AMRO Reports ASEAN+3 Growth at 4.2% in 2025 Amid U.S. Tariff Risks

The ASEAN+3 Macroeconomic Research Office (AMRO) has forecasted a steady economic growth rate of 4.2% for the ASEAN+3 region in 2025, driven by strong domestic demand and a recovery in exports. However, this projection is slightly downgraded from earlier estimates due to anticipated U.S. tariffs on Chinese goods, which are expected to negatively impact the Plus-3 economies (China, Hong Kong, Japan, and Korea), projected to grow at 4.0%. In contrast, ASEAN economies are expected to perform better, with growth rates anticipated at 4.8%. Cambodia is highlighted as a standout performer within the region, projected to grow by 5.7%, reflecting its dynamic economy and investment opportunities. Inflation across the region has moderated, returning to pre-pandemic levels, with an expected rate of 2.1% in 2025. Overall, while the regional economic outlook remains positive, escalating trade tensions pose significant risks to external demand.