Kuala Lumpur: The ASEAN Economic Ministers’ (AEM) consultations with China, Australia, New Zealand, and Japan have reiterated their commitment to a rules-based multilateral trading system, with the World Trade Organisation (WTO) at its core. The Investment, Trade and Industry Ministry (MITI) stated that this commitment aims to foster a predictable, transparent, free, fair, inclusive, sustainable, non-discriminatory, and open trade and investment environment.
According to BERNAMA News Agency, Trade and Industry Minister Tengku Datuk Seri Utama Zafrul Aziz co-chaired all three sessions virtually, with Timor Leste’s Commerce and Industry Minister Filipus Nino Pereira serving as an observer. The session with China’s Commerce Minister Wang Wentao highlighted the impact of ongoing global trade tensions on regional supply chain resiliency, disruptions in the global trade order, increased trade frictions, and weakened confidence in the rules-based multilateral trading system.
Tengku Zafrul noted that the deep integration of ASEAN countries in global supply chains means that any significant geopolitical and geoeconomic uncertainties will not only affect businesses and consumers within ASEAN but also have worldwide repercussions. The ministers also reaffirmed the goal to sign the ASEAN-China Free Trade Area 3.0 upgrade protocol by this year, one of Malaysia’s priority economic deliverables as ASEAN chair. This upgrade is expected to include new areas such as the digital and green economy and supply chain connectivity.
The meeting also highlighted the importance of expanding trade linkages through initiatives like the Regional Comprehensive Economic Partnership (RCEP) agreement. All ASEAN economic ministers and China agreed to use the WTO as a platform for constructive engagement and to seek solutions to safeguard members’ legitimate interests.
The session with Australia’s Trade and Tourism Minister Don Farrell and New Zealand’s Trade and Investment Minister Todd McClay reaffirmed the principles of the ASEAN-Australia-New Zealand Free Trade Area (AANZFTA) agreement, which emphasizes open, predictable, transparent, rules-based, and non-discriminatory trade. The meeting welcomed the entry into force of the second protocol to amend the AANZFTA for several countries, including Australia and New Zealand, on April 21, and looked forward to its adoption by remaining parties later this year to strengthen regional economic collaboration.
The session with Japan’s Economy, Trade and Industry Minister Yoji Muto underscored the commitment of the regional bloc and Japan to implement and promote the ASEAN-Japan Comprehensive Economic Partnership. The meeting noted ongoing efforts to implement, improve, and expand the RCEP agreement, including finalizing procedures on the accession of aspiring economies to RCEP. Additionally, industry-specific initiatives in sectors such as automotive, clean energy, and ethical and responsible development and deployment of artificial intelligence will be explored.