What: Asian markets are leading a fundamental transformation of global trade patterns, with 18 of 20 fastest-growing business corridors creating unprecedented opportunities for retail expansion and innovation.

Why it is important: This shift represents a pivotal moment for global retail, as evidenced by recent major investments like Central Retail's USD 665 million expansion and MM Mega Market's strategic entry into Vietnam, demonstrating how retailers are capitalising on Asia's emerging corridors to drive future growth.

Asia stands at the epicenter of a major transformation in global business corridors, where geopolitical shifts and structural realignments are creating new opportunities for growth and innovation. The region's dominance is clear, hosting 18 of the 20 fastest-growing business corridors and 13 of the 20 largest, positioning it as a crucial driver of global economic development. This transformation is characterised by five distinct growth highways: new and renewed partnerships, China-to-world connections, technology corridors, services expansion, and green initiatives. The evolution is particularly significant given Asia's projected share of the global middle class, expected to reach two-thirds by 2030, and its 60 percent contribution to global growth. Companies operating in the region are adapting to this new landscape by reimagining interconnection rather than retreating from it, developing strategies that balance growth with resilience. The shift from a "just in time" to a "just in case" mindset is reshaping value chains, while increasing sophistication in Asia's skills and capabilities is creating new opportunities for local, regional, and multinational companies to emerge as global leaders.

IADS Notes: Recent developments in Asian retail strongly validate the text's analysis of emerging business corridors. In November 2024, MM Mega Market's USD 20 million investment in Vietnam exemplifies how retailers are capitalising on the region's growth potential, with Vietnam's market alone projected to reach USD 350 billion by 2025. This expansion trend is further evidenced by Central Retail's USD 665 million investment announced in February 2024, focusing on AI integration and ecosystem development. Cross-border partnerships have become increasingly strategic, as demonstrated by Hyundai Department Store's collaboration with Thailand's Siam Piwat Group in February 2024, leveraging K-culture to attract younger demographics. The technology corridor's significance is highlighted by Central Retail's August 2024 Alipay+ partnership, enhancing digital transactions for international tourists. These developments align with the broader transformation of Asian retail, as seen in January 2025 when Korean retail giants Lotte and Shinsegae began aggressively expanding into Southeast Asian markets, demonstrating how established players are adapting to the new business landscape while maintaining their competitive edge through technological innovation and strategic partnerships.

Asia’s emerging business corridors: New highways to growth