In the second quarter of 2025, Southeast Asia surprised skeptics. Growth across much of the region outpaced expectations, buoyed by a flurry of activity as firms endeavored to “front-load” orders and investment ahead of looming tariff measures.
But beneath that short-term buoyancy lies an uncomfortable truth: the region may be riding a temporary wave, not charting a new course. In assessing this moment, policymakers, investors, and regional stakeholders must ask, is this spark sustainable, or merely a flicker before the wind shifts?
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