America’s position in region still secure

From our vast domestic market and competitive business environment to the most innovative companies in the world, America believes our strength comes from an economic system that encourages and rewards ingenuity, entrepreneurial spirit and innovation.

The American economic model remains the single greatest engine of growth and shared prosperity the world has ever known.

Having just passed my first anniversary as United States Ambassador to Singapore, and from my observations here as well as interactions with hundreds of business and government leaders in the region, I am persuaded that the 21st century will be an Asian century.

And I have no doubt an Asian century will prominently feature the continued economic rise and increasing global influence of South-east Asia.

As Asia’s century continues to unfold, the story in the continent will continue to showcase the United States as a central player because of our enduring partnerships and America’s ever-increasing commitment to the success, well-being and security of the people of Asia.

This is because it is the successful interaction between our two great spheres that will shape the economies and politics of our times for years to come.

The security and prosperity of the US are very much linked to the peaceful development of the Asia-Pacific.

The numbers behind our engagement in the region truly make the case that US economic engagement here is expanding, not waning.

Economic engagement is much more than trade — in a bigger way, it is about investment. Investment is a sure indicator of a long-term commitment to, and a belief in, the future of a region, its people and an enduring relationship.

American foreign direct investment (FDI) in South-east Asia, at a whopping US$204 billion (S$260 billion), is greater than that from China, Japan and South Korea combined.

That, in itself, speaks volumes about the depth of US presence in this region. Investment goes both ways. America attracts more FDI than any other country in the world.

These trade and investment relationships, in many cases built up over decades, or even a century, have helped provide goods and services, disseminate technology and innovation, as well as create employment opportunities for hundreds of thousands of people in South-east Asia and America.

The U.S. REMAINS RELEVANT

Let’s talk about Asia’s emergence alongside America’s continued leadership and partnership.

Some argue that the rise of other countries will diminish the importance and relevance of the US in the Asia-Pacific.

I strongly disagree. I believe the trajectory of American diplomatic, military and economic engagement suggests the opposite.

Nor, may I add, are these engagements zero-sum. And while I recognise that rhetoric alone is insufficient to overcome the doubters, I would like you to consider:

1) Which country continues to attract an endless stream of students, entrepreneurs and immigrants from all corners of the globe?

2) Which country is undergoing an energy revolution that promises to change the trajectory of its manufacturing base and other key sectors?

3) Which country has a rich and diverse roster of globally leading companies that, through their high standards of corporate governance and innovation, are actively recruited and welcomed around the world?

4) Which country do people reflexively look to and count on for unconditional aid and relief when struck by a natural disaster or crisis?

As President Barack Obama said on Sept 10: “America is better positioned today to seize the future than any other nation on Earth.

“Our technology companies and universities are unmatched; our manufacturing and auto industries are thriving.

“Energy independence is closer than it has been in decades. For all the work that remains, our businesses are in the longest uninterrupted stretch of job creation in our history ...”

The relative size of economies may shift, the capabilities of rising powers may expand, but effective power, enduring influence and the goodwill that flows from genuine friendship are derived from more than GDP and defence-budget statistics.

I would argue that as long as “the United States” remains the answer to my four questions, our No 1 position, our primary relevance and our essential presence in the Asia-Pacific region, and the world, are secure.

ABOUT THE AUTHOR:

Kirk Wagar is the US ambassador to Singapore. He is a panelist on Channel NewsAsia’s Perspectives programme, which airs tonight (Friday, Oct3), that will discuss this topic of America’s role in the world.