Japan, ASEAN reach Free Trade Agreement
Japan and the Association of Southeast Asian Nations (ASEAN) have reached a free trade agreement.
By PTI |
MANILA: Japan and the Association of Southeast Asian Nations (ASEAN) have reached a free trade agreement.
Under the agreement, Tokyo will immediately repeal tariffs on 90 per cent of imports from ASEAN by value to catch up with China and South Korea in intensifying regional FTA races.
Japan and ASEAN will sign the accord in November when their leaders meet in Singapore.
The pact, formally known as the ASEAN-Japan Comprehensive Economic Partnership Agreement, is expected to take effect next April, depending on parliamentary approval.
Rice and some other agricultural products that are politically sensitive in Japan were excluded from the accord, which was struck at a meeting between Japanese Economy, Trade and Industry Minister Akira Amari and his counterparts from ASEAN, including Philippine Trade Secretary Peter Favila.
The FTA is the first that Japan has concluded with a regional bloc.
Japan is now seeking a 16-nation free trade zone in the Asia-Pacific region that would put together the 10 ASEAN members, Australia, China, India, Japan, New Zealand and South Korea.
"This marks a great step forward" towards closer economic linkage in East Asia, Amari told reporters after attending the Manila meeting.
"There had been twists and turns but I'm now relieved. "Trade between Japan and ASEAN totalled 16.4 trillion yen in 2005, making ASEAN Japan's third-largest trading partner after the United States and China.
Under the agreement, Tokyo will immediately repeal tariffs on 90 per cent of imports from ASEAN by value to catch up with China and South Korea in intensifying regional FTA races.
Japan and ASEAN will sign the accord in November when their leaders meet in Singapore.
The pact, formally known as the ASEAN-Japan Comprehensive Economic Partnership Agreement, is expected to take effect next April, depending on parliamentary approval.
Rice and some other agricultural products that are politically sensitive in Japan were excluded from the accord, which was struck at a meeting between Japanese Economy, Trade and Industry Minister Akira Amari and his counterparts from ASEAN, including Philippine Trade Secretary Peter Favila.
The FTA is the first that Japan has concluded with a regional bloc.
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Japan is now seeking a 16-nation free trade zone in the Asia-Pacific region that would put together the 10 ASEAN members, Australia, China, India, Japan, New Zealand and South Korea.
"This marks a great step forward" towards closer economic linkage in East Asia, Amari told reporters after attending the Manila meeting.
"There had been twists and turns but I'm now relieved. "Trade between Japan and ASEAN totalled 16.4 trillion yen in 2005, making ASEAN Japan's third-largest trading partner after the United States and China.
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