2025
Potomac Dialogue

Distinguished Participants,

The world is undergoing a profound transformation in global politics and economics. Our region – the Asia–Pacific – faces unprecedented and deeply interconnected challenges.

Economic decoupling, fragmentation, and the weakening of traditional growth drivers have slowed recovery and dampened optimism. Declining trust among nations, together with rising protectionism, is eroding the foundations of international cooperation and straining the rules-based order.

Global governance mechanisms struggle to keep pace with the rapid evolution of science and technology – especially in areas such as artificial intelligence and cybersecurity.

At the same time, non-traditional security threats are becoming ever more severe – from climate change and extreme weather, to pandemics, natural disasters, resource depletion, and population aging. These challenges widen development gaps and risk leaving poorer countries behind.

With these complex dynamics, the world has become increasingly uncertain. The issues we face are intertwined, amplifying geopolitical and geo-economic shocks. Strategic competition is deepening; military tensions persist. Trade disruptions have become frequent, and societies are increasingly exposed to extreme events. Together, these forces make our global environment more volatile and unpredictable than ever.

2. The Asia–Pacific’s Enduring Strengths

In the face of these headwinds, what gives the Asia – Pacific region its leverage in this new phase of development? I would highlight three key advantages.

First, the Asia – Pacific continues to be the pillar of global growth.

Home to more than half of the world’s population and over 60 percent of global GDP, our region remains the engine of innovation, trade, and investment. With broad regional linkages through APEC, the Regional Comprehensive Economic Partnership (RCEP), the Comprehensive and Progressive Trans-Pacific Partnership (CPTPP), and other free trade arrangements, Asia–Pacific economies are better positioned to diversify markets and build resilient supply chains amid global volatility.

Second, the Asia – Pacific is a cradle of human civilization and a hub of industrial and technological progress.

Many economies in our region have become leaders in science, technology, and innovation, driving new opportunities in emerging sectors and setting global standards.

Third, even as conflict and instability intensify elsewhere, our region stands out for its relative peace and stability, offering a more favorable environment for cooperation and development. Despite historical, cultural, and political differences, the countries of the Asia–Pacific have long chosen dialogue over confrontation, cooperation over conflict, and progress over division.

3. How Should the Asia – Pacific Respond?

Ladies and Gentlemen,

Over the past three decades, the Asia–Pacific has repeatedly proven its resilience – whether during the 1997 Asian financial crisis, the 2008 global crisis, or the COVID-19 pandemic. Each time, our region emerged stronger, turning challenges into opportunities.

With strong foundations and a spirit of solidarity, the Asia–Pacific possesses all the conditions to remain a key driver of global growth. I believe our region should focus on three pioneering areas of cooperation in the time ahead:

First – Strengthening solidarity and cooperation to safeguard peace and stability.

We hope that all countries – especially the major powers – will act responsibly for the common good of the region and the world, upholding international law and the fundamental principles of the UN Charter: the peaceful settlement of disputes, non-use of force, and respect for sovereignty and territorial integrity.

Competition among major powers is natural – but conflict is not inevitable. We encourage all to respect ASEAN centrality and the legitimate interests of all countries.

Dialogue and confidence – building must be strengthened through mechanisms such as ASEAN, the East Asia Summit, and the ASEAN Regional Forum, ensuring that differences are managed through diplomacy, not confrontation.

Regional organizations, particularly APEC, must continue to serve as platforms for cooperation and coordination – reaffirming its role as an “incubator of ideas” where member economies can ease tensions and pioneer collaborative initiatives.

Second – Advancing science, technology, innovation, and digital transformation.

Historically, APEC has led policy dialogue on ICT and digital growth to enhance competitiveness and inclusion. Looking forward, our region can pioneer inclusive digital standards, guard against cyber threats, and expand opportunities in AI, fintech, and cloud computing – ensuring technology remains a bridge, not a barrier.

We must also help shape global governance principles for emerging technologies. In this context, we commend the ongoing efforts, led by Korea, to develop an APEC AI Initiative by the end of this year.

Third – Promoting inclusive and sustainable development and new growth models.

To advance sustainable development, the Asia – Pacific should focus on:

Applying breakthrough technologies such as AI, quantum computing, and biotechnology;

Expanding models of the green and circular economy and clean energy transition;

Strengthening social policies so that all citizens – especially women, the poor, vulnerable groups, and SMEs – can benefit from economic growth.

Frameworks such as the Putrajaya Vision 2040 and the Bangkok Goals on the Bio-Circular-Green Economy (2022) provide valuable roadmaps. Under Malaysia’s ASEAN Chairmanship this year, inclusive growth has once again been reaffirmed as a central theme – ensuring that no one is left behind.

The business community remains an essential partner – driving innovation, investment, and sustainability. In today’s uncertain times, businesses should continue to work with governments to invest in technology, human capital, and resilient communities that reinforce trust and shared prosperity.

4. Vietnam’s Commitment

Distinguished Participants,

Despite global uncertainties, Viet Nam remains steadfast in its foreign policy of independence, self-reliance, peace, friendship, and cooperation, while promoting multilateralism and proactive international integration.

As a reliable and responsible partner, Viet Nam contributes actively to regional and global peace and sustainable development. We uphold ASEAN’s central role, support a strong multilateral trading system, and remain committed to international law.

In 2027, Viet Nam will assume the APEC Chairmanship for the third time, under the theme “Connecting: Building Inclusive and Resilient Economies.”

We are committed to working closely with the United States and all member economies to address shared challenges, promote dialogue, and foster cooperation for a world that is peaceful, prosperous, and sustainable for all.

We are confident that the Asia – Pacific will continue to write the next chapter of its remarkable story – one defined by peace, prosperity, and innovation. Together, we can build a stable, sustainable, and forward-looking future for our region and beyond.

In conclusion, I wish the Potomac Dialogue every success. I hope this forum, organized by the Center for Asia Pacific Strategy, will become an annual tradition – continuing to inspire meaningful discussions that contribute to the well-being and prosperity of all Asia – Pacific economies.

Thank you very much.