SINGAPORE, July 23 (Xinhua) -- The ASEAN+3 region, comprising ASEAN member states along with China, Japan, and South Korea, "enters this period of global trade turbulence from a position of relative strength and resilience," said ASEAN+3 Macroeconomic Research Office (AMRO) Chief Economist Dong He on Wednesday.
"Most regional policymakers have acted early to cushion the impact of the trade shock, and policy space remains available for further support if needed," he added.
In its quarterly update of the regional economic outlook published Wednesday, the AMRO forecast the ASEAN+3 region to grow at 3.8 percent in 2025 and 3.6 percent in 2026. These are downward revisions from its April projections, reflecting increased global uncertainties, particularly the evolving U.S. tariff measures.
However, the report noted that inflation in the region continues to moderate, and regional financial markets have shown resilience. Currencies in the region have generally appreciated against the U.S. dollar amid rising market concerns over U.S. policy uncertainty.
The AMRO also cautioned that uneven progress in tariff negotiations, and the potential expansion of tariffs to additional products, could further disrupt trade and weigh on regional growth.
A sharper-than-expected economic slowdown in the United States and Europe, combined with tighter global financial conditions from prolonged high U.S. interest rates, could further dampen the region's growth prospects, it added. ■
