Economic Outlook: ASEAN's viewpoint

As much as Western economies have found a foothold on a turnaround, the Great Recession has Asian leaders proclaiming it is time to move forward.

Less than two weeks ago, Federal Reserve Chairman Ben Bernanke said Asia was ahead of the curve in a global recovery. Indeed, removed from the subprime mortgage mess that triggered the meltdown in the United States and Europe, Asia's problems during the global downturn largely stemmed from the simple fact that its overseas customers were in bad shape. The discount manufacturers to the world -- China, South Korea, Japan, Indonesia -- needed only to wait for the United States and Europe to start shopping again.

Last week, the Fed said consumer spending remained "weak," while employment remained "mixed and weak." It was hardly a resounding vote of confidence and U.S. markets turned lower, followed by a correction in Asia and Europe Thursday.

During the weekend, members of the Association of Southeast Asian Nations meeting in Thailand said it was time to push along and find new strategies for growth beyond a reliance on the United States.

"Recovery has taken hold in Asia," Kasit Piromya, Thailand's foreign minister said at a news conference Sunday at the event, which also included officials from China, Japan and South Korea.

Thailand's Prime Minister Abhisit Vejjajiva said "the old growth model where, simply put, we have still to rely on consumption in the West for goods and services produced here, we feel will no longer serve us," The New York Times reported.

Symbolic of regional unity, the ASEAN countries agreed to create an ASEAN-China center in Beijing, a certain show of trust, given China is not one of the 10 official ASEAN members.

ASEAN leaders "commended" expansion of China's currency, the yuan, and China offered ASEAN members eligibility for $15 billion in infrastructure loans, the Times said. In addition, within the 10-member organization, leaders said it was likely a free-trade agreement would be in place by January, canceling tariffs for 87 percent of trade between ASEAN countries.

The pact would include ASEAN members Brunei, Cambodia, Laos, Indonesia, Malaysia, Myanmar, the Philippines, Singapore, Thailand and Vietnam.

In market movement Monday, the Nikkei 225 in Japan rose 0.77 percent, while the Shanghai composite index in China arose 0.06 percent. The Sensex in India fell 0.42 percent, while the Hang Seng index in Hong Kong rose 1.71 percent. The S&P/ASX in Australia lost 0.6 percent.

In midday trading in Europe, the FTSE 100 in London added 0.22 percent, while the DAX 30 in Germany gained 0.49 percent. The CAC 30 in France rose 0.31 percent. The pan-European DJ Stoxx 50 rose 0.18 percent.