Impact on New South Wales for trade in goods and services

Agreement Establishing the ASEAN-Australia-New Zealand Free Trade Area (AANZFTA)

17 November 2010

1. Trade in goods

New South Wales exports to ASEAN (calendar year 2009): $3.4 billion. Principal exports:

The following analysis summarises tariff outcomes under the Agreement Establishing the ASEAN-Australia-New Zealand Free Trade Area (AANZFTA) for Indonesia, Malaysia, the Philippines and Vietnam for some of New South Wale' principal exports. These are the four largest AANZFTA markets with which Australia does not already have a bilateral free trade agreement (FTA).

The tariff outcomes in AANZFTA include (export figures are for New South Wales, calendar year 2009):

Aluminium

The outcomes on aluminium include:

Wheat and wheat flour

Coal

Copper and copper ores

Medicaments

Refined petroleum

Iron and steel

Cotton

Meat

Vegetables

Fruit and nuts

Processed agricultural products

Other manufactured goods

2. Trade in services opportunities for New South Wales

Services exporters in New South Wales are in a strong position to access the growing services markets in ASEAN. Exports of services to the world, which were worth $21.2 billion in 2009, account for 39 per cent of the State' total exports.

Under AANZFTA, ASEAN countries have made substantial, commercially meaningful improvements on existing WTO commitments in a range of services sectors – including banking, insurance, construction, mining and energy-related services, telecommunications, education and professional services – where NSW providers have strong capabilities. For example:

A built-in review provision will ensure that further improvements can be negotiated over time, as the ASEAN countries progressively liberalise their services sectors.

  • 1 Until April 2009 the value of bulk wheat exports by destination country was confidential in Australian Bureau of Statistics merchandise trade statistics. Therefore, the figures in this paper for wheat exports generally under-report actual trade in 2009.
  • 2 This is the four digit heading or the six digit sub-heading of the tariff system that corresponds to the export figure given.