Asean remains attractive amid global trade, supply chain disruptions: UOB CEO Wee Ee Cheong

[SINGAPORE] The Asean region remains an attractive market in which to do business, even amid uncertainties due to geopolitical risks and the impact of the US tariffs, said UOB chief executive Wee Ee Cheong.

Wee, who is also UOB’s deputy chairman, expects disruption and slower demand in the immediate future as a result of divides in global trade and supply chains.

But he noted that Asean – as well as UOB, which turns 90 this year – has weathered many crises before, and there are further opportunities for both to emerge stronger.

“In a multipolar world order, businesses and countries will face greater urgency to diversify the markets, integrate more closely regionally and innovate to create more value,” said Wee at UOB’s annual general meeting on Monday (Apr 21).

Wee believes there will be “tremendous opportunities” to grow the lender’s franchise, and that its Asean strategy is for the long term and will take patience, “but it will be rewarding when executed well”.

A shareholder asked about UOB’s view on the lower confidence in the US dollar and in US assets amid the current volatility.

UOB group chief risk officer Chan Kok Seong expects the trend to de-dollarise to continue, but added that the decline in the prominence of the US dollar will likely be a slow process.

“As a bank that focuses on South-east Asia and positioned to benefit from trade flows, we are well-positioned to pivot to a more multipolar world, where trade in different currencies will gain more traction.”

Wee also emphasised that the lender focuses on South-east Asia, in response to shareholder questions about UOB’s disposal of its retail banking franchise in China.

UOB in February 2025 announced that it will sell its retail banking business in China to Fubon Bank for an undisclosed amount. It retains its wholesale banking business in China.

“Greater China is a connectivity play for us, so our commitment continues to be in Asean,” Wee said.

“China is a big country. For us, we have only 15 branches; no matter what we do, it is not going to make a difference.”

UOB group chief financial officer Leong Yung Chee added that the size of the transaction was “negligible”, and that the focus of its China business remains on the connectivity of its Chinese clients and Chinese businesses with Asean markets.

Succession planning 

Meanwhile, in response to a shareholder question on succession, UOB chairman Wong Kan Seng said that the topic is something that the board and nominating committee “have been considering over a period of time”.

“The process is on, and I can assure you that is in place. Any time, when the decision is made, we will definitely inform our shareholders as well as the public,” he said.

Wee noted that renewal is “an ongoing process”, and that the lender has a “robust” process in place. “I personally spend much time and effort to grow our own people, ensuring that each growing tree is rooted in our values of honour, unity, commitment and enterprise.”