ASEAN-Australia-New Zealand FTA
Subscriber Update
Update 15 – September 2007
12th AEM-CER Consultations
Progress in the ASEAN-Australia-New Zealand Free Trade Agreement (AANZFTA) negotiations was reviewed by Ministers from ASEAN countries, Australia and New Zealand at the 12th ASEAN Economic Ministers (AEM)-Closer Economic Relations (CER) consultations held in Manila on 26 August 2007.
The AEM-CER delivered a strong message on wanting to conclude the AANZFTA. Ministers welcomed the considerable progress made by negotiators. However, they recognised that some difficult issues remained to be resolved in order to complete the FTA. The AEM-CER provided guidance on the key outstanding issues and agreed that it should be possible to complete negotiations by mid-2008, with the aim of signing the Agreement at the 13th annual AEM-CER consultations to be held in Singapore in August 2008.
The Australian delegation welcomed the strong commitment demonstrated by ASEAN to concluding the AANZFTA. Australia acknowledged the challenge of negotiations involving 12 countries with differing trade interests and levels of development, but considered it important to obtain market access commitments that ensured that it is not disadvantaged in comparison to ASEAN’s other major trading partners.
AANZFTA negotiations have now moved substantively into the market access phase. The market access commitments will be central to determining the Agreement’s relevance to the business community. The focus now is on the next round of talks to be held in Kuala Lumpur in late September and all parties have been urged to exert greater flexibilities to address difficult issues.
ASEAN as a single entity is a larger trading partner for Australia than any single country, including Japan, the US or China. Australia's two-way trade with ASEAN member countries was valued at $67.8 billion in 2006, representing 16 per cent of Australia’s total trade. AANZFTA should further consolidate Australia’s economic integration with the region and increase access to markets.
Additional Information
Joint Media Statement of the 12th AEM-CER Consultation in Makati City, Philippines, 26 August 2007.
More information on the ASEAN-Australia-New Zealand FTA