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ASEAN moves from terror to trade

Philippine President Gloria Macapagal-Arroyo is greeted by the host of the summit, the Sultan of Brunei, Hassanal Bolkiah

BANDAR SERI BEGAWAN, Brunei (CNN) -- After issuing a strong-worded unilateral declaration condemning terrorism, Southeast Asian leaders shifted their focus Monday to trade, industry and stemming the spread of HIV/AIDS.

The 10 leaders of ASEAN, the Association of Southeast Asian Nations, joined by China, Japan and South Korea, are meeting in Brunei for the group's seventh summit with an agenda dominated by the fallout from the September 11 attacks.

The effects of terrorist attacks on security issues and the economy were the most pressing of concerns.

At their first meeting on Sunday, the leaders agreed to a condemnation of the attacks in the U.S., offering sympathy for the victims and vowing to work together more closely in the fight against terrorism.

Calling the September 11 attacks "an attack against humanity and an assault on all of us", the declaration stopped short of mentioning the continuing strikes against Afghanistan.

Privately there are divisions, observers say, with a general feeling that the U.S. should have responded in concert with the United Nations.

Two countries, Malaysia and Indonesia -- accounting for at least a quarter of the world's Muslim population -- have asked for an end to the military action.

Other nations like the Philippines and Singapore are still supporting the strikes, creating fissures within the ASEAN grouping but not creating any rift, officials said.

Domestic issues

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"What we are discussing within ASEAN is how to work within ASEAN among ourselves, members, how to improve our capacity to deal with terrorism," Indonesian Foreign Minister Hasan Wirayuda said.

Indonesia has been dealing with a Muslim backlash against the strikes and President Megawati Sukarnoputri's initial support of the U.S.-led anti-terror campaign.

However, officials say that they have more immediate domestic concerns, like a foundering economy, rather than weighing in on a global issue.

Experts say any public challenge of the U.S. action may have ramifications with many ASEAN nations reliant on Western assistance with economic aid, trade and industry.

Trade talk began to dominate proceedings at the summit Monday as leaders sought solutions to dealing with a global downturn sparked by the slowdown of the U.S. economy.

The group has been pushing for a reduction of trade barriers and targeting new markets.

Free trade

Security has been tightened for the summit

Amid concerns over protecting domestic markets, ASEAN has delayed the setting up of a limited regional free-trade area.

But the group still plans to push ahead with reforms, eliminate trade barriers and integrate economies.

More importantly, it is targeting dialogue partners Japan, China and South Korea as growing export markets.

There is also hope that China's entry into the WTO will have some trickle down effect.

"We see that as an opportunity for ASEANs exports into China," ASEAN secretary General Rodolfo Severino said. "And at the same time, as China's economy grows, we expect China to be investing into ASEAN."

Those three East Asian nations also had their own separate summit on Monday, moving prickly relations between them someway towards improvement.

China, Japan and South Korea agreed to broaden ties with regular meetings of foreign and economic ministers and to cooperate more deeply in anti-terrorism, culture and environmental efforts, officials said.

Japanese Prime Minister Junichiro Koizumi said the countries would focus on concrete measures rather than vague pledges of closer ties, Associated Press news agency reported.

Curbing HIV/AIDS

The ASEAN summit also turned towards halting the spread of HIV/AIDS in the region.

An estimated 1.5 million people in Southeast Asia are living with the disease, with most in Thailand and Myanmar.

The leaders released a joint declaration which outlined a four-year plan to deal with the issue.

Among the recommendations was a call for the U.N. and other donors to assist in the creation of a global HIV/AIDS fund to help tackle the disease.

Leaders promised to cooperate better on the prevention and treatment of the disease.

They also vowed to undertake steps to try and get access to affordable drugs to treat HIV/AIDS patients.

"ASEAN must lobby for issues of common concern such as access to cheaper drugs for the millions of people who cannot afford such treatment," Brunei's Sultan Hassanal Bolkiah said after chairing the summit.

But there is a growing realization that more has to be done towards implementing any strategies to combat HIV/AIDS rather than just creating a framework or plan of recommendations.

ASEAN includes Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, the Philippines, Singapore, Thailand and Vietnam.

-- CNN's Maria Ressa contributed to this report.