While the dynamic economies in the Asia-Pacific promise high returns, disputes over territory and resources may heighten regional tensions and pose a serious threat to foreign investors.
During the past years, the different APAC countries had to come to terms with he shift toward China in the regional balance of power. Beijing has insisted that China is a benign regional power that, by virtue of its size and economic prowess, will come to lead in the Asia Pacific for the benefit of all involved countries. But smaller nations, including Japan, the Philippines and Vietnam wonder how the “big guy” in Asia will treat them and what they can do to protect their interests. At the same time, the US is responding with a policy of cooperation and containment while Europe still needs to define a common and coherent approach toward the Asia-Pacific.
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