Southeast Asia is watching the enlargement of the EU on May 1 with cautious interest, with some countries seeing their trading base expanding and becoming more stable, while others are dubious of any benefits to them.
Politically, the integration of 10 new member countries -- Cyprus, Malta, the Czech Republic, Estonia, Latvia, Lithuania, Hungary, Poland, Slovakia and Slovenia -- is being welcomed.
The Philippines regards the European enlargement optimistically: "The enlargement of the EU may bring stability to Europe," said Jaime Yamboa, assistant foreign secretary on European Affairs in the Philippines.
A Malaysian Foreign Ministry spokesman concurred, saying: "The potential for political and security cooperation will be even greater when members are expanded from 15 to 25."
Thailand's reaction is a bit more cautious. Bangkok believes it and other members of the ASEAN "should study the new members to find out if we have any new opportunities or challenges for trade," according to Thai Foreign Ministry spokesman Sisahsak Phungketkeow.
"We hope this development will make relations between the EU and Thailand, and between the EU and ASEAN, even better than they are already," he said.
Indonesia will be adjusting its foreign policy to work with the expanded union.
"We need to ready ourselves for dealing with Europe as a single entity rather than focusing on bilateral relations. So, with these 10 new members coming in, that is additional motivation for us to better understand what is happening within the EU," said Indonesian Foreign Ministry spokesman and director of ASEAN affairs Marty Natalegawa.
Australia, which has aligned itself strongly with the US, chooses to deal with European countries on an individual basis and isn't planning on changing its policies.
"We watch with interest as modern Europe evolves. We're not part of it, so we watch it. After May 1, when 10 new countries join the EU, Australia is expected to continue dealing with individual countries rather than engaging with the EU as a single entity," said Foreign Minister Alexander Downer.
With 25 members the EU could become an even more attractive customer to Asian countries, but most are taking a wait and see approach.
"The population of these countries will have increased purchasing power so there would be opportunities for the Philippines to increase its exports to the EU," Yamboa said.
Though there has been some concern among Thai exporters that they may be faced with new competition in the expanded EU from countries who produce some of the same products as Thailand, overall there is optimism.
"We don't think it will have a negative effect on bilateral trade between the old EU countries and countries outside Europe," Sisahsak said.
"We don't think it will lead to protectionism. We hope not," Sisahsak said.
A Malaysian financial expert however doubts that the integration of 10 new countries will be an advantage to trade between Southeast Asia and the richer states of Europe.
"It will be good news for the EU members, but if trade regulations are set up between member countries, Malaysia may see a downturn in trade volume," said Andrew Lim, a senior economic analyst in Malaysia.
Australia, which lists the US as its top trading partner, sees few benefits from trading with the EU, and regards certain measures, such as the Common Agricultural Policy, as a threat because it closes off markets to Australian producers.
Downer has said that Australia will continue to deal with EU countries "on a one by one basis."
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