The ASEAN Investment Report is an annual report analysing investment and related issues in the Association of Southeast Asian Nations. It was prepared by the ASEAN Secretariat and UN Conference for Trade and Development (UNCTAD), supported by the Government of Australia through the Australia for ASEAN Futures Initiative (Aus4ASEAN Futures).
This year’s report provides an in-depth analysis of investment and supply chain development in ASEAN.
An engine of growth
- ASEAN remained resilient in attracting FDI, underscoring increasing investor confidence. FDI inflows rose by 8 per cent to $226 billion, as compared with the 11 per cent global decline – underlining the region as an engine of growth.
- ASEAN maintained its position at the top of FDI recipients among developing regions for four consecutive years.
- Manufacturing FDI grew by nearly 150% to $44 billion, with supply chain-intensive industries and the digital economy playing important roles in driving the investment growth.
- The region remained an important hub for finance, and increasingly in high-value-added sectors such as professional, scientific and technical activities.
- The outlook for international investment for the region in 2025 appears challenging because of investor concerns over tariff escalations and geopolitical tensions.
A major global supply chain hub
The report also examines why and how the region is increasingly a key global supply hotspot with increasingly complex and expanding networks of intra- and interfirm connectivity.
Major in-depth analysis covers:
- Key indicators of ASEAN as a major global supply chain hub
- Roles of different categories of firms and investors in ecosystem development, including in supply chain-intensive industries
- Evolving supply chain landscape, challenges and outlook for the region
- Policy recommendations to address supply chain gaps, build resilience and enhance the related investment environment.
In addition, the report analysed the development of international investment and firms in three supply chain-intensive sectors, namely semiconductors, automotive and apparel.