Southeast Asia Program

Southeast Asia from the Corner of 18th & K Streets

Volume II | Issue No. 11 | July 6, 2011

Thailand’s July 3 Elections: Have the Thais Empowered ASEAN Anew? Inside This Issue ERNEST BOWER the week that was Ernest Z. Bower is the senior adviser and director of the Southeast Thai opposition wins in landslide Asia Program at the Center for Strategic and International Studies in Washington, D.C. Inaugural Pacific Consultations in Hawaii July 6, 2011 Del Rosario visits Washington, D.C.

Elections around Southeast Asia have assumed a new and empowering looking ahead role in defining the region’s political outlook. Beginning with Gita Wirjawan to speak at CSIS Banyan Tree Indonesia’s historic transition from autocracy to nascent if chaotic Forum democracy, the people of ASEAN are using the ballot box to send strong messages. This trend was underlined by the strong performance of CSIS’s U.S.-ASEAN Strategy Commissioners to Yingluck Shinawatra and her opposition Puea Thai Party in the July visit Asia 3 elections in Thailand. Yingluck announced the following day that Eighteenth ARF to be held in Bali she would form a coalition government composed of five parties, led by her own (Puea Thai won 265 seats), which together will control approximately 299 of the 500 seats in Thailand’s parliament.

Unlike in the Middle East and its Arab Spring, most of Southeast Asia’s voters are finding at least some political space and empowerment within their political systems—an ASEAN Year of Empowerment. The results appear to have the potential to strengthen governance and possibly regional integration.

In Thailand, for instance, the most consistent theme of the past five chaotic and even bloody years has been the unfailing will of Thai voters to remain focused on being empowered to choose leaders they believe will deliver value—economically, socially, and politically. While the response from important Thai institutions such as the military and monarchy remains to be seen, it appears that the people’s mandate may actually be the key to unlocking the political stability that has been so elusive in Thailand over the last several years.

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Have the Thais Empowered ASEAN Anew? (continued)

If that is the case, and Thailand retains stability and works toward reconciliation, then ASEAN and its partners would benefit significantly.

ASEAN has been quietly suffering in its efforts to move toward its stated goals of political, economic, and cultural integration for several reasons, including the ugly thorn of Burma. However, the second- largest barrier has been the fact that one of its most important founding members, Thailand, the very country in which the regional grouping was founded in 1967, has been embroiled in domestic political infighting and has thus been unable to play its role since 2006 as one of the “core five” members of ASEAN. Indeed, Thailand’s Machiavellian politics have, at least in part, resulted in conflict with its neighbor Cambodia and directly undercut the narrative of ASEAN unity.

While Thailand was focused internally, Vietnam has joined the core five and Indonesia has stepped back into its traditional leadership role. In addition, the Philippines, an original member of the nucleus of ASEAN that had been quietly dropped under the reign of President Gloria Macapagal Arroyo, has been informally reinstated under the leadership of President Benigno Aquino III. Aquino is another leader who, arguably like political neophyte Yingluck, was compelled to take up the mantle of responsibility at the behest of his people. If Thailand is back, ASEAN will have strengthened its core to include six strong nations.

Interestingly, the majority of ASEAN’s new core six have undergone important recent elections that have resulted in new leadership or refocused incumbents on responsiveness to the needs of voters, including economic development, governance, reform, and core requirements such as education, health care, and infrastructure.

Prime Minister Najib Razak in Malaysia has worked hard to put political and economic reforms in place after heeding the historic message of the March 2008 elections. His efforts will be judged in the next Malaysian general elections, widely expected within the next year. Singaporean voters stunned the incumbent People’s Action Party in May when they voted a historic number of opposition party members into Parliament, and in the Philippines, voters last year conscripted Aquino to run for president and elected him with a mandate to fight corruption and begin a renaissance for governance in the republic. Even Vietnam went through its eleventh Communist Party Congress in January in which newly empowered voters and provincial leaders were given a stronger role in selecting leadership.

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Have the Thais Empowered ASEAN Anew? (continued)

Increased accountability in governance is a real trend in Vietnamese politics.

American foreign policy should recognize the trends toward empowerment and governance in Southeast Asia. The movements have the potential to underpin a peaceful and prosperous Asia for decades to come.

The Obama administration has positioned itself well to support and invest in a strong ASEAN made up of countries working to cope with new democracies and strengthened institutions. This is a critical point in the region’s development. While the choices illuminating political evolution, by definition, must come from the 620 million denizens of ASEAN, the United States should work closely and carefully with its allies and partners in ASEAN, and throughout Asia, to support these trends and an empowered ASEAN.

The United States made a bet on a strong ASEAN as the foundation for new Asian regionalism when it joined the East Asia Summit (EAS) and when Secretary of Defense Robert Gates was the first to sign up to attend the ASEAN Defense Ministers’ Meeting Plus Eight (ADMM+) meeting in Vietnam last year. That vision is paying dividends, and investment, in terms of higher-level engagement in bilateral and regional frameworks backed by resources from the U.S. Agency for International Development, Department of Defense, the Office of the U.S. Trade Representative, and related agencies, should be redoubled and announced during President Obama’s showcase November schedule that includes hosting the Asia Pacific Economic Cooperation (APEC) Leaders Summit in Honolulu and visiting Indonesia for his first EAS meeting and the third U.S.-ASEAN Leaders Summit.

Thailand’s historic elections last weekend may have opened a door for new stability in Thailand. While they certainly did not resolve the massive underlying divisions between the country’s traditional power institutions and its newly empowered voters, the elections certainly sent a clear message to all Thais about the path to peace and prosperity. Thailand has traditionally adapted to support its own interests. There is at least a hopeful scenario in which competing Thai interests will find an accommodation to promote national interests over the coming years. While it would be easy to argue that such an outcome is too optimistic, it would be in Thailand’s, ASEAN’s, and the United States’ interests to see a new political accommodation emerge.

This commentary was earlier published on the CSIS Asia Policy Blog, cogitASIA. Be sure to visit the blog, and subscribe via email or RSS, to ensure you receive the most up-to-the- minute analysis of developments from the region.

1800 k street nw, washington dc 20006 | t. 202.775.3211 | f. 202.775.3199 | www.csis.org The Week That Was

THAILAND

• Thai opposition wins landslide in general elections. In Thailand’s general elections held on July 3, 2011, the opposition Puea Thai Party won 265 out of 500 parliamentary seats. Puea Thai will form a coalition with five other parties, which will control a total of 299 seats in Parliament. The party’s leader, Yingluck Shinawatra, is the sister of ex-prime minister Thaksin Shinawatra, who is in exile in Dubai to escape a jail sentence for corruption.

• Thai army promises to respect election results. Thailand’s defense minister, General Prawit Wongsawun, promised that the military will Yingluck Shinawatra at a pre-election rally. Yingluck, the sister of ousted prime respect the results of the election. On June 30, the army’s commander-in- minister Thaksin Shinawatra, led the chief, General Prayuth Chan-ocha, had said that the army would not stage a opposition Puea Thai party to a landslide coup even if Puea Thai won. victory in the July 3 general elections. flickr. com/photos/ratchaprasong2/5892299251/ • Thailand withdraws from World Heritage Convention. On June 25, Suwit Khunkitti, head of a Thai delegation in talks with the World Heritage Committee, announced his country’s withdrawal from the World Heritage Convention, which defines natural or cultural sites for inclusion on the World Heritage List. The move comes after the committee allowed Cambodia to present its management plans for the Preah Vihear temple. The temple, which is situated on the Thailand-Cambodian border, has long been disputed between the two countries.

Chinese vice foreign minister Cui Tiankai SOUTH CHINA SEA (left) and U.S. assistant secretary of state Kurt Campbell (center) aboard the • Inaugural U.S.-China Asia Pacific Consultations held in Honolulu. On USS Chaffee in Pearl Harbor, Hawaii. The June 25, the United States and China held the first U.S.-China Asia Pacific two men met at the inaugural U.S.-China Consultations in Honolulu. Assistant Secretary of State for East Asian and Asia Pacific Consultations in Honolulu Pacific Affairs Kurt M. Campbell met with Vice Foreign Minister Cui Tiankai on June 25, 2011. flickr.com/photos/ compacflt/5873345957/ of China and presented the U.S. case for stability in the South China Sea. The meeting, ahead of the ASEAN Regional Forum talks in Indonesia July 16–23, comes in the wake of recent tensions between China, the Philippines, and Vietnam over their overlapping claims in the sea.

• China and Vietnam to hold talks on South China Sea disputes. On June 25, Beijing announced that China and Vietnam would hold talks on resolving tensions in the South China Sea. The announcement came after Chinese senior official on foreign affairs Dai Bingguo met with Vietnamese vice foreign minister Ho Xuan Son. Both countries agreed to take measures to implement the 2002 Declaration on the Conduct of Parties in the South China Sea.

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• U.S. and Philippines conducting naval exercises near Spratly Islands. The Philippines and the United States began the seventeenth “Cooperation Afloat Readiness and Training” (CARAT) war games on June 28. The exercises are taking place in the West Philippines Sea, near the disputed Spratly Islands, and will run until July 9. The exercises are held annually, but the joint training this year comes soon after China’s recent display of naval power in the South China Sea.

ASEAN REGIONAL FORUM (ARF)

• Singapore urges use of ARF to ease tensions in South China Sea. During a trip to Indonesia, Singapore’s foreign minister K. Shanmugam suggested that multinational groupings such as the Association of Southeast Asian Nations (ASEAN) and the ASEAN Regional Forum (ARF) could play a role in managing territorial disputes in the South China Sea. Minister Shanmugam expects the issue to be brought up during the ARF summit in Bali July 16–23, and he hopes that various countries’ “claims are sorted out in a way that…reduces tension.”

PHILIPPINES

• Secretary of Foreign Affairs Albert Del Rosario visits Washington, D.C. Secretary of Foreign Affairs Alberto Del Rosario of the Philippines visited Washington, DC from June 20 to June 24, where he met with Secretary of State Hillary Clinton and Secretary of Defense Robert Gates. During the visit, Secretary Clinton reaffirmed U.S. support for the Philippines and said that Washington “would determine... the additional assets that the Philippines needs and how we can best provide them.” The visit comes in the wake of rising tensions between China and the Philippines in the South China Sea. Secretary Del Rosario also spoke at the CSIS’s Banyan Tree Forum, where he discussed the U.S.-Philippine alliance. You can watch Philippine secretary of foreign affairs Secretary Del Rosario’s remarks at CSIS here. Alberto Del Rosario meets with Secretary of Defense Robert Gates during his visit to Washington, D.C. Secretary Del Rosario • Speaker Belmonte leads congressional delegation to Beijing. While visited Washington amid growing Sino- Secretary Del Rosario was in Washington, House Speaker Feliciano Philippine tensions. commons.wikimedia. Belmonte led a Philippine congressional delegation to China, where org/wiki/File:Gates_meets_Del_Rosario.jpg he discussed the tensions in the South China Sea. The delegation met with Chairman of the Standing Committee Wu Bangguo, China’s most senior legislator. Both sides called for increasing political exchanges and strengthening joint efforts to resolve bilateral conflicts.

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• Negotiations between government and MILF set to continue. Negotiations between the Philippine government and the Moro Islamic Liberation Front (MILF) will continue in Malaysia in August after the government delayed issuing a draft political settlement due to “developing situations.” Both sides expressed optimism about the course of the negotiations. However, analysts are concerned that recent bombings in Mindanao, likely carried out by a MILF splinter group, may undermine trust between the two sides. MILF, a separatist group, has been fighting for an Islamic state in the southern Philippines. BURMA “Aung San Suu Kyi • Kerry expresses support for new U.S. envoy to Burma. During Senate and the National confirmation hearings on June 29, Senator John Kerry expressed his support for Derek Mitchell, currently a deputy assistant secretary of League for defense, as the new Special Representative and Policy Coordinator for Burma. The chairman of the Senate Foreign Relations Committee Democracy received praised Mitchell’s ability to implement the Obama administration’s dual- letters from Burma’s track Burma policy, which aims to “combine pressure with principled engagement.” Kerry called on Burma to prove that it is “sincere about Home Ministry on making real progress” on democracy, human rights, and economic reform. June 28 ordering Kerry’s full statement is available here. them to halt all • Aung San Suu Kyi ordered to cease all political activities. Aung San Suu political activities.” Kyi and the National League for Democracy received letters from Burma’s Home Ministry on June 28 ordering them to halt all political activities. The order follows the opposition leader’s video testimony to the U.S. Congress on June 22 calling for an international commission of inquiry into human rights abuses in Burma. The U.S. State Department agreed to pursue this commission on June 25.

• Burmese diplomat defects to the United States. On July 4, the second- highest-ranking Burmese diplomat to the United States penned a letter to Secretary of State Hillary Clinton requesting political asylum. In the letter, Deputy Chief of Mission Kyaw Win cited Burma’s flawed elections, escalating conflicts with cease-fire groups, and threats against dissident leader Aung San Suu Kyi as evidence that senior military officials are “consolidating their grip on power and seeking to stamp out the voices of those seeking democracy, human rights, and individual liberties.”

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• Burma’s government and dissidents vie for Chinese support in minority areas. On July 4, a coalition of Burmese dissident groups sent a letter to Chinese embassies in Rangoon and Mandalay asking China to end dam projects that contribute to the escalating conflict between the Burmese government and various cease-fire groups. On June 23, China refused a request by representatives of the Burmese army to use Chinese territory in its offensive against the Kachin Independence Army.

• Narcotics production surging in the “Golden Triangle.” The annual World Drug Report, released on June 23 by the UN Office on Drugs and Crime, reports that narcotics production is on the rise in the “Golden Triangle” An opium poppy seed pod. Burma is now between Burma, Laos, and Thailand. Poppy cultivation rose 20 percent in the second-largest producer of opium in Burma and 58 percent in Laos in 2010. Burmese opium production ranks the world, behind Afghanistan. flickr.com/ second behind Afghanistan’s, accounting for 12 percent of global supply. photos/24102780@N03/3702843836/ The country has also become a major source of methamphetamines in Southeast Asia.

MEKONG RIVER

• Laos to resume work on Xayaburi Dam. In a letter dated June 8, Laos’s energy minister informed Thai developer Ch. Karnchang that a one- month environmental impact study of the Xayaburi dam project had been completed and construction of the Xayaburi dam could resume. The decision violates an agreement reached on April 19 to defer construction of the $3.5 billion dam until after a ministerial meeting between Laos, Cambodia, Thailand, and Vietnam at the end of the year. Environmentalists The proposed site of the Xayaburi Dam argue that the dam will have a large environmental impact down river. on the Mekong in Laos. Laos will resume construction on the dam in violation of an MALAYSIA agreement in April to defer its construction till the end of the year. flickr.com/photos/ • Malaysian king convinces Bersih rally to move to stadium. On July 5, internationalrivers/5861800144/ 2011, Malaysia’s king, Mizan Zainal Abidin, met with Ambiga Sreenavasan, chief of the “Bersih 2.0” rally. Ambiga agreed to move the demonstrations, which are calling for fair elections, to a stadium; they had previously been planned for the streets of Kuala Lumpur, Kuching, and Kota Kinabalu on July 9. Malaysia’s king, who rarely intervenes in politics, acted in light of the heightened political atmosphere due to the planned rallies; to date, the government has arrested more than 200 people.

• Malaysian deputy prime minister Muhyiddin visits the United States. Muhyiddin Yassin, Malaysia’s deputy prime minister, visited Washington, D.C, from June 26 to June 29. The deputy prime minister officiated at the

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BIO International Convention, the world’s largest biotechnology gathering, in order to promote Malaysia’s biotechnology industry to an international audience. He also visited the University of Maryland and attended a roundtable luncheon hosted by the US-ASEAN Business Council.

• Maybank and CIMB Group drop takeover plans for RHB Capital. Malaysia’s two largest banks, Maybank and CIMB Group, dropped separate plans to take over RHB Capital, the county’s third-largest lender. This came after Abu Dhabi Commercial Bank, a shareholder in RHB, sold part of its stake to Aabar Investments, complicating the pricing of the proposed takeovers. A takeover by either Malaysian bank would have created Southeast Asia’s largest lender, overtaking Singapore’s DBS Group.

INDONESIA

• Indonesian and U.S. air forces conducting joint exercise in East Java. The air forces of Indonesia and the United States are conducting a joint exercise at the Abdurahman Saleh air base in Malang, East Java. The exercise, which involves 87 personnel from both countries and two U.S. Hercules C-130 planes, began on June 20 and will run until July 8. Vice Marshal Dwi Putranto, the airbase’s commander, said the activity aims to strengthen joint air support operations between the two air forces.

• U.S. and Indonesia agree to increase environmental cooperation. On June 27, Indonesia’s Ministry of Environment (MOE) signed a memorandum of understanding (MOU) with the Environmental Protection Agency (EPA) of the United States. Under the MOU, EPA and MOE will cooperate on environmental protection and on the sustainable use of natural resources.

• Graft scandals in Democratic Party harming President Yudhoyono’s popularity. According to polls by the Indonesian Survey Circle, President Susilo Bambang Yudhoyono’s approval ratings have dropped due to corruption scandals plaguing the Democratic Party. The polls, which were Photo shoot after the signing ceremony of a Memorandum of Understanding conducted from June 1 to 7, showed the president’s approval rating at 47.2 on environmental cooperation between percent, down from 56.7 percent in January. Mustafa Abubakar, the state Indonesia and the United States photos. enterprises minister and a Democratic Party member, said the survey did state.gov/galleries/indonesia/313899/ not reflect the president’s strong international reputation. headlines/mouEPA-558x234.jpg

PAPUA NEW GUINEA

• Prime Minister Michael Somare steps down. On June 28, Sir Michael Somare resigned as prime minister of Papua New Guinea due to ill

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health after heart surgery. The 75-year-old Sir Michael, who served in Parliament for more than 40 years, is known as Papua New Guinea’s “father of independence.” His latest term in office was marked by corruption scandals and poor governance. His deputy, Sam Abal, is currently serving as acting prime minister.

• High-level U.S. delegation visits Papua New Guinea. On June 29, a delegation of senior U.S. officials led by Assistant Secretary of State Kurt Campbell and Pacific Fleet Commander Admiral Patrick Walsh visited Papua New Guinea to discuss the country’s role in international and Pacific forums. They met with Acting Prime Minister Sam Abal, Foreign Minister Ano Pala, and U.S. business officials involved in PNG’s energy sector. The visit is part of a tour to several Pacific Islands including Samoa, Tonga, and the Solomon Islands.

• Leaked court documents signed by former PM blame Rio Tinto for Bougainville war. An affidavit leaked from an ongoing civil case in the United States blames Australian mining giant Rio Tinto for instigating the Bougainville civil war, which lasted from 1989 to 1997. The document, signed by former prime minister Michael Somare, blames Rio Tinto for arming the military to attack Bougainville, where several valuable mines are located. Rio Tinto rejected the allegations as “completely unfounded.”

CAMBODIA

• Trial of top Khmer Rouge leaders begins in Cambodia. The United Nations-backed trial of four former top Khmer Rouge leaders opened in Cambodia on June 27. The defendants were Nuon Chea, known as Pol Pot’s “Brother Number Two”; Khieu Samphan, the former head of state; Ieng Sary, the regime’s foreign minister; and Ieng Thirith, the former minister for social affairs. All four pleaded not guilty to accusations of genocide, war crimes, and crimes against humanity.

• Cambodia, Thailand to ban use of cluster bombs. Cambodia and Thailand announced that they will sign the Convention on Cluster Munitions, an international treaty that prohibits the use of cluster bombs. The two countries made the announcement during the Intersessional Meeting on A memorial to the victims of the Khmer the Convention on Cluster Munitions, which was held in Geneva from June Rouge regime. Four former top Khmer 27 to June 30. The two countries allegedly used cluster bombs during Rouge leaders are on trial in Cambodia for clashes near the disputed Preah Vihear temple in April. genocide and crimes against humanity. flickr.com/photos/jsolomon/192338166/

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• Vietnam-Cambodia trade increases significantly. Bilateral trade between Vietnam and Cambodia reached more than $1 billion in the first five months of this year, representing a 41 percent increase from the previous year. Vietnam’s exports to Cambodia totaled $891 million, while Cambodia’s exports to Vietnam rose to $120 million.The two countries intend to raise bilateral trade to $2 billion by the end of the year.

SINGAPORE

• Singapore and Malaysia resolve dispute over railway with land-swap agreement. In an agreement signed on June 27, Singapore and Malaysia ended a dispute over Malaysian control of the Tanjong Pagar Railway Station in downtown Singapore. Malaysia will relocate the station to Woodlands, closer to the Malaysian border, giving up land occupied by the railway leading to Tanjong Pagar. In return, both countries will jointly develop six parcels of land in Singapore, with Malaysia’s Khazanah Group owning 60 percent of the venture and Singapore’s Temasik Holdings controlling the remainder.

• Dr. Tony Tan to run for president. Former deputy prime minister Dr. Tony Tan announced that he will run in the upcoming presidential elections. Dr. Tan, who recently resigned as head of the Government of Singapore Investment Corp., will compete against Tan Kin Lian and Dr. Tan Cheng Bok. Tanjong Pagar Railway Station in All three men are former members of the ruling People’s Action Party. The Singapore. Malaysia gave up ownership presidential elections are likely to be held in late August after Singapore’s over the railway station in return for national day celebrations. a share in the development of land in Singapore. flickr.com/photos/25802865@ N08/3323718253/ VIETNAM

• Vietnam raises year-end inflation prediction. Vietnam’s inflation rate topped 16 percent for the first half of 2011, nearly doubling from the first half of 2010 and forcing the government to revise its year-end prediction for inflation to 17–18 percent. First-half economic growth slowed to 5.6 percent, down from 6.2 percent during the first half of 2010. Vietnam has been battling soaring inflation by raising interest rates and cutting spending, but the results have been mixed.

• World Bank awards $330 million loan for hydropower project. Vietnam signed an agreement with the World Bank on June 28 to fund the new Trung Son hydropower plant in Thanh Hoa province. As part of the $330 million loan package, the Bank will provide technical training to ensure that the plant is operated according to international best practices and

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will help develop plans to address the environmental and social impact of the project. The loan is the bank’s first hydro project in Vietnam.

NEW ZEALAND

• NZ-India Free Trade Agreement gains momentum. On June 28, New Zealand prime minister John Key met with Indian prime minister Manmohan Singh in New Delhi to discuss the possibility of a New Zealand-India Free Trade Agreement. The agreement would result in “huge potential for growth,” tripling trade between the two countries by 2014. The two governments have agreed on an 8-to-10-month timeframe to conclude the deal.

• Formal review of NZ education ministry reveals weaknesses. An official review of the New Zealand education ministry reveals gaps in its services and ranks it the lowest in a review of 10 government departments. The report, instituted by the State Services Commission, found about two- thirds of the ministry’s services in need of development. It also found a lack in leadership in the Ministry of Education and an inability to close education gaps among Maori and Pacific Islander students.

AUSTRALIA

• Controversy over Australia’s proposed carbon tax grows. A Lowy Institute poll revealed that fewer than 19 percent of Australians support a controversial proposed carbon tax, despite Prime Minister Julia Gillard’s Boxes of Philip Morris cigarettes. Philip Morris Asia is taking legal action against promise of government assistance to Australians to help offset its effects. Australia’s attempts to strip company logos The poll also found that 41 percent of Australians found global warming from cigarette packages. flickr.com/photos/ to be a “pressing problem,” down from 68 percent in 2006. The survey efrenefren/4328259124/ illustrates the controversy surrounding the proposed tax, which opposition leader Tony Abbot claims will spell “the death of heavy manufacturing in Australia.”

• Phillip Morris International threatens Australia with lawsuit over tobacco advertising. Tobacco giant Philip Morris International launched legal action against the Australian government over its plans to strip company logos from cigarette packages. The Gillard government plans to replace the logos with graphic images of throat cancer and sickly children. Philip Morris Asia Limited argued that the legislation violates a bilateral treaty between Australia and the Hong Kong-based company and is seeking compensation in the “billions of dollars.” The law will come into effect in January 2012.

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LAOS

• Laos improves to Tier 2 in Trafficking in Persons Report. Laos is “making significant efforts” to eliminate human trafficking, according to the annual Trafficking in Persons (TIP) Report released by the U.S. State Department on June 27. The report cites increased prosecutions of traffickers and improved identification of and assistance for victims as reasons for upgrading Laos from Tier 2 Watch List to Tier 2. Singapore and the Philippines also improved to Tier 2, while the ranking of all other countries in the region remained unchanged.

BRUNEI DARUSSALAM “Sarawak has

• Brunei and Sarawak working group to foster closer economic offered to let Brunei cooperation. Brunei and the Malaysian state of Sarawak have agreed to participate directly form a working group to facilitate economic cooperation. The working group will help implement projects under five strategic economic areas, in hydropower including energy. As part of the agreement, Sarawak has offered to let development projects Brunei participate directly in hydropower development projects in the state. Brunei and Sarawak, which share a border, have strong economic ties, in the state.” with long-established two-way trade and strong private-sector cooperation from both sides.

TIMOR-LESTE

• Pacific Partnership 2011 mission concludes final phase in Timor-Leste. The U.S. Pacific Fleet-sponsored Pacific Partnership 2011 mission left Timor Leste on June 25 after completing the final phase of its mission. The mission worked with nongovernmental organizations and service members from various countries to distribute aid and provide medical care in the country. Pacific Partnership is an annual humanitarian and civic assistance mission aimed at strengthening regional relationships in the Pacific and improving interoperability between the U.S. military and partner countries.

APEC

• APEC and ASEAN Secretariats strengthen cooperation. On June 27-28, APEC executive director Ambassador Muhamad Noor met ASEAN secretary general Surin Pitsuwan in Jakarta, Indonesia. The two leaders agreed to strengthen secretariat-to-secretariat cooperation in regulatory reform, connectivity, competition policy, disaster management, and food security.

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They also agreed to share their resources and expertise, collaborate on specific initiatives, and discuss institutional development of their respective secretariats.

ASEAN

• Indonesia to host ASEAN Regional Entrepreneurship Summit. Indonesia will host the ASEAN Regional Entrepreneurship Summit in Bali July 22–24. The summit, which will involve 200 business leaders from India, China, the United States, and ASEAN countries, will highlight the role of entrepreneurs in job creation and economic development in both Asia Eric Schmidt, the chairman of Google, who and the United States. U.S. secretary of state Hillary Clinton and Google will be a keynote speaker at the ASEAN chairman Eric Schmidt will be keynote speakers at the event. Regional Entrepreneurship Summit along with U.S. secretary of state Hillary Clinton. flickr.com/photos/diavolo/4176615153/

1800 k street nw, washington dc 20006 | t. 202.775.3211 | f. 202.775.3199 | www.csis.org Looking Ahead

• CSIS Banyan Tree Leadership Forum featuring Gita Wirjawan, chairman of the Investment Coordinating Board of Indonesia, on July 7. Gita Wirjawan will give a talk at CSIS entitled “Aligning with Indonesia: The Future of Southeast Asia’s Largest Economy.” He will speak about the Indonesia economy and its top priorities, and will provide insights into how investors can maximize their opportunities in Indonesia. The Banyan Tree Forum is the premier Washington venue for Southeast Asian and U.S. leaders to articulate their views on vital issues affecting bilateral and regional relations. To register, please contact the Southeast Asia Program by close of business on July 6.

• CSIS’s U.S.-ASEAN Strategy Commissioners to visit Asia. A number of U.S.-ASEAN Strategy Commissioners will visit Malaysia, Singapore, and the Philippines July 15–20. The commission is an initiative of CSIS’s Southeast Asia Program and is assessing U.S. interests in Southeast Asia and making recommendations for the development of a long-term U.S. strategy for the region. Several commissioners visited Singapore and Indonesia last month.

• Eighteenth ARF to be held in Bali. The eighteenth ASEAN Regional Forum will be held in Bali, Indonesia, July 16–23. The forum aims to foster constructive consultation and dialogue on political and security issues of common interest and concern in Asia. The recent tensions in the disputed South China Sea will undoubtedly be on the agenda.

1800 k street nw, washington dc 20006 | t. 202.775.3211 | f. 202.775.3199 | www.csis.org southeast asia from the corner of 18th & k streets CSIS Southeast Asia Program contributors: Ernest Bower, Senior Adviser and Director Lie Nathanael Santoso, Intern Scholar Kheng Swe Lim, Intern Scholar Greg Poling, Intern Scholar Rizal Siddik, Intern Scholar Alexander Vagg, Intern Scholar Ian Saccomanno, Intern Scholar For more details on our programs and to follow CSIS with real-time updates, fol- low the CSIS Southeast Asia Program: On Facebook at http://www.facebook.com/CSISSoutheastAsia On Twitter at @SoutheastAsiaDC. On our blog, cogitASIA at http://cogitASIA.csis.org Thank you for your interest in U.S. policy in Southeast Asia and CSIS Southeast Asia. Join the conversation!

This newsletter is published by the Southeast Asia Program at the Center for Stra- tegic and International Studies (CSIS) in Washington, D.C., a private, tax-exempt institution focusing on international public policy issues. CSIS’s research is non- partisan and nonproprietary. CSIS does not take specific policy positions; accord- ingly, all views, positions, and conclusions expressed in this publication should be understood to be solely those of the author(s).

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