Asean, GCC and China - A new power bloc of the global south
Malaysia, as Asean Chair this year, is hosting the maiden Asean-GCC-China Summit which is set to unlock immense potential for multilateral cooperation.
27 May 2025 10:32am
Emir of Qatar Sheikh Tamim bin Hamad Al Thani (L) talks to Malaysia's Prime Minister Anwar Ibrahim as he arrives for a bilateral meeting ahead of the 2nd ASEAN-Gulf Cooperation Council (GCC) Summit after the 46th Association of Southeast Asian Nations (ASEAN) Summit in Kuala Lumpur on May 27, 2025. (Photo by Mohd RASFAN / POOL / AFP)
BEIJING - As the global economic uncertainty rages on following the United States' (US) sweeping tariffs, China sees the inaugural Asean-Gulf Cooperation Council (GCC)-China Summit in Kuala Lumpur today not merely as a diplomatic gathering but a pivotal moment in the rise of the Global South.
For China, this tripartite meeting is far more than a symbolic gesture. It represents the emergence of a new economic and strategic axis, one that challenges traditional Western-dominated trade frameworks and offers an alternative vision of cooperative development. Personnel secure the vicinity of KLCC Park ahead of the 46th ASEAN Summit in Kuala Lumpur on May 25, 2025. (Photo by Jam STA ROSA / AFP)
This was made evident when China's Foreign Ministry Spokesperson, Mao Ning, remarked last week that China looks to expand practical cooperation with Asean and the oil-rich GCC member states in various fields to leverage their respective strengths, pursue win-win results and defend common interests of the Global South.
It would be a coming together of Asean's quest to foster integration within Southeast Asia, GCC's aim to reduce dependence on oil and diversify the economy, and China's Belt and Road Initiative focusing on global infrastructure development strategies.
Malaysia, as Asean Chair this year, is hosting the maiden Asean-GCC-China Summit which is set to unlock immense potential for multilateral cooperation.
The combined weight of Asean, GCC and China is certainly reshaping the global economic dynamics.
Asean, now the world's fifth-largest economy with a collective gross domestic product (GDP) of over US$3.6 trillion (US$1=RM4.22), is not just a manufacturing hub but also a burgeoning consumer market of 700 million people.
On Sunday, Malaysia's Investment, Trade and Industry Minister Tengku Datuk Seri Zafrul Abdul Aziz told a press conference that the collective Asean GDP is projected to grow at 4.7 per cent in 2025 from 4.2 per cent last year.
Meanwhile, GCC, backed by its vast energy reserves and nearly US$2 trillion in sovereign wealth funds, is rapidly diversifying under ambitious plans like Saudi Arabia's Vision 2030.
China, the world's second-largest economy with a US$18.6 trillion GDP, brings unparalleled industrial capacity, technological innovation and infrastructure expertise.
Together, these three regions account for nearly a quarter of global economic output and a consumer base exceeding 2.1 billion people -- a force that could no longer be sidelined in global governance.
What distinguishes this partnership is its foundation in mutual benefit rather than ideological alignment.
Asean's youthful demographics and rich natural resources complement China's manufacturing and technological prowess, while GCC's financial capital and diversification goals align seamlessly with China's outward investment and green energy ambitions.
Trade between these regions is already flourishing, with China-Asean trade reaching 1.71 trillion yuan (US$234.17 billion) in the first quarter of 2025, a year-on-year increase of 7.1 per cent.
Meanwhile, China-GCC trade hit over US$288 billion in 2024, with Gulf states supplying 40 per cent of China's crude oil imports.
Policy coordination is also accelerating.
The China-Asean Free Trade Agreement 3.0 wrapped up last week expands cooperation in digital trade and sustainable development, while the ongoing China-GCC free trade talks promise to create one of the world's largest trade blocs.
The summit serves as a platform to synchronise three transformative development strategies, namely China's Belt and Road Initiative, Asean's Connectivity Master Plan 2025 and the GCC's Vision 2030.
At a time when Western economies are retreating into a protectionist mode, the Asean-GCC-China partnership offers a different model to build on economic resilience through diversification.
Asean has already surpassed the United States and the European Union as China's top export destination in 2023, while Gulf investments in Chinese technology, such as Saudi Arabia's US$5.6 billion push into artificial intelligence, signal deepening ties beyond energy.
The Digital Silk Road (DSR) initiative by China is further binding these regions together, with the country's cross-border e-commerce totalling 1.22 trillion yuan in the first half of 2024, up 10.5 per cent year-on-year.
China and its partners are weaving a more interconnected and resilient economic fabric, one where development is shared, not monopolised. This is exactly what China stresses on a daily basis and is being reported in local media publications.
Like Asean and the GCC, China's cooperation with Central and Eastern European Countries (CEEC) similarly demonstrate that its approach to global engagement is rooted in economic interdependence rather than coercion.
The Asean-GCC-China Summit is certainly a proving ground for a future where the Global South sets the agenda and a definitive statement that the world's economic or perhaps strategic centre of gravity is shifting.
In Beijing's strategic calculus, this is seen not just as a summit but the foundation of a new world order, one where the Global South takes its rightful place at the table.
Chinese Premier Li Qiang is scheduled to attend the summit on the invitation of Prime Minister Datuk Seri Anwar Ibrahim.
This is the second official visit for Li to Malaysia since assuming the post in March 2023. He visited Malaysia in June last year in conjunction with the 50th anniversary of China-Malaysia diplomatic ties. - BERNAMA
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