Cambodia-Thailand border dispute marks a setback for ASEAN, as per Vivian Balakrishnan
In the midst of a turbulent year for Southeast Asia, Singapore's Deputy Prime Minister Gan Kim Yong has announced a review of the country's economic strategy, aiming to boost its global competitiveness and enhance the start-up ecosystem. This move comes as the region grapples with escalating tensions between member states, most notably the recent armed clash between Cambodia and Thailand.
The Cambodia-Thailand border conflict, which erupted on July 24, 2025, has been a significant blow for the Association of Southeast Asian Nations (ASEAN). Foreign Minister Vivian Balakrishnan described the conflict as a setback not just for peace and stability, but for credibility in the grouping. Malaysia, under the leadership of Prime Minister Anwar Ibrahim, served as the ASEAN chair during this conflict, playing a key role in calming tensions, as mentioned by ASEAN Secretary-General Kao Kim Hourn at the 17th ASEAN and Asia Forum.
The conflict has left more than 40 dead and displaced over 300,000 people along the shared border. The aftermath of this conflict has raised questions about the ASEAN chair for the year immediately following 2025, given that the chairmanship rotates annually among its member states. Based on ASEAN's established rotation system and the 2025 chair being Malaysia, it is most likely that the Philippines will be the ASEAN chair for 2026.
Meanwhile, ASEAN has barred Myanmar's junta from key meetings due to its failure to implement peace plans and end the violence that has gripped the country since it seized power. Balakrishnan has emphasized that the roots of the conflict in Myanmar run deeper than politics, citing Myanmar's long-standing failure to forge a cohesive national identity as essential for national reconciliation, moral leadership, and political imagination.
International institutions such as the United Nations Security Council and the World Trade Organisation are increasingly paralysed. New US tariffs and the "Liberation Day" shift in trade policy have underscored the urgency of adapting strategies for small states like Singapore. Balakrishnan also mentioned that a backlash against globalisation and trade often stems from domestic insecurity and a loss of confidence that existing systems are delivering fair outcomes for all segments of society.
Singapore's leaders have consistently attended ASEAN meetings and are working with the grouping to expand key trade agreements and launch new economic frameworks. The ASEAN Trade in Goods Agreement (ATIGA) is expected to be signed in October, upgrading the 2009 free trade agreement. Singapore's nomination of veteran diplomat and international law expert Rena Lee for election as a judge at the International Court of Justice in 2026 is an example of the country's contributions to reforming global institutions.
As the region navigates these challenges, Singapore is focusing on managing its relations with the US and China carefully, with ASEAN remaining its "innermost core" politically, militarily, and economically. Balakrishnan emphasized that violence can be avoided, but the existence of unresolved territorial disputes does not mean they must result in violence. He noted that the solution is for nations to first take care of their societies.
In these trying times, ASEAN member states, led by Malaysia and likely the Philippines in 2026, will need to work together to maintain peace and stability in the region, while Singapore continues its efforts to reinforce its domestic economic resilience and contribute to global institution reform.
The conflict along the Cambodia-Thailand border, a setback for peace and stability within the Association of Southeast Asian Nations (ASEAN), has also underscored the importance of domestic considerations in international relations, as Singapore's leaders grapple with the urgent need to adapt their economic strategies to withstand global institutional paralysis and the backlash against globalization. Interestingly, while ASEAN member states, who will be led by Malaysia and likely the Philippines in 2026, focus on maintaining regional peace and stability, Singapore continues to focus on managing its relations with global powers, such as the US and China, maintaining ASEAN as its "innermost core" politically, militarily, and economically. The roots of the conflict in Myanmar, according to Singapore's Foreign Minister Vivian Balakrishnan, run deeper than politics, with the failure to forge a cohesive national identity essential for national reconciliation, moral leadership, and political imagination.
