The Association of Southeast Asian Nations (ASEAN) was established on 8 August

1967. The Member States of the Association are Brunei Darussalam, Cambodia,
Indonesia, Lao, Malaysia, Myanmar, Philippines, Singapore, Thailand and
Vietnam.The ASEAN Secretariat is based in Jakarta, Indonesia

ASEAN-KOREA FREE TRADE AGREEMENT

Background on the ASEAN-KOREA FTA:

ASEAN Member States and the Republic of

Korea signed the Framework Agreement on
Comprehensive Economic Cooperation on 13
December 2005 in Kuala Lumpur, Malaysia
to strengthen and enhance economic, trade
and investment cooperation among the
ASEAN Member States and Korea.

The ASEAN-Korea Trade in Goods

Agreement, The main objective of which is to eliminate tariffs on almost all products
being traded, was signed on 24 August 2006 and took effect in June 2007.

Following the Trade in Goods Agreement, the ASEAN -KOREA Trade in Services
Agreement, a legal framework to liberalise trade in services among the ASEAN
Member States and Korea in various services sectors, was signed on 21 November
2007.

The ASEAN-Korea Investment Agreement, a legal framework to expand investment

and afford better protection for both Korean and ASEAN investors was signed on 2
June 2009.

7 Important Facts About ASEAN-KOREA Economic Relations:

ASEAN and Korea first initiated sectoral dialogue relations in 1989 and Korea
became a full Dialogue Partner of ASEAN in 1991.

ASEAN and Korea have been maintaining close political cooperation on bilateral,
regional and international issues through existing mechanisms such as the ASEAN
Regional Forum (ARF), ASEAN Plus Three (APT), East-Asia Summit (EAS),
ASEAN-Korea Summit, and Ministerail Meetings

ASEAN and Korea are also members of organisations such as the Asia-Pacific
Economic Cooperation (APEC), East-Asia Latin America Cooperation (EALAF) and
the Asia-Europe Meetings (AEM)

Bilateral trade volume between Korea and ASEAN nearly tripled from 2001-2011
from US $32 billion to US $125 billion.
In the first year of ASEAN-Korea Trade in Goods implementation, trade volume
increased over 23%.

In2010, Korea remained as ASEAN’s fifth largest trading partner, while ASEAN was
the second largest trading partner of Korea

Korea visitors to ASEAN Member States increased several folds from 1.1 million in
1995 to 3.285million in 2010.

RCEP:

What actually is the Regional Comprehensive Economic Partnership?

It’s a trade deal that sets up trade in Asia, for Asia. We’ve had a lot of trade in Asia,
of course, we’ve had a lot of raw materials, parts and components that move back and
forth. And they’re often given final assembly [in Asia], but they’re typically then
shipped to the US or Europe. We don’t have as much final production that ends up in
Asia. One of the reasons we don’t have that is because trade in the region, especially
for finished goods, is too difficult, too expensive – tariffs in place, non-tariff
challenges, etc – and so you have less trade in the region than you should have. It’s
not a perfect agreement, but RCEP makes it more likely that firms will create supply
chains in Asia, for Asia. As the agreement comes into force and becomes more
meaningful for firms, then it will accelerate over time.

ATIGA:

Reduction/ elimination of tariff and nontariff measures:

ASEAN-6 (Brunei, Indonesia, Malaysia, Philippines, Singapore, and Thailand) have

already eliminated ASEAN import duties for 99.65% percent of the tariff lines among
ASEAN 6 countries (since January 2010). ASEAN is reviewing and simplifying the
policies and regulations related to the Rules of Origin (ROO).

What it means to investors? 

-Increased access to regional export markets, raw materials, production inputs 

Cheaper production/ business costs 

- Stronger global supply chain which increases opportunities for specialization and
exploitation of the economies of scale.
ATIGA:

ATIGA was signed in Hua Hin, Thailand on 26 February 2009 during the 14th
ASEAN Summit Meeting and came into force on 17 May 2010.

The objectives of ATIGA are:

- to be on par with key principles of the Trade In Goods (TIG) Agreements with
Dialogue Partners
- set out disciplines in implementing the commitments and obligations in ASEAN
such as elimination and reduction of import duties, removal of Non-Tariff Barriers
(NTBs) and enhanced transparency in the concessions granted;
- ensure consistency of the provisions that are currently stated in the various
agreements, documents, decisions of the AFTA Council and the ASEAN Economic
Ministers (AEM) Meeting; and
- provide a legal framework that will realise the free flow of goods in the region, with
a view to establishing a single market and production base by 2015.
What is the purpose of atiga?
ASEAN Trade in Goods Agreement (ATIGA) aims to achieve free flow of goods in
the region resulting to less trade barriers and deeper economic linkages among
Member States, lower business costs, increased trade, and a larger market and
economies of scale for businesses.

PJEPA:
The PJEPA is the first bilateral free trade agreement of the Philippines. It was signed
in Helsinki, Finland by then President Gloria Macapagal-Arroyo and former Prime
Minister Junichiro Koizumi on 9 September 2006.  The Philippine Senate concurred
with the ratification of the PJEPA on 8 October 2008 and the Agreement officially
entered into force on 11 December 2008.

Background;
The JPEPA seeks to promote a freer trans-border flow of goods, persons, services and
capital between the Philippines and Japan thereby reinforcing the existing economic
relation of the two countries. The General Provisions contain the fundamental
principles and basic rules for such economic partnership.
Trade in Goods
The JPEPA provides for improved market access for goods originating from the
Philippines exported to Japan and vice versa, through eliminated or reduced customs
duties on such goods. Both countries are also committed to work together to promote
trade facilitation.