European, Asian ministers meet on trade<\/p>\n
CHIBA, Japan (Reuter): Trade and economic ministers from
\nEurope and Asia gathered near Tokyo yesterday for their first
\nannual meeting, which host Japan said would set the basic
\nstandard for economic cooperation between the two regions.<\/p>\n
The Asia-Europe Meeting (ASEM) of 26 ministers -- 10 Asian and
\n16 European -- were scheduled to discuss how to liberalize trade
\nand investment flows between Europe and Asia, traditionally
\ncloser to the United States than to each other.<\/p>\n
\"This meeting will set the standards of the basic cooperation
\nof Asia and Europe,\" Japanese trade minister Mitsuo Horiuchi, the
\nhost of the meeting, told ministers in a series of bilateral
\nmeetings ahead of today's official opening.<\/p>\n
But setting standards may be easier said than done.<\/p>\n
Asia, once the El Dorado of emerging markets, is grappling
\nwith a range of economic problems, including currency market
\nturmoil, an economic slowdown, and spreading smog while Europe
\nfaces a new era of a single currency.<\/p>\n
Asia's economic problems, thrown into the spotlight by the
\nrecent currency crisis ignited by Thailand's de facto devaluation
\nof the baht on July 2, were brought on by a combination of
\nfactors, including a slowdown in exports and rapid capital
\ninflows -- matters up for discussion in this seaside city on the
\noutskirts of Tokyo.<\/p>\n
German Economics Minister Guenter Rexrodt said European
\nbusinesses were ready to support Asia through its struggle to get
\nback on track.<\/p>\n
\"You have to stick with your investments, you have to enlarge
\nyour investments,\" Rexrodt told Reuters Financial Television.<\/p>\n
\"Everybody around the globe should be interested in solving
\nthese problems because Asia is a very important region.\"<\/p>\n
Thai Minister of Commerce Narongchai Arkasanee set the tone
\nfor what Asia needs when he told Horiuchi in a bilateral meeting
\nthat export growth and infrastructure development were vital to
\nThailand's economic recovery.<\/p>\n
\"The Thai minister expressed his view that continued exports
\nand infrastructure developments were important for the Thai
\neconomy,\" a Japanese trade ministry official told reporters.<\/p>\n
But securing the flow of trade from Europe and its investment
\nin infrastructure projects may hinge on Asia's willingness to
\njoin multilateral trade agreements, mostly being forged by the
\ndeveloped nations.<\/p>\n
The hammering of Southeast Asian currencies has made Thailand
\nand some Asian governments wary of joining further market
\nliberalization pacts that could threaten their exports or put
\nmore competitive pressure on ailing businesses.<\/p>\n
On the agenda for today's main discussions is a World Trade
\nOrganization (WTO) proposal for a pact to open up the global
\nfinancial services industry which faces a Dec. 12 deadline for
\ncompletion.<\/p>\n
None of the four Asian nations worst hit by the currency
\ncrisis -- Thailand, Malaysia, Philippines and Indonesia -- has
\nmade any fresh liberalization offers to the proposed WTO pact,
\narguing that their hands are tied by domestic economic problems.<\/p>\n
While Europe, anxious to make up ground lost to the United
\nStates in Asia, wants to press ahead swiftly with trade
\nliberalization measures, Asian nations believe that in view of
\nthe present fragility of many of their economies, caution is
\nneeded.<\/p>\n
The ASEM ministers are scheduled to endorse a finalization of
\na Trade Action Facilitation Plan, which aims at reducing non-
\ntariff barriers and transaction costs, areas in which Asia still
\nlags.<\/p>\n
ASEM was founded last year in Bangkok when leaders of the
\nmember nations held a summit.<\/p>\n
ASEM groups Japan, China, South Korea, Brunei, Indonesia,
\nMalaysia, the Philippines, Singapore, Thailand, Vietnam, Belgium,
\nDenmark, Germany, Greece, Spain, France, Ireland, Italy,
\nLuxembourg, Netherlands, Austria, Portugal, Finland, Sweden,
\nBritain and the European Commission.<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/european-asian-ministers-meet-on-trade-1447893297",
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"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
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