Context:

The 47th ASEAN Summit and the 22nd ASEAN–India Summit were held in Kuala Lumpur in October 2025, marking a key moment in India’s engagement with Southeast Asia. The Association of Southeast Asian Nations (ASEAN) — now an 11-member grouping with the inclusion of Timor-Leste — continues to play a central role in shaping the economic and security architecture of the Indo-Pacific region.

• • Prime Minister Narendra Modi addressed the summit virtually, while External Affairs Minister S. Jaishankar represented India in person. The meetings took place amid global trade uncertainties, ongoing US–China tensions, and renewed focus on economic resilience and connectivity in the region.

What is ASEAN?

• • ASEAN was founded in 1967 by five nations — Indonesia, Malaysia, the Philippines, Singapore, and Thailand — as a political alliance to counter the spread of communism in Southeast Asia. Over the years, it has evolved into a powerful economic and regional organization promoting growth, stability, and cooperation.
  • Today, ASEAN includes Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, the Philippines, Singapore, Thailand, Vietnam, and Timor-Leste, representing a combined population of over 650 million and a GDP of more than $3 trillion.

Significance of ASEAN for India:

1.      Geopolitical Relevance

The ASEAN region lies at the heart of the Indo-Pacific, a zone witnessing growing geopolitical contestation due to China’s assertiveness in the South China Sea. For India, closer engagement with ASEAN helps balance regional power dynamics and secure vital trade routes.

2.      Economic Importance

Around 40–50% of India’s trade passes through the ASEAN region, making it a critical trade partner. ASEAN is India’s fourth-largest trading partner, accounting for nearly 11% of India’s global trade. However, India’s trade deficit with the bloc has widened sharply — from about $9.6 billion in 2016–17 to over $43 billion in 2022–23 — prompting calls for a review of trade terms.

3.     Connectivity and Integration

India’s northeastern states share land borders with Myanmar, providing a natural link to ASEAN. Projects like the India–Myanmar–Thailand Trilateral Highway and the Kaladan Multi-Modal Transit Transport Project (KMTTP) are intended to enhance regional connectivity and integrate India’s Northeast with Southeast Asia’s markets.

4.     Cultural and Civilizational Ties

India’s historical links with Southeast Asia date back over two millennia through shared traditions of trade, religion, and culture. The Act East Policy, launched in 2014 (building on the Look East Policy of 1992), seeks to revive and strengthen these civilizational ties in the context of modern economic and strategic cooperation.

Key Highlights of the ASEAN–India Summit 2025:

1. Adoption of the ASEAN–India Plan of Action (2026–2030)

• • • The summit endorsed a new Plan of Action to guide cooperation over the next five years. It builds on the 10-Point Agenda announced during the 2024 summit in Vientiane, which covered areas such as tourism, digital transformation, health, climate action, and education.
    • The 2026–2030 Plan converts these broad priorities into specific, time-bound initiatives, setting measurable deliverables for both sides.

2. Review of the ASEAN–India Trade in Goods Agreement (AITIGA)

India and ASEAN leaders emphasized completing the long-pending review of the 2009 trade pact. The agreement, once seen as a breakthrough, has since drawn criticism within India for creating trade imbalances and facilitating the indirect entry of Chinese goods through ASEAN countries.

The review aims to:

• • • • Simplify customs and trade facilitation measures,
      • Address non-tariff barriers,
      • Promote fair access to markets, and
      • Strengthen cooperation in services and investment.

3. Digital Cooperation and Fintech Integration

• • • Building on the joint declaration on digital transformation in 2024, the summit prioritized cooperation on Digital Public Infrastructure (DPI) — including digital payments, fintech innovation, and cybersecurity. India’s Unified Payments Interface (UPI) model has attracted wide interest in the region, with several ASEAN countries exploring similar frameworks.
    • The ASEAN–India Fund for Digital Future, launched in 2024, is supporting new initiatives in artificial intelligence, blockchain for supply chains, and digital health systems.

4. Connectivity: Physical and Digital

Connectivity remains a cornerstone of India–ASEAN engagement. The summit reviewed progress on two critical infrastructure projects:

• • • India–Myanmar–Thailand Trilateral Highway – linking Moreh (Manipur) to Mae Sot (Thailand) via Myanmar, aimed at facilitating trade and people-to-people movement.
    • Kaladan Multi-Modal Transit Transport Project (KMTTP) – connecting Kolkata to Mizoram through Sittwe port in Myanmar. Once complete, it will reduce the distance between Kolkata and Mizoram by nearly 1,000 km and cut travel time by three to four days.

Beyond physical connectivity, leaders discussed “Connecting the Connectivities” — aligning India’s initiatives with ASEAN’s Master Plan on ASEAN Connectivity (MPAC) 2025, including broadband, submarine cable systems, and satellite communication.

A new Track 1 ASEAN–India Cyber Policy Dialogue was also launched to jointly address cyber threats and strengthen data protection frameworks.

5. Maritime Cooperation and Security

Maritime security featured prominently in discussions, reflecting shared concerns about freedom of navigation and China’s expansive territorial claims in the South China Sea.

The declaration of 2026 as the ASEAN–India Year of Maritime Cooperation underscored a renewed focus on:

• • • Counter-piracy operations,
    • Maritime domain awareness,
    • Humanitarian Assistance and Disaster Relief (HADR), and
    • Combating illegal, unreported, and unregulated (IUU) fishing.

India proposed hosting the Second ASEAN–India Defence Ministers’ Meeting and Second ASEAN–India Maritime Exercise to deepen operational coordination in the Indo-Pacific.

ASEAN’s Internal Challenges:

• • Democratic Backsliding: The group’s inability to respond decisively to the political crisis in Myanmar has exposed its structural weakness in enforcing common standards.
  • China’s Pressure: ASEAN struggles to adopt a unified stance on the South China Sea issue, with some member states dependent on China economically and reluctant to confront it.
  • Economic Inequality: There remain wide disparities in development and governance capacity across member states, which complicate integration efforts.

Strategic and Economic Takeaways:

1.       ASEAN’s Economic Strength: Intra-ASEAN trade accounts for about 25–30% of total trade, second only to the European Union, reflecting its success as a regional economic bloc.

2.      India’s Strategic Leverage: ASEAN’s position at the intersection of the Indian and Pacific Oceans makes it crucial to India’s Indo-Pacific strategy and maritime security.

3.      Connectivity as Strategy: Projects like the Trilateral Highway and KMTTP are not just infrastructure ventures but instruments of strategic influence and economic integration.

4.     Digital and Maritime Futures: India’s technological capabilities and naval outreach align well with ASEAN’s developmental and security priorities.

Conclusion:

For India, sustained engagement with ASEAN - along with active participation in platforms like BIMSTEC and CPTPP - can reinforce its role as a responsible Indo-Pacific power. The focus should remain on constructive partnerships in trade, technology, manufacturing, and connectivity, especially with countries that share democratic values and do not carry the baggage of unresolved conflicts. As the world’s economic and strategic centre of gravity shifts towards the Indo-Pacific, India’s partnership with ASEAN will be vital for ensuring stability, connectivity, and prosperity in one of the most dynamic regions of the 21st century.