Asia Pacific News
LAST UPDATE: July 30, 2025
Malaysia’s Real GDP Growth Forecast Raised To 4.5 Pct In 2025, 4.0 Pct In 2026 — IMF
The IMF has upgraded Malaysia’s real GDP growth forecast to 4.5% for 2025 and 4.0% for 2026, citing strong first-half 2025 activity and easing U.S.–China trade tensions.
Insight
The revised forecasts indicate stronger domestic and external economic performance, suggesting resilience in Malaysia’s economy. However, external trade volatility remains a risk.
China Politburo Signals Confidence in Economy Despite Trade War
China’s Politburo signaled confidence in economic stability despite U.S. trade tensions, emphasizing resilience in exports and consumer spending, and pledging support to counter deflation.
Insight
The leadership’s message seeks to maintain market confidence and reinforce Beijing’s stance that the economy can withstand external pressures through policy support and internal strength.
South Korea officials, business leaders join last-ditch push for US trade deal
South Korean officials and business leaders traveled to Washington to avert looming U.S. tariffs by proposing industrial cooperation and highlighting mutual economic interests.
Insight
South Korea’s coordinated push reflects the high stakes involved in maintaining favorable trade terms, with key industries like automotive and semiconductors at risk.
Taiwan trade delegation will continue tariff talks in US, sources say
Taiwan’s delegation, led by Vice Premier Cheng Li-chun, remains in Washington to continue talks on proposed U.S. tariffs, focusing on reciprocity and tech-sector cooperation.
Insight
Taiwan is working to safeguard access to the U.S. market while reinforcing strategic partnerships, amid growing geopolitical and trade uncertainties.
Trump’s ‘Napkin’ Trade Deals Are Worry for SE Asia, Analyst Says
Trade expert Deborah Elms criticized Trump’s informal trade deals as lacking durability, creating uncertainty for Southeast Asian economies.
Insight
These “napkin” deals may provide temporary relief but fail to offer long-term reliability, leaving regional economies vulnerable to policy shifts.
Trump Tariff Uncertainty Distanced Vietnam From China. It Didn’t Last.
Vietnam initially benefited from diverted trade due to U.S. tariffs on China, but Chinese investment and production have since returned, reversing early gains.
Insight
The case illustrates how short-term trade shifts may not lead to lasting economic realignment without structural changes and consistent policy.
Thai government slightly raises 2025 growth forecast to 2.2%, but tariffs a concern
Thailand raised its 2025 GDP forecast to 2.2%, citing export growth, but warned that U.S. tariffs could slow momentum. Tourist arrival forecasts were revised downward.
Insight
Despite modest optimism, the Thai economy remains vulnerable to external shocks, highlighting the importance of diversification and structural reforms.
Thailand accuses Cambodia of second ceasefire violation in two days
Thailand accused Cambodian forces of violating the ceasefire for the second time in two days, increasing tensions along their shared border.
Insight
Renewed border clashes threaten regional stability and could derail diplomatic and economic recovery efforts in both countries.
Singapore keeps monetary policy unchanged as trade tensions ease
Singapore’s central bank held monetary policy steady amid easing global trade tensions and signs of domestic price stability.
Insight
The decision reflects cautious optimism about global trade prospects, though policymakers remain alert to inflationary risks and external volatility.
Philippines Sees $1.7 Billion in Retirement Fund With New Push
The Philippines expects to raise $1.7 billion for its national retirement fund through a new sovereign wealth initiative aimed at improving long-term fiscal stability.
Insight
The move signals a strategic effort to enhance national savings and fund infrastructure while strengthening fiscal resilience.
Australian Inflation Continues to Cool in Second Quarter
Australia’s inflation slowed to 2.1% year-on-year in Q2 2025, with core inflation falling to 2.7%, nearing the central bank’s target range.
Insight
The sustained cooling of inflation strengthens the case for an interest rate cut, indicating that the Reserve Bank of Australia may soon pivot to a more accommodative stance.
