International Political Economy Series Small Powers and Trading Security Contexts, Motives and Outcomes Michael Intal Magcamit International Political Economy Series Series Editor Timothy M. Shaw Visiting Professor, University of Massachusetts Boston, USA Emeritus Professor, University of London, UK The global political economy is in flux as a series of cumulative crises impacts its organization and governance. The IPE series has tracked its development in both analysis and structure over the last three decades. It has always had a concentration on the global South. Now the South increas- ingly challenges the North as the centre of development, also reflected in a growing number of submissions and publications on indebted Eurozone economies in Southern Europe. An indispensable resource for scholars and researchers, the series examines a variety of capitalisms and connec- tions by focusing on emerging economies, companies and sectors, debates and policies. It informs diverse policy communities as the established trans-Atlantic North declines and ‘the rest’, especially the BRICS, rise. More information about this series at http://www.springer.com/series/13996 Michael Intal Magcamit Small Powers and Trading Security Contexts, Motives and Outcomes Michael Intal Magcamit Musashi University Japan International Political Economy Series ISBN 978-3-319-38814-4 ISBN 978-3-319-38815-1 (eBook) DOI 10.1007/978-3-319-38815-1 Library of Congress Control Number: 2016958206 © The Editor(s) (if applicable) and The Author(s) 2016 This work is subject to copyright. 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Neither the pub- lisher nor the authors or the editors give a warranty, express or implied, with respect to the material contained herein or for any errors or omissions that may have been made. Cover image © Rob Friedman/iStockphoto.com Printed on acid-free paper This Palgrave Macmillan imprint is published by Springer Nature The registered company is Springer International Publishing AG The registered company address is: Gewerbestrasse 11, 6330 Cham, Switzerland For Nanay, Tatay, Kapatid, Lolo, Lola and Albert A cknowledgments In some parallel universe I am launching my fist ever Haruki Murakami- style novel, which has the same title as this one, except that the story is about a herd of small stray cats trading off their nine lives with the little people from the 1Q84 world, in exchange for cat food. But as the cosmos would have it, I am in this side of the multiverse writing a story about small countries that link their security interests and trade agendas to pro- tect their primary referents, only to realize in the end that by doing so, they are losing a portion of their remaining security. This book may not sell as much as my alter-universe novel about cats and little people, but nevertheless, I take solace and comfort from the thought that regardless of my relative cosmic position, I will still be writing about security and the lack of it. This profound interest in security is driven by a personal security dilemma that directs both my actions and inactions on a daily basis. The whole process of completing this book is like planting an apple tree, and waiting for it to grow until it finally bears fruits. This book is dedicated to everyone who helped me take care of that apple tree, and cheerfully waited with me until the fruits were ready to be harvested. I am humbly sharing these apples with the following people: Alex Tan and Scott Walker: for taking me under your wings, provid- ing me with the necessary foundations, and giving your honest thoughts about my works. Thank you for the time, effort and energy that you have spent on reading these chapters and giving me feedbacks so that I could improve them further, both in form and substance. This book would not have been possible without your inputs and guidance. James Ockey and Naimah Talib: for all the wonderful encouragements and advices that you vii viii ACKNOWLEDGMENTS have given me through the years. Thank you for opening your doors to me over and over again. Dawn Miller, Amalia Sustikarini, Ning Thani, Pradit Chinudomsub, Suthida Pattanasrivichian, Tian He, Krittaporn Na Pombejra, Nwokeke Osinakachukwu and Anastassiya Yuchshenko: for the wonderful friend- ships formed out of our respective intellectual pursuits. Thank you for sharing your research passions with me, and inspiring me to fulfil all my intellectual curiosities. Sylvia Nissen, Geoff Ford, Lucas Knotter and KC Jung: for helping provide a stimulating atmosphere in the department that enhances our research creativity and productivity. Christine Bellen, Ace Padua, Rico de la Pena, Meikko Forones, Jovani Espesor, Adrian Tulod, Mukul Pawar and Samantha Roberts: for all the good times and the conversations we have shared over countless cups of Chinese tea and coffee. Thank you for indulging me these past few years as I dealt with my ‘Nietzschean complex’. Dorothea Ramizo, Ann Margret Salaguban, Ralph Leal Mangaoang, Victoria Evangelista and Dahlia Simangan: for being my best and closest friends. Thank you for the effortless friendship that transcends physical boundaries and time zones. The New Zealand Ministry of Foreign Affairs and Trade (MFAT): To my colleagues at Musashi’s Faculty of Economics, Ken Togo, Kuniaki Nemoto, Kenta Tanaka, Yui Suzuki, Shinya Suzuki, Pedro Franco and Dean Noriyuki Tanabe: Thank you for welcoming me as a part of the Musashi-LSE Parallel Degree Programme and for providing a very intel- lectually stimulating environment. For giving me the opportunity to pur- sue this research at the University of Canterbury. Thank you for seeing my potentials, and opening the door to my academic goals and ambitions. Special thanks go to Shelley Chappell of UC for her unparalleled dedica- tion to student support and service. The whole Palgrave Macmillan team, particularly, Timothy Shaw, Christina Brian, Judith Allen and the anony- mous reviewers: for trusting my work and seeing the value of its contribu- tion to the important debates in international political economy. You will never forget the first time you publish a book. Thank you for this feeling. To my parents, my siblings and my grandparents: for letting me be, and allowing me to pursue the things that I love or at least think I love. Thank you for keeping me grounded and helping me realize that freedom is simply what you make of it. Thank you for the gene of resilience. And finally, to AJF, my magnetic north: for patiently waiting for me to finish so that we may start building a new home somewhere in this ‘pale blue dot’. ACKNOWLEDGMENTS ix Thank you for the unconditional love and affection; the inspiration and the motivation; your mere existence and presence. Parts of these books were based on the articles that I have previously published in: International Relations of the Asia-Pacific (‘Crouching Tiger, Lurking Dragon: Understanding Taiwan’s Sovereignty and Trade Linkages in the Twenty-first Century’, Issue 15, no.1, pp. 81-112, 2014 [with Alexander Tan]); Journal of Human Security (‘A Case for Cohabitative Security: The Philippine and Malaysian Experience’, Issue 10, no. 1, pp. 32-45, 2014); Asian Journal of Political Science (‘Trading in Paranoia: Exploring Singapore’s Security-Trade Linkages in the Twenty- first Century’, Issue 23, no. 2, pp. 184-206, 2015); Asian Affairs: An American Review (‘A Costly Affirmation: Exploring Malaysia’s One-Sided Domestic Security Dilemma’, Issue 42, no. 1, pp. 22-45, 2015); Journal of Asian Security and International Affairs (‘Games, Changes and Fear: Exploring Taiwan’s Cross-Strait Dilemma in the Twenty-first Century’, Issue 2, no. 1, pp. 92-115, 2015); and Japanese Journal of Political Science (‘Trading in Vain: Investigating the Philippines’ Development-oriented National Security and Free Trade Linkages’, Issue 17, no. 1, pp. 84-105, 2016). Being the first of its kind, the book is surely not free from gaps and omissions, for which I am fully responsible. c ontents 1 Small Powers and the Security Utility of Trade 1 Trade as a Security Currency for Small Powers 1 Linking Security and Trade: The Story so Far 5 Defining Security: A Case for Cohabitative Security 9 The Referents of Cohabitative Security 9 The Scope of Cohabitative Security 15 The Security-Trade Linking (STL) Process 23 Investigating The Small Powers’ STL Efforts, Strategies and Outcomes 27 Organization of the Book 31 Notes 35 2 Regional Linking of Security and Trade: ‘APEC Way’ Versus ‘ASEAN Way’ 39 Tracing The Roots of Security-Trade Linkages in East Asia 39 Evolving Trade Patterns and The Rise of New Security Threats 40 A Lethargic Multilateral Trade System and A Dynamic Security Realm 41 Multidimensional Security Issues and The Rush to Preferential Trade 43 Asian Financial Crisis and The New Security-Trade Linkages 46 Strategic Security Issues and The Use of Preferential FTAs 49 xi