ASEAN – OVERVIEW ASEAN was formed on 8 August 1967 by Indonesia, Malaysia, the Philippines, Singapore and Thailand.

Since then, membership has expanded to include Brunei, Burma (Myanmar), Cambodia, Laos, and Vietnam. Its aims include – • • • The acceleration of economic growth, social progress, cultural development among its members. The protection of the peace and stability of the region. To provide opportunities for member countries to discuss differences

peacefully. ASEAN spans over an area of 4.46 million km2 with a population of approximately 580 million people, 8.7% of the world population. In 2009, its combined nominal GDP had grown to more than USD $1.5 trillion. If ASEAN was a single country, it would rank as the 9th largest economy in the world in terms of nominal GDP. The founders of the Association of Southeast Asian Nations (ASEAN) envisioned it as eventually bringing together all the countries of Southeast Asia and getting them to cooperate in securing the region’s peace, stability and development. At the time the region was in tumult; several countries were struggling for national survival or independence. Thus, only five countries - Indonesia, Malaysia, the Philippines, Singapore and Thailand signed the ASEAN Declaration of 8 August 1967. Thirty-two years later-on 30 April 1999-ASEAN encompassed all ten countries of Southeast Asia by admitting Cambodia. (Brunei Darussalam had been admitted in 1984, Viet Nam in 1995, and Laos and Myanmar in 1997). Not only has the association achieved the inclusion of all of Southeast Asia within its fold, a goal that it had set for itself at its birth. It has also evolved into one of the most influential regional associations in the world. ASEAN has embraced a new vision of itself as “a concert of Southeast Asian nations, living in peace, stability and prosperity, bonded together in

partnership in dynamic development and in a community of caring societies.” ASEAN’s success is all the more remarkable because it began at a time of poverty and conflict, and because recently the region was deep in financial crisis. The crisis, which began in July 1997, threatened to reverse the region’s economic and social gains of two de-cades. That the ASEAN economies have bounced back after two years of crisis vividly shows their fundamental strength and resilience. Today the ASEAN region stretches across three time zones and incorporates a key part of Asia’s continental landmass and several archipelagos. Economically, it belongs to the developing world, but some of its member countries have joined the world’s top 20 most competitive economies. Its population of about 500 million constitutes a huge, increasingly middle-class market, half the size of China’s. One of every ten persons in the world today is a Southeast Asian. Besides its economic importance and the natural resources its marine territories are believed to hold, Southeast Asia is also of global strategic importance. It is the bridge between the Indian and Pacific Oceans. It straddles some of the busiest sea-lanes in the world. The oil tankers and freighters that pass daily through these sea-lanes buttress Japan’s status as an industrial power. HISTORY ASEAN was preceded by an organisation called the Association of Southeast Asia, commonly called ASA, an alliance consisting of the Philippines, Malaysia, and Thailand that was formed in 1961. The bloc was established on 8 August 1967, when foreign ministers of five countries – Indonesia, Malaysia, the Philippines, Singapore, and Thailand – met at the Thai Department of Foreign Affairs building in Bangkok and signed the ASEAN Declaration, more commonly known as the Bangkok Declaration.

The five foreign ministers –Adam Malik of Indonesia, Narciso Ramos of the Philippines, Abdul Razak of Malaysia, S. Rajaratnam of Singapore, and Thanat Khoman of Thailand – are considered as the organisation's Founding Fathers. The motivations for the birth of ASEAN were • • the desire for a stable external environment the common fear of communism, reduced faith in or mistrust of

external powers in the 1960s, as well as the aspiration for national economic development; • ASEAN was designed to serve nationalism.

In 1976, the Melanesian state of Papua New Guinea was accorded observer status. Throughout the 1970s, the organisation embarked on a program of economic cooperation, following the Bali Summit of 1976. This floundered in the mid-1980s and was only revived around 1991 when Thai proposed for a regional free trade area. The bloc then grew and Brunei Darussalam became the sixth member on 8 January 1984. On 28 July 1995, Vietnam became the seventh member. Laos and Burma (Myanmar) joined two years later in 23 July 1997. Combodia joined on 30 April 1999. During the 1990s, the bloc experienced an increase in both membership as well as in the drive for further integration. In 1992, the Common Effective Preferential Tariff (CEPT) scheme was signed as a goal to increase the region’s competitive advantage since production base geared for the world market. After the East Asian Financial Crisis of 1997 Chiang Mai Initiative was taken which calls for better integration between the economies of ASEAN as well as the ASEAN Plus Three countries (China, Japan, and South Korea). At the turn of the 21st century, issues shifted to involve a more environmental prospective. The organisation started to discuss environmental agreements. These included the signing of the ASEAN

Agreement on Transboundary Haze Pollution in 2002, the Cebu Declaration on East Asian Energy Security, the ASEAN-Wildlife Enforcement Network in 2005, and the Asia-Pacific Partnership on Clean Development and Climate. In 2006, ASEAN was given observer status at the United Nations General Assembly.In 2007, ASEAN celebrated its 40th anniversary since its inception, and 30 years of diplomatic relations with the United States. On 26 August 2007, ASEAN stated that it aims to complete all its free trade agreements with China, Japan, South Korea, India, Australia and New Zealand by 2013, in line with the establishment of the ASEAN Economic Community by 2015. In November 2007 the ASEAN members signed the ASEAN Charter, a constitution governing relations among the ASEAN members and establishing ASEAN itself as an international legal entity. During the same year, the Cebu Declaration on East Asian Energy Security in Cebu on 15 January 2007, by ASEAN and the other members of the EAS (Australia, People's Republic of China, India, Japan, New Zealand, South Korea), which promotes energy security by finding energy alternatives to conventional fuels. ASEAN CHARTER On 15 December 2008 the members of ASEAN met in the Indonesian capital of Jakarta to launch a charter, signed in November 2007, with the aim of moving closer to "an EU-style community". The charter turns ASEAN into a legal entity. It aims to create a single freetrade area for the region. The charter is divided into various chapters. PURPOSES 1. To maintain and enhance peace, security and stability and further strengthen peace-oriented values in the region; 2. To enhance regional resilience by promoting greater political, security, economic and socio-cultural cooperation;

To enhance the well-being and livelihood of the peoples of ASEAN by providing them with equitable access to opportunities for human development. 9. . 11. 7. in accordance with the principle of comprehensive security. the process of ASEAN integration and community building. professionals. 6. 4. enhance good governance and the rule of law. the sustainability of its natural resources.3. To ensure that the peoples and Member States of ASEAN live in peace with the world at large in a just. To preserve Southeast Asia as a Nuclear Weapon-Free Zone and free of all other weapons of mass destruction. for the empowerment of the peoples of ASEAN and for the strengthening of the ASEAN Community. To promote a people-oriented ASEAN in which all sectors of society are encouraged to participate in. the preservation of its cultural heritage and the high quality of life of its peoples. with due regard to the rights and responsibilities of the Member States of ASEAN 8. and benefit from. 12. To promote sustainable development so as to ensure the protection of the region’s environment. and freer flow of capital. talents and labor. To respond effectively. and in science and technology. services and investment. democratic and harmonious environment. facilitated movement of business persons. to all forms of threats. To alleviate poverty and narrow the development gap wthin ASEAN through mutual assistance and cooperation. social welfare and justice. To create a single market and production base which is stable. prosperous. To strengthen cooperation in building a safe. 13. 5. 10. To strengthen democracy. and to promote and protect human rights and fundamental freedoms. highly competitive and economically integrated with effective facilitation for trade and investment in which there is free flow of goods. To develop human resources through closer cooperation in education and life-long learning. secure and drug-free environment for the peoples of ASEAN. transnational crimes and trans-boundary challenges.

security and prosperity renunciation of aggression and of the threat or use of force or other actions in any manner inconsistent with international law reliance on peaceful settlement of disputes non-interference in the internal affairs of ASEAN Member States respect for the right of every Member State to lead its national existence free from external interference. including the use of its territory. territorial integrity or political and economic stability of ASEAN Member States . subscribed to by ASEAN Member States abstention from participation in any policy or activity. equality. vi. and 15. FUNDAMENTAL PRINCIPLES i. vii. and the promotion of social justice upholding the United Nations Charter and international law. sovereignty. good governance. To promote an ASEAN identity through the fostering of greater awareness of the diverse culture and heritage of the region. viii. which threatens the sovereignty. v. respect for the independence. xi. territorial integrity and national identity of all ASEAN Member States shared commitment and collective responsibility in enhancing regional peace. including international humanitarian law. x. the promotion and protection of human rights. ii. pursued by and ASEAN Member State or non-ASEAN State or any non-State actor. iii. ix. iv. To maintain the centrality and proactive role of ASEAN as the primary driving force in its relations and cooperation with its external partners in a regional architecture that is open. the principles of democracy and constitutional government respect for fundamental freedoms. subversion and coercion enhanced consultations on matters seriously affecting the common interest of ASEAN adherence to the rule of law.14. transparent and inclusive.

if necessary. Track I refers to the practice of diplomacy among government channels. economic. POLICIES Apart from consultations and consensus. social and cultural relations while remaining actively engaged. in most cases. involving civil society groups and other individuals with various links who work alongside governments. while emphasizing their common values in the spirit of unity in diversity xiii. This track enables governments to discuss controversial issues and test new ideas without making official statements or binding commitments. meanwhile participants from the academic community are a dozen think-tanks. backtrack on positions. and dependent on government . "Track I refers to intergovernmental processes". Track II differs slightly from Track I. Adherence to multilateral trade rules and ASEAN's rules-based regimes for effective implementation of economic commitments and progressive reduction towards elimination of all barriers to regional economic integration. ASEAN’s agenda-setting and decision-making processes can be usefully understood in terms of the socalled Track I and Track II. Although Track II dialogues are sometimes cited as examples of the involvement of civil society in regional decision-making process by governments and other second track actors. these think-tanks are. NGOs have rarely got access to this track.xii. respect for the different cultures. Therefore. and. languages and religions of the peoples of ASEAN. the centrality of ASEAN in external political. very much linked to their respective governments. outward-looking. All official decisions are made in Track I. However. inclusive and non-discriminatory xiv. in a market-driven economy. The participants stand as representatives of their respective states and reflect the official positions of their governments during negotiations and discussions.

rarely has the rest of civil society had the opportunity to interface with Track II.funding for their academic and policy-relevant activities. as far as ASEAN matters are concerned. Looking at the three tracks. it is clear that until now. Third-track actors also organise and/or attend meetings as well as conferences to get access to Track I officials. Track III networksclaim to represent communities and people who are largely marginalised from political power centres and unable to achieve positive change without outside assistance. especially in economic integration. A year later ASEAN established the Vientiane Action Program to realize this goal. Track III participants are generally civil society groups who represent a particular idea or brand. ASEAN Economic Community and an ASEAN Socio-Cultural Community. The track that acts as a forum for civil society in Southeast Asia is called Track III. While Track II meetings and interactions with Track I actors have increased and intensified. are accountable only to their governments and not the people. ASEAN has been run by government officials who. Their recommendations. The process of ASEAN community building is a result of the considerable change in the association’s mission in the recent two decades. and many working in Track II have previous bureaucratic experience. generating pressure through the media. ASEAN COMMUNITY At its Ninth Summit in October 2003 the Association of South East Asian Nations (ASEAN) announced its intention to create an ASEAN Community based upon three pillars: ASEAN Security Community. are often closer to ASEAN’s decisions than the rest of civil society’s positions. The end of . Those with Track I have been even rarer. This track tries to influence government policies indirectly by lobbying.

particularly in Myanmar.. forming an economic community will help Southeast Asia boost its economic competitiveness and attractiveness to investors inside and outside the region (Almonte. Meanwhile. the advance of globalization. Southeast Asian countries feel the need to act collectively and to lean on each other. one of the most notable threats to ASEAN members is China. In more details. so that they can have combined strengths as well as better bargaining power in both economic and political issues. which share the common fear of intrusive outside powers. whose robust economy is in direct competition with those of its Southeast Asian neighbors. help restore its economic luster”. 2006). Vietnam and Cambodia.the Cold War. . In order to cope with China and avoid external intervention. Turning it into a true single market would. especially in trade and foreign direct investment. in recent years.. Besides. the rise of China and India in economic size and political influence as well as the Asian financial crisis have forced ASEAN to shift from its original preventive diplomacy of maintaining peace and harmony among its members and in the region to the constructive diplomacy of community building to cope with increasing political and economic competition in a globalised world. into the long-term strategic competition between the United States and China in Asia Pacific. In a 2003 study done for the ASEAN economic ministers by McKinsey & Company warned that “The region is falling behind its rivals. Laos. in the time of economic globalisation and after it was hit hard by the Asian financial crisis. This important change has increasingly drawn ASEAN states. The same will work when dealing with an amalgamated or regional community such as the United States and the European Union. the sleeping dragon has also tried to enhance its economic and political influence and presence in the region. or with international organisations such as the United Nations and the World Trade Organization.

internal ethnic and religious tensions (most dangerously in Myanmar. the future of the region and of ASEAN will be. In 2005. Meanwhile. with its . illegal migration and drug-trafficking. the ASCC is for a Southeast Asia bonded together in partnership as “a community of caring and sharing societies”. the mission of the AEC is to develop a single market and production base that is stable. The ASCC Plan of Action contains four core elements: Building a community of caring societies. The ASEAN Community is based on three intertwined and mutually reinforcing pillars: ASEAN Security Community (ASC). Eastern Indonesia and Southern Philippines) have led to cross-border instability. but no plan for a regional military bloc or defence pact. ASEAN Economic Community (AEC) and ASEAN Socio-Cultural Community (ASCC). highly competitive and economically integrated with effective facilitation for trade and investment in which there is free flow of goods. member countries agreed to establish an ASEAN Charter. terrorism. It includes maritime cooperation and fight against terrorism. Although it will not take on any supranational functions. security and stability and enhance ASEAN’s capacity for self-management of regional security. The ASC is expected to maintain and strengthen peace. These and other problems such as air pollution. services investment. and freer flow of capital. skilled labours. enhancing environmental sustainability. But it will not adopt a common currency like the European Union.In terms of political and security issues. Besides. Southern Thailand. managing the social impact of economic integration. prosperous. to a considerable extent. AIDS all require regional concerted and coordinated actions. which would serve as the legal and institutional framework for the regional organisation and the ASEAN Community. avian flu. contingent on the degree of success of community building. Against this backdrop. And last but not least. member countries are free to pursue their own foreign policies and defence arrangements. and strengthening the foundations of regional social cohesion towards an ASEAN Community.

The ASEAN Free Trade Area (AFTA) is an agreement by the member nations of ASEAN concerning local manufacturing in all ASEAN countries. Laos and Myanmar in 1997. namely. but they are officially considered part of the AFTA as they were required to sign the agreement upon entry into ASEAN. The main principles of the ACIA are as follows: • All industries are to be opened up for investment. aiming to create an ASEAN Economic Community (AEC) by 2015. The AEC would have a combined population of over 560 million and total trade exceeding US$ 1. and were given longer time frames in which to meet AFTA's tariff reduction obligations. and Cambodia in 1999. Malaysia. When the AFTA agreement was originally signed. The latecomers have not fully met the AFTA's obligations. Vietnam joined in 1995. Free Trade Area The foundation of the AEC is the ASEAN Free Trade Area (AFTA). Comprehensive Investment Area The ASEAN Comprehensive Investment Area (ACIA) will encourage the free flow of investment within ASEAN. the ASEAN Community is believed to have far-reaching and important impacts on the lives of the people in Southeast Asia. The regional grouping has made the most progress in economic integration. ASEAN had six members.ambitious goals. with exclusions to be phased out according to schedules . a common external preferential tariff scheme to promote the free flow of goods within ASEAN. Indonesia. Singapore and Thailand. Brunei. The AFTA agreement was signed on 28 January 1992 in Singapore. sociocultural and economic integration. the Philippines. ASEAN ECONOMIC COMMUNITY ASEAN has emphasised regional cooperation in the “three pillars” of security.400 billion.

Single Aviation Market The ASEAN Single Aviation Market (SAM). Under AFAS. and endorsed by the ASEAN Transport Ministers. Myanmar. and Vietnam) countries. fisheries. The negotiations result in commitments that are set forth in schedules of specific commitments annexed to the Framework Agreement. trade. proposed by the ASEAN Air Transport Working Group. At present. will introduce an open-sky arrangement to the region by 2015. The ASEAN SAM will be expected to fully liberalise air travel between its member states. and also freeing up tourism. forestry and mining is scheduled by 2010 for most ASEAN members and by 2015 for the CLMV (Cambodia. investment and services flows between . Lao PDR. allowing ASEAN to directly benefit from the growth in air travel around the world. Trade in Services An ASEAN Framework Agreement on Trade in Services was adopted at the ASEAN Summit in Bangkok in December 1995. ASEAN Member States enter into successive rounds of negotiations to liberalise trade in services with the aim of submitting increasingly higher levels of commitments. These schedules are often referred to as packages of services commitments. supported by the ASEAN Senior Transport Officials Meeting.• • • • • • National treatment is granted immediately to ASEAN investors with a few exclusions Elimination of investment impediments Streamlining of investment process and procedures Enhancing transparency Undertaking investment facilitation measures Full realisation of the ACIA with the removal of temporary exclusion lists in manufacturing agriculture. ASEAN has concluded seven packages of commitments under AFAS.

Republic of China (Taiwan) has also expressed interest in an agreement with ASEAN but needs to overcome diplomatic objections from China.760 . New Zealand and most recently India. ASEAN six majors ASEAN six majors refer to the 6 largest economies in the area.132 Philippines: 160. which went into full effect on January 1. Free Trade Agreements with Other Countries ASEAN has concluded free trade agreements with PR China. 2010. Japan. there will be liberalisation of fifth freedom traffic rights between all capital cities. These countries are: Indonesia. restrictions on the third and fourth freedoms of the air between capital cities of member states for air passengers services will be removed while from 1 January 2009. Korea. Singapore. GDP nominal 2009 (billions USD) Indonesia: 514. the Philippines and Vietnam. while by 1 January 2011.400 Malaysia: 191.member states.991 Vietnam: 91.463 Singapore: 177. The agreement with People's Republic of China created the ASEAN–China Free Trade Area (ACFTA). Thailand. Australia. ASEAN is currently negotiating a free trade agreement with the European Union. Malaysia. there will be full liberalisation of air freight services in the region.900 Thailand: 266. In addition. Beginning 1 December 2008. These countries own the economies which are many times larger than the other 4 countries.

shaping and sharing of norms. conflict resolution. Agreements and conflict resolution mechanisms were established both among the members.ASEAN SECURITY COMMUNITY There has been a low level of international conflict in the area. among its members. The ARF’s agenda aims to evolve in three broad stages. there was a 1976 Declaration of ASEAN Concord and a Treaty of Amity of Cooperation. development of preventive diplomacy and elaboration of approaches to conflicts. ASEAN. post-conflict peace building. and implementing mechanisms. and in a broader ASEAN Regional Forum. with some pride. including ideologues and traditional pirates. ASEAN is forming the ASEAN Security Community (ASC). since its founding. Regional agreements The 1967 ASEAN Declaration. although there are concerns about non-national actors. Freedom and Neutrality Declaration. by the five founding members. . Kuala Lumpur. 27 November 1971. It was followed by a Zone of Peace. ASEAN established the ASEAN Regional Forum (ARF) in 1994. Building on this experience. observes that while there has been tension. there have been no armed conflicts. Next. and a Southeast Asia Nuclear Weapon Free declaration 1997. conflict prevention. The members of the Community pledge to rely exclusively on peaceful processes in the settlement of intra-regional differences and regard their security as fundamentally linked to one another and bound by geographic location. there were declarations on the South China Sea in 1992. On a wider level. common vision and objectives. namely the promotion of confidence building. established a pattern of cooperation. It has the following components: political development.

ASEAN regional forum Formed in 1994. to "the promotion of confidence building. China. ASEAN created a larger ASEAN Regional Forum (ARF). Democratic Republic of Korea. Cambodia. Republic of Korea (ROK). Japan. in three steps. India. the Russian Federation. the United States. Laos. In 1994. Canada. Brunei Darussalam. charged with evolution. Singapore. declared on 15 December 1997. Papua New Guinea. Malaysia. Pakistan." Besides the ASEAN members. Thailand. present participants in the ARF include: Australia. Indonesia. New Zealand. and Viet Nam. South Korea) •Mongolia •New Zealand •Pakistan •Papua New Guinea •Russian Federation •United States . Myanmar. European Union. development of preventive diplomacy and elaboration of approaches to conflicts.A forward looking plan formed ASEAN Vision 2020. the Philippines. and a redeclaration of ASEAN Concord II in 2003. North Korea) •Republic of Korea (ROK. Mongolia. the ARF members are: •Australia •Canada •China •European Union •India •Japan •Democratic People's Republic of Korea (DPRK.

there are mutual basing agreements. some of the Singapore military is in Malaysia and the Philippines. External security relationships There are both political and technical sensitivities in forming additional alliances. In the case of ASEAN. With respect to intelligence cooperation. For example. New Zealand. including the relationship amongst the major powers. the Five Power Defence Arrangements (FPDA) of Australia. This is particularly important given the ASEAN concern over piracy. There are annual ASEAN intelligence summits. presumably with SIGINT. South China Sea and the Korean Peninsula. and possibly IMINT from commercial satellites. non-proliferation.The ARF discusses major regional security issues in the region. Malaysia and Singapore jointly monitor the South China Sea electronically. John Margeson poses the challenge. "Do arrangements such as ECHELON exist outside the relationships between "great" powers? Literature shows that broad relationships exist among regional powers for various reasons. which can be useful but challenging." See external security relationships for a discussion of alliances beyond the ASEAN members. such as Singapore's small size. Given the geographical realities. Great Britain. counter-terrorism. Regional conflict resolution . One regional alliance has obvious common interest and even overlapping membership. which includes three members of the UKUSA alliance with strong national SIGINT organizations. states brought together to fight communist insurgency find that they can maximize security by cooperating in covert operations and intelligence sharing. among others. Singapore and Malaysia. Technology has accelerated ASEAN intelligence cooperation. transnational crime. maritime patrol by ships and aircraft.

was not in the interest of Southeast Asia as a whole. but a second round of national elections in 1998 led to the formation of another coalition government and renewed political stability. the action was "deplored" with a statement from the then-chairman of the ASEAN Standing Committee. as well as China.e. Mochtar and the next Indonesian foreign minister. 1991. Thailand.A series of conflicts directly involving two ASEAN members. began to flare in 1978. The remaining elements of the Khmer Rouge surrendered in early 1999. In this situation.. Negotiations for such a settlement began in 1982. Counterterrorism . was the "frontline state". While always insisting on the central demand of Vietnamese withdrawal and Khmer (i. which was not fully respected by the Khmer Rouge. of prolonging the war and "bleeding Vietnam white". When the Vietnamese invaded Cambodia. These have been called the Third Indochina War. Indonesia encouraged the Khmers and Vietnamese and their external sponsors to a more stable settlement. an ASEAN member. Indonesian Minister of Foreign Affairs Mochtar Kusumaatmadja. Factional fighting in 1997 ended the first coalition government. Cambodian) self-determination. UN-sponsored elections in 1993 helped restore some semblance of normalcy under a coalition government. ASEAN faced a problem of showing support for Thailand. the "frontline state. this became the ASEAN position." but Indonesia decided that the apparent strategy there. although the last Cambodian fighters did not surrender until 1999. ASEAN diplomacy helped work toward a 1991 peace treaty. and ended formally with the Final Act of the Paris International Conference on Cambodia on October 23. Vietnam and Cambodia. were key in these negotiations. ASEAN members brought the matter to the United Nations Security Council. Even though the eventual 1991 Paris Peace Accords for Cambodia mandated elections and a ceasefire.

and possibly MASINT sensors. Cambodia.Spurred by terrorism concerns. The US proposed that a regional counterterrorism training center be established in Malaysia. Of the ASEAN members. In August 2002. the ASEAN states. Malaysia. to be a delicate matter for the Philippines. and Thailand. agreed on an Action Plan that provided for enhanced cooperation in intelligence sharing and coordination of anti-terror laws. That law made Singapore the first major port to meet US homeland security rules for cargo. ASEAN and the United States issued a “Joint Declaration to Combat International Terrorism. Singapore has established sharing between the United States Pacific Command Joint Intelligence Center and Singapore’s Joint Counterterrorism Center. US relations to an ASEAN or other group may be more domestically acceptable." which was followed by an ASEAN Regional Forum (ARF) meeting on terrorism. Singapore wants more US X-ray equipment. Malaysia. a first meeting of which was held in Manila in January 2003. to be jointly sponsored by Malaysia in the US. especially receiving SIGINT in return for HUMINT. is how much SIGINT capabilities these countries have. Singapore seems most comfortable in exchanging intelligence information with the US. with a Strategic Goods Control law in January 2003. the Philippines. in May 2002. There are obvious reasons for regional nations wanting US intelligence . than bilateral arrangements. and Indonesia. An obvious question. and Singapore also is leading in accepting US goals for maritime security. Accompanying the Anti-Terrorism Center is an intelligence-sharing agreement among Indonesia. and in some cases domestic Islamic constituencies. without a simple answer. Concerns of national identity. in countries suspicious of the US. find cooperation with the U.S.

ASEAN shall further intensify cooperation in the area of public health. including SIGINT. and social protection. * ASEAN Occupational Safety and Health Network. youth. Family. * ASEAN Work Programme on Preparing ASEAN Youth for Sustainable Employment and Other Challenges of Globalisation. and shall seek the active involvement of all sectors of society. and ensuring economic growth with equity. * ASEAN Work Programme on HIV/AIDS. job creation. Among the on-going activities of ASEAN in this area include the following: * ASEAN Work Programme for Social Welfare. including in the prevention and control of infectious and communicable diseases. and Population. economic integration by investing more resources for basic and higher education. Nevertheless. * ASEAN Work Programme on Community-Based Care for the Elderly. in consonance with the goal set by ASEAN Vision 2020. science and technology development. . The Community shall foster cooperation in social development aimed at raising the standard of living of disadvantaged groups and the rural population. envisages a Southeast Asia bonded together in partnership as a community of caring societies and founded on a common regional identity. in particular women. ASEAN SOCIO-CULTURAL COMMUNITY The ASEAN Socio-Cultural Community. The development and enhancement of human resources is a key strategy for employment generation. ASEAN shall ensure that its work force shall be prepared for. alleviating poverty and socio-economic disparities. training. the eagerness of the US to help against Islamic groups strikes at local sensitivities.support. and benefit from. and local communities.

. the ASEAN Centre for Biodiversity. Youth Cultural Forum. folklore as well as scholarly and religious works. Write Award The S.A. * The Annual ASEAN Culture Week. plays. These include sports and educational activities as well as writing awards. Cultural activities The organisation hosts cultural activities in an attempt to further integrate the region. and public service. short stories.E. novels. Ceremonies are held in Bangkok and are presided by a member of the Thai royal family. ASAIHL ASAIHL or the Association of Southeast Asian Institutions of Higher Learning is a non-governmental organisation founded in 1956 that strives to strengthen higher learning institutions.*ASEAN University Network (AUN) promoting collaboration among seventeen member universities ASEAN. Write Award is a literary award given to Southeast Asian poets and writers annually since 1979. * ASEAN Media Exchange Programme. Examples of these include the ASEAN University Network. * ASEAN Students Exchange Programme. The award is either given for a specific work or as a recognition of an author's lifetime achievement. especially in teaching. research. and the Singapore-sponsored ASEAN Scholarship. Works that are honoured vary and have included poetry. the ASEAN Outstanding Scientist and Technologist Award. and *Framework for Environmentally Sustainable Cities (ESC) and ASEAN Agreement on Transboundary Haze Pollution. with the intention of cultivating a sense of regional identity and interdependence. ASEAN Youth Camp and ASEAN Quiz. and the ASEAN Young Speakers Forum.E.A. S.

It was originally founded in November 1995 by 11 universities within the member states. including the Tubbataha Reef Marine Park and the Kinabalu National Park. ASEAN Para Games Logo of the ASEAN Para GamesThe ASEAN Para Games is a biennial multisport event held after every Southeast Asian Games for athletes with . and university education. and examination fees. school fees. Currently AUN comprises 21 Participating Universities.the official regional anthem of ASEAN. Official song The ASEAN Way . food. medical benefits & accident insurance. It aims to protect the region's natural treasures. There are now 35 such protected areas.Heritage Parks ASEAN Heritage Parks is a list of nature parks launched 1984 and relaunched in 2004. commonly known as the SEA Games. The games are under regulation of the Southeast Asian Games Federation with supervision by the International Olympic Committee (IOC) and the Olympic Council of Asia. Scholarship The ASEAN Scholarship is a scholarship program offered by Singapore to the 9 other member states for secondary school. University Network The ASEAN University Network (AUN) is a consortium of Southeast Asian universities. It covers accommodation. is a biennial multi-sport event involving participants from the current 11 countries of Southeast Asia. Sports Southeast Asian Games The Southeast Asian Games. junior college.

China. was the biggest multi-sports games in Asia and South Pacific region. The 2010 Asian Para Games will debut shortly after the conclusion of the 16th Asian Games.physical disabilities. "Tiger" was renamed "ASEAN". accredited by FIFA and contested by the national teams of Southeast Asia nations. using the same facilities and venue made disability-accessible. FESPIC Games/ Asian Para Games The FESPIC Games. visual disabilities. patterned after the Paralympic Games. but after Asia Pacific Breweries terminated the sponsorship deal. the parallel event for athletes with physical disabilities. Football Championship The ASEAN Football Championship is a biennial Football competition organised by the ASEAN Football Federation. The games are participated by the 11 countries located in Southeast Asia. The Games. The FESPIC Games were held nine times and bowed out. The Games re-emerges as the 2010 Asian Para Games in Guangzhou. Malaysia. is a multi-sport event held every four years after every Asian Games. It was inaugurated in 1996 as Tiger Cup. also known as the Far East and South Pacific Games for the persons with disability. ASEAN MEETINGS . a success in December 2006 in the 9th FESPIC Games in Kuala Lumpur. The inaugural Asian Para Games. are played by physically challenged athletes with mobility disabilities. who are amputees and those with cerebral palsy.

The ASEAN leaders signed the Treaty of Amity and Cooperation in Southeast Asia. Japan and South Korea after the agreement of ASEAN+3 Heads of Government Summit on Nov. 2001 in Brunei.The ASEAN Summit is an annual meeting held by ASEAN in relation to economic. integrating eliminating women poverty. The usual itinerary is as follows: • • • • ASEAN leaders hold an internal organization meeting. HISTORY The first ASEAN summit was held in February 1976 in Bali. The summit called for expanding cooperation on human resource development. A separate meeting is set for leaders of 2 ASEAN Dialogue Partners (also known as ASEAN+CER) namely Australia and New Zealand. The formal summit is held in three days. providing productive jobs for low- . Leaders of 3 ASEAN Dialogue Partners (also known as ASEAN+3) namely China. population with rural development policies. The 2nd ASEAN summit in Kuala Lumpur in 1977 was the occasion for the first summit meeting between Japan and ASEAN. development. Japan expressed its intention to promote co-operation with ASEAN. ASEAN expressed its readiness to "develop fruitful relations" and mutually beneficial co-operation with other countries of the region. ASEAN + 3 adds China. The ASEAN heads of government also met the heads of government of Australia and New Zealand. Japan and South Korea hold a meeting with the ASEAN leaders. and cultural development of Southeast Asian countries. ASEAN leaders hold a conference together with foreign ministers of the ASEAN Regional Forum. The grouping regularly conducts dialogue meetings with other countries in an organization collectively known as the ASEAN dialogue partners. and youth and in human resource integrating disease illiteracy. At this summit.

India. EAS meetings are held after annual ASEAN leaders’ meetings. South Korea. Australia and New Zealand who combined represent almost half of the world's population. The members of the summit are all 10 members of ASEAN together with China. and taking concerted action to curb the abuse and traffic in narcotics and drugs. Japan. The host country invites the heads of government of ASEAN member countries to discuss future cooperation and partnership. especially in rural areas. COMMEMORATIVE SUMMIT A commemorative summit is a summit hosted by a non-ASEAN country to mark a milestone anniversary of the establishment of relations between ASEAN and the host country. Russia has applied for membership of the summit and in 2005 was a guest for the First EAS at the invitation of the host . .Malaysia. The summit has discussed issues including trade. EAST ASIA SUMMIT The East Asia Summit (EAS) is a forum held annually by leaders of 16 countries in the East Asian region. The first summit was held in Kuala Lumpur on December 14. 2005. energy and security and the summit has a role in regional community building.income groups.

Japan. These include the annual ASEAN Ministerial Meeting as well as other smaller committees. ARF objectives are to foster dialogue and consultation. multilateral dialogue in Asia Pacific region. Asia – Europe Meeting The Asia-Europe Meeting (ASEM) was officially established in 1996 at the first summit in . Aside from the ones above. PLUS THREE The ASEAN Plus Three is a meeting between ASEAN. Canada. official.REGIONAL FORUM The ASEAN Regional Forum (ARF) is a formal. India. it is consisted of 27 participants. As of July 2007. and issues regarding the Taiwan Strait is neither discussed at the ARF meetings nor stated in the ARF Chairman's Statements. Meetings mostly focus on specific topics. The current participants in the ARF are as follows: all the ASEAN members. Bangladesh. North Korea. Pakistan. Papua New Guinea. the European Union. The ARF met for the first time in 1994. South Korea. and South Korea. Timor-Leste. such as defense or the environment and are attended by Ministers. such as the Southeast Asian Fisheries Development Center. United States and Sri Lanka. Australia. other regular meetings are also held. Russia. instead of heads of government. China. Japan. New Zealand. the People's Republic of China. and promote confidence-building and preventive diplomacy in the region. Mongolia. and is primarily held during each ASEAN Summit. The Republic of China (also known as Taiwan) has been excluded since the establishment of the ARF.

The process is enhanced by the biannual meetings of heads of state. the thirteen members of the ASEAN Plus Three regional grouping. . economic. which has so far been loosely organized. as of 2008. the twenty-seven members of the European Union (EU). Asean Russia Summit The ASEAN-Russia Summit is an annual meeting between leaders of member states and the President of Russia. A milestone in ASEAN-Russia Dialogue Relations was when Russia acceded to the Treaty of Amity and Cooperation in Southeast Asia (TAC) on 29 November 2004. In 2006. In general. Mongolia.Bangkok. The main components of the ASEM process. India. alternately in Europe and Asia. include:• • • political dialogue security and the economy education and culture or the so-called three pillars. and Pakistan. ASEAN-Russia dialogue partnership could be traced back to July 1991 when the then Deputy Prime Minister of the Russian Federation attended the Opening Session of the 24th ASEAN Ministerial Meeting (AMM) in Kuala Lumpur as a guest of the Malaysian Government. which is deemed necessary to achieve a more balanced political and economic world order. ASEAN and Russia maintain good political and security relations. the process is considered by the parties involved to be a way of deepening the relations between Asia and Europe at all levels. ASEM is an interregional forum which consists of the European Commission. Russia was subsequently elevated to a full Dialogue Partner of ASEAN at the 29th AMM in July 1996 in Jakarta. and political. ASEAN and Russia held special activities to commemorate 10th Anniversary of ASEAN-Russia Dialogue Partnership. and. and cultural meetings and events at all kinds of other levels.

The Leaders agreed that ASEAN would act swiftly at the national. and the inauguration of the ASEAN Commission on Promotion and Protection of the Rights of Women and . Among the highlights of the Summit. The Leaders emphasised that priority should be given to enhancing intra-ASEAN connectivity. information communication technology (ICT). and the Leaders took note of the on-going efforts in developing a Master Plan on ASEAN Connectivity. which is to be submitted to the 17th ASEAN Summit in October 2010. 16TH ASEAN SUMMIT AT VIETNAM The 16th ASEAN Summit was held in Ha Noi from 8 to 9 April 2010. sea and land transportation links in Mekong and other sub-regions of ASEAN building on achievements of existing frameworks. The first meeting of the High Level Task Force on ASEAN Connectivity which was held on 9-10 March 2010 in Ha Noi had produced the key elements and principles for the Master Plan. It was further reaffirmed that priority would be given to transport. with the theme “Towards the ASEAN Community: From Vision to Action”. ASEAN Connectivity was high on the agenda of the 16th ASEAN Summit. regional and global levels to achieve sustained economic recovery and development for ASEAN in the aftermath of the global economic and financial crisis. the SecretaryGeneral touched on the ASEAN Leaders’ determination to maintain ASEAN’s central role in the emerging regional architecture Children. energy and cross border facilitation for the smooth movement of people. stability and a significant contribution to the TAC as an important code of conduct governing inter-state relations. including the need to complete the missing air. goods and services.Russia’s accession to the TAC reflects her strong commitment to regional peace.

They agreed to adopt a two-pronged approach with priority given to the acceleration of ASEAN’s integration and community building while intensifying ASEAN’s external relations and ensuring ASEAN’s role as the driving force in regional cooperation frameworks. drugs and narcotics. An ASEAN Action Plan on Climate Change will be explored. interdependence and regional integration have made cooperation on transnational issues an imperative.In the area of climate change. such as environment. the Heads of Government have reaffirmed their commitment to move forward ASEAN's cooperation in transnational issues. transboundary haze. The 1999- . In this light. The Leaders further endorsed the exchange between Indonesia and Brunei Darussalam in their turns for the ASEAN Chairmanship and welcomed Indonesia as the ASEAN Chair in 2011. the Leaders also reaffirmed their strong commitment to intensify efforts to address climate change and in this regard adopted the ASEAN Leaders’ Statement on Joint Response to Climate Change. transnational crime. immigration and legal matters. The issue of ASEAN Centrality continued to be on the agenda of the Summit and the Leaders stressed the importance of and determination to maintain ASEAN’s central role in the emerging regional architecture. The Third ASEAN Informal Summit held in Manila in November 1999 had recognized how the evolving regional security environment during the last decade had given rise to new forms of security challenges for ASEAN. Environment ASEAN has adopted the Strategic Plan of Action on the Environment (SPAE) to support the objectives laid down in the Ha Noi Plan of Action. The Leaders also said that any new regional framework or process should be complementary to and built upon existing regional mechanisms and the principle of ASEAN’s centrality. TRANSNATIONAL ISSUES The processes of globalization.

The Plan of Action includes measurable benchmarks in terms of timeframes and targets. which underscored the Association's resolve to adopt a comprehensive approach to fighting transnational crime through greater regional collaboration and by forging . diversified and organized. the Meeting of ASEAN Ministers of Interior/Home Affairs on Transnational Crime adopted the ASEAN Declaration on Transnational Crime in December 1997. trafficking in women and children. arms smuggling. which called for the intensification of cooperation among Member Countries and with international bodies to prevent and eradicate narcotics abuse and the illegal trafficking in drugs. such as terrorism. A monitoring system has been established to track the progress of each of the activities. (e) Other Environment Activities. transnational crime has become increasingly pervasive. new types of drug abuse and trafficking. there is a critical need to interface and coordinate with other sectoral bodies in ASEAN in the implementation of the SPAE. environmental considerations should be incorporated into the development plans of the other sectors if the goals of sustainable development are to be achieved. (b) Nature Conservation and Biodiversity. The ASEAN region has to deal with many new forms of organized crimes that transcend national boundaries. and piracy. ASEAN's resolve to fight transnational crime can be traced to the Declaration of ASEAN Concord of 1976. Transnational Crime With the rapid advances in technology and the greater mobility of people and resources across national boundaries. Similarly. Having consistently addressed the issue of transnational crime for more than two decades. innovative forms of money laundering. (d) International Environment Issues. The ASEAN Secretariat plays a key role in integrating environmental factors into the other development activities of ASEAN. (c) Coastal and Marine Environment. As environmental issues are interdisciplinary and cross-sectoral.2004 Plan covers the following areas: (a) Land and Forest Fires and Transboundary Haze.

(h) Training of Trainers in Interpersonal Skills and Peer Support Counseling in Drug Education. and serve as a repository of information on legislation. (e) Promotion of Drug Control Activities in the Workplace. regulatory measures and jurisprudence of individual member countries. institutional capacity building. Drugs and Narcotics The Hanoi Plan of Action calls upon the Member Countries to implement the ASEAN Work Programme to Operationalize the ASEAN Plan of Action on Drug Abuse Control by 2004. As envisioned. the Centre will promote data resource sharing. (b) Training on Financial Investigations. assist in the implementation of programs outlined in the proposed action plan. (c) Enhancement of Community Based Drug Prevention Activities. Consultations are proceeding on the proposed establishment of the ASEAN Centre for Combating Transnational Crime (ACTC). (d) Youth Empowerment Against Drug and Substance Abuse. the ASEAN Senior Officials on Drug Matters (ASOD) endorsed eight projects: (a) Training on Intelligence Operations Management and Supervision. cooperation in legal and law enforcement matters. particularly those related to prevention education for youth and to treatment and rehabilitation. (g) ASEAN Seminar on Precursor Chemicals. the ASEAN Plan of Action to Combat Transnational Crime was adopted in June 1999. The Plan of Action established mechanisms for information exchange. Apart from developing regional cooperation to enhance youth capability and participation in the prevention . In a further step to fight transnational crime. decision-making skills and values to stay away from drugs. (f) Promoting Drug Abuse Prevention Activities among Outof.international cooperation. Responding to this call. It is envisaged that the ACTC will conduct research and analysis of transnational crime activities and to recommend regional strategies. and to continue developing and implementing highprofile flagship programmes on drug abuse control. training and extra-regional cooperation.School Youth. The Youth Empowerment Against Drug and Substance Abuse project aims to equip young people with the knowledge.

skilled labor. A more efficient immigration system can also facilitate the Visit ASEAN Campaign. particularly with respect to trafficking in persons. The Directors General of Immigration Departments and Heads of Consular Divisions of the Ministries of Foreign Affairs of ASEAN Member Countries (DGICM) are now considering the following areas for cooperation: opening ASEAN lanes at the international airports. the Promoting Drug Abuse Preventive Activities Among Out-of-School Youth project aims to make use of peer group discussions to assist ASOD in the development of more targeted prevention activities.of drug abuse through positive activities. and the facilitation of the movement of yachts. professionals and technology. Cooperation in immigration can help in the implementation of the ASEAN Plan of Action to Combat Transnational Crime. ASEAN has agreed to establish an Institutional Framework for ASEAN Cooperation on Immigration Matters. leisure boats and private aircraft within the ASEAN region. Immigration Matters The ASEAN leaders have directed the ASEAN Heads of Immigration to discuss ways of cooperation in immigration matters. including the simplification of immigration clearance procedures. In addition. harmonization of ASEAN immigration embarkation and disembarkation cards. Cooperation in immigration is expected to contribute significantly to facilitating the movement of people and promoting tourism in the region. Europe and East Asia as well as within the region. an ASEAN Directory . possible use of smart cards as travel documents within the region. this project is also on the look-out for real-life role models who can lead organized youth movements against drug abuse. which is expected to draw a large number of tourists from North America. visa-free entry for ASEAN nationals. A Plan of Action for Cooperation on Immigration Matters is being developed. Meanwhile. It can contribute to the implementation of the ASEAN Investment Area (AIA) by promoting freer flow of capital.

Law and Legal Matters Although there is a great diversity in the legal and constitutional systems of the Member Countries. The Law Ministers adopted the Exchange of Legal Information program. The Exchange of Visits by ASEAN Law Officials aims to promote solidarity and enhance mutual understanding of the legal and constitutional systems of ASEAN Member Countries. Public legal officers in each Member Country will have the opportunity to learn about the legal environment of other ASEAN countries and their laws and regulations under the Government Legal Officers Program. the directory will be published on the ASEANWEB. the ASEAN Law Ministers adopted several measures in 1999 comprising the ASEAN Government Law Directory. each Member Country will nominate an officer or an agency to be the ASEAN Legal Information Authority (ALIA) for its jurisdiction. the Exchange of Visits by ASEAN Law Officials. and the Exchange of Legal Information. globalization has revealed the close nexus between economic growth and the legal system. A sound legal system and the effective administration of justice are seen as a key requirement for attaining economic and social growth and a building block for regional economic integration. Under this program. information. The officer or agency will be responsible for facilitating the exchange of legal information in ASEAN and be the repository of ASEAN legal . This would provide an opportunity for the participants to build relationships and foster appreciation of the workings of other government agencies in ASEAN. After the first edition is completed. the Government Legal Officers Program. In order to facilitate closer cooperation on law and legal matters.of Immigration Focal Points is being put together to facilitate networking among the immigration authorities in ASEAN. The ASEAN Government Law Directory will identify the key office holders in the legal establishment of each ASEAN Member Country and their specific responsibilities.

but were given longer time frames in which to meet AFTA's tariff reduction obligations. within ASEAN. Philippines. When the AFTA agreement was originally signed. Singapore and Thailand. ASEAN had six members. Malaysia. Further trade facilitation efforts 7. Brunei. namely.ASEAN Free Trade Area ASEAN Free Trade Area (AFTA) is a trade bloc agreement by the Association of Southeast Asian Nations supporting local manufacturing in all ASEAN countries. All the four latecomers were required to sign the AFTA agreement in order to join ASEAN. History 2. Administration 5. The primary mechanism for achieving the goals given above is the Common Effective Preferential Tariff (CEPT) scheme. The primary goals of AFTA seek to: • Increase ASEAN's competitive edge as a production base in the world market through the elimination. Contents 1. Vietnam joined in 1995. The Common Effective Preferential Tariff (CEPT) scheme 3. and • Attract more foreign direct investment to ASEAN. Membership 8. which established a schedule for phased initiated in 1992 with the self-described goal to increase the "region’s competitive advantage as a production base geared for the world market". ASEAN Plus Three . Laos and Myanmar in 1997 and Cambodia in 1999. Rule of Origin 4. Indonesia. Dispute resolution 6. of tariffs and non-tariff barriers. AFTA now comprises ten countries of ASEAN. The AFTA agreement was signed on 28 January 1992 in Singapore.

This deadline was subsequently moved forward and AFTA became fully operational on 1 January 2003. 2. the ASEAN members signed the Singapore Declaration at the heart of which was the creation of AFTA in 15 years. and procedures and development of common product certification standards. The Common Effective Preferential Tariff (CEPT) scheme Unlike the EU. However. Myanmar and Vietnam. ASEAN members have the option of excluding products from the CEPT in three cases: 1. the initial program of tariff reductions was broadened and accelerated and other "AFTA Plus" activities were initiated. Laos. for goods originating within ASEAN. which is to be carried out in phases through the year 2008. ASEAN members are to apply a tariff rate of 0 to 5 percent (the more recent members of Cambodia. References History A proposal to set up a Free Trade Area in ASEAN was first mooted by the Thai Prime Minister Anand Panyarachun. This includes efforts to eliminate non-tariff barriers. Temporary exclusions refer to products for which tariffs will .Sensitive agricultural products. aka CMLV countries. Temporary exclusions. 3. were given additional time to implement the reduced tariff rates). which was agreed upon with amendments during the ASEAN Seniors Economic Official Meeting (AEM) in Kuala Lumpur. harmonization of customs nomenclature. AFTA does not apply a common external tariff on imported goods. valuation. Each ASEAN member may impose tariffs on goods entering from outside ASEAN based on its national schedules.General exceptions. This is a comprehensive program of tariff reduction in the region. In January 1992. This is known as the Common Effective Preferential Tariff (CEPT) scheme. Related free trade areas 10.9. Over the course of several years.

but which are being protected temporarily by a delay in tariff reductions. ASEAN members have until 2010 to reduce the tariff levels to 0-5%. The following formula is applied: Raw material cost + Direct labor cost + Direct overhead cost + Profit + Inland transport cost x 100% FOB value However. the value of inputs from various ASEAN members can be combined to meet the 40% requirement. The general rule is that local ASEAN content must be at least 40% of the FOB value of the good. special rules apply: • • • Change in Chapter Rule for Wheat Flour. Difficulties have sometimes arisen regarding the evidentiary proof to support the claim. Change of Tariff Sub-Heading for Wood-Based Products. These difficulties arise because each ASEAN national customs authority interprets and implements the Form D requirements without much coordination. ASEAN members have agreed to enact zero tariff rates on virtually all imports by 2010 for the original signatories. Change in Tariff Classification for Certain Aluminum and Articles thereof. for certain products. that is. or archaeological value. historic. Rule of Origin The CEPT only applies to goods originating within ASEAN. The Form D must presented to the customs authority of the importing government to qualify for the CEPT rate. . the protection of human. and protection of articles of artistic. The exporter must obtain a “Form D” certification from its national government attesting that the good has met the 40% requirement. The local ASEAN content can be cumulative. public morals. animal or plant life and health. General exceptions refer to products which an ASEAN member deems necessary for the protection of national security.ultimately be lowered to 0-5%. and 2015 for the CMLV countries. Sensitive agricultural products include commodities such as rice. as well how ASEAN national customs authorities can verify Form D submissions.

Administration Administration of AFTA is handled by the national customs and trade authorities in each ASEAN member. joint teams to ensure compliance and investigate non-compliance have not been widely used. Unlike the EU or NAFTA. Disagreements may result between the national authorities. Dispute resolution Although these ASEAN national customs and trade authorities coordinate among themselves. The ASEAN Secretariat has no legal authority to resolve such disputes. Again. The ASEAN Single Window would allow importers to submit all information related to the transaction to be entered electronically once. This information would then be shared with all other ASEAN national customs authorities. Instead. ASEAN . ASEAN national authorities have also been traditionally reluctant to share or cede sovereignty to authorities from other ASEAN members (although ASEAN trade ministries routinely make cross-border visits to conduct on-site inspections in anti-dumping investigations). disputes can arise. An ASEAN Protocol on Enhanced Dispute Settlement Mechanism governs formal dispute resolution in AFTA and other aspects of ASEAN. The ASEAN Charter is intended to bolster the ASEAN Secretariat’s ability to ensure consistent application of AFTA measures. ASEAN has attempted to improve customs coordination through the implementation of the ASEAN Single Window project. The ASEAN Secretariat has authority to monitor and ensure compliance with AFTA measures. so disputes are resolved bilaterally through informal means or through dispute resolution. This has led to inconsistent rulings by ASEAN national authorities. ASEAN national authorities must rely on the review and analysis of other ASEAN national authorities to determine if AFTA measures such as rule of origin are being followed. but has no legal authority to enforce compliance. the ASEAN Secretariat may help mediate a dispute but has no legal authority to resolve it.

among others: port facilities and competitiveness in the Internet services sector. SEOM decisions require consensus among all ASEAN members. This can also be frustrating for companies affected by an AFTA dispute. ASEAN members have the potential to reap significant benefits from investments in further trade facilitation reform. Panel decisions can be appealed to an appellate body formed by the ASEAN Economic Community Council. such consensus cannot be achieved.5 percent ($22 billion) and 5. Further trade facilitation efforts Efforts to close the development gap and expand trade among members of ASEAN are key points of policy discussion. as they have no rights to invoke dispute resolution yet their home ASEAN government may not be willing to invoke the Protocol. This discourages ASEAN members from invoking the Protocol. the report states. due to the comprehensive tariff reform already realised through the ASEAN Free Trade Agreement. By contrast. they may ask SEOM to establish panel of independent arbitrators to review the dispute. Reform in these areas.3 billion). respectively. Membership . The ASEAN Secretary General has listed dispute resolution as requiring necessary reform for proper administration of AFTA and the AEC.7 percent ($17 billion). The Protocol has almost never been invoked because of the role of SEOM in the dispute resolution process. and since both the aggrieved party and the alleged transgressor are both participating in SEOM. This new analysis suggests examining two key areas.members may seek mediation and good offices consultations. could expand ASEAN trade by up to 7. cutting applied tariffs in all ASEAN members to the regional average in Southeast Asia would increase intra-regional trade by about 2 percent ($6. According to a 2008 research brief published by the World Bank as part of its Trade Costs and Facilitation Project. If these efforts are ineffective. and often they seek dispute resolution in other fora such as the WTO or even the International Court of Justice.

comprising Brunei Darussalam. Singapore and Thailand. have been brought down to the 0-5 percent tariff range. ASEAN Member Countries have made significant progress in the lowering of intra-regional tariffs through the Common Effective Preferential Tariff (CEPT) Scheme for AFTA. Indonesia. the Philippines. Malaysia.Countries that agree to eliminate tariffs among themselves: • • • • • • • • • • • • • • • • • • Brunei Indonesia Malaysia Philippines Singapore Thailand Myanmar Cambodia Laos Vietnam Papua New Guinea Timor-Leste China Japan South Korea India Australia New Zealand Regular Observers The most recent ASEAN meeting was observed also by : The ASEAN Free Trade Area (AFTA) The ASEAN Free Trade Area (AFTA) has now been virtually established. . More than 99 percent of the products in the CEPT Inclusion List (IL) of ASEAN-6.

Of these items. the setting-up of a database on . ASEAN Member Countries have also resolved to work on the elimination of non-tariff barriers. The average tariff for ASEAN-6 under the CEPT Scheme is now down to 1. about 66 percent already have tariffs within the 0-5 percent tariff band. tariffs on 64.76 percent when the tariff cutting exercise started in 1993. are not far behind in the implementation of their CEPT commitments with almost 80 percent of their products having been moved into their respective CEPT ILS. rice) and the General Exception List. Myanmar and Viet Nam.ASEAN’s newer members. Products that remain out of the CEPT-AFTA Scheme are those in the Highly Sensitive List (i. ASEAN-6 has committed to eliminate tariffs on 60 percent of their products in the IL by the year 2003.e. updating the working definition of Non-Tariff Measures (NTMs)/Non-Tariff Barriers (NTBs) in ASEAN. The implementation of the CEPT-AFTA Scheme was significantly boosted in January 2004 when Malaysia announced its tariff reduction for completely built up (CBUs) and completely knocked down (CKDs) automotive units to gradually meet its CEPT commitment one year earlier than schedule. Laos.12 percent of the products in the IL of ASEAN-6 have been eliminated. among others. Following the signing of the Protocol to Amend the CEPT-AFTA Agreement for the Elimination of Import Duties on 30 January 2003. The Coordinating Committee on the Implementation of the CEPTScheme for AFTA (CCCA) is currently undertaking a review of all the General Exception Lists to ensure that only those consistent with Article 9(b)1 of the CEPT Agreement are included in the lists. the process of verification and crossnotification. As of this date. Viet Nam has until 2006 to bring down tariff of products in the Inclusion List to no more than 5 percent duties. which includes. namely Cambodia. Malaysia has previously been allowed to defer the transfer of 218 tariff lines of CBUs and CKDs until 1 January 2005. A work programme on the elimination of non-tariff barriers. Laos and Myanmar in 2008 and Cambodia in 2010.51 percent from 12.

the CEPT Rules of Origin and its Operational Certification Procedures have been revised and implemented since 1 January 2004. Direction of Trade ASEAN’s exports had regained its upward trend in the two years following the financial crisis of 1997. including wheat flour. is currently being finalized. ASEAN exports recovered in 2002 when it was valued at US$ 380. After declining to US$ 366. to make the Scheme more attractive to regional businessmen and prospective investors.2 and 1. (c) treatment of locally-procured materials. iron and steel and the 11 priority integration sectors covered under the Bali Concord II. Direction of Trade ASEAN's exports had regained its upward trend in the two years following the financial crisis of 1997-1998 reaching its peak in 2000 when total exports . including on-site verification.2 billion. The upward trend for ASEAN-6 continued up to the first two quarters of 2003.1998 reaching its peak in 2000 when total exports was valued at US$ 408 billion. In order to promote greater utilization of the CEPTAFTA Scheme. (b) a set of principles for determining the cost of ASEAN origin and the guidelines for costing methodologies. The Task Force on the CEPT Rules of Origin is currently working out substantial transformation rules for certain product sectors. substantial transformation has also been adopted as an alternative rule in determining origin for CEPT products. Intra-ASEAN trade for the first two quarters of 2003 registered an increase of 4.6 percent for exports and imports respectively.all NTMs maintained by Member Countries. In an effort to improve and strengthen the rules governing the implementation of the CEPT Scheme. Among the features of the revised CEPT Rules of Origin and Operational Certification Procedures include: (a) a standardized method of calculating local/ASEAN content.8 billion in 2001. as a result of the economic slowdown in the United States and Europe and the recession in Japan. and (d) improved verification process. and the eventual elimination of unnecessary and unjustifiable non-tariff measures.

8 billion in 2001. ASEAN-India FTA signed in Bangkok ASEAN and India finally signed the long-awaited free trade agreement (FTA) in Bangkok. 1. followed by the U. and EU. 2010.2 and 1.was valued US$ 408 billion. Tariffs on sensitive goods will be reduced to 5 percent in 2016 and those on up to 489 very sensitive products will be maintained. ASEAN Trade with Selected Trading Partners The United States. ending more than six years of intensive negotiations. trade between ASEAN and India was valued at about US$47 billion. were the largest sources of ASEAN imports. as a result of the economic slowdown in the United States and Europe and the recession in Japan. Japan. The agreement .91 percent for imports. Trade between ASEAN and India is expected to increase to US$60 billion after the agreement goes into effect. The signing in Bangkok marks ASEAN's fifth such agreement after the ASEAN-Japan FTA. held in conjunction with the 41st AEM meeting from August 13 to 16. Signed at the 7th ASEAN Economic Ministers (AEM)-India meeting. the agreement is set to take effect starting Jan.S. ASEAN exports to the U. the ASEAN-China FTA. ASEAN-6 trade with major markets as a whole increased by 11. After declining to US$ 366. However. The upward trend for ASEAN-6 continued up to first two quarters of 2003. Intra-ASEAN trade for the first two quarters of 2003 registered an increase of 4. with Indonesia ranking third behind Singapore and Malaysia.71 percent for exports and 6. and India and imports from Canada and India declined during the same period. ASEAN exports recovered in 2002 when it was valued at US$ 380. During the first half of 2002-2003. Under the agreement ASEAN and India will lift import tariffs on more than 80 percent of traded products between 2013 and 2016.S.2 billion. the ASEAN-Korea FTA and the ASEAN-Australia and New Zealand FTA. the European Union and Japan continued to be ASEAN’s largest export markets.6 percent for exports and imports respectively. In 2008.

and some commodities even have tariffs of up to 90 percent. On average tariffs are more than 30 percent. Indonesia only gave a commitment to open its market to Indian commodities for up to 42. Despite global outrage at the military crack-down on peaceful protesters in Yangon. The tariffs of commodities deemed sensitive will be reduced to 5 percent by 2019. coal. a potential trade partner. . Head of the International Institute of Strategic Studies – Asia. Indonesia's main non-oil and gas exports to India. This means there would still be enough time for anticipatory measures to improve the country's competitiveness within the region. will enjoy 0 percent tax starting January 1. CRITICISMS AGAINST ASEAN Non-ASEAN countries have criticized ASEAN for being too soft in its approach to promoting human rights and democracy in the junta-led Myanmar. 2013.was very important for ASEAN considering India imposed relatively high tariffs on imported goods. as a barrier to far-reaching cooperation outside the economic sphere. For defensive purposes. ASEAN has begun to be less successful at restraining its members and resolving border disputes such as those between Burma and Thailand and Indonesia and Malaysia. The signing of the free trade agreement would certainly benefit Indonesia. which implies that the organization is "big on words but small on action". has refused to conduct free trade negotiations at a regional level for these political reasons. Tim Huxley cites the diverse political systems present in the grouping. This has caused concern as the European Union. He also asserts that in the absence of an external threat to rally against with the end of the Cold War. including many young states. Indonesia's second main export to India. International observers view it as a "talk shop".5 percent of its total traded goods by 2013. especially with India's commitment to reduce the tariffs on CPO (crude palm oil) and RPO (refined palm oil). ASEAN has refused to suspend Myanmar as a member and also rejects proposals for economic sanctions.

in the past. the agenda of economic integration would negatively affect industries in the Philippines and would cause thousands of Filipinos to lose their jobs. not just the high-profile initiatives that it carries out as an organization.specifically . the collapse of Indonesia. The failure of ASEAN to address effectively the Asian financial crisis. Alberto Romulo. despite not being publicly justified as supporting organizational goals. and China's creeping annexation of the South China Sea are cited as evidence of the group's weakness. They also viewed the organisation as imperialistic that threatens the country's sovereignty. While it is not strongly emphasized. According to the activists. Critics blame the rapid expansion of the 1990s that added new members such as Vietnam and Cambodia. several activist groups staged antiglobalisation and anti-Arroyo rallies. These initiatives may actually serve the broader interests of ASEAN. The conventional wisdom regarding the Association of Southeast Asian Nations is that the organization has become unwieldy and weak. one of the primary missions of ASEAN is to prevent the domination of Southeast Asia by external powers .During the 12th ASEAN Summit in Cebu. said it would be a workshop not a talk shop. While these criticisms of ASEAN are largely correct. leaders such as the Philippines' Foreign Affairs Secretary. Others have also expressed similar sentiment. A human rights lawyer from New Zealand was also present to protest about the human rights situation in the region in general. and the lack of a single unifying mission for leaving it adrift. The individual members have their own separate foreign-policy initiatives. ASEAN has been criticized. It is also necessary to examine the individual actions of the ASEAN member states. However. they tend to overstate the limitations of the group. of being a mere talk shop.

ASEAN VISION 2020 Vision of ASEAN as a concert of Southeast Asian nations. social welfare and development. health. information and communication technology. labour. ASEAN Plus Three relations continue to expand and deepen in the areas of security dialogue and cooperation. living in peace. and the Republic of Korea (ROK) within the ASEAN Plus Three process. have allowed the members to balance off the major external powers. India. trade and investment. The individual actions of the ASEAN states. Building on the Joint Statement on East Asia Cooperation of 1999. outward looking. They have done this without greatly sacrificing either their own independence. China. and the United States. finance and monetary. energy. bonded together in partnership in dynamic development and in a community of caring societies. Japan. cooperation between the Southeast and Northeast Asian countries has accelerated with the holding of an annual summit among the leaders of ASEAN.China. ASEAN states have been successful at taking advantage of the fears and ambitions of the major external powers to counter-balance each of them. agriculture and forestry. science and technology. environment. culture and the arts. stability and prosperity. as well as the high-profile initiatives of the organization itself. This mission is an extension of the Cold War goal of preventing the spread of communism in the region. The ASEAN Vision 2020 affirmed an outward-looking ASEAN playing a pivotal role in the international community and advancing ASEAN’s common interests. tourism. transnational crime. . Japan. while extracting concessions along the way.

Australia. ASEAN continues to develop cooperative relations with its Dialogue Partners. and the ROK. ASEAN also promotes cooperation with Pakistan in some areas of mutual interest. . the South Asian Association for Regional Cooperation. and the United Nations Development Programme. the Russian Federation. These arrangements will serve as the building blocks of an East Asian Free Trade Area as a long term goal. the ROK. and through the recently established Asian-African Sub-Regional Organisation Conference. New Zealand. the Gulf Cooperation Council. Consistent with its resolve to enhance cooperation with other developing regions. the Rio Group. Japan. There are now thirteen ministerial-level meetings under the ASEAN Plus Three process. the Economic Cooperation Organisation.youth. and rural development and poverty eradication. the Asia-Europe Meeting (ASEM). the European Union. Canada. and the East Asia-Latin America Forum (EALAF). namely. namely. Japan. the United States of America. Most ASEAN Member Countries also participate actively in the activities of the Asia-Pacific Economic Cooperation (APEC). the South Pacific Forum. China. Bilateral trading arrangements have been or are being forged between ASEAN Member Countries and China. India. ASEAN maintains contact with other inter-governmental organisations.

REPORT SUBMITTED BY: DEEPIKA AMESAR PRITI SURJAN MANGALA MISHRA KIRAN WADHWA ABHA DESHKAR TRUPTI KANEKAR PRIYANKA SHAH SURBHI TYAGI NEEMA CHATURVEDI PRIYANKA NIKARGE AKANSHA KHARE SHARAN RAO ANKUSH GADROO ABHASH ROSHAN .

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