KUALA LUMPUR: The world’s largest trade pact – the Asean-led Regional Comprehensive Economic Partnership (RCEP) – is pivotal to strengthening the region’s economic resilience amidst global uncertainties, say its member states.
The 11 Asean member states and five key partners also pledged to advance the accession of applicants into the world’s largest trade pact.
This comes after they convened their first summit on Sunday (Oct 26) since signing the agreement in 2020.
In a joint statement, they said they have instructed their ministers and officials to intensify efforts to adopt measures to remain relevant and responsive to regional and global challenges.
This includes advancing the accession process of applicants while ensuring that the standards of the RCEP Agreement are maintained.
Asean members also pledged to advance economic cooperation agendas to narrow the implementation gaps, particularly for less developed economies, as well as address longer-term emerging challenges such as climate change, digital transformation and supply chain vulnerabilities.
They further proposed strengthening RCEP institutions through the establishment of an effective RCEP Secretariat and commencing preparations for the General Review of the RCEP Agreement, scheduled for 2027.
All countries will also continue discussions on ways to accelerate the implementation of the RCEP Agreement, including by progressing the built-in agenda and expanding the benefits of RCEP.
“We reaffirmed our commitment to the World Trade Organization (WTO) rules and principles as the foundations of an open, transparent, fair and rules-based multilateral trading system that ensures predictability and non-discrimination for all trading partners.
“We recognise the pivotal role of RCEP in contributing to regional economic integration and cooperation. We are also deeply conscious of the importance of strengthening the region’s economic resilience amidst current global and regional economic and trade uncertainties.
“In this context, we reiterated our firm commitment to enhancing the full and effective implementation of the RCEP Agreement as a vital step towards achieving the full potential of the region’s trade and growth,” said the statement.
They also reaffirmed their commitment against any measures inconsistent with the obligations under the RCEP Agreement and ensuring that markets remain open, free and rules-based.
“We reaffirmed our support for Asean centrality and commitment in promoting open and inclusive regional economic integration that is mutually beneficial and forward-looking.
“To this end, we welcomed initiatives that reinforce regional economic resilience, in the spirit of open regionalism,” they added.
The Asean-led RCEP involves all 11 Asean members and five key partners, namely New Zealand, China, Japan, South Korea and Australia.
It came into force in 2022 and it aims to lower tariffs, boost investment and allow freer movement of goods within the region.
Hong Kong, Sri Lanka, Chile and Bangladesh have recently expressed interest in joining RCEP.
RCEP is a gateway to a market of more than two billion people and the 15 participating countries account for about 30% of the world’s GDP.
