On 12 December 2024, the Ambassadors of the Danish Embassies in Southeast Asia organised a briefing for members of Green Denmark in Southeast Asia on regional export perspectives.
The briefing offered a high-level overview of local market trends, regional collaboration, and strategic priorities across the various Embassies in Southeast Asia. Each Ambassador shared insights on the economic outlook and short-term business opportunities for Danish companies in their respective countries. It was not a beauty contest, but rather a space to share real reflections and also challenges that are present in each market.
The first speaker, Jakob Brix Tange, Ambassador of Denmark to Singapore and Brunei, began by noting that Singapore stands out in the region as one of the smallest yet wealthiest countries. Its political environment is marked by stability and effective governance, while its economy operates almost like a company, with forward-looking and pragmatic policies. Parliamentary elections are expected no later than November 2025. He highlighted Singapore's heavy reliance on trade and its strategic role as a regional hub for many international and Danish companies, thanks to its location and access to Southeast Asia’s growing market. The EU-Singapore Digital Free Trade Agreement exemplifies this, being the first of its kind and designed to enhance trade in digital services while cementing a mutual commitment to digital leadership. The embassy’s focus is on promoting green solutions in key sectors such as maritime, energy, and smart cities. Singapore has become a "home away from home" for many Danish maritime companies. Energy efficiency remains a top priority as Singapore works to expand renewable energy and reduce energy consumption—areas where Danish companies can offer solutions.
Following this, Danny Annan, Ambassador of Denmark to Thailand and Cambodia, provided insights to the general conditions and specific opportunities in Thailand. Thailand is the second largest economy in ASEAN, with a history of attracting foreign investments due to its strategic location. Thailand is also one of the major beneficiaries of the China plus one, particularly in the automotive industry, electronics and renewable energy. He highlighted how the green transition is one of the primary priorities for the Thai Government. More specifically in greening its energy mix, Thailand presents opportunities in solar, wind and bioenergy projects. Danish companies in energy production, as well as energy efficiency in construction have a lot of potential in Thailand. Food production is another area of opportunity, where Thailand is focusing on food exports and investing in quality production. Collaboration between Denmark and Thailand in circular economy practices are also ongoing, with waste management and waste-to-energy solutions.
The next speaker, Franz-Michael Skjold Mellbin, Ambassador of Denmark to the Philippines, emphasized the Philippines as an emerging market in the region, characterized by a young population with an average age of 25 and robust economic growth projections. The Philippine government has set ambitious goals for renewable energy and energy efficiency, signaling a strong commitment to the green transition. The Danish Foreign Minister, Lars Løkke Rasmussen, recently visited the Philippines, resulting in several agreements aimed at promoting green financing. A recent Bloomberg report ranked the Philippines as the second most attractive destination globally for renewable energy investments, a trend reflected in the growing number of large-scale projects, including significant investments from Denmark. The Philippines is also prioritizing the maritime sector, particularly in shipbuilding, with a focus on integrating biofuels. Agriculture has also been identified as a key sector of focus. Additionally, the embassy has been active in initiatives to promote green job creation, underscoring Denmark’s role in supporting the Philippines’ sustainable economic growth.
Nicolai Prytz, the Ambassador of Denmark to Vietnam, highlighted the strong government-to-government collaboration between Vietnam and Denmark, which has laid a solid foundation for commercial partnerships. Vietnam has demonstrated high ambitions in the renewable energy sector, with significant investments in wind and solar energy and plans for further installations. As an export-oriented economy, Vietnam has greatly benefited from the China Plus One strategy, with many Danish companies establishing factories in the country. The electronics sector plays a vital role in Vietnam’s economy. Recent regulatory changes, such as the revision of the electricity law and the introduction of the direct purchasing power agreement mechanism, signal a positive shift towards a more sustainable and efficient energy framework. However, challenges remain, including regulatory complexity and inconsistency, which continue to pose hurdles for investors. Additionally, the potential impact of the new US administration on Vietnam's supply chains is a closely watched issue, given its implications for trade and economic stability.
The next speaker, Sten Frimondt Nielsen, the Ambassador of Denmark to Indonesia, highlighted recent political and economic developments in the country. The newly elected president, President Prabowo, who took office in October, has retained many key ministers, signaling economic stability. The primary focus areas include driving economic growth, achieving self-sufficiency in energy and food production, and securing a greater share of the value chain, rather than just exporting raw materials. While the new capital does not seem to be a top priority for the president, the government is still committed to proceeding with the project. However, this places significant pressure on public finances, prompting cost-cutting measures across various sectors. There have also been announcements about achieving net-zero emissions, though concrete implementation plans remain unclear. Indonesia, as the most populous country in Southeast Asia, represents a huge market and has significant potential for Danish exports. However, like Vietnam, the country's priority lies in attracting production facilities. Additionally, Indonesia enforces regulations such as local content requirements, which could pose both opportunities and challenges for foreign investors.
Last but not least, Kirstine Vangkilde Berner, the Ambassador to the newly opened Embassy in Kuala Lumpur, provided an overview of their latest activities and outlook. She highlighted the Foreign Minister, Lars Løkke Rasmussen’s visit last week, during which he officially inaugurated the embassy and helped launched the Green Transition Alliance—a new initiative fostering public-private partnerships to showcase innovative solutions. Malaysia stands out as an attractive destination for business due to its strong infrastructure, politically stable government and lower costs. The semiconductor industry is particularly significant for Malaysia, with 26% of its production currently exported to the United States. How Trump’s policies will impact this sector remains uncertain and is being closely monitored by the Malaysians.
Are you interested in supporting Southeast Asia's green transition? Reach out to our Trade Councils in the region:
Rasmus Bjørnø, Head of Trade, Danish Embassy in Singapore
E-mail: rasbjo@um.dk
Ole Lindholm, Head of Section, Commercial Counsellor, Danish Embassy in Thailand
E-mail: olelin@um.dk
Lasse Pedersen Hjortshøj, Head of Section, Commercial Counsellor, Danish Embassy in Vietnam
E-mail: lashjo@um.dk
Reza Dadufalza Goyeneche, Senior Commercial Officer, Danish Embassy in Philippines
E-mail: rezgoy@um.dk
Jacob Kahl Jepsen, Commercial Counsellor, Danish Embassy in Indonesia
E-mail: jajeps@um.dk
Mark Perry, Head of Trade, Danish Embassy in Malaysia
E-mail: markpe@um.dk
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