APEC vows shot in the arm for world trade

APEC vows shot in the arm for world trade

CHRISTCHURCH, New Zealand (Reuter): Asia-Pacific nations pledged yesterday to lead from the front in a crucial forthcoming round of world trade talks.

Trade ministers from the 18-member Asia Pacific Economic Cooperation (APEC) forum ended a two-day meeting in New Zealand with promises to catch up on "unfinished business" from the last global trade accords in 1994 and extend their drive for free trade into new areas.

The United States expressed satisfaction with the response to its proposal to axe tariffs in information technology -- covering everything from mainframe computers to cellphones -- by the turn of the century.

"There is a widespread consensus among the members that this is an area which should be looked at for possible APEC action," Acting U.S. Trade Representative Charlene Barshefsky said.

But a "chairman's statement" issued by New Zealand Trade Minister Philip Burdon said only that members listened with interest to the U.S. idea and promised to consider it further.

The four-page statement contained little new beyond promises to contribute fully to the success of the first ministerial meeting of the World Trade Organization (WTO) in Singapore in December.

Disappointment

It expressed disappointment at the slow pace of global progress in freeing up trade in services -- especially telecoms, financial services and shipping -- and reaffirmed members' intention to wrap up negotiations successfully.

Members agreed that trade and environmental policies must be "mutually supportive of sustainable development" and momentum on these issues must be sustained through the WTO.

And they addressed concerns raised at the meeting by WTO Director-General Renato Ruggiero by pledging to avoid fragmentation of the global trade system through friction between rival blocs.

There was no apparent movement on the bid by APEC member China to join the WTO.

"We believe China's WTO accession is not only in the interests of China but also in the interests of world trade growth and economic growth," Chinese Trade Minister Wu Yi told the final joint news conference.

She said China was willing to implement the 1994 Uruguay Round trade accords as a developing country.

But Barshefsky said China, which with Russia, Taiwan, Vietnam and Saudi Arabia is among 30 countries queuing to join the global trade body, would have to provide more commitments on opening up its vast market.

"China will have to come forward and put serious market access commitments on the table," Barshefsky told reporters.

She said the U.S. plan on cutting information technology tariffs was widely discussed and applauded, and the next question was to make sure it embraced the broadest possible range of products,

Such a move would ensure APEC remained "on the cutting edge of trade liberalization", Barshefsky said.

APEC comprises Australia, Brunei, Canada, Chile, China, Hong Kong, Indonesia, Japan, South Korea, Malaysia, Mexico, New Zealand, Papua New Guinea, the Philippines, Singapore, Taiwan, Thailand and the United States.

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