US, Southeast Asia in trade-liberalisation pact
Malaysia: The United States and 10 Southeast Asian nations signed a
trade and investment agreement on Friday that opens the door to possible
free-trade talks.
U.S. Trade Representative Susan Schwab signed the Trade and
Investment Framework Agreement in Malaysia with the 10 member states of
the Association of South East Asian Nations (ASEAN).
The United States is the biggest buyer of ASEAN goods and the
region's largest foreign direct investor, pumping $8.7 billion into the
region last year, ASEAN data shows. In 2004, U.S. demand accounted for
14 percent of ASEAN exports.
The framework agreement seeks to lower non-tariff barriers to trade
and investment and is a necessary first step if both sides want to begin
free-trade negotiations. Washington has played down this prospect,
though it has a free-trade deal already with Singapore and is in
free-trade talks with Malaysia and Thailand.
ASEAN comprises Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar,
the Philippines, Singapore, Thailand and Vietnam.
Kuala Lumpur, Friday, Reuters |