Douglas H. Paal is a distinguished fellow at the Carnegie Endowment for International Peace. He previously served as vice chairman of JPMorgan Chase International (2006–2008). He was on the National Security Council staffs of Presidents Reagan and George H. W. Bush between 1986 and 1993 as director of Asian Affairs and then as senior director and special assistant to the president.
According to Mr. Paal, from 1980 until mid-1990, ASEAN countries were more compliant and receptive about human and labor rights records. This has happened because the US, Europe and Japan were the principal trade partners of ASEAN countries and they pretended such high standards. Nowadays China appears to be the dominant actor in the region and Southeast Asian countries have leverage against the western moralistic approach regarding trade deals. However, despite demanding high labor and human rights standard in exchange of trade advantages is not negative at all, in some cases, it can be wrong and even paternalistic: this is the case of palm oil. Indonesia and Malaysia, in fact, are de facto blocking the creation of a strategic partnership between ASEAN and EU because the latter is not willing to buy palm oil over unjustified health and environmental issues. According to Paal, on the palm oil issue science is absolutely in the side of Indonesia and Malaysia.
Speaking about the American engagement with Southeast Asia, Mr Paal reminded the period between 1980 and late 1990, when American investment bankers and businessmen were flooding in Jakarta, Singapore and Bangkok hotels to finalize important deals. Southeast Asia was considered back then the future of the world economy, until 1997, when the bubble burst. From that point, the US attention shifted to China and only once in a blue moon an American official lands in Southeast Asia, as Mike Pompeo did some weeks ago. On the contrary, EU and single European countries, like Germany, Italy and France, can be better-positioned towards Southeast Asia. However, they lack in strategic approach and their moves seem more tactical and not long-term oriented. In addition, southern countries like Greece, Italy and Spain are getting so much entangled with China and BRI that they need to keep their partnerships with Southeast Asia to a lower level than in the past.