ASEAN, Australia, New Zealand work for closer ties
ASEAN, Australia, New Zealand work for closer ties
Agence France-Presse, Bandar Seri Begawan
Southeast Asian economic ministers on Saturday signed a
declaration with Australia and New Zealand to forge a sweeping
agreement on closer economic ties aimed at removing trade
barriers and doubling trade and investments.
The signing of the declaration to work out a Closer Economic
Partnership (CEP) came a day after ASEAN took crucial steps to
advance its proposed free trade agreements (FTAs) with China and
Japan during their annual meeting here.
In a joint statement issued after their annual dialogue in
Brunei, the ministers said the declaration "introduced a formal
and structured approach to promoting trade, investment and
regional economic integration" between the two regions.
Under the CEP, which is not an FTA, the ministers agreed to
set a target of doubling trade and investments by 2010.
Total trade between the two regions was valued at US$20.3
billion in 2001 but no figures were released for investment
levels.
The target would "ensure that the CEP was ambitious and
results oriented, with a practical focus on increasing trade and
investment."
An initial work program aims to give priority to eliminating
technical barriers to trade as well as non-tariff impediments.
The ministers agreed to set up a group to coordinate and
ensure that the work program is implemented.
Australia and New Zealand call their economic alliance Closer
Economic Relations, or CER.
Ministers described the future CEP accord as broader than an
FTA because it goes beyond market access and tariff cuts to
include regulatory frameworks and enhancing links between
business communities.
Malaysian Minister of International Trade and Industry Rafidah
Aziz said the CEP would even put Australia and New Zealand ahead
of China and Japan in terms of negotiating market-opening
measures with ASEAN.
"This is a significant milestone in the relationship between
the two regions," said Australian Minister of Trade Mark Vaile.
"It lays the foundation for very constructive cooperative work in
the future."
The ministers had not aimed to negotiate an FTA similar to
that with China and Japan because FTAs involve more complicated
and detailed issues such as specific tariff cuts as well as end
and starting dates.
Still, the declaration to enter into a CEP took three years to
negotiate.
"If you talk about FTAs at a very early stage, perhaps you may
be bogged down with a lot of negotiations and a lot of
stipulations and regulations," said Brunei Minister of Industry
and Primary Resources Abdul Rahman Taib.