Asean among most bullish regions for trade, commercial activity: HSBC

• Nov 06, 2018

KUALA LUMPUR (Bernama) – ASEAN is one of the most bullish regions for trade and commercial activity, despite having the highest proportion of corporate which expect protectionism to rise, said HSBC Bank Malaysia Bhd.

Chief Executive Officer Stuart Milne said ASEAN corporate were overwhelmingly bullish on their commercial prospects and fully expected protectionism to rise.

“This seems counter-intuitive at first glance and it certainly raises the question of whether they are underestimating the trade risks that come with rising protectionism or are shrewdly seeing opportunity amongst the trade disruption.

“Either way, supply chain diversion is coming ASEAN’s way and corporate need to be ready,” he said in a statement today.

According to the HSBC Navigator, 86 per cent of ASEAN firms are positive about their company’s prospects in foreign trade, more than any other trade bloc and higher than global average of 77 per cent.

Additionally, 75 per cent of ASEAN businesses believe that governments are becoming more protectionist in their key export markets, the highest reported of all trade blocs and much greater than the global average of 63 per cent.

The HSBC Navigator, a global survey involving 8,500 businesses in 34 markets, highlights that China and the US have so far been the focus of protectionist trade policies, but that there may be an indirect impact on the ASEAN bloc given the region’s high level of exports to both countries.

Source: https://borneobulletin.com.bn/asean-among-most-bullish-regions-for-trade-commercial-activity-hsbc/