Conditions are ripe for investment in ASEAN’s electronics industry. Global demand has risen by an average of nine percent over the past five years, and the AEC and TPP will offer investors new opportunities in the sector.
Earlier this week Jiang Zhengxin – vice general manager of China United Telecommunications Corp. –revealed that the company has been contracted to construct China’s first international undersea internet cable linking China and Myanmar.
E-commerce in ASEAN today is relatively underdeveloped. However, a study undertaken by AT Kearney predicts that as purchasing power parity in the region increases and internet penetration spreads, online retail in ASEAN markets could rise by around 25 percent annually.
Southeast Asia has an ideal climate for coffee cultivation. While Vietnam has traditionally led the way for coffee production in ASEAN, other countries in the ten-nation bloc are steadily growing as coffee exporting nations. In this article, we provide an overview of the coffee industry in these countries.
Automobile manufacturing and production has skyrocketed in the past years, most notably in Thailand, Indonesia, Vietnam, and Malaysia. In this article, we outline the primary differences between the markets and their implications on foreign companies looking to invest in the industry.
While 2014 was not a particularly good year for the aviation industry in Southeast Asia, the Philippines was an important exception to the wider trend. In a report released by CAPA, a global aviation think-tank, which looked at 18 airlines, it was found that out of the six airlines that were able to generate a profit in 2014, four of them were based in the Philippines: Philippine Airlines (PAL), Cebu Pacific, Tigerair Philippines, and Philippines AirAsia.
The US and New Zealand have asked the World Trade Organization (WTO) for a dispute settlement panel to examine Indonesia’s wide-ranging restrictions on horticulture and animal imports.
With the ASEAN Economic Community going into effect at the end of this year, many companies are now seriously considering moving their operations to the region. However, the question remains as to where in ASEAN to base your business. As such, it is helpful to consider corporations that have made the move to ASEAN in the past and to try and understand their reasons for doing so. We delve into GM’s expansion into the region and provide snapshots of their operations in a few key countries.
While currently, e-commerce only accounts for less than one percent (worth ~US$2 billion per year) of Indonesian retail spending, analysts believe that the country’s fast growing middle class and proliferation of smartphones will soon raise that share to eight percent (worth US$8 billion) in just a few years. If that scenario were to happen, then Indonesia’s e-commerce market would be the largest in Southeast Asia.
Indonesia’s Financial Services Authority (OJK) banking supervision commissioner Nelson Tampubolon has said a recent agreement with Malaysia, which eases Malaysian restrictions on Indonesian banks, is a model for future bilateral agreements. He intends to use the agreement as a basis for planned negotiations with Singapore.