The Association of Southeast Asian Nations (ASEAN) is trying to achieve its vision of one community in 2015. One of the three pillars is an ASEAN Economic Community which aims to create a regional single market and one regional production network. However, the speed of regional economic integration is still quite far from its vision due to several realities. First, the development gap between the member states remain big and regional mechanism is not effective in reducing the development gap. The capacity of each member state to assist each other is very limited. Second, i think the most important element, is governance issue. Bad governance generates development gap especially at the national level. Bad governance constraints national and regional competitiveness. Good governance needs to be seriously addressed in tandem with regional integration process.