN Community in 2015.

ASEAN Is the Number One Destination for US Investment in Asia ASEAN has received almost $274 billion in cumulative investment from the United States, more than the US has directed to China, India, Japan, and South Korea combined.

ASEAN ECONOMY The ASEAN Economic Community Is Currently the 3rd Largest Economy in Asia and the 5th Largest in the World With over $5.3 trillion in global trade transiting through ASEAN each year, the region is a hub for global trade and one of the fastest growing economies in the Asia Pacific.

ASEAN GROWTH PROJECTIONS The ASEAN Economy Is Projected to Grow by Over 5% per Year and Become the 4th Largest Economy in the World by 2050 Economic growth is supported by favorable demographics. Almost 380 million people are under age 35 in ASEAN, approximately 20% larger than the entire population of the United States, and the middle class is expected to more than double in size to 334 million by 2030.

THE UNITED STATES AND ASEAN ASEAN Member States Are Key Diplomatic, Economic, and Security Partners for the US The US and ASEAN elevated their relationship into a strategic partnership in 2015, and in 2017 celebrated 40 years as dialogue partners. The US participates in the ASEAN-led East Asia Summit (EAS), the ASEAN Defense Ministers Meeting-Plus (ADMM-Plus), and the ASEAN Regional Forum (ARF).

TRADE The US Exports Over $100 Billion in Goods and Services to ASEAN ASEAN member states, taken together, rank 4th after Canada, Mexico, and China as a goods exports market for the United States, and the US is the 4th largest trading partner for ASEAN.

AGRICULTURE ASEAN Is a Top Ten Destination for US Agricultural Exports ASEAN is the 6th largest importer of US agricultural goods, and the 3rd largest in Asia after China and Japan.

JOBS FROM TRADE All 50 States Export to ASEAN, Supporting Over Half a Million Jobs in the US Employment from trade to ASEAN creates over a quarter of a million jobs in California, Texas, Washington, New York, and Illinois alone.

INFRASTRUCTURE ASEAN Has Over $2 Trillion Worth of Infrastructure Investment Opportunities Investment in road, rail, port, airport, power, water, and telecommunications infrastructure is needed across ASEAN in order to maintain economic growth.

DIGITAL ECONOMY ASEAN's Digital Economy Is Projected to Grow by 500% and Be Worth $200 Billion by 2025 ASEAN has over 700 million active mobile connections, more than the entire population of the region.

TRAVEL AND TOURISM Visitors from ASEAN Add $5 Billion to the US Economy in a Year Over 780,000 people from ASEAN countries visited the US in 2015, while almost 3.5 million Americans visited ASEAN.

ASEAN AMERICANS AND IMMIGRATION 36% of Asian Americans Identify with an ASEAN Ethnicity ASEAN is a major destination for remittances from the US, with both the Philippines and Vietnam among the top five recipients after Mexico, China, and India.

EDUCATIONAL EXCHANGE ASEAN Students Contribute $1.7 Billion to the US Economy in a Year Over 5,700 US students studied abroad in ASEAN, while 55,000 students from ASEAN studied in the US.

SISTER PARTNERSHIPS 92 Sister Relationships between the US and ASEAN Build Civic and People-to-People Connections With 70 sister cities and 22 sister state or sister county connections, these ties between the US and ASEAN link seven ASEAN countries to 22 US states.

STATES & CONGRESSIONAL DISTRICTS 20 US States Send Over $1 Billion in Goods Exports to ASEAN Each Year Over half of US congressional districts export more than $100 million in goods to ASEAN.

HI G H LI G H TS

ASEAN MATTERS FOR AMERICA

Highlights

NORTH KOREA

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5

The Association of Southeast Asian Nations (ASEAN) Has the 3rd Largest Population in the World and a GDP of $2.4 Trillion

ASEAN IS AT THE CENTER OF A DYNAMIC ASIA PACIFIC REGION JAPAN

BHUTAN INDIA BANGLADESH

TAIWAN MYANMAR

The Association of Southeast Asian Nations (ASEAN) is a 10-member regional bloc with a combined GDP of $2.4 trillion, a population of 630 million, and a land mass covering more than 1.7 million square miles. Founded in 1967 by Indonesia, Malaysia, the Philippines, Singapore, and Thailand, ASEAN has since expanded to include Brunei Darussalam, Cambodia, Laos, Myanmar (Burma), and Vietnam. ASEAN holds semiannual ASEAN Summits, numerous ministerial meetings, and convenes Asia Pacific powers to discuss security and political issues. ASEAN seeks to promote economic growth and regional stability among its members through consultation, consensus, and cooperation based on the Treaty of Amity and Cooperation (TAC). By combining the member states’ influence, ASEAN has been able to affect Asia Pacific economic, political, and security trends to a much greater degree than its members could achieve individually. ASEAN’s community building effort comprises three pillars: the Political-Security Community; Economic Community; and Socio-Cultural Community. ASSOCIATION OF SOUTHEAST ASIAN NATIONS (ASEAN) ASEAN Secretariat: Jakarta, Indonesia Population: 630 million Chair rotates annually among member states. The ASEAN Economic Community was formed on December 31, 2015.

East China Sea

CHINA NEPAL

asean.org

BRUNEI DARUSSALAM Capital: Bandar Seri Begawan Population: 0.4 million Member Since: 1984 US-Brunei treaty relations have been active since 1850.

INDONESIA Capital: Jakarta Population: 255 million Member Since: 1967 Indonesia, the world’s 4th largest country by population, formed a strategic partnership with the US in 2015.

CAMBODIA Capital: Phnom Penh Population: 15.5 million Member Since: 1999 The United States is the largest purchaser of Cambodia's exports.

LAOS Capital: Vientiane Population: 7 million Member Since: 1997 In 2016, Barack Obama became the first sitting US President to visit Laos.

Source: International Monetary Fund 2015 data. Numbers rounded throughout. All monetary values are in US$. References to the European Union (EU) includes all 28 member states as of 2016. Whenever possible, most recent available data is used.

LAOS

INDIA

VIETNAM Bay of Bengal

Philippine Sea

THAILAND South China Sea CAMBODIA

SRI LANKA

PHILIPPINES Pacific Ocean

Malacca Strait

BRUNEI MALAYSIA SINGAPORE

Indian Ocean

PAPUA NEW GUINEA

INDONESIA Sunda Strait TIMOR-LESTE Lombok Strait

AUSTRALIA

MALAYSIA Capital: Kuala Lumpur Population: 31 million Member Since: 1967 The United States is the largest investor in Malaysia.

SINGAPORE Capital: Singapore Population: 5.5 million Member Since: 1967 Singapore was the first US bilateral free trade partner in Asia.

MYANMAR (BURMA) Capital: Nay Pyi Taw Population: 51.8 million Member Since: 1997 The US restored full diplomatic relations in 2012 and removed all sanctions in 2016.

THAILAND Capital: Bangkok Population: 68.8 million Member Since: 1967 Thailand is America’s oldest treaty partner in Asia, dating from 1833.

THE PHILIPPINES Capital: Manila Population: 102 million Member Since: 1967 The largest ethnic Filipino population outside the Philippines is in the United States.

VIETNAM Capital: Hanoi Population: 91.7 million Member Since: 1995 Since 1995, US trade with Vietnam grew 100-fold to $45 billion.

ASEAN I N PROFI LE

ASEAN MATTERS FOR AMERICA

SOUTH KOREA

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GDP COMPARISONS ASEAN’s GDP compared to other major Asia Pacific economies

SOUTH KOREA $1.4t

The ASEAN Economic Community (AEC) has a combined GDP of $2.4 trillion, and is the 3rd fastest growing major Asian economy after China and India. The AEC seeks to reduce or remove many trade barriers within the region with the goal to facilitate the free movement of goods, services, capital, and skilled labor within the bloc. A single customs window has already been created, with support from the US, while regional agreements to facilitate the movement of ASEAN nationals are also being developed. ASEAN has five regional free trade agreements (FTAs) with: Australia/New Zealand; China; Japan; South Korea; and India. Singapore is the only member state to conclude FTAs with both the US and European Union (EU).

JAPAN $4.1t

CHINA $11.2t

TAIWAN $523b

INDIA $2t

REAL GDP GROWTH ASEAN is one of the fastest growing economies in the Asia Pacific from 2006 to 2015

ASEAN $2.4t

149%

150%

107%

120% 90%

66%

60%

42%

40%

30%

31%

15%

10%

Singapore Philippines $293b $292b

5%

0% China

India

ASEAN South Korea

Taiwan Australia

US

EU

Japan

PER CAPITA GDP

Thailand $395b

$30,993

Brunei Cambodia Indonesia Laos Malaysia Myanmar Philippines Singapore Thailand United States Vietnam

Vietnam $191b

Malaysia $296b

$1,144 $3,362 $1,787

Indonesia $859b

$9,501 $1,213 $2,863 $52,888 $5,742

$56,084

$2,088

0

$10k

$20k

$30k

$40k

$50k

$60k

Source: International Monetary Fund World Economic Outlook, 2015 data * Global GDP rankings include the EU as a single entity Note: Real GDP growth was calculated in constant 2010 US$ using World Bank methodology For further information on our methodology please visit AsiaMattersforAmerica.org/ASEAN

LEGEND: b - Billions

t - Trillions

Myanmar $63b Cambodia $18b Brunei Darussalam $13b Laos $12b

AUSTRALIA $1.2t

ASEAN ECO NOM Y

ASEAN MATTERS FOR AMERICA

The ASEAN Economic Community Is Currently the 3rd Largest Economy in Asia and the 5th Largest in the World

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stralia

na

ia

pan

uth Korea

The ASEAN Economy Is Projected to Grow by Over 5% per Year and Become the 4th Largest Economy in the World by 2050 With a projected annual growth rate of over 5% a year, ASEAN is forecasted to overtake the EU and Japan to become the 4th largest economy in the world by 2050, behind China, India, and the US. This growth is supported by favorable demographics. Approximately 60% of ASEAN's population is under the age of 35, and 43% under age 24. ASEAN also has the world’s 3rd largest labor force, trailing only China and India. ASEAN's middle class is expected to more than double in size from 135 million (24% of ASEAN's population) in 2015 to 334 million (51% of the population) in 2030. In 2012 ASEAN crossed the threshold of having over 50% of its population living in urban areas.

GLOBAL MIDDLE CLASS* 1,168m

1,200m 1,041m

LEGEND

1,000m

2010 Solid 2030 Stripe

800m 600m

200m

466m 458m

334m

400m

0

PROJECTED ANNUAL GDP GROWTH RATE

233m

158m 91m

63m

21m 24m

ASEAN Australia China

EU

India

Japan 0.5 %

EU 1.7 %

8% 7% 6% 5% 4% 3% 2% 1%

India 7.8 %

Japan

South Korea

Taiwan

100%

Singapore 100% Malaysia 86% Brunei 84% Thailand 72% Indonesia 71% Laos 61% Philippines 56% Myanmar 55% Vietnam 54%

60% 40%

US 1.9 %

Taiwan 2.2 %

ASEAN 5.1 %

South Korea 3.0 % Australia 2.9 %

US

PROJECTED URBANIZATION

80%

China 6.0 %

208m

123m 108m 43m 46m 22m 18m

Average annual GDP growth (%) (2017-2021)

wan

ASEAN G ROWT H PROJ ECT I ONS

ASEAN MATTERS FOR AMERICA

EAN

9

20%

Cambodia 36%

2015

2020

2025

2030

2035

2040

2045

2050

Sources: International Monetary Fund; UN Department of Economic and Social Affair; Homi Kharas, "The Emerging Middle Class in Developing Countries", OECD Development Centre Working Papers, No. 285 *Middle class is defined as those households with daily expenditures between US$10 and US$100 per person in purchasing power parity terms

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11

HEADS OF STATE VISITS Number of official visits by foreign leaders to the US and return visits by US Presidents since 2000*

The US-ASEAN relationship began in 1977 and has since expanded significantly. The US signed the Treaty of Amity and Cooperation (TAC) in 2009 and was the first non-ASEAN country to establish a resident ambassador and permanent mission to the organization. The US joined the East Asia Summit (EAS) in 2011, and institutionalized annual ASEANUS Summits in 2012. In 2015, the US-ASEAN relationship was elevated into a strategic partnership, and in 2016 the first multi-day US-ASEAN Summit was held at Sunnylands in Rancho Mirage, California. In 2017 the US and ASEAN celebrated 40 years as dialogue partners.

Number of Trips from US

2 1

The US and ASEAN coordinate on issues ranging from maritime security and terrorism to disaster management, governance, anti-trafficking, and nuclear non-proliferation. The ASEAN Regional Forum (ARF) and ASEAN Defense Ministers Meeting-Plus (ADMMPlus) both include the US and discuss important security issues. Economic ties were formalized with the US-ASEAN Trade and Investment Framework Agreement (TIFA) in 2006. The US Trade Representative (USTR) also participates in annual consultations during the ASEAN Economic Ministers (AEM) Meetings. The US-Singapore Free Trade Agreement (FTA), which went into force in 2004, was America’s first FTA in Asia.

LAOS

1 1

VIETNAM

THAILAND

3 5

3 8

CAMBODIA

1 1

The US-ASEAN Connect framework is a strategic economic initiative organized around four pillars: business, energy, innovation, and policy. Its goal is to support regional integration efforts of the ASEAN Economic Community (AEC) and build upon the positive economic ties between the US and ASEAN. The US helped ASEAN to set up a public-private body to accelerate the adoption of better aquaculture and fisheries management. The US government sponsors multiple programs to advance the goal of a cleaner, healthier marine environment. The US has also helped provide access to clean drinking water for over 5.6 million people in Indonesia, the Philippines, and Myanmar. Since 2012, grants from the US Agency for International Development (USAID) have protected 64 million acres of forest lands and coastal areas - an area roughly the size of Oregon - in Cambodia, Indonesia, and the Philippines.

Number of Trips to US

MYANMAR

PHILIPPINES

3 9 BRUNEI

MALAYSIA

1 4

2 6

SINGAPORE

3 11

INDONESIA

4 9

Secretary of State Rex Tillerson meets with ASEAN Ambassadors Photo: US Department of State

Sources: US Department of State, Office of the Historian and US Mission to ASEAN *Only officially recognized heads of state/government are counted

THE UNI T ED STAT ES AND ASEAN

ASEAN MATTERS FOR AMERICA

ASEAN Member States Are Key Diplomatic, Economic, and Security Partners for the US

12

13

6-7 8 or more

VIETNAM 3

THAILAND 6

Countries that allow US access to military bases

Cobra Gold

CAMBODIA 4 PHILIPPINES 7

MALAYSIA 8

BRUNEI 3

Thailand

$1.7m

Cambodia

$1.5m

Malaysia

$1.3m

Laos

$0.7m 0

Pacific Partnership

Southeast Asia Cooperation and Training (SEACAT)

SINGAPORE 7

$2.7m

US-ASEAN SECURITY ALLIES AND PARTNERS UNITED STATES AND THE PHILIPPINES

UNITED STATES AND THAILAND

UNITED STATES AND SINGAPORE

Major non-NATO Alliance

Major non-NATO Alliance

Enhanced Defense Cooperation Agreement

Khaan Quest

INDONESIA 7

LEGEND Brunei

Indonesia

Malaysia

Philippines

Thailand

Cambodia

Laos

Myanmar

Singapore

Vietnam

0m

4-5

LAOS 0

$45.5m

Vietnam

$6

or fewer

2-3

Indonesia

$5 0m

1

MYANMAR 0

Rim of the Pacific Exercise (RIMPAC)

$53.9m $50.8m

0m

LEGEND

Philippines Myanmar

$4

US & ASEAN

Annual and biennial exercises involving the US and ASEAN member states

Aid to ASEAN countries since FY2005 according to amounts obligated by USAID’s Office of US Foreign Disaster Assistance*

$3 0m

Cooperation Afloat Readiness and Training (CARAT)

HUMANITARIAN ASSISTANCE AND DISASTER RELIEF

$2 0m

MULTILATERAL EXERCISE PARTNERS IN ASEAN

0m

MAJOR MILITARY EXERCISES

The US military participates in multilateral and bilateral military exercises with eight ASEAN member states. As a region vulnerable to natural disasters such as typhoons, earthquakes, and tsunami, the US military has contributed to Humanitarian Assistance and Disaster Relief (HADR) missions in the region, while the US government and private sector have also provided assistance.

$1

ASEAN occupies a critical geographic position straddling the sea lanes between the Indian Ocean in the west and the Pacific Ocean in the east. With over $5.3 trillion in trade passing through the disputed waters of the South China Sea each year, including $1.2 trillion in US trade, maritime security is a priority for both the US and ASEAN. The US has supported regional efforts to increase security and awareness through trainings, workshops, and consultations within the frameworks of the ASEAN Regional Forum (ARF), the Expanded ASEAN Maritime Forum, and the ASEAN Defense Ministers Meeting-Plus (ADMMPlus). The US government has worked to increase maritime security capacity in ASEAN through the Southeast Asia Maritime Law Enforcement Initiative and the Southeast Asia Maritime Security Initiative.

Sources: US Pacific Command, US Navy; US Army, Pacific; US Marine Corps Forces, Pacific; The Heritage Foundation, Index of US Military Strength *Represents only a portion of USAID not whole of US Government aid to the region

THE UNI T ED STAT ES AND ASEAN

ASEAN MATTERS FOR AMERICA

SECURITY COOPERATION

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15

TRAD E

ASEAN MATTERS FOR AMERICA

The US Exports Over $100 Billion in Goods and Services to ASEAN ASEAN member states, taken together, rank 4th after Canada, Mexico, and China as a goods exports market for the United States, and the US is the 4th largest trading partner for ASEAN. The United States exported $75 billion in goods and $27 billion in services to ASEAN in 2015, an increase of 81% since 2004.

The total value of US-ASEAN bilateral trade has increased 78% since 2004, from $153 billion to $273 billion. ASEAN's surplus in goods with the US totaled $77 billion in 2015, while United States' surplus in services with ASEAN totaled $8 billion. Overall, bilateral US-ASEAN trade from 2004 to 2015 has grown at an average annual rate of 5%.

GOODS AND SERVICES EXPORTS TO ASEAN Indonesia is Wyoming's 3rd largest trade partner.

Pennsylvania has trade representatives in both Indonesia and Singapore.

WASHINGTON $9.2b MONTANA $0.2b OREGON $4.4b

SOUTH DAKOTA $0.2b

WYOMING $0.2b

UTAH $1.0b

NEBRASKA $0.4b COLORADO $1.2b

CALIFORNIA $15.8b ARIZONA $0.5b

KANSAS $0.9b

OKLAHOMA $0.5b

NEW MEXICO $0.2b

TEXAS $12.4b ALASKA $0.3b

WISCONSIN $1.1b

NEW YORK $4.6b

MICHIGAN $1.4b

PENNSYLVANIA $2.1b

IOWA $0.7b

OHIO ILLINOIS INDIANA $2.3b WEST $1.3b $3.7b VIRGINIA $0.2b VIRGINIA MISSOURI KENTUCKY $1.7b $1.7b $1.0b N CAROLINA $2.0b TENNESSEE $2.0b S CAROLINA ARKANSAS $2.0b $2.0b MISSISSIPPI GEORGIA $0.5b ALABAMA $3.3b $0.7b LOUISIANA $2.2b

FLORIDA $2.4b

HAWAI‘I $0.3b

California is the largest US exporter to ASEAN with over $15b in exports.

Texas is the largest US exporter of goods to Brunei.

Business, Professional & Technical Services

$4.8b

$8.9b

Machinery

$6.8b NEW HAMPSHIRE $0.3b VERMONT $0.4b Chemicals MASSACHUSETTS $2.5b $7.9b RHODE ISLAND $0.2b Transportation CONNECTICUT $0.8b Equipment NEW JERSEY $2.0b $13.2b DELAWARE $0.3b MARYLAND $0.9b DISTRICT OF COLUMBIA $0.2b LEGEND $1 billion or less $ 1.1 - 2 billion

$18.8b

$3.1 - 4 billion

Other Goods

$4.1 billion or more

7% 5%

Travel

9%

$5.4b

6%

8%

4%

13%

Computers & Electronic Products

$2.1 - 3 billion

2% 21%

19%

4% 2% 2%

Royalties & License Fees $4.3b

Other Services $3.5b

Financial Services

2%

$2.4b

Telecommunications, Computer & Information Services $1.6b

$20.7b

US EXPORTS TO ASIA US goods and services exports to ASEAN compared with other Asian economies $200b China $165b

Global Financial Crisis

$150b

South Carolina's exports to ASEAN have more than doubled since 2012.

COMPOSITION OF US GOODS & SERVICES EXPORTS TO ASEAN Food & Kindred Products

MAINE $0.3b

NORTH DAKOTA MINNESOTA $0.3b $2.1b

IDAHO $0.8b

NEVADA $0.6b

TRADE

Japan $108b ASEAN $102b

$100b

South Korea $65b

$50b Source Map and Composition of Exports chart: Estimated by Trade Partnership (Washington, DC); Sources US Exports to Asia chart: US Bureau of Economic Analysis, US International Trade Administration Services data not available for Cambodia, Laos, and Myanmar

0

Australia $44b India $40b Taiwan $38b

2004 2005

2006 2007 2008 2009

2010

2011

2012

2013

2014

2015

16

17

More than $10 billion in agricultural goods were exported to ASEAN in 2015, including over $700 million in tree nuts and $850 million in dairy products. ASEAN is the 6th largest importer of US agricultural goods, and the 3rd largest in Asia after China and Japan. Twenty-eight states export over $100 million in food and agricultural goods to ASEAN with California, Washington, Illinois, and Georgia the top four exporters.

Top agricultural exports from ASEAN to the US include coffee, rice, palm oil, tree nuts, and wood products. ASEAN is also the top global rubber and palm oil exporter, responsible for 75% and 89% of global production respectively in 2014.

Agri

FOOD AND AGRICULTURE EXPORTS TO ASEAN WASHINGTON $1.3b MONTANA $108.5m OREGON $70.9m

IDAHO $113.5m

UTAH $210.8m

NEBRASKA $231.7m COLORADO $81.6m

CALIFORNIA $1.8b ARIZONA $93.7m

WISCONSIN $127.9m

SOUTH DAKOTA $142.3m

WYOMING $2.7m NEVADA $61.7m

MAINE $2.3m

NORTH DAKOTA MINNESOTA $240.3m $266.6m

OKLAHOMA $58.3m

NEW MEXICO $25.7m

MICHIGAN $169.4m

IOWA $312.9m

KANSAS $254m

TEXAS $512m ALASKA $0.2m HAWAI‘I $5.4m

ILLINOIS INDIANA $586.6m $208m MISSOURI $197.3m

ARKANSAS $153.4m

OHIO $224.1m

PENNSYLVANIA $114.8m

WEST VIRGINIA $1.7m VIRGINIA KENTUCKY $153.1m $106.3m N CAROLINA $221.7m TENNESSEE $142.8m S CAROLINA $176.1m

MISSISSIPPI GEORGIA $139.5m ALABAMA $564.5m $80.9m FLORIDA $88.8m

LOUISIANA $433.9m

LEGEND $50 million or less $ 50.1 - 100 million $100.1 - 200 million $200.1 - 500 million $500.1 million or more

Sources: US Department of Agriculture (USDA), individual companies State exports map: Estimated by Trade Partnership (Washington, DC)

NEW YORK $86.1m

COMPOSITION OF ASEAN AGRICULTURAL EXPORTS TO THE US 20% Other $1.9b Snack Foods $204m Cocoa Paste &

NEW HAMPSHIRE $0.9m Cocoa Butter VERMONT $10.1m $420m MASSACHUSETTS $18m Rice RHODE ISLAND $0.02m $460m CONNECTICUT $11.7m Spices NEW JERSEY $76.4m $560m DELAWARE $9m MARYLAND $22.4m DISTRICT OF COLUMBIA $0m

20%

14%

2% 4%

11%

Tropical Oils $1.9b Rubber & Allied Products $1.4b

5% 6%

7%

9%

Tree Nuts $1.1b Processed Fruit & Vegetables $866m Coffee, Unroasted $703m

SELECTED STORIES: US AGRIBUSINESS SUPPORTS DEVELOPMENT IN ASEAN CA RG I L L Cargill provides food, agriculture, financial and industrial products and services to the world. Together with farmers, customers, governments and communities, they help people thrive by applying their insights and over 150 years of experience. Cargill employs 1,700 people in Vietnam across 19 locations. They received the US State Department's global CSR award in 2016 for their work in Vietnam to assist small holder farmers and building over 75 schools in rural areas in the country.

A DM Archer Daniels Midland Company (ADM) is a global agribusiness company which employs 32,000 people around the world. ADM's Asia and Pacific rim trading and sales operations are headquartered in Singapore is home to the South East Asian sales offices that serve emerging markets in Indonesia, Philippines, Vietnam and Thailand. A key part of ADM's Asia strategy today has been its strategic ownership interest in Wilmar International Limited, Asia's premiere agricultural processing business. ADM's key businesses in Southeast Asia include: Specialty Ingredients, Commodities and Animal Feed.

AG R I CULT UR E

ASEAN MATTERS FOR AMERICA

ASEAN Is a Top Ten Destination for US Agricultural Exports

18

19

Almost 42,000 companies across the US export to ASEAN. These goods and services exports support almost 550,000 jobs, directly or indirectly, according to 2015 estimates. Eighteen states have more than 10,000 jobs that rely on exports to ASEAN member states.

In per capita terms, trade with the 10 member states of ASEAN creates the most jobs for Washington, followed by Oregon, Vermont, North Dakota, and Delaware. Employment from trade to ASEAN creates over a quarter of a million jobs in California, Texas, Washington, New York, and Illinois alone.

JOBS SUPPORTED BY EXPORTS TO ASEAN

TRADE Malaysia is Maine’s 2nd largest export market after Canada.

WASHINGTON 46,846 MONTANA 1,401 OREGON 20,372

IDAHO 3,825

SOUTH DAKOTA 1,402

WYOMING 682 NEVADA 4,021

UTAH 5,377

NEBRASKA 3,101 COLORADO 7,247

CALIFORNIA 87,450 ARIZONA 11,167

MAINE 1,645

NORTH DAKOTA MINNESOTA 2,180 11,802

KANSAS 5,410

OKLAHOMA 3,023

NEW MEXICO 1,149

TEXAS 62,669 ALASKA 1,093

WISCONSIN 6,184

NEW YORK 28,666

MICHIGAN 8,928

PENNSYLVANIA 13,134

IOWA 4,443

OHIO ILLINOIS INDIANA 13,441 WEST 7,359 22,619 VIRGINIA 1,189 VIRGINIA MISSOURI KENTUCKY 10,761 8,611 6,296 N CAROLINA 11,688 TENNESSEE 11,195 S CAROLINA ARKANSAS 11,093 2,809 MISSISSIPPI GEORGIA 2,820 ALABAMA 19,507 4,196

NEW HAMPSHIRE 1,802 VERMONT 2,013 MASSACHUSETTS 15,049 RHODE ISLAND 1,027 CONNECTICUT 4,852 NEW JERSEY 11,547 DELAWARE 1,596 MARYLAND 5,915 DISTRICT OF COLUMBIA 2,071

TOP 10 STATES SHARE OF EXPORT-DEPENDENT JOBS SUPPORTED BY EXPORTS TO ASEAN Oregon

13.3%

Idaho

10.1%

Washington

8.7%

Vermont

8.1%

Wyoming

6.6%

Montana

6.2%

Minnesota

6.0%

Maine

5.9%

North Dakota

5.6%

Kansas

5.5%

FLORIDA 16,436

LOUISIANA 9,344

HAWAI‘I 1,278

LEGEND 1,000 or fewer

10% of Idaho's export-related jobs are supported by trade with ASEAN.

1,001 - 5,000 5,001 - 10,000 10,001 - 15,000 15,001 or more

Source: Estimated by Trade Partnership (Washington, DC)

ASEAN Economic Ministers meet US government and local officials at the Port of Los Angeles during their US Roadshow. Photo: US-ASEAN Business Council

J OBS FRO M T RAD E

ASEAN MATTERS FOR AMERICA

All 50 States Export to ASEAN, Supporting Over Half a Million Jobs in the US

20

ASEAN MATTERS FOR AMERICA

ASEAN Is the Number One Destination for US Investment in Asia ASEAN member states have increased their investment into the US by over 1,000% from $2.3 billion in 2004 to over $26 billion in 2015. The US receives more investment from ASEAN than from China and India combined. ASEAN has received almost $274 billion in cumulative investment from the United States, more than the US has directed to China, India, Japan, and South Korea combined. US FDI in ASEAN has increased by an average annual rate of 12% since 2004 and now accounts for over a third of US investment into Asia.

CUMULATIVE US DIRECT INVESTMENT (STOCK) IN ASIA US investment in ASEAN increased at an average annual rate of 9% since 2004 $300b

ASEAN $274b

$250b

Global Financial Crisis

$200b

Australia $167b

$150b $100b

Japan $109b

$50b

China $75b South Korea $35b India $28b Taiwan $15b

0

2004 2005 2006 2007 2008 2009

2010

2011

2012

2013

2014

2015

CUMULATIVE ASIAN DIRECT INVESTMENT (STOCK) IN THE US Investment from ASEAN in the US increased at an average annual rate of 28% since 2004 $500b

Global Financial Crisis

$400b

Japan $411b

$300b $200b Australia $42b South Korea $40b ASEAN $26b China $15b India $9b Taiwan $7b

$100b

0

2004

2005 2006 2007 2008 2009 2010

Source: US Bureau of Economic Analysis

2011

2012

2013 2014

2015

2017: 50th Anniversary of the establishment of ASEAN and 40th anniversary of US-ASEAN Dialogue Relations.

1968: The Institute of Southeast Asian Studies (now known as The ISEAS – Yusof Ishak Institute) is established in Singapore, dedicated to the study of social, political, and economic trends in the region.

1898: The SpanishAmerican War results in the Philippines becoming a US territory.

PRE 1940

1947: Pan-Am begins commercial flights to Thailand, becoming the first US carrier to fly there.

1940s

1954: Southeast Asia Treaty Organization (SEATO) is formed as a bloc against communist gains in Southeast Asia.

1950s

1946: The US and the Philippines sign the Treaty of General Relations recognizing the independence of the Republic of the Philippines.

1975: The Indochina Migration and Refugee Assistance Act is passed, allowing approximately 130,000 refugees from South Vietnam, Laos, and Cambodia to enter the United States under a special status.

1960s

1955: Official US military involvement begins in the Vietnam War, lasting almost 20 years.

1962: Malaysia and Thailand are among the first host countries for US Peace Corps volunteers.

I

M

E

L

I

1980s

N

E

O

1973: The US began to withdraw its military from Vietnam following a peace settlement with North and South Vietnam.

1976: The first ASEAN Summit convenes in Indonesia.

F

U S - A S

1984: The US-ASEAN Business Council is founded, the first private-sector-led ASEANfocused trade association outside of ASEAN.

2007: ASEAN leaders sign the ASEAN Charter, establishing a formal framework for ASEAN.

1994: The US attends the inaugural ASEAN Regional Forum (ARF) between ASEAN member states and dialogue partners to discuss regional political and security issues.

1984: Brunei becomes the 6th member of ASEAN.

1970s

T

1833: The Roberts Treaty of Amity and Commerce between the US and Siam (Thailand) is signed; it is the first treaty between the US and an Asian country.

1977: The US and ASEAN become Dialogue Partners.

1967: The Bangkok Declaration establishes ASEAN with five founding countries: Indonesia, Malaysia, the Philippines, Singapore, and Thailand.

2009: The US signs the Treaty of Amity and Cooperation (TAC), joins the East Asia Summit (EAS), and holds the first US-ASEAN Leaders' Meeting.

1994: The first two companies based in Southeast Asia to be listed on the New York Stock Exchange are the Philippines Long Distance Telephone Company and the Singapore-based China Yuchai International Limited.

2004: The US led multinational disaster relief efforts after the Sumatra-Andaman earthquake and tsunami devastated areas of Southeast Asia.

1990s

E

A

N

E

L

A T

1993: Vietnamese film The Scent of Green Papaya is the first Southeast Asian film nominated for an Academy Award.

1995: Vietnam becomes the 7th member of ASEAN.

1997: Myanmar and Laos become the 8th and 9th members of ASEAN, respectively.

1999: Cambodia becomes the 10th member of ASEAN.

I

O

N

2015: Nguyen Phu Trong became the first General Secretary of the Vietnamese Communist Party to visit the US.

2014: The United States and the Philippines sign the Enhanced Defense Cooperation Agreement (EDCA) which allows for the enhanced rotational presence of US forces in the Philippines.

2013: US-ASEAN Business Council and the US Agency for International Development (USAID) form the US-ASEAN Business Alliance for Competitive SMEs.

2000s

R

2015: The ASEAN Community is launched to promote Economic, Political-Security, and Socio-Cultural cohesion among the member states.

2010s

S

2003: The US designates Thailand and the Philippines as Major Non-NATO Allies.

2004: The USSingapore Free Trade Agreement (FTA), America’s first FTA in Asia, was implemented.

2008: The US is the first non-ASEAN country to name an ambassador to ASEAN. A dedicated mission is established in 2010.

2009: The Lower Mekong Initiative (LMI), a partnership between the US and Cambodia, Laos, Thailand, and Vietnam, is formed to enhance cooperation in the areas of environment, health, education, and infrastructure development. Myanmar joins in 2012.

2012: Launch of Fulbright Exchange of US-ASEAN Scholars Program.

2013: The US announces the Young Southeast Asian Leaders Initiative (YSEALI) to further strengthen US-ASEAN peopleto-people ties.

2013: The US plays a leading role in disaster relief after Typhoon Haiyan (Yolanda) hits the Philippines.

2015: US-ASEAN relationship is upgraded to a Strategic Partnership. 2016: President Obama hosts the first US-ASEAN Summit outside Southeast Asia at Sunnylands in Rancho Mirage, California and launches US-ASEAN Connect.

21

-

SOUTH KOREA $35 $40

CHINA $75 $15

INDIA $28 $9

HONG KONG $64 $11

JAPAN $109 $411

TAIWAN $15 $7

Cumulative US Direct Investment in Asia (Stock in US$ Billions) ASEAN is the largest recipient of US investment in Asia $$ Cumulative Foreign Direct Investment in the US (Stock in US$ Billions) ASEAN investment in the US has grown 1,000% from 2004 to 2015 $$

ASEAN $274 $26

AUSTRALIA $167 $42

INCREASE OF INVESTMENT INTO THE US 1,200% 1,035%

NEW ZEALAND $7 $0.6

1,000% 800% 600% 400% 134%

200%

126%

118%

98%

92% -62%

0 ASEAN

Middle East

Asia Pacific

Non-EU Europe and Central Asia

European Americas Africa Union (Less United States)

I N V EST M ENT

US-ASEAN DIRECT INVESTMENT IN A REGIONAL CONTEXT

22

23

SELECTED STORIES: US COMPANIES OPERATING IN ASEAN

Over 3,000 US companies operate in ASEAN, including 70% of the 130 US multinational enterprises (MNEs) listed in the Global Fortune 500 in 2015. Many US companies use ASEAN as a production platform to export within the region and to other parts of the world, facilitated by ASEAN’s free trade agreements with many other Asia Pacific countries. US companies in ASEAN create significant business linkages involving local suppliers and contractors in the region, and a majority of these companies operate in multiple ASEAN member states. According to the ASEAN Business Outlook Survey 2017, 87% of US companies expect that their level of trade and investment in ASEAN will increase over the next five years. Survey respondents were very supportive of the ASEAN Economic Community (AEC) that was initiated in 2015, with 93% believing the AEC is important to their companies’ future investment plans, and citing that it will provide greater flexibility and efficiency in managing their regional operations.

US COMPANIES IN ASEAN MEMBER STATES MYANMAR 21

VIETNAM 310

CAMBODIA 33

LEGEND

PHILIPPINES 520

100 or fewer 101 - 300 301 - 500 501 - 700

BRUNEI 26

701 or more Coca-Cola Citi Chevron

The Coca-Cola Company's heritage in ASEAN dates back more than 100 years. Today, along with their bottling partners, they proudly manufacture and distribute their portfolio of brands across the entire ASEAN region. For all the reasons this report outlines, ASEAN remains a top growth opportunity for their business. The Coca-Cola Company looks forward to continuing to invest in the region and to supporting its sustainable development through initiatives focused on empowering women, improving access to clean drinking water and strengthening communities.

CITI

LAOS 9 THAILAND 666

CO CA - COL A

With a presence in ASEAN since 1902, Citi runs consumer and institutional banking operations serving over 3.7 million customers in Indonesia, Malaysia, Philippines, Singapore, Thailand, and Vietnam. The region also hosts a number of strategically important regional and global business hubs for multiple Citi businesses, as well as a number of state-ofthe-art processing hubs and data centers serving more than 90 countries around the world.

CHEVRON Chevron operates in eight countries in ASEAN and provides the energy to support economic growth in this burgeoning area of the world. Chevron is the largest resource holder and producer among international oil companies in the region, where the company has had a presence for over a century. Chevron is the top oil and natural gas producer in Thailand, the largest oil producer in Indonesia, and has interests in refinery operations in Singapore and Thailand.

PROCTER & GAMBLE Procter & Gamble (P&G) is the largest household and personal care company in the world. P&G serves millions of consumers around the world every day with one of the strongest portfolios of trusted, leadership brands. P&G entered Asia Pacific in 1935 with the acquisition of the Philippine Manufacturing Company, and has since expanded its presence to various markets across ASEAN. P&G brands are available in every ASEAN member state.

MALAYSIA 795

P&G

SINGAPORE 1836

INDONESIA 483

Indian Ocean

Sources: ASEAN Business Outlook Survey 2017, US Chamber of Commerce; ASEAN Investment Report 2016, UNCTAD and ASEAN Secretariat; Fortune; individual corporations Source Affiliates Map: Uniworld Business Publications (accessed March 2017) US Companies with Affiliates Map counts US parent companies with subsidiaries in ASEAN countries, as recognized by Uniworld. For more information on our methodology, please visit AsiaMattersforAmerica. org/ASEAN

I N V EST M ENT

ASEAN MATTERS FOR AMERICA

US COMPANIES INVESTING IN ASEAN

24

25 25

The McKinsey Global Institute forecasts the need for over $2 trillion in investment in road, rail, port, airport, power, water, and telecommunications infrastructure across ASEAN to maintain economic growth. China, Japan, and the United States have pledged funding for major infrastructure projects across all sectors via government aid and public-private partnerships. However, in all sectors of infrastructure, a significant funding gap remains. A 2017 Asian Development Bank (ADB) report estimates an infrastructure investment gap of $92 billion in ASEAN until 2020.

Through the US-ASEAN Connect framework's Energy Connect pillar, the US has pledged to invest in a five-year effort in ASEAN to increase the supply of grid-connected renewable energy. Focused on the Lower Mekong River Delta countries of Cambodia, Laos, Thailand, and Vietnam, the program will support the installation of at least 500 megawatts of grid-tied renewable energy generation. It will also assist in implementing laws, policies, strategies, and regulations that contribute to the reduction of greenhouse gas emissions and support commitments made under the Paris Climate Agreement.

INFRASTRUCTURE ESTIMATED INFRASTRUCTURE INVESTMENT

ESTIMATE FOR INFRASTRUCTURE INVESTMENT NEEDS, 2016-2030

NEEDS BY SECTOR, 2016-2030

MYANMAR $96b

Power

LAOS $20b THAILAND $310b

$540b VIETNAM $317b

PHILIPPINES $280b

24% Ports

$44b

CAMBODIA $29b

Airports

LEGEND

$60b

$100 billion or less

BRUNEI no data

$101 - 200 billion $201 - 300 billion $301 billion or more

MALAYSIA $277b

Railways

24%

2% 3%

Roads $536b

10%

$233b

Telecommunications 13%

24%

$531b

Water $283b SINGAPORE $133b

INDONESIA $767b

Source: McKinsey Global Institute ("Rule of Thumb" Need Estimation based on 71% stock level)

INF VRAST EST MRUCT ENT UR E

ASEAN MATTERS FOR AMERICA

ASEAN Has Over $2 Trillion Worth of Infrastructure Investment Opportunities

26

27

ASEAN is the world's fastest growing internet region. It is forecast that by 2020 the internet user base will reach 480 million, up from 260 million in 2016. That translates to nearly 4 million new users coming online every month. ASEAN has gone "mobile first" with over 700 million active mobile connections, more than the entire population of the region. The user base is large and growing quickly, and is increasingly middle class and predominantly young. Social media is used by over half of ASEAN's population of 630 million people, making it one of the world's largest social media markets.

benefit from increased connectivity, access to digital tools, and rising online consumer demand. To harness this potential, the US government and businesses have provided support to over 120,000 entrepreneurs since 2011, including through the US-ASEAN Business Alliance for Competitive SMEs and the online ASEAN SME Academy.

ONLINE SHOPPERS AS A PERCENTAGE OF INTERNET USERS IN ASEAN 2015

With digitalization comes increased opportunities for both ASEAN and US businesses to reach new customers and suppliers. It is projected that online spending could rise 6.5 times to $200 billion by 2025, fueled by consumption of electronics, clothing, household goods and groceries, and by increased travel within the region. ASEAN SMEs especially stand to

2025

19%

LEGEND

51%

49%

Online Shoppers Non-Shopping Internet Users

81%

INTERNET PENETRATION AND MOBILE SUBSCRIPTIONS IN ASEAN Mobile penetration outpaces traditional internet access across the region

SELECTED STORIES: BUILDING ENTREPRENEURIAL EXPERTISE Mobile Telephone Subscriptions

US companies have supported digital skills for SMEs in ASEAN through the ASEAN SME Academy, a program of the US-ASEAN Business Alliance for Competitive SMEs. The Business Alliance, a joint program of the US-ASEAN Business Council and USAID, has trained more than 5,000 entrepreneurs across all 10 ASEAN member states. US companies taking the lead include top Business Alliance sponsors UPS, which has led training focused on giving SMEs the skills to enter the global supply chain in a wide variety of markets; and Facebook, which has offered courses on building sales through online marketing.

119.2%

120% 100% 80% 60%

Individuals Using the Internet

40%

43.8%

20% 0%

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

Sources: US-ASEAN Business Council/Deloitte study: Advancing the ASEAN Economic Community: The Digital Economy and the Free Flow of Data; Internet and Mobile Penetration: International Telecommunications Union (ITU); Online Shoppers: Google/Temasek report (based on data from Indonesia, Malaysia, Philippines, Singapore, Thailand, and Vietnam)

Photo: US-ASEAN Business Council

D I G I TAL ECO NOM Y

ASEAN MATTERS FOR AMERICA

ASEAN's Digital Economy Is Projected to Grow by 500% and Be Worth $200 Billion by 2025

28

29

VISITORS FROM ASEAN TO THE US

Over 780,000 people from ASEAN countries visited the US in 2015, while almost 3.5 million Americans visited ASEAN. Thailand, the Philippines, Vietnam, and Singapore are the top four destinations with over 2.6 million visitors from the US combined. US airlines serve cities in all four of these countries.

Singapore

Philippines

239k 160k

Vietnam

99k

Thailand

97k

Indonesia

96k

Malaysia

The US is the largest source of tourists to Myanmar outside of Asia.

100,000

401,000 - 600,000

1.5k

Brunei

1.4k 50k

100k

150k

200k

250k

TOP 10 STATES

CAMBODIA 218k

BRUNEI 4k MALAYSIA 238k

SINGAPORE 500k

Laos

Manila

or fewer

201,000 - 400,000

3.4k

VIETNAM 491k

LEGEND 101,000 - 200,000

Cambodia

0

Ho Chi Minh City

Thailand has the most US visitors of any ASEAN country, and is the top travel destination in the region.

5.9k

LAOS 63k THAILAND 868k

Bangkok

Myanmar

TRAVEL & TOURISM

VISITORS FROM THE US TO ASEAN

MYANMAR 70k

81k

INDONESIA 269k

601,000 or more Regular flights operated by US carriers, including code shares.

Source Visitor Numbers: Brunei Ministry of Primary Resources and Tourism, Cambodia Ministry of Tourism, Statistics Indonesia, Laos Tourism Development Department, Malaysia Department of Immigration, Myanmar Ministry of Hotels and Tourism, Philippines Department of Tourism, Singapore Tourism Board, Thailand Department of Tourism, Viet Nam National Administration of Tourism Source Visitor Spending: Estimated by the Trade Partnership (Washington, DC) Source Visitors from ASEAN to the US: World Tourism Organization, Yearbook of Tourism Statistics 2016 © UNWTO, 92844/37/16

PHILIPPINES 779k

There are more than 1,000 direct flights between the Philippines and California each year.

ASEAN VISITOR SPENDING California

$791m

New York

$548m

Florida

$439m

Texas

$330m

Massachusetts

$247m

Pennsylvania

$221m

Illinois

$188m

Nevada

$162m

Georgia

$129m

Ohio

$128m

TRAV EL AND TOUR I SM

ASEAN MATTERS FOR AMERICA

Visitors from ASEAN Add $5 Billion to the US Economy in a Year

30

31

US POPULATION GROWTH

TOP 10 STATES PERCENTAGE OF US RESIDENTS WHO IDENTIFY WITH AN ASEAN ETHNICITY

Of the estimated 20 million Asian Americans in the US, 7 million identify with an ASEAN ethnicity. Filipino and Vietnamese are the largest groups, with populations of 4 million and 1.9 million respectively.

Hawai�i

Immigrants from ASEAN member states accounted for over 11% of all naturalizations in the US in 2015, and 34% of naturalizations by Asians. Remittances, funds that immigrants send to individuals in their home countries, represent a major financial flow between the US and ASEAN. The Philippines and Vietnam are among the top five recipients of remittances from the US after Mexico, China, and India.

MONTANA 4,512 IDAHO 12,647 WYOMING 3,278

UTAH 36,060

SOUTH DAKOTA 6,151 NEBRASKA 22,152

COLORADO 74,198

CALIFORNIA 2,686,311 ARIZONA 109,990

NEW MEXICO 17,633

KANSAS 42,989

OKLAHOMA 45,930

TEXAS 500,681 ALASKA 40,161

HAWAI‘I 375,179

Almost 69% of Asian Americans in Alaska identify with an ASEAN ethnicity.

WISCONSIN 87,673

NEW YORK 228,231

MICHIGAN 78,201

PENNSYLVANIA 120,332

IOWA 32,971

OHIO 69,158 WEST VIRGINIA 5,864 VIRGINIA KENTUCKY 200,783 23,944 N CAROLINA 107,205 TENNESSEE 45,597 S CAROLINA 35,565

ILLINOIS INDIANA 211,259 45,728 MISSOURI 48,160

ARKANSAS 22,754 MISSISSIPPI GEORGIA 15,742 ALABAMA 120,924 25,386 LOUISIANA 53,415

FLORIDA 258,653

Louisiana’s Vietnamese population makes up 37% of the state’s Asian American population.

Sources: US Census Bureau, American Community Survey, US Department of Homeland Security, Source Remittances: World Bank Bilateral Remittances Matrix (Estimates), 2015 data

Malaysian

20%

7.0%

Hmong

19%

Nevada

6.2%

Alaska

5.5%

Laotian

17%

Washington Minnesota Virginia Oregon

4.4% 3.0% 2.4% 2.2%

Filipino

13%

New Jersey

2.0% 1.9%

Cambodian

9%

Thai

8%

Vietnamese

6%

Indonesian

5%

0 MAINE 9,055

NORTH DAKOTA MINNESOTA 4,226 160,512

58%

California

Minnesota, the largest Asian population in the state.

WASHINGTON 291,692

NEVADA 173,556

Burmese

26.6%

ASEAN AMERICANS and immigration Maryland ASEAN AMERICAN POPULATION BY STATE Almost 70,000 Hmong live in

OREGON 86,338

By ASEAN nationalities and ethnic groups, 2011-2015

NEW HAMPSHIRE 11,043 VERMONT 4,021 MASSACHUSETTS 118,987 RHODE ISLAND 18,431 CONNECTICUT 40,595 NEW JERSEY 178,271 DELAWARE 8,219 MARYLAND 114,435 DISTRICT OF COLUMBIA 8,115

LEGEND 50,000 or fewer

REMITTANCES FROM THE US TO ASEAN MEMBER STATES US share of total remittances received by each country 56.3%

60% 50% 40%

33.9% 27.7%

50,001 - 100,000 100,001 - 150,000

30%

21.3%

150,001 - 200,000 200,001 or more

In Rhode Island 15% of Asian Americans identify as Cambodian, the largest percentage in the country.

10% 20% 30% 40% 50% 60%

20%

20% 5.4%

10%

3.8% 2.8%

0 es

am

V

n iet

Ph

il

in ipp

dia

nd

Th

a ail

Ca

m

bo

ia ia ar es m lays n n ya Ma do M In

os

La

ASEAN AM ER I CANS AND I M M I GRAT I O N

ASEAN MATTERS FOR AMERICA

36% of Asian Americans Identify with an ASEAN Ethnicity

32

33

Almost 55,000 students from ASEAN studied in the US, comprising 5% of international students during the 2015/16 academic year. Over 20,000 students came from Vietnam, the most of any ASEAN member state and the 6th largest amount from any country globally. The top destination for ASEAN students was California, where eight universities have Southeast Asia Studies programs.

The number of Americans studying abroad in ASEAN countries has more than tripled since 2002/03 to over 5,700 in 2014/15. Students study in all 10 member states, but Thailand, Singapore, and Vietnam are the most popular destinations.

TOP 10 STATES

EDUCATIONAL EXCHANGE

INTERNATIONAL STUDENTS FROM ASEAN x2 WASHINGTON 4,457

OREGON 1,021

MONTANA 97

SOUTH DAKOTA 54

WYOMING 42 NEVADA 153

UTAH 349

x8 CALIFORNIA 11,782 x1 ARIZONA 622

MAINE 95

NORTH DAKOTA MINNESOTA 36 975

IDAHO 82

NEBRASKA 514 COLORADO 669

KANSAS 276

OKLAHOMA 797

NEW MEXICO 104

TEXAS 5,766 ALASKA 16

x1 WISCONSIN 728

x1 MICHIGAN 1,184

IOWA 1,084

x2 NEW YORK 4,101 x1 PENNSYLVANIA 2,300

x1 x1 x1 OHIO ILLINOIS INDIANA 1,128 WEST 1,292 2,018 VIRGINIA 143 VIRGINIA MISSOURI 1,089 KENTUCKY 758 248 N CAROLINA 534 TENNESSEE 301 S CAROLINA ARKANSAS 160 202 MISSISSIPPI GEORGIA 98 ALABAMA 756 286 LOUISIANA 461

FLORIDA 1,104

x1

HAWAI‘I 356

ECONOMIC CONTRIBUTION OF ASEAN STUDENTS TO THE US

LEGEND 250 or fewer 251 - 500 501 - 750 751 - 1,000 1,001 or more Schools with Southeast Asia Studies Programs

Sources: Institute of International Education (IIE), NAFSA: Association of International Educators

x1 NEW HAMPSHIRE 222 VERMONT 65 x1 MASSACHUSETTS 3,605 RHODE ISLAND 296 CONNECTICUT 488 x1 NEW JERSEY 520 DELAWARE 40 MARYLAND 786 DISTRICT OF COLUMBIA 382

x2

California

$410m

New York

$140m

Massachusetts

$140m

Texas

$133m

Washington

$129m

Pennsylvania

$81m

Illinois

$64m

Indiana

$42m

Michigan

$38m

Oregon

$34m

US STUDENTS STUDYING ABROAD IN ASEAN Thailand Singapore

2,096 1,080

Vietnam Indonesia Cambodia Philippines Malaysia Myanmar Brunei Laos

922 534 482 353 152 67 25 15

0

500

1,000

1,500

2,000

2,500

EDUCAT I O NAL EXCH ANGE

ASEAN MATTERS FOR AMERICA

ASEAN Students Contribute $1.7 Billion to the US Economy in a Year

34

35

THE YOUNG SOUTHEAST ASIAN LEADERS INITIATIVE (YSEALI)

In the 2014/15 academic year almost 700 students, teachers, and scholars participated in Fulbright exchanges between the US and ASEAN. Participants from all 10 ASEAN member states took part in the program. Since the program’s founding in 1949, over 11,000 students, teachers, and scholars from ASEAN have participated, including nearly 3,000 from Indonesia and 2,500 from the Philippines. US participants in the region have numbered over 5,000 since 1949, with the greatest number of participants taking part in the Indonesia, Philippines, and Thailand programs.

The Young Southeast Asian Leaders Initiative (YSEALI) is a program focused on strengthening leadership development in ASEAN. Since 2014, more than 100,000 young people, ages 18-35, have joined the program, and over 80,000 are active on digital platforms. Through YSEALI, the US government has assisted over 19,000 ASEAN youth through regional workshops and exchanges, professional and academic fellowships to visit universities, businesses, and non-profits in the US, and community-focused grants in order to develop ties between the US and ASEAN.

YSEALI PARTICIPATION BY COUNTRY

FULBRIGHT SCHOLARS SINCE 1949 51 20

Brunei Cambodia

172

From ASEAN From US

499

Indonesia 120

Singapore 1% 1,028 875

Philippines

2,452

870 251

1,855

903

Vietnam

1,159

515

0

500

Brunei 1%

Indonesia 21%

363

Thailand

Vietnam 21%

Philippines 17%

697

201

Singapore

Laos 2%

Thailand 14%

343

Malaysia Myanmar

Malaysia 6%

Myanmar 11%

2,936

1,038

Laos

Cambodia 7%

LEGEND

1,000

1,500

2,000

2,500

3,000

3,500

NOTABLE FULBRIGHT PARTICIPANTS FROM ASEAN JUWONO SUDARSONO, Former Indonesian Minister of Defense – Fulbright student at Columbia University

KAKA BAG-AO, Member of the House of Representatives of the Philippines – Humphrey Fellow at University of Minnesota

SUYOI OSMAN, Bruneian Minister of Education – Fulbright student at Johns Hopkins University

V P HIRUBALAN, Deputy Secretary-General of ASEAN for the Political-Security Community – Fulbright student at Yale University YSEALI - EWC Environmental Leadership Institutes participants visiting Kualoa in Oahu, Hawai�i

Sources: Bureau of Education and Cultural Affairs, US Department of State; US Mission to ASEAN

Photo: East-West Center

EDUCAT I O NAL EXCH ANGE

ASEAN MATTERS FOR AMERICA

FULBRIGHT PROGRAM

36

37

ASEAN SISTER RELATIONSHIPS WITH THE US MYANMAR

0

LEGEND

1

THAILAND

4-6

SISTER CITIES US SISTER RELATIONSHIPS WITH ASEAN

VIETNAM

9

1-3

Sister relationships are local partnerships between cities, counties, and states with similar jurisdictions. These build ties between communities and support commercial and cultural initiatives. With 70 sister cities and 22 sister state or sister county connections, these ties between the US and ASEAN link seven ASEAN countries to 22 US states.

The Philippines has the most sister city relationships with the US of all ASEAN countries at 61.

LAOS

0

4

7 - 10

CAMBODIA

10 or more

8

PHILIPPINES

61

BRUNEI

Mawlamyine currently shares the status of 'friendship city' with Fort Wayne, Indiana.

0

MALAYSIA

3

WASHINGTON MONTANA

MAINE

NORTH DAKOTA MINNESOTA

OREGON IDAHO

SOUTH DAKOTA

MICHIGAN

WYOMING

NEVADA

NEW YORK

WISCONSIN

NEBRASKA

PENNSYLVANIA

IOWA ILLINOIS INDIANA

UTAH COLORADO

KANSAS

CALIFORNIA

OHIO

WEST VIRGINIA VIRGINIA KENTUCKY

MISSOURI

TENNESSEE ARIZONA

OKLAHOMA

MISSISSIPPI GEORGIA ALABAMA TEXAS

Elgin, Illinois is the only US city to share a sister relationship with a city in Laos.

US

ASEAN

US

Mobile, AL

Bolinao, PH

Long Beach, CA

ASEAN Bacolod, PH

Juneau, AK

Camiling, PH

Long Beach, CA

Phnom Penh, KH

Juneau, AK

Kalibo, Aklan, PH

Los Angeles, CA

Jakarta, ID

Berkeley, CA

Uma-Bawang, MY

Carson, CA

La Carlota, PH

Chula Vista, CA

Cebu City, PH

Fremont, CA

Lipa City, PH

Los Angeles, CA Milpitas, CA

LEGEND

Makati, PH Dagupan City, PH

Cambodia - KH; Indonesia - ID; Laos - LA; Malaysia - MY; Philippines - PH; Thailand - TH; Vietnam - VN

Beaufort, North Carolina enjoys a sister city relationship with Beaufort, Malaysia. US

ASEAN

Ho Chi Minh City, VN

Honolulu, HI

Cebu, PH

St. Louis, MO

San Francisco, CA

Manila, PH

Honolulu, HI

Hue, VN

Las Vegas, NV

Santa Barbara, CA

San Juan, PH

Honolulu, HI

Laoag City, PH

Sariaya, PH

Honolulu, HI

Manila, PH

Angel Fire, NM

Pasig City, PH

Honolulu, HI

Vigan, PH

Beaufort, NC

Stockton, CA Stockton, CA

Battambang, KH Iloilo, PH Naguilian, PH

Union City, CA

Baybay, PH

Union City, CA

Chiang Rai, TH

Union City, CA

Pasay City, PH

Vallejo, CA

Baguio, PH

Walnut, CA

Calamba, PH

New Haven, CT

Hue City, VN

Washington, DC

Bangkok, TH Cebu Province, PH Ilocos Norte Province, PH

State of Hawai�i

Ilocos Sur Province, PH

Palo, PH

State of Hawai�i

Isabela Province, PH

Tagaytay, PH

State of Hawai�i

Pangasinan Province, PH

Sacramento, CA

Manila, PH

Hawai�i County, HI

Ormoc City, PH

Sacramento, CA

Pasay, PH

Da Nang, VN

Orinda, CA

Lanphun, TH

Palo Alto, CA Rohnert Park, CA

Salinas, CA San Bernardino, CA

Cebu City, PH Roxas, PH

US

San Francisco, CA

State of Hawai�i

Oakland, CA

ASEAN Candon City, PH

State of Hawai�i

Newport Beach, CA Vung Tau Ba Ria City, VN

US Honolulu, HI

Suisun, CA

Maui County in Hawai�i has the most sister relationships in ASEAN of any US city, county, or state with 11 sister relationships.

ASEAN Cavite City, PH

South San Francisco, CA

HAWAI‘I

Yogyakarta, Special Province, ID

San Diego, CA

2-3

ALASKA

State of California

US

1

10 or more

6

0

Santa Clarita, CA

4-9

FLORIDA

LOUISIANA

LEGEND 0

S CAROLINA

ARKANSAS

NEW MEXICO

N CAROLINA

INDONESIA

SINGAPORE NEW HAMPSHIRE VERMONT MASSACHUSETTS RHODE ISLAND CONNECTICUT NEW JERSEY DELAWARE MARYLAND DISTRICT OF COLUMBIA

Honolulu, HI

Baguio, PH

Sterling Heights, MI

Reno, NV

ASEAN Sorsogon City, PH Bogor, ID Angeles City, PH Udonthani, TH Quang Tri Town, VN Beaufort, MY

Kauai County, HI

Bagued, PH

Pittsburgh, PA

Da Nang, VN

Kauai County, HI

Urdaneta, PH

Providence, RI

Phnom Penh, KH

Maui County, HI

Bacarra City, PH

Maui County, HI

Badoc, PH

Maui County, HI Maui County, HI Maui County, HI

Puerto Princesa, PH

Maui County, HI

Quezon City, PH

Maui County, HI

San Juan, PH

Maui County, HI

San Nicholas, PH

Maui County, HI

San Miguel, PH

Seattle, WA

Maui County, HI

Sarrat, PH

Seattle, WA

Hai Phong, VN

Maui County, HI

Zambales Province, PH

Seattle, WA

Sihanoukville, KH

Vientiane, LA

Seattle, WA

Surabaya, ID

Elgin, IL

Austin, TX

Siem Reap, KH

Benbrook, TX

Pailin Province, KH

Cabugao, PH

Commerce, TX

Pailin Province, KH

Manila, PH

Fort Worth, TX Salt Lake City, UT Norfolk, VA Virginia Beach, VA Lakewood, WA

Bandung, ID Quezon City, PH Cagayan de Oro, PH Olongapo, PH Bauang, PH Cebu City, PH

State of Terengganu, MY

Tacoma, WA

Davao, PH

State of Maryland Ninh Thuan Province, VN

Kenosha, WI

Quezon City, PH

Lowell, MA

Phnom Penh, KH

Milwaukee, WI

Sterling Heights, MI

Legazpi City, PH

State of Iowa

Sources: Sister Cities International; individual sister city associations

Medan, ID

SI ST ER PART NERSH I PS

ASEAN MATTERS FOR AMERICA

92 Sister Relationships between the US and ASEAN Build Civic and People-to-People Connections

38

39

ASEAN M AT T ERS FOR AM ER I CA

ASEAN MATTERS FOR AMERICA www.AsiaMattersforAmerica.org Funded by the Henry Luce Foundation

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MATTERS FOR

· VIETNAM · BRUNEI ·DARUSSALAM · BRUNEI DARUSSALAM · CAMBODIA · INDONESIA · LAOS · MALAYSIA · MYANMAR · PHILIPPINES · SINGAPORE · THAILAND · UNITED STATESBRUNEI DARUSSALAM CAMBODIA · INDONESIA · LAOS · MALAYSIA · MYANMAR · PHILIPPINES · SINGAPORE · THAILAND · UNITED STATES · VIETNAM · BRUNEI DARUSSALAM ·

J A PA N

ALAM · CAMBODIA · INDONESIA · LAOS · MALAYSIA · MYANMAR · PHILIPPINES · SINGAPORE · THAILAND · UNITED STATES · VIETNAMBRUNEI · BRUNEI DARUSSALAM · CAMBO- · INDONESIA · LAOS · MALAYSIA · MYANMAR · PHILIPPINES · SINGAPORE · THAILAND · UNITED STATES · VIETNAM · BRUNEI DARUSSALAM · CAMBODIA DARUSSALAM · CAMBODIA

· MALAYSIA · MYANMAR · PHILIPPINES · SINGAPORE · UNITED STATES · VIETNAM· ·VIETNAM BRUNEI DARUSSALAM · CAMBODIA · ·INDONESIA · M· LAOS · CAMBODIA · INDONESIA · LAOS · MALAYSIA · MYANMAR· THAILAND · PHILIPPINES · SINGAPORE · THAILAND · BRUNEI DARUSSALAM CAMBODIA ·· LAOS INDONESIA · LAOS · MALAYSIA · MYANMAR · PHILIPPINES · SINGAPORE · THAILAND · UNITED STATES · VIETNAM · BRUNEI DARUSSALAM · CAMBODIA · INDONESIA · LAOS ·

· CAMBODIA MALAYSIA · MYANMAR · PHILIPPINES · SINGAPORE · THAILAND · UNITED STATES · VIETNAM · BRUNEI DARUSSALAM BRUNEI DARUSSALAM · CAMBODIA · INDONESIA · LAOS · MALAYSIA · MYANMAR · PHILIPPINES · SINGAPORE · THAILAND · UNITED STATES · VIETNAM · BRUNEI DARUSSALAM · CAMBODIA

AS E A N

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PUBLICATION DESIGN AND ILLUSTRATION TOP SHELF DESIGN Washington, DC www.topshelfdesign.net

THE ASIA MATTERS FOR AMERICA INITIATIVE Asia Matters for America/America Matters for Asia is an interactive resource for credible and nonpartisan information, graphics, analysis, and news on US-Asia Pacific relations at the national, state, and local levels. AsiaMattersforAmerica.org

AsiaMattersforAmerica.org/Australia

AsiaMattersforAmerica.org/Korea

41 40

ASEAN M AT T ERS FOR AM ER I CA

NOTES ASEAN MATTERS FOR AMERICA

NOTES

ASEAN Matters for America/America Matters for ASEAN US-ASEAN Business Council members contributed toward this initiative.

This project explores the important and multi-faceted relationship between the United States and the Association of Southeast Asian Nations (ASEAN). Part of the Asia Matters for America initiative, this publication and its corresponding website AsiaMattersforAmerica.org/ASEAN provide tools for a global audience to explore the increasing significance of the US-ASEAN relationship in the 21st century. Asia Matters for America is an initiative of the East-West Center in Washington and can be contacted at:

ISEAS - Yusof Ishak Institute is located in Singapore and can be contacted at:

Asia Matters for America East-West Center in Washington 1819 L Street, NW, Suite 600 Washington, DC 20036 USA Tel: (+1)202.293.3995 Fax: (+1)202.293.1402 [email protected]

ISEAS - Yusof Ishak Institute 30 Heng Mui Keng Terrace Singapore 119614 Tel: (+65)6778.0955 ISEAS.edu.sg

The East-West Center headquarters is in Honolulu, Hawai‘i: East-West Center 1601 East-West Road Honolulu, HI 96848 USA Main Telephone: (+1)808.944.7111 EastWestCenter.org

The US-ASEAN Business Council headquarters is in Washington, DC and can be contacted at: US-ASEAN Business Council 1101 17th Street, NW, Suite 411 Washington, DC 20036 USA Tel: (+1)202.289.1911 USASEAN.org