Singapore in free trade deal with U.S.

Singapore in free trade deal with U.S.

SINGAPORE (AFP): Singapore fought back against APEC and ASEAN
criticism of its packed free-trade agenda Tuesday as it began
rushed negotiations with Washington to complete an agreement by
the end of the year.

Both economic blocs, and the World Trade Organization (WTO)
stood to gain from the initiative, head Singapore negotiator
Tommy Koh said in Washington in his opening remarks, a copy of
which were received here.

During last month's Asia-Pacific Economic Cooperation (APEC)
forum in Brunei and the Association of Southeast Asian Nations
(ASEAN) summit in Singapore, concern was raised about the
proliferation of free-trade pacts.

Critics argued they threatened to undermine the goals of the
WTO with the prospect of bilateral clauses which clashed with
existing multilateral commitments.

Singapore was singled out as the free trade agreement (FTA)
pack leader, having concluded one deal with New Zealand and
embarking on others with Japan, Australia, the United States,
Canada and Mexico.

But Koh told US trade officials the planned Singapore-US tie
up, announced during APEC by US President Bill Clinton and
Singaporean Prime Minister Goh Chok Tong, had all-round benefits.

"We will succeed if we are united in our belief that a free
trade agreement between the US and Singapore is good for our two
countries, good for US-ASEAN relations, good for APEC and ...
good for global trade liberalization under the aegis of the WTO,"
he said.

Some ASEAN countries were still experiencing difficulties as
they emerged from the 1997 economic crisis "as a result, investor
confidence in ASEAN, as a region, has not recovered to the pre-
crisis level," he said.

"The US can help to restore confidence in ASEAN ... it could
lead to other FTAs between the US and other ASEAN countries and
it could lead eventually to a US-ASEAN" free trade agreement.