This report discusses the number of cross-currents and risks within and without the East Asia region. One of the concerns discussed is the steep spike in world oil prices, which will reduce incomes among the majority of economies in the region that are net energy importers, as well as among the developed nations which comprise Emerging East Asias major extra-regional export markets - the United States, Japan and Europe. The report also reviews the affects of oil prices, as well as a variety of domestic factors and the fact that growth in the developed world shifted to a lower pace in the second quarter of 2004, most notably in Japan and to a lesser extent in the U.S., while monthly indicators suggested softening activity in Europe in the third quarter. Also discussed is the growth pause in the developed world and the likelihood of another cyclical downturn in the global high tech industry, a concern for East Asia which is now the leading location for manufacturing and assembly in this industry. The study notes that East Asian decision makers are also giving much attention to the outlook for China.