WELCOME REMARKS BY MINISTER CHAN CHUN SING AT THE OPENING CEREMONY OF THE 50th ASEAN ECONOMIC MINISTERS (AEM) MEETING AND RELATED MEETINGS ON WEDNESDAY 29 AUG 2018, 10.00AM AT SHANGRI-LA HOTEL SINGAPORE
Prime Minister Lee Hsien Loong,
Your Excellencies,
Distinguished Delegates,
Ladies and Gentlemen,
1. A very good morning to all of you and warm welcome to Singapore, and to the 50th ASEAN Economic Ministers’ Meeting.
2. ASEAN has experienced tremendous growth since its inception in 1967. Staying open to trade has allowed ASEAN to grow from strength to strength. Trade, in this part of the world, is vital to our growth. With a combined GDP of USD 2.55 trillion, a collective market of about 650 million consumers and a rising middle class, ASEAN is poised to become the fourth largest economy by 2030 after the US, China and the EU.
3. However, the past two years have posed challenges for ASEAN, and the multilateral trading system as a whole. We have witnessed an escalation of trade tensions between major economies and the increasing inclination of some countries to adopt inward-looking policies. It is clear that trade openness can no longer be taken for granted. It has never been more important for ASEAN to stand united in support of an open, rules-based multilateral trading system.
4. Despite rising nationalistic tendencies and anti-trade sentiments elsewhere in the world, ASEAN has stayed the course in its trajectory of regional economic integration. Businesses and consumers in the region have benefited from the realisation of the ASEAN Economic Community in 2015. Intra-regional trade in goods are now largely tariff-free, non-tariff barriers have also been progressively reduced, services regulations made less onerous and more transparent and pro-business investment rules implemented. However, our work did not end in 2015.
5. In fact, we renewed our commitment to press on towards even deeper economic integration as we embarked on the AEC 2025 Blueprint. This includes the consolidation of our work done in 2015, and new initiatives to future-proof the AEC in light of rapid pace of technological change and digital disruption.
6. Singapore’s ASEAN Chairmanship comes at a critical juncture, as we take further steps to shape ASEAN into a cohesive organisation capable of adapting to a more complex and uncertain global environment, and an economic bloc that is prepared to capitalise on future opportunities.
7. We have made headway in this endeavour due to the strong support of all the ASEAN Member States (AMS). We took a huge leap forward in developing the ASEAN digital space and we witnessed the transition to the “live” operation of the ASEAN Single Window in January 2018 for five exchange-ready ASEAN Member States. The remaining AMS are expected to come on board soon. Our Leaders also agreed to work on the Digital Trade Standards Cooperation Initiative, which will be jointly developed by ASEAN and Australia. These initiatives will play a pivotal role in driving the development of seamless digital connectivity in the region.
8. Our ASEAN Tourism Ministers have adopted the ASEAN Declaration on Cruise Tourism. This will serve to bolster our intra-ASEAN tourism flows and the regional cruise industry. Good progress has also been made in several other longstanding initiatives which are core to our integration efforts. ASEAN will be embarking on a Feasibility Study on an ASEAN-wide Authorised Economic Operators Mutual Recognition Agreement or AEO MRA. When realised, it will translate to lesser administrative burden for traders and speedier customs clearance at the border. Externally, we have reaffirmed our commitment to redouble efforts to substantially conclude the Regional Comprehensive Economic Partnership or RCEP by the end of this year.
9. These achievements are testament to ASEAN’s unwavering vision and commitment to create a more integrated AEC for the continued prosperity for our people and businesses.
10. We must nevertheless continue to build on these successes. We should identify areas where our individual economies can complement one another to compete beyond ASEAN, take positive steps to facilitate trade, investment, and people-to-people links, so that collectively, we build a more integrated ASEAN. At the same time, we must uphold the multilateral and rules-based trading system. Our shared vision to continue deepening connections with each other and with our external partners is an important endeavour. We should do this well to further entrench ASEAN centrality and relevance in the global economy. We cannot afford to let recent policy U-turns elsewhere detract us from defending the very foundation that underpins the AEC that has benefited the region.
11. This is an important week for the ASEAN Economic Community. Within ASEAN, we will redouble efforts to advance our internal integration. We will also take time to meet our Dialogue Partners to discuss ways to further strengthen our economic cooperation. I am confident that we will achieve fruitful outcomes over the coming days as we renew our existing efforts, and undertake additional commitments to strengthen the AEC and foster deeper partnerships with our Dialogue Partners. This will serve as a bulwark against unilateralism and protectionism and keep us on a path towards growth, progress and prosperity for our peoples.
12. On this note, I also like to thank all our ASEAN partners for your support for Singapore’s Chairmanship without which we would not have been able to achieve so much over this year and we look forward to continuing our work with you for the rest of the year to achieve what we have set out to do.
Thank you very much and may you enjoy the discussions.