EFFORTS by Southeast Asian firms to diversify their supply chains and markets may not be sufficient to build resilience against trade shocks, geopolitical uncertainty and sustainability pressures, the Economic Research Institute for ASEAN and East Asia (ERIA) said, as reported by BusinessWorld.

ERIA pointed to regulatory shortcomings across ASEAN member states as a key factor undermining corporate resilience strategies. Inconsistent standards, slow policy implementation, and gaps in digital trade infrastructure were cited as barriers that prevent companies from fully benefiting from regional integration and alternative sourcing networks.

Without deeper regulatory harmonization and stronger institutional support, analysts warn that the region's supply chain shifts may offer only limited protection against future disruptions. The findings add to growing calls for ASEAN to accelerate reforms in trade facilitation, sustainability compliance, and cross-border data governance.