ASEAN Economic Development amidst Global Challenges Southeast Asia, represented by the ASEAN (Association of Southeast Asian Nations), has witnessed significant economic growth over the past two decades. The region is experiencing a transformation fueled by innovation, investment, and strategic partnerships. Despite facing numerous global challenges, ASEAN’s economic landscape continues to evolve. One of the main factors driving ASEAN economic growth is regional integration. Through the ASEAN Economic Community (AEC), member countries strive to create a single market and integrated production base. The AEC is expected to boost intra-ASEAN trade, which is growing rapidly, with a significant contribution to member countries’ GDP. In 2022, the value of goods trade within ASEAN will reach an astonishing figure, indicating the importance of collaboration between countries. Technological innovation also plays a crucial role in ASEAN’s economic development. In the midst of increasingly widespread digitalization, ASEAN countries, such as Indonesia and Vietnam, are showing progress in the information technology sector. Start-ups in the fintech and e-commerce sectors are growing rapidly, creating new jobs and increasing financial access for the community. According to a report from Google-Temasek, the region’s digital economy is expected to reach USD 300 billion by 2025. However, ASEAN is not free from global challenges. Trade tensions between major countries, such as the United States and China, have the potential to disrupt established supply chains. ASEAN countries need to look for opportunities to strengthen their competitiveness and diversify their economies. One approach is to increase investment in green infrastructure and technology. The impacts of climate change also pose a significant threat, requiring ASEAN countries to explore sustainable practices. Countries such as Malaysia and Thailand are starting the transition to a low-carbon economy, which has the potential to attract international investment. This strategy not only protects the environment but also creates new sectors that can absorb labor. The role of foreign direct investment (FDI) in ASEAN continues to increase. Negotiations of free trade agreements, such as RCEP (Regional Comprehensive Economic Partnership), demonstrate ASEAN’s commitment to strengthening connectivity with the global economy. FDI helps transfer technology and capacity, which is important for the development of local industry and increasing global competitiveness. In the tourism sector, although the COVID-19 pandemic created major shocks, member countries are starting to experience recovery. Malaysia, Thailand and Indonesia are focusing on developing sustainable tourism to attract visitors and support local economies. With effective marketing strategies, they hope to promote cultural heritage and natural beauty, encouraging international tourist visits. The socio-economic aspect cannot be ignored either. Income inequality and poverty are challenges that must be overcome to ensure inclusive growth. Increasing investment in education and health is critical to increasing labor productivity. Member countries collaborate on poverty alleviation and human resource development programs. ASEAN’s economic resilience amidst the global crisis will depend heavily on the ability of its member countries to adapt and collaborate. By utilizing existing resources and prioritizing innovation, ASEAN has the potential to become an economic power on the global stage. External pressure can serve as a catalyst to increase synergies, and a collective foresight will drive sustainable growth. Through joint efforts, ASEAN can strengthen its position in the global market and face existing challenges with more confidence.