Kuala Lumpur (VNA) – The 39th meeting of the ASEAN Free Trade Area (AFTA) Council, held in the Malaysian capital on September 23, underlined efforts to deepen regional economic integration and revitalise intra-ASEAN trade, describing it as a “strategic imperative” for building a more resilient and globally competitive ASEAN.
The meeting focused on issues related to the implementation of the ASEAN Trade in Goods Agreement (ATIGA) and measures to advance broader and deeper regional economic integration.
Announcing this, Malaysia’s Investment, Trade Industry Minister Tengku Datuk Seri Zafrul Abdul Aziz said that with nearly 700 million people, ASEAN is one of the world largest and most dynamic consumer bases and holds immense potential.
According to reports, intra-ASEAN trade currently makes up just 21.2% of the region’s total trade in 2024, falling far behind other blocs such as the European Union, which has an intra-trade level of 60%.
Boosting intra-ASEAN trade is not merely an economic aspiration. It has now become a strategic imperative to act to build a more resilient, self-reliant and globally competitive region, he said.
He also pointed out that micro, small and medium enterprises (MSMEs), which form the backbone of ASEAN’s economy, remain disproportionately affected by non-tariff barriers and inconsistent implementation of trade rules across the region.
According to him, these barriers weigh most heavily on MSMEs, the largest employers of the workforce in ASEAN. He called on ASEAN member countries to not to burden them with unnecessary obstacles but rather empower them to innovate, grow and integrate seamlessly into regional and global value chains.
The meeting discussed various trade facilitation initiatives aimed at boosting intra-ASEAN trade, including the next-generation of the ASEAN Single Window, The ASEAN Authorised Economic Operator (AEO) Mutual Recognition Arrangement (AAMRA), the ASEAN Custom Transit System (ACTS) and enhanced cooperation among ASEAN Customs to strengthen cooperation to uphold the integrity of the global supply chain and prevent illicit trade, among others.
At the same time, Tengku Zafrul also said he is pleased that ASEAN has successfully concluded negotiations for the upgrade of the ASEAN Trade in Goods Agreement (ATIGA). The upgraded ATIGA is on track to be signed at the upcoming ASEAN Summit in this October./.
