asian economic community

International Economic Topic: ASEAN ECONOMIC COMMUNITY

Group

Content 6. Effective competition policy

7. Consumer protection

8. Taxation cooperation

9. Good Governance

10. Enhanced connectivity and Sectorial cooperation

1. What is AEC?

2. How to Achieve?

3. Object of AEC

4. Strategic Action and Development

Agenda of the 2015 ASEAN Integration AEC

5. A competitive, innovative and Dynamic ASEAN

ASEAN established August 8, 196710 members Aims to establish ASEAN Community by 2015

What is ASEAN Economic Community?

DefinitionFree flow of goods, services, investment and movement

of business persons

How to achieve ?

Objectives of AEC

AEC Blueprint

Single market

and productio

n base

Competitive

economic region

Equitable economic developm

ent

Integration into the

global economy

Strategic Action and Development Agenda of the 2015 ASEAN Integration ASEAN Economic Community (AEC) A. A Single Market and Production Base : 1) Free Flow of Goods; 2) Free Flow of Service; 3) Free Flow Investment ; 4) Free Flow of Capital ; 5) Free Flow of labor

B. A Highly Competitive Economic Region 1) Policy Competition; 2) Consumer Protection; 3) Intellectual Property Rights; 3) Infrastructure Development; 4) ICT Development ; 5) Energy Cooperation ; 6) Mining Development ; 7) Financing of Infrastructure 8) Taxation; 9) E-commerce; 10) Mitigating Green House Emission

C. A Region of Equitable Economic Development (SME) D. A Region Fully Integrated into the Global Economy

A competitive, innovative and Dynamic ASEAN

(i) engendering a level playing for all firms through effective

competition policy;

(ii) fostering the creation and protection of knowledge;

(iii) deepening ASEAN participation in GVCs

(iv) strengthening related regulatory frameworks

Effective competition policy

Competition need to be operational and effective

Strategies:

1. Establish Competition and Implement national competition law

2. Strengthen capacities of competition-related agencies by establishing and implementing institutional mechanisms

3. Promote “competition-aware”

4. Establish Regional Cooperation Arrangements on competition policy and law by establishing competition enforcement cooperation agreements to effectively deal with cross-border commercial transactions

5. developing a regional strategy on convergence;

6. Ensure alignment of competition policy chapters that are negotiated by ASEAN

7. Continue to enhance competition policy and law in ASEAN taking into consideration international best practices.

Consumer protection

The right of access: adequate informationeffective redressproducts and services that meet standard and safety requirements.

Protecting and promoting the interests of consumers:Increased cross-border tradeUse e-CommerceNew trading methods

Strengthening intellectual property rights cooperation

Strengthen IP offices and build IP Infrastructure

Develop regional IP platforms and infrastructure

Expand the ASEAN IP Ecosystem

Enhance regional mechanisms to promote asset creation and commercialization

Productivity-Driven Growth, innovation, research and Development, and technology commercialization

Labour productivity and total factor productivity, in turn, are determined by efficiency in the use of inputs, and advancement of knowledge, innovation and technological progress.

Taxation cooperation

Tax cooperation serves as one of the key elements to support regional competitiveness in ASEAN

Bilateral tax agreements

Improve the implementation of exchange of information in accordance with international standards;

Discuss measures to address the issue of base erosion and profit shifting to ensure fiscal health;

Explore the possibility of global taxpayers’ identication

Excise taxation and information sharing among ASEAN Member States on common excisable products.

Good Governance

ASEAN recognizes the need to continue engaging the various stakeholders to build a more dynamic AEC 2025.

Strategic measures include the following: Promote a more responsive ASEAN by strengthening governance through

greater transparency in the public sector and in engaging with the private sector; and

Enhance engagement with the private sector as well as other stakeholders to improve the transparency and synergies of government policies and business actions across industries and sectors in the ASEAN region.

Effective, Efficient Coherent and Responsive Regulations, and Good regulatory practice

The regulations are: non-discriminatory, pro-competitive, effective, coherent

enabling of entrepreneurship

the regulatory regime responsive

accountable whereby GRP is embedded

Sustainable Economic Development

Protection of the environment and natural resources supports economic growth

Promote green development (clean energy)

National Energy plans

Global megatrends and Emerging trade-related issues

Workers

Industrial development

Sharing responsibility

International production, trade, services and investment

Enhanced connectivity and Sectorial cooperation

TransportationInformation and Communication E-commerceFood, Agriculture and ForestryTourismHealthcare

TransportationGreater

1. Connectivity

2. Efficiency

3. Integration

4. Safety

5. Sustainability

TransportationLand Transport

Air Transport

Maritime Transport

Transport facilitation

Information and Communication Technology (ICT)

Key Driver in ASEAN’s economic and social transformation

Strong ICT can promote business environment to attracting and promoting trade investment and entrepreneurship

E-commerceGlobal Electronic Commerce

Not only in cross border but also in facilitaing foreign investment

Food, Agriculture and ForestryFAF

Goal “Competitive, inclusive, resilient and sustainable FAF sector integrated with the global economy, based on a single market and production base, contributing to food and nutrition security, and prosperity in the ASEAN Community,”

Ensuring Food Safety, Food Security, Better Nutrition, Access to Global Market and resilience climate change

Tourism

HealthcareRegional Demand

1. Affordable

2. Quality healthcare

3. Traditional knowledge

4. Medicine