Esther Peh Permanent Mission of Singapore 7 Sep 2017 ASEAN at 50 Esther Peh Permanent Mission of Singapore 7 Sep 2017

Association of southeast Asian nations (ASEAN) Established on 8 August 1967, with the signing of the ASEAN Declaration. Founded by Indonesia, Malaysia, the Philippines, Singapore and Thailand (ASEAN-5). Brunei (1984), Vietnam (1995), Lao PDR, Myanmar (1997), Cambodia (1999). Today, ASEAN is a regional economic grouping of 10 Southeast Asian countries.

Consultation, Consensus, Cooperation “the asean way” Consultation, Consensus, Cooperation

We have a penchant for acronyms. Most start with A… “THE ASEAN WAY” We have a penchant for acronyms. Most start with A… AFAFGIT ACCSQ-CER AEGFS ABAPAST ACCSQ AIELTF SCAROO AJCEP APBSD AHKFTA STRACAP ACCSQ AJCCEP ASEC AANZFTA AHTN SOM HLTF ATIGA SAPASD AEC ACFTA AFAS SEOM ACFTA RCEP

Three key pillars of work Political Security Economic Socio-Cultural

ASEAN – A global trade powerhouse 6th largest economy in the world; 3rd largest in Asia. Source: ASEAN Economic Integration Brief, June 2017

ASEAN – A global trade powerhouse ASEAN trades extensively with each other. Source: ASEAN at 50, Trade and Investment, ASEAN Secretariat, 2017

ASEAn – a global trade powerhouse ASEAN also trades extensively with the world. Source: ASEAN at 50, Trade and Investment, ASEAN Secretariat, 2017

Taking stock after 50 years… Deepened regional economic integration. 2015 2025

ASEAN ECONOMIC COMMUNITY (AEC) Single Market and Production Base Highly Competitive Economic Region Region of Equitable Economic Development Region Fully Integrated into the Global Economy The AEC is not intended to be: A customs union (no common external tariff) An economic union (no single economic policy) A monetary union (no single currency) Full economic integration (no single monetary, fiscal and social policy; no supranational body)

AEC 2015 achievements Tariff and non-tariff barriers to trade eliminated / reduced and made more transparent. Flows of investment, capital and skilled labour facilitated. Through various ASEAN Agreements such as ATIGA, ASEAN Trade Repository (ATR), ASEAN Solutions for Investments, Services and Trade (ASSIST), ASEAN Single Window, ASEAN Self-Certification System, AFAS, ACIA, regulatory coherence through streamlining and harmonization of regulations based on international standards. Single Market and Production Base

AEC 2015 achievements Institutions and laws that allow businesses to compete on an even playing field. E.g., IPR, competition and taxation policy, e-commerce, infrastructure development (physical and digital connectivity) A Highly Competitive Economic Region Focus is given to SME development. Narrowing the development gap among ASEAN Member States. A Region of Equitable Economic Development

AEC 2015 achievements An ASEAN that is well integrated into the global economy through: Economic cooperation initiatives with 7 FTA partners – viz., China, Hong Kong (China), Japan, Korea, India, Australia, New Zealand RCEP ASEAN Dialogue Partners (4) – viz., Canada, EU, Russia and the US. A Region Fully Integrated into the Global Economy

WHAT LIES AHEAD FOR ASEAN? AEC 2025

AEC 2025 A Highly Integrated and Cohesive Economy Competitive, Innovative and Dynamic ASEAN Enhanced Economic Connectivity and Sectoral Integration Resilient, Inclusive and People-Oriented, People-Centred ASEAN Global ASEAN Eight areas identified for deeper exploration under AEC 2025 – (i) Global Value Chains; (ii) Productivity-driven growth, R&D, innovation, technology; (iii) good governance; (iv) good regulatory practices; (v) sustainable economic development; (vi) global trends, emerging trade- related issues; (vii) e-commerce; (viii) stakeholder contribution / participation on regional integration efforts.

Will it be a smooth ride to aec 2025?

Will it be a smooth ride to aec 2025? External and intra-ASEAN challenges exist. Sluggish global economic growth. Rising anti-trade and protectionist sentiments. Fourth Industrial Revolution – technology displacing jobs. Geopolitics? A continuous WIP. Development gaps across ASEAN Member States. Domestic priorities and policies.

Will it be a smooth ride to aec 2025? Significant untapped market and growth potential in ASEAN. ASEAN economy is projected to grow by 5% per year and become the 4th largest economy in the world by 2050. Source: Asia Matters for America

A STEP AT A TIME, the “asean” way Singapore’s ASEAN Chairmanship in 2018

A STEP AT A TIME, the “asean” way Digital Economy Trade Facilitation Deepen Regional Connectivity ASEAN as a region for increasingly seamless economy activity and growing opportunities

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