Economics as a Tool of U.S. Strategy in Southeast Asia
U.S. policymakers are increasingly viewing economics — not just military presence — as a cornerstone of their Indo-Pacific strategy. According to a Brookings analysis, Washington’s declining influence in Southeast Asia stems from weak economic engagement, sudden tariff hikes, and underinvestment in infrastructure — especially when compared to China’s sustained economic outreach.
By re-emphasizing trade, development finance, and supply-chain partnerships, the U.S. aims to rebuild trust and counterbalance Beijing’s dominance. However, experts warn that unless economic policy is aligned with long-term security goals, American influence may continue to erode as Southeast Asian nations hedge their alignment.
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