Economy ministers from the Association of Southeast Asian Nations (ASEAN) said in a joint statement on Friday that the war in the Middle East poses a growing threat to global energy security and could lead to a significant slowdown in the region’s economic growth.
The bloc’s Economic Community Council expressed deep concern that current disruptions to key maritime routes—particularly the Strait of Hormuz, through which about a quarter of global seaborne oil and liquefied natural gas exports pass, with more than 80% heading to Asia—pose serious risks to global energy security. These disruptions are also fueling continued volatility in oil and LNG prices, while driving sharp increases in shipping, insurance, and logistics costs.
ASEAN noted that rising energy and transportation costs are having cascading effects on food-related activities, including higher fertilizer prices and potential disruptions to fertilizer supply chains.
The ministers warned that the cost of living is increasing across the region, with low-income households and small businesses being the most affected.
They reaffirmed their commitment to avoiding unnecessary trade barriers, particularly concerning food and energy inputs during times of crisis.
They also stressed the importance of keeping trade infrastructure—such as land borders, airports, and seaports—open to ensure the continued flow of essential goods.
The group highlighted proposals to explore regional oil stockpiling and agreed to strengthen coordination with international financial institutions to enhance the region’s economic resilience.
Reuters
