1

LEARNING OUTCOMES
• Differentiate between regionalism and
globalization;
• Discuss the driving forces of regionalism;
• Elaborate different approaches to regionalism;
• Identify the factors that led to a greater
integration of the Asian region;
• Explain the emergence and characteristics of
Asian regionalism.
2
 REGIONALISM VS. GLOBALIZATION
REGIONALISM
The formal process of
intergovernmental collaboration
between two or more states.
It is also the expression of a
common sense of identity and
purpose combined with the
creation and implementation of
institutions that express a particular
identity and shape collective action
within a geographical region.
GLOBALIZATION
From previous studies, this refers
to the increasing global
relationships of culture, people
and economic activity. Most often
as the global distribution of the
production of goods and services,
through the reduction of barriers
to international trade such as
tariffs, export fees and import
quotas. 3
COUNTRIES OF ASIA

North Asia

Middle East East Asia

South Asia

South East Asia

4
ASIA-PACIFIC
NORTH ASIA

EAST ASIA

SOUTH ASIA

SOUTH-EAST ASIA

AUSTRILIA

NEW ZEALAND

5
Framework

Asia Pacific
Globalization
and South Asia

3 the region
1 externalist 2 generative as an
view view alternative to
globalization 6
 A term used to explain, justify and
anticipate the rapid expansion and
Globalization intensification of social relations across
world time and space (Steger, 2013)

• Core claims
• Deregulation of markets
• Liberalization of trade
• Privatization of state owned enterprises
• #1: Liberalization and Global Integration of Markets (reduction of
government interference)
• #2: Globalization is inevitable and irreversible
• #3: Nobody is in charge of globalization
• #4: globalization benefits everyone (in the long run)
The Region’s Strength Asia Pacific and South Asia

• Asia Pacific & South Asia: Northeast Asia, SEA, Pacific Islands, South Asia
• Diversity: most progressive: South K, Japan, Singapore;
• Most poor: Cambodia, Laos, Nepal;
• Most populated: China and India and
• World’s smallest: Bhutan and Maldives
• As a region:
• 1/3 of the world’s land mass
• 2/3 of the global population
• Largest share of global GDP (35%); USA 23%; Europe 28%
• Over 1/3 of world’s exports
• Prevalence of poverty, HIV/AIDS, gender inequality and other socio econ problems
• US strategy: Pacific Pivot – committing more resources and attention to the region
 1 externalist The Region as an Object Impacted
view by Globalization
1. Colonial rule and dominance
• Advantages and disadvantages of colonial rule
• Colonized Asian countries
• Non colonized Asian countries
– Case of Japan
– Case of Thailand
• 19th & 20th century: movements for nationalism and independence
emerged
 1 externalist The Region as an Object Impacted
view by Globalization
2. World War II
– Influenced by external forces
– Case of Japan and US
3. Adoption of export oriented growth
– Japan, Korea and Taiwan (1980s and 1990s)
– Malaysia, Singapore and Vietnam (late 1980s and 1990s)
– SEA tigers: reliance on infusion of foreign capital
4. IMF and WB (Bretton Wood System)
– The cornerstone of economic liberalization and globalization in post war global economy
– Case of Indonesia: Suharto regime and its story
– Case of Thailand: export oriented growth
– Case of Philippines: cozy relationship with F. Marcos
 1 externalist The Region as an Object Impacted
view by Globalization
5. Asian Financial Crisis
– Root cause: Poor policies, weak government, corruption, poor institutions; inadequate
liberalization
– Globalization played a role in the 1997 crisis
– Showed how deeply integrated the economy was in the global financial system
6. Membership to WTO
8. Liberalization of Economy
– Rise of China: Deng Xiaoping 1970s: economic reform – liberalization of the economy:
Experienced high level of growth and became more integrated into the global economy
– Rise of India: Liberalized their economy in 1991; increased trades and FDI in textile and
service sector
1 externalist Effects on Employment Practices
view

• Globalization initiated significant changes in employment practices

• Characteristics
– Temporary and part time employment
– Informal employment: self employment, family workers, informal enterprise
workers
– Underemployment: Philippines 18% of work force; Indonesia = 25% of work force
– No legal contracts
– Poor working conditions and safety issues at factories that manufacture goods
for Western companies
 1 externalist Effects on Politics
view

• There was a substantial fall in authoritarian regime; rise in

democratic regime
• Due to:
• Rising middle classes
• More globally connected world
• End of Cold War
• Fall of Suharto in May 1998.
 1 externalist Influence on Culture
view

• Globalization is a form of cultural

westernization called McWorld
• Globalization is leading to
cultural homogenization and
destruction of cultural diversity
– Increase in number of McDonald
stores in Asia
– Rise of domestic fast food chains
– Rapid expansion of supermarkets
 1 externalist Influence on Diets
view

• Asia have been increasingly westernized

• Wheat replaced rice as staple food
• McDonaldization
• MTV-ization
• Hollywoodization
 Generating Globalization: Asia as a
2 generative Springboard
view

1. Spice trade
2. Early modern world economy: central was Asia
3. Colonialism: influenced the colonizers as well
4. Rise of Japan on procurement of raw materials
5. Rise of China: producer and consumer
6. Rise of India
– on IT / software development
– Global service provider: outsourcing and offshoring
7. International migrant labor
8. Remittance from migrant workers (Ph = 11% of the Ph economy)
 2 Generating Globalization: Asia as a
Generative View Springboard

8. Rise of regional free trade arrangements

9. Open regionalism
10. Asian Products in Global Market
 Generating Globalization: Asia as a
2 Springboard
Generative View
 3 The anti global impulse: Regional
the region as an alternatives to globalization
alternative to
globalization

1. Japan’s colonialization of the region in 1930s and 40s – East Asian Co-
Prosperity Sphere
2. Asian way
• to reach consensus on national goals with the democratic framework to
take the middle path to exercise tolerance and sensitivity towards others
• Contrast to Western values: every individual can do what he likes, free
from any restraint by government;
• Asians respects hard work, thrift, authority; community over the
individual
• Operates based on Harmony and consensus rather than on majority rule
 The anti global impulse: Regional
alternatives to globalization
• Regional arrangements
• East Asian Economic Caucus (an APEC without western states)
• ASEAN +3 – China, South Korea and Japan
• Asian Monetary Fund (no USA); act autonomously from IMF; was a failure
• Regional terror network (JI – Jemaah Islamiyah (an alternative ision of political and
social oranization in the region, one that clashes directly with globalization
paradigm)
• Local movements that emerged
• Santi Suk in Thailand: created its own currency
• Japan: Community Supported Agriculture an Seikatsu Club (encouraged to buy
locally and ethically)
 Framework

Asia Pacific
Globalization
and South Asia

1 externalist 2 generative 3 the region as

an alternative to
view view
globalization
21
 Middle Class Formation in SE Asia
• What is their importance to regionalism?
• Who / what created them?
• What is their profile?
The Making of the Middle Class in Southeast Asia

2nd wave
1st wave
1960s – 1980s
1950s – 1970s
South Korea, Taiwan,
Japan
Hongkong, Singapore

3rd wave
4th Wave
1980s – 1990s
Urban Centers in
Thailand, Malaysia, China
Indonesia, Philippines
 REGIONALISM AS AN ALTERNATIVE
MIDDLE CLASS ASIA
This much is clear—the Asian middle class will play an
increasingly important role in the shift in the balance of
global demand and change over the next few decades. Its
rise may present many challenges, but it will also open up
new and unprecedented opportunities for the region and
for the world.

(Asian Development Bank)

24
HQs of Multinational Corporations
Country Cases
 REGIONALISM AS AN ALTERNATIVE
APPROACHES TO INTEGRATION
A) SUPRANATIONALISM
- states pool their sovereignty in a way that limits their
autonomy in deciding over issues, whether economic,
military or political in nature.

B) INTERGOVERMENTALISM
- Integration based largely on the principle of non-
interference or intervention in domestic matters. 27
 DRIVING FORCES OF REGIONALISM

1. Management of independence

2. Management of interdependence

3. Management of internationalization

28
Management of independence

Former colonies need mechanisms to administer

their own domestic affairs and their relations
between themselves, with their colonizers, and
with other states in general. It is important to
manage these areas well as they can be a
conflictual process. They do this by entering
into regional arrangements.

29
Management of interdependence

States need to manage their economic, political,

and social interdependence with other states.
They set down norms and rules by which they
can collectively achieve such goals as security,
trade, and investments. Regional norms and
rules are expected to shape the behavior of
member states.

30
Management of internationalization

States need to manage their affairs in a

multilateral, interstate system. Proponents of
regionalism as building blocks argue that:

1. Such arrangements promote internal and

international dynamics that enhance the
prospects for multilateralism;

31
Management of internationalization

2. Regionalism can have important

demonstration effects in accustoming actors to
the effects of liberalization;
3. Increased numbers of regional arrangements
can weaken opposition to multilateral
liberalization because each successive
arrangement reduces the value of the margin of
preference;

32
Management of internationalization

4. Regional agreements are often more to do

with strategic or political alliances than trade
liberalization; and

5. Regionalism has more positive than negative

political effects.

33
REGIONALISM AS AN ALTERNATIVE
REGIONAL INTEGRATION IN ASIA
AND
EMERGENCE OF MIDDLE CLASS ASIA
APEC(FTAAP)
Canada, Chile, Hong Kong,
Mexico, Papua New Guinea,
Peru, Russia, Chinese Taipei, U.
S ASEAN+6
Australia, New Zealand
ASEAN+3 India

China, Japan,
Korea ASEAN
Brunei, Indonesia, Malaysia,
the Philippines, Vietnam, Cambodia,
Singapore, Thailand Laos,
Myanmar

34
 REGIONALISM AS AN ALTERNATIVE
REGIONAL INTEGRATION IN ASIA
AND
EMERGENCE OF MIDDLE CLASS ASIA

MEMBERS OF ASEAN
35
 REGIONALISM AS AN ALTERNATIVE
REGIONAL INTEGRATION IN ASIA
AND
EMERGENCE OF MIDDLE CLASS ASIA

ASEAN SYSTEM AND STRUCTURE

• Formed on August 8, 1967 in Bangkok, Thailand, with the
signing of the ASEAN Declaration (Bangkok Declaration)

• Founding Father of ASEAN

- Adam Malik (Indonesia)
- Narciso R. Ramos (Philippines)
- Tun Abdul Razak (Malaysia)
- S. Rajaratnam (Singapore)
- Thanst Khoman (Thailand)

36
 REGIONALISM AS AN ALTERNATIVE
ASEAN

VISION

The ASEAN Declaration states that the aims and purposes of the Association are:

(1) to accelerate the economic growth, social progress and cultural development in
the region through joint endeavors in the spirit of equality and partnership in order
to strengthen the foundation for a prosperous and peaceful community of
Southeast Asian nations.

(2) to promote regional peace and stability through abiding respect for justice and
the rule of law in the relationship among countries in the region and adherence to
the principles of the United Nations Charter.

37
 REGIONALISM AS AN ALTERNATIVE
ASEAN

1992 – ASEAN Free Trade Agreement

1997/98 – economic crisis – acceleration of economic integration initiatives – ASEAN
Vision 2020
2003 - Bali Concord II – the launch of ASEAN Community by 2020
2005 – the launch of ASEAN Charter process
2006/07 – the acceleration of ASEAN Community to 2015
2007 – ASEAN Charter drafting and the ASEAN Economic Community Blueprint
2008 – ASEAN Charter ratification

38
REGIONALISM AS AN ALTERNATIVE
ASEAN

39
THANK YOU

40