Towards An East Asian Community: An Integrative Approach To Analyzing The Process Of Economic Integration In East Asia

Chapter one discusses the Neofunctionalist, Intergovernmentalist, and Balassian theories of economic integration in order to apply them to the East Asia context and analyze the process of economic integration currently taking place in the region. It is found that the Neofunctionalist concept of’spillover’ can be used in the case of East Asia to explain the growth of the institutions that have emerged in the region. Intergovernmentalist theory has also proven useful in explaining the way in which integration occurs in the region in the absence of supranational institutions and more formalized regional frameworks. Balassa’s stages of economic integration are also shown to be a valid model upon which to track and predict the process of economic integration in East Asia. Chapter two discusses the ongoing negotiation of the CJK FTA in order to build the argument that the exclusive economic motive for trade liberalization in Northeast Asia will make it such that the region will likely not progress beyond the FTA stage. This point is supported by the fact that the Northeast Asian regional agenda extends far beyond Northeast Asia into the ASEAN+3 framework. Chapter three discusses the ASEAN+3 process, the East Asia Summit, and the proposed RCEP agreement in order to make the argument that while economic integration is currently being led by regional trade liberalization under the RCEP, clear signs of politically-motivated integration can be identified in the objectives and planned areas of cooperation articulated by the ASEAN+3 process. Chapter four describes the likely future scenario for East Asian regionalism based on a concentric model of integration with ASEAN at the core, ASEAN+3 as the middle band, and EAS on the periphery. It was argued that political integration would likely extend from ASEAN to ASEAN+3, while economic integration, namely in the form of a regional FT A, would include the EAS membership configuration. While trade liberalization is clearly the most salient driver of regional integration in East Asia, regional initiatives in the monetary, financial, and agricultural sectors were also identified. This leads to the conclusion that East Asian regionalism will be marked by both political and economic integration, albeit characterized by a strong intergovernmental, voluntarist, and informal nature.