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Freedom of Moveme
I. Overview of ASEAN - 1 LAURETA movement of nt of
goods, services, labour is
§ What is ASEAN? Association of Southeast Asian
Nations capital and not free.
labour. The
§ History of ASEAN
● Established on 8 August 1967 in Bangkok,
Thailand, with the signing of the ASEAN Charter
Declaration (Bangkok Declaration) by the obliges
Founding Fathers of ASEAN, namely Indonesia,
Malaysia, Philippines, Singapore and Thailand. t h e
● Brunei Darussalam then joined on 7 January 1984, member
Viet Nam on 28 July 1995, Lao PDR and Myanmar states
on 23 July 1997, and Cambodia on 30 April 1999,
making up what is today the ten Member States of only to
ASEAN. facilitate
● It was while Thailand was brokering reconciliation
t h e
among Indonesia, the Philippines and Malaysia
over certain disputes that it dawned on the four moveme
countries that the moment for regional cooperation nt
had come or the future of the region would remain
uncertain. o f
§ Purpose of ASEAN - see below persons,
§ What ASEAN is not: (see generally table)
§ Is it the same as the European Union? professio
No nals,
§ Is it a formal conglomeration of 10 talents
Countries? No
§ Is it an International Organization? No a n d
EU ASEAN labour.
Both are regional organisations
with legal personalities.
28 members 1 0
members Both founded to promote peace.
EU - to prevent the recurrence of
war in Europe and to
institutionalise peace through
economic integration. Asean-
create a peaceful environment in
South-east Asia so that the Asean
countries could focus their
energies on their economic
Both seek to integrate the
economies of their member states
into a single market and
production platform.
Both commit to human rights. E u r o p e a n Asean
The EU has a Charter of Parliament has Inter-
Fundamental Rights and Asean the power to Parliame
has a Declaration of Human legislate, as well n t a r y
Rights. However, the EU has a as the power to Assembl
European Court of Justice. Asean veto budgets and y has
does not have a court. appointments. only the
power of
Both have concluded many free
trade agreements or
comprehensive economic
partnership agreements with P o w e r f u l Asean
other countries. secretariat called has a
the European relatively
Both hold regular political and
Commission s m a l l
economic dialogues with
a n d
important external partners. The
w e a k
EU holds annual summits with,
among others, the United States,
China, Japan and Russia. Asean
has created three forums to
engage its external partners,
namely, the Asean Regional
Forum, Asean Plus Three and the
East Asia Summit. In addition,
Asean holds bilateral dialogues
with its 10 dialogue partners.
Finally, Asean holds an annual
summit with the US, China,
India, Japan and South Korea.

A supranational Inter-
organisation. governm
P o o l e d e n t a l
sovereignty organizat
exercised by ion
E u r o p e a n
Euro (19 of 28 N o
members) common
EC acts like a Asean Decision making. Consens
government and Charter Weighted votes us. EXC:
is entitled to enter h a s economi
into treaties. The enhanced c
commission has t h e agreeme
the power to put power of nts can
f o r w a r d t h e b e
proposals for secretary adopted
legislation. -general. by a
One of majority,
his most using the
importan "Asean
t minus
responsi X "
bilities is formula.
to issue T h e
a n logic is
annual that the
report majority
card on c a n
e a c h proceed
member first and
state's t h e
complian minority
ce with w i l l
i t s catch up
obligatio later.
23 official English

§ What is the ASEAN Community?

The ASEAN Community is based upon three pillars:

ASEAN Security Community, ASEAN Economic
Community and an ASEAN Socio-Cultural
● Anchored on the ASEAN vision of an
integrated, peaceful and stable
community with shared prosperity.
● Resolve to consolidate the Community,
building upon and deepening the
integration process to realise a rules-
based, people-oriented, people-centred
ASEAN Community, where peoples
enjoy human rights and fundamental
freedoms, higher quality of life and the
benefits of community building,
reinforcing sense of togetherness and
common identity, guided by the purposes
and principles of the ASEAN Charter.
§ ASEAN Integration and the future of Filipino 2. ASEAN institutions
Lawyers § Basic documents
O Declaration of ASEAN Concord II, http://
As to date, no specific legislation yet passed by the www.asean.org/declaration-of-asean-concord-ii-
Congress regarding foreign (ASEAN) lawyers engaging bali-concord-ii-3/
in the practice of the legal profession in the Philippines. - Also known as Bali Concord II
The current system of the practice of law was not yet - Signed on October 7, 2003
affected. - Signed by: Brunei Darussalam, Cambodia, Indonesia,
Lao, Malaysia, Myanmar, Philippines, Singapore,
Due to developments in international law and Thailand, Vietnam
technology, law practice has long gone cross-border. - Reaffirming commitment to the principles enshrined
Usually calling themselves “consultants,” they work in in:
other countries giving advice or opinions on tax, (a) Asean Declaration (Bangkok, 1967)
customs, trade and international law issues to (b) Declaration on Zone of Peace, Freedom &
multinational corporations and international Neutrality [ZOPFAN] (KL, 1971)
organizations. Foreign (including Filipino) lawyers have (c) Treaty of Amity and Cooperation in
also risen as top executives in the Asian corporate Southeast Asia [TAC] (Bali, 1976)
world. All this without needing a law license from other (d) Declaration of ASEAN Concord I (Bali,
countries. 1976)
(e) Treaty on the Southeast Asia Nuclear
A great demand for legal services in the whole of Asean Weapons Free Zone [SEANWFZ] (BKK,
lurks around the corner. Country barriers to knowledge 1995)
of inter-Asean law, though not necessarily license to - Reaffirming principles of NON-
practice in all, is a necessity. INTERFERENCE and CONSENSUS in
ASEAN Cooperation
- Reiterating TAC is an effective code of
conduct for relations among govt and people
II. ASEAN and ASEAN Institutions - ZOSA - Adopted a framework to achieve a dynamic,
cohesive, resilient and integrated ASEAN
1. Introduction to ASEAN community, the three pillars:
§ The ASEAN Declaration (Bangkok Declaration) http:// (a) ASEAN Security Community - shall abide
www.asean.org/?static_post=the-asean-declaration- by the UN Charter and other principles of
bangkok-declaration international law and uphold ASEAN’s
- Founding document of ASEAN principles of Non-interference, consensus-
- Signed in Bangkok on Aug 8, 1967 based decision-making, national and regional
- Signed by ASEAN 5: Indonesia, Malaysia, Philippines, resilience, respect for national sovereignty,
Singapore, Thailand the renunciation of the threat or the use of
- States the basic principle force, and peaceful settlement of differences
- Aims and Purposes of ASEAN: and disputes
a. accelerate the economic growth, social
progress and cultural development in the (b) ASEAN Economic Community - aims for
region ASEAN Vision 2020; shall establish ASEAN
as a single market and production base,
b. promote regional peace and stability turning the diversity that characterises the
region into opportunities for business
c. promote active collaboration and mutual complementation making the ASEAN a more
assistance on matters of common interest dynamic and stronger segment of the global
supply chain; strengthen the implementation
d. provide assistance to each other in the of existing economic initiatives including
form of training and research facilities AFTA (ASEAN Free Trade Area), AFAS
(ASEAN Framework Agreement on
e. collaborate more effectively for the Services), AIA (ASEAN Investment Area);
greater utilization of agriculture and facilitate movement of business persons,
industries, expansion of their trade, skilled labour and talents; improve the
improvement of transportation and existing ASEAN Dispute Settlement
communications facilities, and raising the Mechanism
living standards of their peoples
(c) ASEAN Socio-Cultural Community - shall
f. promote Southeast Asian studies
ensure that its work force shall be prepared
g. maintain close cooperation with existing for, and benefit from, economic integration
international and regional organizations by investing more resources for basic and
with similar aims and purposes, and higher education, training, science,
explore all avenues for even closer technology development, job creation, and
cooperation social protection; believes development and
enhancement of human resources is a key - MEETINGS: twice annually, hosted by the Member State
strategy for employment generation, holding the ASEAN Chairmanship (Duterte was Chair
alleviating poverty and socio-economic for 2017, thus the ASEAN Summit held last year twice
disparities, and ensuring economic growth in the Ph)
with equity; shall continue efforts to promote - Current Chair: PM Lee Hsien Loong, SG
regional mobility and mutual recognition of - convened whenever necessary, as special or ad hoc
professional credentials, talents, and skills meetings to be chaired by the ASEAN Chairman
o Councils
The ASEAN Charter serves as a firm foundation in achieving The ASEAN Coordinating Council, established in 2008,
the ASEAN Community by providing legal status and comprise the ASEAN Foreign Ministers and is held at least
institutional framework for ASEAN. It also codifies ASEAN twice annually to prepare for the ASEAN Summit. In
norms, rules and values; sets clear targets for ASEAN; and accordance with Article 8 of the ASEAN Charter, the
presents accountability and compliance. following are the roles of the ACC:

The ASEAN Charter entered into force on 15 December 1. prepare the meetings of the ASEAN Summit;
2008. A gathering of the ASEAN Foreign Ministers was held 2. coordinate the implementation of agreements and
at the ASEAN Secretariat in Jakarta to mark this very historic decisions of the ASEAN Summit;
occasion for ASEAN. 3. coordinate with the ASEAN Community Councils
to enhance policy coherence, efficiency and
cooperation among them;
With the entry into force of the ASEAN Charter, ASEAN
4. coordinate the reports of the ASEAN Community
will henceforth operate under a new legal framework and
Council to the ASEAN Summit;
establish a number of new organs to boost its community-
5. consider the annual report of the Secretary-General
building process.
on the work of ASEAN;
6. consider the report of the Secretary-General on the
In effect, the ASEAN Charter has become a legally binding functions and operations of the ASEAN Secretariat
agreement among the 10 ASEAN Member States. It will also and other relevant bodies;
be registered with the Secretariat of the United Nations, 7. approve the appointment and termination of the
pursuant to Article 102, Paragraph 1 of the Charter of the Deputy Secretaries-General upon the
United Nations. recommendation of the Secretary-General; and
8. undertake other tasks provided for in this Charter
or such other functions as may be assigned by the
The importance of the ASEAN Charter can be seen in the
ASEAN Summit.
following contexts:
In implementing the above-mentioned roles, the ACC is
assisted by the Joint Consultative Meeting (JCM);
● New political commitment at the top level Committee of Permanent Representatives to ASEAN (CPR);
● New and enhanced commitments ASEAN Connectivity Coordinating Committee (ACCC); and
the Initiative for ASEAN Integration (IAI) Task Force.
● New legal framework, legal personality
● New ASEAN bodies
● Two new openly-recruited DSGs - Each shall ensure the implementation of the relevant
● More ASEAN meetings decisions of the ASEAN Summit
● More roles of ASEAN Foreign Ministers - Coordinate the work of different sectors under its
purview and on issues which cut across the other
● New and enhanced role of the Secretary-General of Community Councils
ASEAN - Submit reports and recommendations to the ASEAN
● Other new initiatives and changes Summit on matters under its purview
- Each shall meet at least twice a year and shall be
chaired by the appropriate Minister from the Member
§ Organizational structure of Secretariat, Councils, State holding the ASEAN Chairmanship
Summit i) ASEAN Political-
o Summit Security Community
- the Supreme policy-making body of ASEAN Council
- Comprise the Heads of State or Government of the ii) ASEAN Economic
Member States Community Council
- address emergency situations affecting ASEAN by taking iii) ASEAN Socio-
appropriate actions Cultural Community
- authorize the establishment and dissolution of Sectoral Council
Ministerial Bodies and other ASEAN institutions
- appoint the Secretary-General of ASEAN o Secretariat
- The Sec-Gen shall be appointed by the ASEAN provide for the possibility of expanding the composition of
Summit for a non-renewable term of 5 years, selected the ASEAN Secretariat staff by adding a clause under Article
from among nationals of the ASEAN Member States 4 “and such other officers, as the Standing Committee may
based on alphabetical rotation, with due consideration deem necessary”.
on integrity, capability and professional experience and
gender equality
3. In 1985, the tenure of office of the Secretary-General was
- Current: Lim Jock Hoi, Brunei, elected 2017
changed from 2 years to 3 years.
- Sec-Gen shall carry out the duties and responsibilities
of the high office in accordance with the provisions of
the Charter and relevant ASEAN instruments, 4. In 1989, the posts of Deputy Secretary-General and nine
protocols and established practices Assistant Directors were created.
- Facilitate and monitor progress in the implementation
of ASEAN agreements and decisions, and submit an
5. The Singapore Summit of 1992 agreed on the restructuring
annual report on the work of ASEAN to the ASEAN
of ASEAN institutions. These included (a) regularizing the
formal and informal summits, (b) the dissolution of the five
- Shall also be the Chief Administrative Officer of
ASEAN economic committees and the establishment of
SEOM and AFTA Council, (c) the redesignation of the
- Four Deputy Sec-Gen shall comprise: 2 serving non-
Secretary-General of the ASEAN Secretariat into the
renewable 3 years, 2 who will serve a term of 3 years
Secretary-General of ASEAN with an enlarged mandate to
which may be renewed for another 3 years
initiate, advise, coordinate and implement ASEAN activities
and (d) the professionalization of the ASEAN Secretariat
§ Agreement on the Establishment of the ASEAN
staff on the principle of open recruitment.
Secretariat http://agreement.asean.org/
- Signed on Feb 24, 1976, Bali 6. The Manila Protocol of 22 July 1992 implemented the
- Signed by Indonesia, Malaysia, Philippines Singapore Singapore Summit decision. The tenure of office of the
and Thailand Secretary-General was increased to five years. Changes in
- Agreed to the creation of ASEAN Secretariat the basic functions of the ASEAN Secretariat have been
- The basic mandate of the ASEAN Secretariat is “to reflected in the functions and powers of the Secretary-
provide for greater efficiency in the coordination of General, which appears as Annex B.
ASEAN organs and for more effective implementation
of ASEAN projects and activities”
7. In 1997, an additional post of Deputy Secretary-General
was created.
§ Various Protocols Amending the Agreement on
the Establishment of the ASEAN Secretariat
http://agreement.asean.org/media/ 8. The Sixth ASEAN Summit mandated the review of the
download/20140117153010.pdf overall organizational structure of ASEAN in order to further
h t t p : / / a g r e e m e n t . a s e a n . o rg / m e d i a / improve efficiency and effectiveness, taking into account the
download/20140117153205.pdf expansion of ASEAN activities, the enlargement of ASEAN
h t t p : / / a g r e e m e n t . a s e a n . o rg / m e d i a / membership, and the current regional situation. As part of
download/20140117153444.pdf this review, the Summit also decided to “review the role,
h t t p : / / a g r e e m e n t . a s e a n . o rg / m e d i a / functions and capacity of the ASEAN Secretariat to meet the
download/20140117153705.pdf increasing demands of ASEAN and to support the
h t t p : / / a g r e e m e n t . a s e a n . o rg / m e d i a / implementation of the Hanoi Plan of Action”.
9. In pursuance of this mandate, the ASEAN Standing
Committee established in September 1998 a Special
1. The ASEAN Secretariat was established on 24 February
Directors-General Working Group on the Review of the Role
1976 by the Foreign Ministers of ASEAN. The Agreement on
and Functions of the ASEAN Secretariat. To assist in the
the Establishment of the ASEAN Secretariat stated that the
review process, the ASC commissioned PriceWaterHouse
basic mandate of the ASEAN Secretariat is “to provide for
Coopers in November 1998. The ASEAN Directors-General
greater efficiency in the coordination of ASEAN organs and
considered the consultant’s Final Report in April 1999.
for more effective implementation of ASEAN projects and
activities”. The more detailed functions of the ASEAN
Secretariat were embodied in the functions and powers of the 10. While upholding the basic mandate of the Secretary-
Secretary-General (See Annex A). The ASEAN Secretariat General of ASEAN as set out in the 1992 Protocol Amending
was established with the following composition: Secretary- the Agreement on the Establishment of the ASEAN
General, three Bureau Directors, a Foreign Trade and Secretariat, the ASEAN Standing Committee agreed that the
Economic Relations Officer, an Administrative Officer, a ASEAN Secretariat should function as coordinating
Public Information Officer and an Assistant to the Secretary- Secretariat to help facilitate effective decision-making within
General. and amongst ASEAN bodies. The Secretariat would
emphasize more on substantive matter, while its tasks on
servicing the various meetings would be precisely defined.
2. Several amendments to the 1976 basic Agreement have
been made since then. The 1983 amendment was made to
11. The ASEAN Secretariat has now put in place a functional ● New and enhanced commitments
structure. One of the two Deputy Secretaries-General has ● New legal framework, legal personality
assumed the role of chief-of-staff who shall be responsible ● New ASEAN bodies
for corporate affairs to ensure efficiency in the internal ● Two new openly-recruited DSGs
management of the ASEAN Secretariat. The other Deputy ● More ASEAN meetings
Secretary-General shall serve as chief operations who will ● More roles of ASEAN Foreign Ministers
support the Secretary-General in operations and policy ● New and enhanced role of the Secretary-General of
matters. ASEAN
● Other new initiatives and changes
12. Corporate affairs shall include the following areas:
o The ASEAN Way
administration; finance and funding; human resources; public
information; information technology; and special projects. It refers to a methodology or approach to solving issues that
The operational bureaus will include the Task Force for respects the cultural norms of Southeast Asia. Masilamani
Financial Cooperation and Macroeconomic Surveillance; and Peterson summarise it as "a working process or style that
Economic and Functional Cooperation; Trade, Investment is informal and personal. Policymakers constantly utilize
and Services; and Programme Coordination and External compromise, consensus, and consultation in the informal
Relations. decision-making process... it above all prioritizes a
consensus-based, non-conflictual way of addressing
13. The measures aimed at improving internal management problems. Quiet diplomacy allows ASEAN leaders to
of the ASEAN Secretariat include (a) the formulation of communicate without bringing the discussions into the public
annual operating plans to provide a framework for view. Members avoid embarrassment that may lead to further
determining the Secretariat’s priorities and resource conflict." It has been said that the merits of the ASEAN Way
allocation decisions; (b) strengthening of corporate services, might "be usefully applied to global conflict management".
particularly in financial management, it services, and human However, critics have argued that such an approach can be
resources development; (c) considerable increase in only applied to Asian countries to specific cultural norms and
professional Locally-Recruited Staff to free senior officers’ understandings notably due to a difference in mindset and
time from administrative and secretarial tasks, enabling level of tension.
greater focus on strategic and substantive matters. Critics object claiming that the ASEAN Way's emphasis on
consultation, consensus, and non-interference, forces the
organisation to adopt only those policies which satisfy the
III. ASEAN Charter – 1 TORRES/ ZAPANTA lowest common denominator. Decision making by consensus
§ ASEAN Charter requires members to see eye-to-eye before ASEAN can move
http://agreement.asean.org/media/download/ forward on an issue. Members may not have a common
20141204151618.pdf conception of the meaning of the ASEAN Way. Myanmar,
Cambodia, and Laos emphasise non-interference while older
The ASEAN Charter serves as a firm foundation in achieving member countries focus on co-operation and co-ordination.
the ASEAN Community by providing legal status and These differences hinder efforts to find common solutions to
institutional framework for ASEAN. It also codifies ASEAN particular issues, but also make it difficult to determine when
norms, rules and values; sets clear targets for ASEAN; and collective action is appropriate in a given situation
presents accountability and compliance.
It is also the official anthem of the ASEAN.
The ASEAN Charter entered into force on 15 December
2008. A gathering of the ASEAN Foreign Ministers was held “Raise our flag high, sky high
at the ASEAN Secretariat in Jakarta to mark this very historic Embrace the pride in our heart
occasion for ASEAN. ASEAN we are bonded as one
Look-in out-ward to the world.
With the entry into force of the ASEAN Charter, ASEAN For peace, our goal from the very start
will henceforth operate under a new legal framework and And prosperity to last.
establish a number of new organs to boost its community-
building process. We dare to dream we care to share.
Together for ASEAN
we dare to dream,
In effect, the ASEAN Charter has become a legally binding we care to share for it’s the way of ASEAN.”
agreement among the 10 ASEAN Member States. It will also
be registered with the Secretariat of the United Nations,
pursuant to Article 102, Paragraph 1 of the Charter of the
United Nations.
o ASEAN as an international organization
The importance of the ASEAN Charter can be seen in the
following contexts: § Agreement on the Privileges and Immunities of the
Association of Southeast Asian Nations
● New political commitment at the top level
ASEAN and its property and assets shall enjoy mutandis to the Permanent Representatives and officials
immunity from every form of legal process except on ASEAN duties while they participate in official
when it expressly waived its immunity. It is, ASEAN activities or represent ASEAN in Member
however, understood that no waiver of immunity States, other than the host Member State.
shall extend to any measure of execution.

The premises of ASEAN shall be inviolable and

immune from search, requisition, confiscation, § Vienna Convention on Diplomatic Relations
expropriation and any other form of interference.
The functions of a diplomatic mission consist, inter alia,
All forms of communications and the archives of in:
ASEAN, and in general all documents wherever 1. Representing the sending State in the receiving
located, shall be inviolable. State;
2. Protecting in the receiving State the interests of the
http://agreement.asean.org/media/download/ sending State and of its nationals, within the limits
20140416012939.pdf permitted by international law;
3. Negotiating with the Government of the receiving
4. Ascertaining by all lawful means conditions and
o Diplomatic Immunities of ASEAN Officials developments in the receiving State, and reporting
thereon to the Government of the sending State;
1. The officials of the Member States shall, while and,
participating in official ASEAN activities or 5. Promoting friendly relations between the sending
representing ASEAN in the Member States, shall enjoy: State and the receiving State, and developing their
(a) immunity from personal arrest or detention and from economic, cultural and scientific relations.
seizure of their personal baggage, and, in all acts done
by them in their capacity as representatives, immunity
from legal process of every kind;
(b) inviolability for all papers and documents; § Agreement between the Government of the Republic
(c) the right to use codes and to receive papers or of Indonesia and the Association of Southeast Asian
correspondence by courier or in sealed bags; Nations (ASEAN) on Hosting and Granting Privileges
(d) the same facilities in respect of currency or exchange and Immunities to the ASEAN Secretariat
restrictions as are accorded to representatives of foreign
governments on temporary official missions; 1. Indonesia shall grant to the ASEAN Secretariat,
(e) the immunities and facilities in respect of their staff and other related institutions the freedom to
personal baggage as are accorded to diplomatic envoys. hold activities in conformity with ASEAN’s
purposes and principles in its territory.
2. In order to secure complete freedom of speech and 2. Indonesia shall facilitate access to the Secretariat
independence in the discharge of their duties, the for any person, irrespective of nationality, who
immunity from legal process in respect of all acts done performs any function for the Secretariat, subject to
by them in discharging their duties shall continue to be the prevailing laws and regulations of Indonesia.
accorded, notwithstanding that the persons concerned 3. The Secretariat shall have the power to make rules
are no longer the officials of the Member States. and regulations operative within the premises for
the full and independent exercise of its activities
3. Privileges and immunities are accorded to the and performance of its functions.
officials of the Member States in order to safeguard the
independent exercise of their functions in connection http://agreement.asean.org/media/download/
with ASEAN and not for the personal benefit of the 20140416010338.pdf
individuals themselves. Consequently a Member State
not only has the right but is under a duty to waive the
immunity of its officials in any case where in the
opinion of that Member State the immunity would § Agreement between the ASEAN Secretariat and the
impede the course of justice, and it can be waived Government of the Republic of Indonesia Concerning
without prejudice to the purposes for which the the Use and Maintenance of the Premises of the
immunity is accorded. Residence of the Secretary-General of ASEAN
● The premises of the ASEAN where the Secretary-
4. The provisions of Paragraphs 1 and 2 of this Article General resides is located at Jalan Imam Bonjol 49,
are not applicable as between the officials of the Jakarta Pusat, Indonesia (the address before). The
Member States and the authorities of the Member State address now is Jalan Sisingamangaraja No.70A,
of which they are nationals or are permanently resident, South Jakarta, Indonesia.
or of which they are or have been the officials. ● Responsibilities of First Party:
● Responsibilities of the Second Party:
The provisions on privileges and immunities relating to a. Maintenance of the landscape, parking facilities
the officials of the Member States shall apply mutatis and fencing, and remodelling;
b. Maintenance of building; Community Councils on the progress of its
c. Cost of maintenance of fixtures, furniture, and implementation;
furnishing provided by the First Party; 4. ALSO TASK concerned Ministers and the
d. Cost of additional furniture and fixtures; Secretary-General of ASEAN to mobilise resources
e. Cost of janitorial services, security, electricity, from Member States, Dialogue and Sectoral
phone, and water bills; Partners, Development Partners of ASEAN as well
f. Cost of insurance of premises and its contents; as from other external parties to implement this
g. Cost of maintenance and replacement of the Declaration; and
Second Party Equipment; 5. PLEDGE our resolve and commitment to promote
h. Allow duly authorized personnel to inspect, repair, ASEAN peoples to participate in and benefit fully
maintain, reconstruct, etc. the facilities of the from the process of ASEAN integration and
property. community building.

2. ASEAN Political Security Community

IV. ASEAN Community – CARO/ AGUILAR 5187-18.pdf
1. ASEAN Community
Cha-Am Hua Hin Declaration on the Roadmap for an
ASEAN Community (2009-2015)

Issued in light of the following:

● RECALLING ALSO the ASEAN Vision 2020,
which charts a future direction for ASEAN as a
concert of Southeast Asian nations, outward-
looking, living in peace, stability and prosperity,
bonded together in partnership in a just,
democratic, and harmonious environment, dynamic
development and ever-closer economic integration
and in a community of caring societies, conscious
of its ties of history, aware of its shared cultural
heritage and bound by a common regional identity;
● RECOGNISING the Declaration of ASEAN
Concord II (Bali Concord II), which seeks to bring
the ASEAN Vision 2020 into reality by setting the
goal of building an ASEAN Community by 2020
comprising three pillars, namely political-security
community, economic community and socio-
cultural community, all of which are closely
intertwined and mutually reinforcing for the
purpose of ensuring durable peace, stability and
shared prosperity in the region;

Actions: 3. ASEAN Economic Community

1. AGREE that the ASEAN Political-Security http://www.asean.org/wp-content/uploads/archive/
Community Blueprint, the ASEAN Economic 5187-10.pdf
Community Blueprint, the ASEAN Socio-Cultural
Community Blueprint and the IAl Work Plan 2 ASEAN ECONOMIC COMMUNITY BLUEPRINT
(2009-2015), as annexed, shall constitute the
Roadmap for an ASEAN Community (2009-2015), The AEC’s vision for the next nine years, laid out in
and each ASEAN Member State shall ensure its
the AEC Blueprint 2025, includes the following:
timely implementation;
2. ALSO AGREE that the Roadmap for an ASEAN 1. A highly integrated and cohesive economy
Community (2009-2015) shall replace the 2. A competitive, innovative, and dynamic ASEAN
Vientiane Action Programme; 3. Enhanced connectivity and sectoral cooperation
3. TASK the concerned ASEAN Sectoral Ministerial 4. A resilient, inclusive, people-oriented and
Bodies and the Secretary-General of ASEAN to people-centred region
implement this Declaration as well as monitor 5. A global ASEAN.
commitments supported by the Committee of
Permanent Representatives, and report to us The AEC Blueprint 2025 sets out the strategic
regularly through the respective ASEAN measures under each of the five characteristics of
AEC 2025. To operationalise the Blueprint’s Seeking to improve the physical connectivity of the
implementation, these strategic measures will be
region, ASEAN lines-up projects such as the
further elaborated in and implemented through the
work plans of various sectoral bodies in ASEAN. ASEAN Highway Network, Singapore-Kunming
The sectoral work plans will be reviewed and
updated periodically to ensure their relevance and Railway Link, and the ASEAN Power Grid. Other
effectiveness. Partnership arrangements with the ASEAN initiatives are geared towards, among
private sector, industry associations and the wider
community at the regional and national levels will others, the protection of intellectual property rights,
also be actively sought and fostered to ensure an consumer protection, tourism promotion, public-
inclusive and participatory approach to the
integration process. Institutions will be private dialogues and partnerships, and narrowing
strengthened and enhanced approaches to the development gaps in the region.
monitoring and public outreach will likewise be
developed to support the effective implementation Benefitting from the AEC
of the Blueprint.
Achieving the objectives of AEC translates to a
AEC-Related Programs better investment climate in ASEAN. The AEC
To promote investment, ASEAN launched several facilitates the implementation of trade, services,
projects such as the ASEAN Investment Website investment, and other reforms necessary in each
which highlights the viability of the region as an ASEAN Member States, thereby improving each
investment location, the ACIA Forum, and the country’s location offers. At the regional level, the
publication of the annual ASEAN Investment AEC is critical in developing the ASEAN as a
Report, among others. region and making it one of the most competitive
Initiatives related to enhancing trade include the economic blocs in the world.
ASEAN Single Window which will allow traders to SPECIAL MENTION TO MELA!!
submit trade-related documents in one place
through electronic exchange among ASEAN
countries; ASEAN Self-Certification System which
will allow exporters to declare and self-certify the
ASEAN product content in their products; and
ASEAN Customs Modernization.
ASEAN also pursues initiatives to ensure food
safety and security and address climate change.
One of these is the ASEAN Integrated Food
Security (AIFS) Framework which promotes the
development of sustainable food production
through agricultural infrastructure improvements,
adoption of new technologies, etc.
To achieve financial integration, ASEAN is
constructing long-term infrastructures for
developing ASEAN capital market which will
enhance market access, linkages, and liquidity. It is
also working towards capital account liberalisation
through the removal of capital controls and
restrictions, including the elimination of restrictions
on current account transactions, FDIs, and portfolio
Achieving a M e m b e r Removing As of 2015,
single goods States have Barriers to among the
market - the aim eliminated T r a d e k e y
has been no less i m p o r t through achievement
than to d u t i e s Facilitative s, are: the
eliminate trade a m o n g Standards development
bottlenecks; that themselves a n d of MRAs on
has involved the by 2010 for Conformanc Bioequivalen
daunting task of t h e e – To put in ce study and
removing ASEAN-6 p l a c e G o o d
tariffs, reducing ( B r u n e i measures to Manufacturi
paperwork and Darussalam, r e d u c e ng Practice
cutting the Indonesia, technical in the
waiting times of Malaysia, barriers to pharmaceuti
getting products t h e t r a d e , cal sector. In
to market, with Philippines, including t h e
the added Singapore m u t u a l cosmetics
benefit of a n d recognition sector, the
reducing risks Thailand), arrangement introduction
associated with and – by s (MRAs), of the
consigning 2015 with along with A S E A N
goods. flexibility to harmonisati Harmonised
2018 – for on of Cosmetic
the CLMV standards, Regulatory
(Cambodia, technical Scheme and
Lao PDR, requirement the Post
Myanmar s and M a r k e t
and Viet development Surveillance
Nam). As of o f Notification
2015, the guidelines. S y s t e m
ASEAN-6 assure safety
h a v e and quality
virtually information,
eliminated harmonisati
their intra- on of 121
regional E E E
tariffs, with standards
99.2% of a n d
tariff lines at technical
0%. For the regulations,
CLMV, the 47 test
figure stands standards
at 90.86% for rubber-
giving an b a s e d
A S E A N products, 15
average of technical
95.99%. requirement
Bolstering As of 2015, To become a The AEC
productivity eight MRAs world class also provides
through have been investment a business-
s k i l l s concluded, destination - supportive
mobility – namely on to liberalise, environment
To leverage engineering facilitate, through
productivity services, promote, regulatory
by building n u r s i n g and protect frameworks
capacity in services, cross-border that promote
skills. architectural investment, f a i r
services, based on competition
framework internationa and freer
for surveying l best flow of
qualification practices. capital. As of
s, medical A l s o , 2015, almost
practitioners m e m b e r all Member
, dental states aim to States have
practitioners improve in place
, the t h e i r consumer
framework investment protection
f o r regimes to laws as well
accounting help create a a s
services, and competitive competition
tourism investment laws. Work
professionals environment towards
. The ASEAN in the building an
MRAs adopt region. innovation-
different supportive
approaches, environment
reflecting the is also
v a r y i n g enhanced
nature of through co-
t h e s e operation
services and and capacity
the realities building in
of regulatory the area of
regimes intellectual
across the property (IP)
M e m b e r rights.

As of 2015,
more than
1 , 2 5 0
are recorded
within the
Integrated The stock Towards a The ASEAN
Regional exchanges of connected Highway
Financial a number of AEC - To Network is a
System - to A S E A N s t a y v i t a l
achieve a States have competitive, infrastructur
w e l l - collaborated transport e and
functioning to form the time and logistics
regional A S E A N distribution component,
financial Exchanges, costs need to w h i c h
system with promoting be reduced supports
m o r e A S E A N through t r a d e
liberalised c a p i t a l infrastructu facilitation,
financial markets and r e investment
services, offering development opportunitie
c a p i t a l m o r e as well as s and
account opportunitie efficient and tourism. The
regimes and s to investors enhanced Singapore-
inter-linked across the institutions. Kunming
c a p i t a l region. The Rail Link
markets, to A S E A N (SKRL) is a
facilitate Trading development
g r e a t e r L i n k , p r o j e c t
trade and launched in l i n k i n g
investment September ASEAN with
in the 2 0 1 2 , China over a
region. provides total length
investors of 7,000 km.
with easier W o r k
and more towards the
seamless completion
access into of such
the markets flagship
of Malaysia, infrastructur
Singapore e projects,
a n d which have
Thailand b e e n
from one identified as
single access priorities in
point. ASEAN’s
transport co-
In an effort operation,
to raise will continue
corporate after 2015.
standards The ASEAN
a n d Open Skies
practices Policy was
An Inclusive To support A Globally- ASEAN has
a n d S M E s ’ engaged elevated
Participatory participation ASEAN - t h e s e
AEC for in global The region partnerships
Enterprises value chains, also seeks to by asserting
of All Sizes - ASEAN has make the its centrality
To enhance put in place most of and taking a
t h e the ASEAN trade and lead in
competitive Benchmark investment negotiations
ness and for SME links with towards the
expansion of C r e d i t m a j o r Regional
S M E s , R a t i n g regional Comprehens
particularly Methodology economies i v e
through , the SME through the Economic
improved S e r v i c e “ASEAN+1” Partnership
access to Centre, the free trade (RCEP), an
finance, ASEAN SME a n d F T A
markets, Policy Index comprehensi involving
h u m a n and the ve economic ASEAN and
resources, A S E A N partnership its six FTA
information Common agreements partners.
a n d Curriculum ( F T A s /
advisory f o r CEPs) with Starting in
services, Entrepreneu C h i n a , 2 0 1 3 ,
technology rship, among Japan, the negotiations
a n d o t h e r Republic of for this
innovation. measures. K o r e a , ASEAN-led
I n d i a , agreement
Australia are expected
and New to be
Zealand. substantially
concluded by
the end of
2015, with
f u r t h e r
work to
into 2016.
aimed at
achieving a
ve, high-
quality and
(g) a view towards enhanced
THANKS TO MELA AGAIN!! participation in global value
ASEAN Community Vision 2025 chains;
ASEAN Economic Community 2025 3. Enhanced connectivity and sectoral
cooperation with improvements in
General Objectives: regional frameworks, including strategic
1. Highly integrated and cohesive sectoral policies vital to the effective
regional economy that supports operationalization of the economic
sustained high economic growth by: community;
(a) increasing trade, investment, and 4. A resilient, inclusive, people-oriented
job creation; and people-centred community:
(b) improving regional capacity to (a) that engenders equitable
respond to global challenges and development and inclusive
mega trends; growth;
(c) advancing a single market (b) a community with enhanced
agenda through enhanced micro, small and medium
commitments in trade in goods, enterprise development policies
and through an effective and cooperation to narrow the
resolution of non-tariff barriers; development gaps; and
(d) deeper integration in trade in (c) a community with effective
services; and business and stakeholder
(e) a more seamless movement of engagement, sub- regional
investment, skilled labour, development cooperation and
business persons, and capital; projects, and greater economic
2. A competitive, innovative and dynamic opportunities that support
community which fosters robust poverty eradication; and
productivity growth including: 5. A global ASEAN that fosters a more
(a) through the creation and practical systematic and coherent approach:
application of knowledge, (a) towards its external economic
(b) supportive policies towards relations;
innovation, (b) a central and foremost facilitator
(c) science-based approach to green and driver of regional economic
technology and development, integration in East Asia; and
and (c) a united ASEAN with an
(d) by embracing the evolving digital enhanced role and voice in
technology; global economic fora in
(e) promotion of good governance, addressing international
transparency and responsive economic issues.
(f) effective dispute resolution; and CHARACTERISTICS AND ELEMENTS OF
A. Highly Integrated and Cohesive Economy 6. Business-friendly and innovation-
B. Competitive, Innovative and Dynamic ASEAN supportive environment
C. Enhanced Connectivity and Secotoral This is achieved through the adoption of common
Coooperation frameworks, standards and mutual cooperation in
D. Resilient, Inclusive and People-oriented, various areas, such as in agriculture and financial
people-centered ASEAN services, and in competition policy, intellectual
E. Global ASEAN property rights, consumer protection as well as
SME development.

7. Physical improvement in transportation

and other infrastructure networks
ASEAN AEC 2015 These improvements have facilitated cross-border
KEY ACHIEVEMENTS transportation and contributed to the reduction of
1. More liberalized market the overall costs of doing business, providing
Intra-ASEAN import tariffs have been virtually ASEAN people and business the opportunity to
eliminated and formal restrictions in services sector work together more productively.
gradually removed, providing its peoples with
greater opportunities in trading and doing business 8. Narrowing the development gap
within the region. Along with the process of regional integration,
initiatives that help narrow the development gap
2. Reduced trade costs among and within ASEAN Member States have
Cross-border trading processes have been also been put into place.
simplified, including in customs procedures and
rules of origin, harmonization of technical
regulations and mutual recognition arrangements. 4. ASEAN Socio-Cultural Community
3. Enhanced mobility of skilled people ASEAN Socio-Cultural Community (ASCC) Blueprint 2025
Cross border movement of killed people and At the heart of the ASEAN Socio-Cultural Community
(ASCC) is the commitment to lift the quality of life of its
professional has been facilitated peoples through cooperative activities that are people-
oriented, people-centred, environmentally friendly, and
geared towards the promotion of sustainable development to
4. Improved investment regimes face new and emerging challenges in ASEAN. The ASCC is
ASEAN has become a more attractive investment committed to opening a world of opportunities to collectively
deliver and fully realise human development, resiliency and
destination for international and domestic investors sustainable development through Member States’
cooperation on a wide range of area, including: culture and
information, education, youth and sports, health, social
5. Free trade and comprehensive economic welfare and development, women and gender, rights of the
women and children, labor, civil service, rural development
partnership agreements and poverty eradication, environment, transboundary haze-
ASEAN businesses are provided with more pollution, disaster management and humanitarian assistance.
opportunities to expand their reach in the external
Given the complex challenges in the region, the ASCC
markets, and strengthen their role in regional and envisions an ASEAN Socio-Cultural Community where
global value chains people enjoy the benefits of being part of ASEAN. The
ASCC Blueprint 2025 will thus strive for a community that
engages and benefits the people, and is inclusive, sustainable,
resilient and dynamic.
To do this, the ASCC is working towards: interests;

Ensure fundamental freedoms, human rights and better lives
● for all ASEAN peoples;

A committed, participative and socially-responsible
Strengthen capacity to deal with existing and emerging
community for the benefit of ASEAN peoples;
● challenges while maintaining ASEAN centrality;

An inclusive community that promotes high quality
An outward-looking and global player;

of life, equitable access to opportunities for all and
Implement the ASEAN agenda while pursuing national
promotes and protects human rights;
● aspirations which contribute to ASEAN Community
A sustainable community that promotes social
building; and

development and environmental protection;
● Strengthen ASEAN Organs and the ASEAN Secretariat.

A resilient community with enhanced capacity and
Key Elements of the ASEAN 2025

capability to adapt and respond to social and

economic vulnerabilities, disasters, climate change,
4. ASEAN 2025 consists of specific action lines and strategic
and other new challenges; and
● measures to realise the targets identified.

A dynamic and harmonious community that is

aware and proud of its identity, culture and
5. The key aspirations across the three pillars are:


Political-Security Community

5. ASEAN 2025 Vision http://www.asean.org/
A rules-based, people-oriented, people-centred ASEAN in a
region of peace, stability and prosperity;

h t t p : / / w w w. a s e a n . o r g / s t o r a g e / 2 0 1 5 / 1 1 /
A consolidated ASEAN Community;

A dynamic, resilient and harmonious community able to
effectively respond to social and economic vulnerabilities
ASEAN 2025 at A Glance

and other non-traditional security threats;


A Community that can respond effectively to challenges

affecting ASEAN from within and beyond the region;

1. ASEAN was proclaimed a Community through a
A Community that steadfastly maintains ASEAN centrality in
Declaration signed by ASEAN Leaders at their 27th Summit
regional mechanisms;

in Kuala Lumpur on 22 November 2015. This is a historic
Strengthened ASEAN unity and cohesiveness to protect its
development and important milestone in the evolvement of
leading and central role in dealing with matters of common
ASEAN since its founding in 1967. An ASEAN Community
concern; and

is the realisation of the vision articulated eight years ago by
Enhanced dialogue and cooperation with ASEAN external
ASEAN Leaders for the regional organisation to achieve
partners for mutual benefit and interest.

community status by 2015. The guiding document was the
Economic Community

“Roadmap for an ASEAN Community: 2009-2015″ endorsed

by ASEAN Leaders at their 14th ASEAN Summit in Cha-am,
A well integrated and connected economy within the global

economic system;

A business-friendly, trade-facilitative, market driven and
2. ASEAN 2025: Forging Ahead Together, which was
predictable environment which inspires investor confidence;

simultaneously endorsed by the Leaders at their 27th
A region with a key role in global value chains and
Summit, charts the path for ASEAN Community building
increasing participation in high value added and knowledge-
over the next ten years. It is a forward looking roadmap that
based activities;

articulates ASEAN goals and aspirations to realise further
A competitive and dynamic region that inspires innovation
consolidation, integration and stronger cohesiveness as a
and where businesses of all sizes thrive, and where
Community. ASEAN is working towards a Community that
consumers’ rights are protected;

is “politically cohesive, economically integrated, and socially
A community where the benefits from economic integration
responsible”. The ASEAN 2025 Document is the outcome of
are equitably shared among and within ASEAN Member
a year of planning and intense discussions, and reflects the
States, including with micro, small and medium enterprises,
determination of Member States to forge ahead with the next
youth, and women entrepreneurs; and

phase of ASEAN’s evolvement.

A connected region where improvements in transport

linkages and infrastructure help peoples and businesses move
3. The focus for the ASEAN Community over the next ten
efficiently and work more productively across borders,
years would be guided by but not limited to the following
expand market reach and strategically source goods and
broad goals that will further consolidate and strengthen the

regional grouping:

Socio-Cultural Community

Greater emphasis on the peoples of ASEAN and their well-
An inclusive Community that is people-oriented, people-

centred and promotes a high quality of life and equitable
Enhance awareness of ASEAN and its Vision of a politically
access to opportunities for all, and engages relevant
cohesive, economically integrated and socially responsible
stakeholders in ASEAN processes;


A sustainable Community that promotes social development
Engage all nationals of ASEAN Member States through
and environmental protection through effective mechanisms
effective and innovative platforms to promote commitment
to meet current and future needs of the peoples;

and identification with ASEAN policies and regional
A resilient Community with enhanced capacity to Greater opportunities for cooperation on regional defence
continuously respond and adapt to current challenges and and security matters;

emerging threats; and
 Working together to share best practices and successful case
A dynamic, open, creative and adaptive Community with an studies on engagement and integration policies while
ASEAN identity reflecting the region’s collective personality, recognising that the ASEAN Member States will continue to
norms, values and beliefs as well as aspirations as one benefit from capacity building, resources and training
ASEAN Community.
 provided by external partners .

6. For the ASEAN peoples, ASEAN 2025 means that:
 Increased economic, trade and investment activities;

 A stronger, more visible and united ASEAN, with a greater
They will continue to live in a more united, secure, peaceful role and voice in global economic fora and increased
and cohesive region;
 contribution to global economic governance; and

They will benefit and enjoy the gains resulting from Increased opportunities for capacity building, sharing of
enhanced sustainable environmental governance and experiences and knowledge, including best practices and
practices in the region;
 people exchange.

Their human rights, fundamental freedoms, dignity and Moving Forward

social justice will be promoted and protected;

They will enjoy good governance that shall be further 8. ASEAN 2025 reaffirms commitment, continuation and
 consolidation of ASEAN Community building. This is a
They will be part of a participative and socially responsible continuous and forward-looking process to strengthen the
community with equitable access to opportunities for all;
 ASEAN Community based on the political-security,
They will be better protected against pandemics, natural and economic and socio-cultural pillars to forge ahead together.

human-induced disasters and calamities, transnational crimes 

and transboundary challenges;
 9. The action lines/strategic measures in the respective
They can engage purposefully with one another in ASEAN Blueprints of ASEAN Community 2025 seek to complete,
and the world;
 within a specific timeframe, key measures from the previous
They will enjoy greater prosperity through increased Roadmap that have yet to be implemented and to build on the
economic opportunities, enhanced regional connectivity, ease experiences and expertise acquired in the preceding 10 years
of intra-ASEAN travel and doing business as well as a to tackle new challenges, harness new technologies and
resilient regional economy;
 ensure opportunities for all.

They will benefit from greater employment opportunities and 

quality jobs as well as from mobility of skilled labour and 10. Through this process, ASEAN also demonstrates to its
 partners and the world that it is determined to maintain
They will enjoy access to wider choices, safer, and better ASEAN’s role in dealing with challenges that affect the
quality products and services;
 peace, security and stability of Southeast Asia. This means
They will benefit from better cost savings for businesses as that ASEAN as a region is committed to and prepared to
well as consumers through improved access and work with all partners concerned to address issues of mutual

They will benefit from access to a wider and better range of 

technologies and expertise; and
 11. ASEAN 2025: Forging Ahead Together consists of the
They will benefit from a strengthened ASEAN institutional Kuala Lumpur Declaration on ASEAN 2025: Forging Ahead
capacity to implement the ASEAN agenda;
 Together, the ASEAN Community Vision 2025, the ASEAN
7. For ASEAN’s partners, ASEAN 2025 means:
 Political-Security Community Blueprint 2025, the ASEAN

 Economic Community Blueprint 2025 and the ASEAN
Partnership with a dynamic Community that is committed to Socio-Cultural Community Blueprint 2025.
and has the capacity to contribute to a peaceful, secure and
stable region;

Engaging a Community that wants to cooperate and Special Issues: DUMAYAS/ LOYOLA
collaborate with like-minded partners to promote regional § ASEAN Community versus the European Union
peace and stability;

Working with a Community that has the capacity and
capability to respond effectively to existing and emerging
challenges in the region;
A Community committed to cooperation with like-minded
external partners to address international issues of common
concern such as climate change and the environment and
enhancing sustainable development;

A Community committed to working with external partners
to strengthen cooperation in combating non-traditional
security challenges, such as counter terrorism, drug-related
crimes, trafficking in persons and people smuggling, and
maritime security issues through various initiatives and

Working with a Community that is able to effectively address
new challenges with strengthened regional mechanisms;

Asean is an The EU is a ASEAN has EU has a
i n t e r - supranational n o Parliament;
governmental organisation Parliament; The European
organisation. A Asean has the Parliament
A n supranational Asean Inter- has the power
intergovernm union is a type Parliamentary to legislate, as
e n t a l o f Assembly well as the
organization multinational which has power to veto
o r political union only the budgets and
international w h e r e power of appointments;
governmental negotiated m o r a l The EU has a
organisation power is suasion; very powerful
(IGO) is an delegated to Asean has a secretariat
organization an authority relatively called the
composed b y small and European
primarily of governments w e a k Commission;
sovereign of member secretariat.
s t a t e s states. European
(referred to as The Asean Commission
m e m b e r Charter has acts like a
states) enhanced the government
power of the and is entitled
secretary- to enter into
general. One treaties. The
of his most commission
important has the power
responsibiliti to put forward
es is to issue proposals for
an annual legislation.
report card on
each member
s t a t e ' s
with its
Embl The colours It features a Freed Obliges the Movement of
em of the circle of 12 om of m e m b e r labor
Emblem — gold stars on a move states only to is NOT free
blue, red, b l u e ment facilitate the
white and background. o f movement of
yellow — They stand for goods business
represent the the ideals of , persons,
main colours u n i t y , servic professionals,
of the state solidarity and e s , talents and
crests of all harmony capita labor
the ASEAN among the l and
M e m b e r peoples of labor
States. Europe. The
B l u e number of Com The Asean The EU has
represents stars has mitm C h a r t e r the “Charter
peace and nothing to do ent to contains o f
stability, red with the huma s e v e r a l Fundamental
d e p i c t s number of n provisions in Rights”
courage and m e m b e r rights its Preamble,
dynamism, countries, Purposes and The EU has a
white shows though the Principles on European
purity and circle is a human rights. Court of
y e l l o w symbol of Asean does Justice
symbolises unity. not have a
prosperity. court. Asean
The tenbound has two
stalks of rice commissions
in the centre on human
of the rights: the
E m b l e m A s e a n
represent the Intergovernm
m e m b e r e n t a l
states of Commission
ASEAN. on Human
Rights and
W h y ASEAN was The EU was t h e
create f o u n d e d t o founded, after Commission
d create a two disastrous on the Rights
peaceful world wars, to o f Wo m e n
environment prevent the and Children.
in South-east recurrence of
Asia so that war in Europe Curre No common C o m m o n
the Asean and to ncy Currency Currency
countries institutionalis Economic
could focus e peace Monetary
their energies t h r o u g h Union
on their economic (Euro)
economic integration. Offici English 23 official
development. a l Languages
Votin Consensus We i g h t e d Australia 6-7
g “ A S E A N Voting November
Proce minus X 1989 New
ss formula” Zealand 6-7
(see Treaty on the Functioning of the European Union
and Treaty on European Union) 1989
Papua New
Brexit - ZAPANTA Guinea 17-19
Brexit, as a term, is the merging of the words “Britain”
and “Exit”. The UK has voted to leave the EU on November
June 23, 2016. The UK and EU have provisionally 1993
agreed on the three divorce issues: a. How much
the UK owes EU; b. What happens to the Northern
Peru 14-15
Ireland Border; and c. What happens to the UK November
citizens living elsewhere in the EU countries and 1998
EU citizens living within the UK.
The Transition Period is the time after March 29, 2019 Philippines
(the day UK officially separates from EU), to get 6-7
everything in place and allow businesses and others
to prepare for the moment the new post-Brexit November
rules between UK and EU begin. 1989
A referendum voted upon the UK people was held on
Russia 14-15
June 23, 2016 to decide whether UK should leave November
or stay in the EU. 1989
ARTICLE 50 - this article of the Lisbon Treaty provides Singapore 6-7
the guidelines for a country who wishes to leave November
the EU. The UK, under Prime Minister Theresa 1989
May triggered Article 50 on March 29, 2017. It
basically gives the exiting country 1 year to make Chinese
agreements with the EU. Taipei 12-14
§ASEAN versus APEC (see http://www.apec.org/ 1991
About-Us/About-APEC/Mission-Statement.aspx) - Thailand 6-7
Viet Nam
MEM 10 Member 21 Member 14-15
BERS States Economies November
HIP 1998
Chile 11-12
Nov 1994
China 12-14
Nov 1991
Hong Kong
Indonesia 6-7
NAT Intergovern Does not STR
URE mental enter into UCT
organization treaty URE
operating on obligation AND
the basis of MEC
non-binding HANI
commitment SM
s; Enters to
GO ASEAN Free and
AL Commu O p e n
n i t y Trade &
(Acceler Investme
ated in nt 2020
SOCIO- Open SECR Secretariat: Permanent:
CULTURA Markets and ETAR Jakarta, Singapore
L Integrate IAT Indonesia
to do business M I C
and reduce DEVEL
trading costs OPMEN
TECHNICAL V. Issues in ASEAN Socio-Political Community -
Treaty of Amity and Cooperation in Southeast Asia
and various Protocols
businesses to ASEAN Convention on Counter Terrorism
take ● Objective: provide framework for regional
advantage of cooperation to counter, prevent, and suppress
terrorism in all forms and manifestations.
global trade ● Criminal Acts of Terrorism
in a ○ Unlawful Seizure of Aircraft
sustainable ○ Unlawful Acts Against Safety of Civil
way ○ Crimes Against Internationally Protected
Persons, including Diplomatic Agents
○ Offences under the Convention on the ■ The offence is committed in an
Physical Protection of Nuclear Material attempt to compel that Party to
○ Unlawful Acts of Violence at Airports do or to abstain from doing any
Serving International Civil Aviation act; or
○ Unlawful Acts against the Safety of ■ The offence is committed by a
Maritime Navigation stateless person with habitual
○ Unlawful Acts Against the Safety of residence in the territory of that
Fixed Platforms located on Continental Party.
Shelf ○ Extradition: duty of the party to
○ Terrorist Bombings surrender the alleged offender to the
○ Financing of Terrorism competent authority if he fails to
○ Nuclear Terrorism extradite the offender.
● Sovereign equality and territorial integrity of states ○ Political Offences: None of the offences
shall be preserved in the performance of the covered in Article II of this Convention
obligations under this convention; Non- shall be regarded for the purposes of
interference in the internal affairs of other parties extradition under Article XIII of this
apply. Convention or mutual legal assistance in
● Non-application: This Convention shall not apply criminal matters under Article XII of this
where the offence is committed within a single Convention as a political offence or as an
Party, the alleged offender and the victims are offence connected with a political
nationals of that Party, the alleged offender is offence or as an offence inspired by
found in the territory of that Party and no other political motives. Accordingly, a request
Party has a basis under this Convention to exercise for extradition or for mutual legal
jurisdiction. assistance in criminal matters based on
● Areas of Cooperation: such an offence may not be refused on
○ Prevent the commission of terrorist acts the sole ground that it concerns a
○ Prevent those who finance, plan, political offence or an offence connected
facilitate terrorism with a political offence or an offence
○ Prevent and Suppress the financing of inspired by political motives.
terrorist attacks
○ Prevent movement of terrorists; prevent Treaty on the Southeast Asia Nuclear Weapon-Free
counterfeiting of travel documents Zone
○ Promote capacity building and technical ● Southeast Asia Nuclear Weapon-Free Zone =
operations territories of the member states and their respective
○ Promote public awareness continental shelves and EEZs.
○ Enhance cross-border cooperation ● shall not prejudice the rights or the exercise of
○ Enhance intelligence exchange these rights by any State with regard to freedom of
○ Strengthen capability and readiness the high seas, rights of innocent passage,
● State Jurisdiction: archipelagic sea lanes passage or transit passage of
○ A Party shall take such measures as may ships and aircraft, and consistent with the Charter
be necessary to establish its jurisdiction of the United Nations.
over the offences covered in Article II of ● Parties cannot (inside or outside the zone):
this Convention when: ○ develop, manufacture or otherwise
■ The offence is committed in acquire, possess or have control over
the territory of that Party; or nuclear weapons;
■ The offence is committed on ○ station or transport nuclear weapons by
board a vessel flying the flag of any means; or
that Party or an aircraft which ○ test or use nuclear weapons.
is registered under the laws of ● Parties cannot allow in its territory, another state to:
that Party at the time the ○ develop, manufacture or otherwise
offence is committed; or acquire, possess or have control over
■ The offence is committed by a nuclear weapons;
national of that Party. ○ station nuclear weapons; or
○ A Party may also establish its jurisdiction ○ test or use nuclear weapons.
over any such offence when: ● 3. Each State Party also undertake not to:
■ The offence is committed ○ dump at sea or discharge into the
against a national of that Party; atmosphere anywhere within the Zone
or any radioactive material or wastes;
■ The offence is committed ○ dispose radioactive material or wastes on
against a state or government land in the territory of or under the
facility of that Party abroad, jurisdiction of other States except as
including its embassy or other stipulated in Paragraph 2 (e) of Article
diplomatic or consular 4*; or
premises; or
○ allow, within its territory, any other State ○ the transfer of proceedings in criminal
to dump at sea or discharge into the matters
atmosphere any radioactive material or ● Limitations; requested party shal refuse assistance
wastes. if:
* dispose radioactive wastes and other ○ Offense is political in nature
radioactive material in accordance with following offences shall not be held to be
IAEA standards and procedures on land offences of a political nature:
within its territory or on land within the ■ an offence against the life or
territory of another State which has person of a Head of State or a
consented to such disposal. member of the immediate
● “Nothing in this Treaty shall prejudice the right of family of a Head of State;
the States Parties to use nuclear energy, in ■ an offence against the life or
particular for their economic development and person of a Head of a central
social progress.” USE OF NUCLEAR ENERGY Government, or of a Minister
FOR PEACEFUL PURPOSES ALLOWED of a central Government;
● The treaty created a control system for the purpose ■ an offence within the scope of
of verifying compliance with the obligations of the any international convention to
States Parties under this Treaty which both the Requesting and
Requested Parties are parties to
Treaty on Mutual Legal Assistance in Criminal and which imposes on the
Matters Parties thereto an obligation
● Scope: render to one another the widest possible either to extradite or prosecute
measure of mutual legal assistance in criminal a person accused of the
matters, namely investigations, prosecutions and commission of that
resulting proceedings ■ offence; and
○ Taking of evidence ■ (d) any attempt, abetment or
○ making arrangements for persons to give conspiracy to commit any of
evidence the offences referred to in
○ effecting service of judicial documents; subparagraphs (a) to (c).
○ executing searches and seizures; ○ Military offense
○ examining objects and sites; ○ Request was made causing prejudice to a
○ providing original or certified copies of person on account of the person's race,
relevant documents, records and items of religion, sex, ethnic origin, nationality or
evidence; political opinions
○ identifying or tracing property derived ○ Person being investigated was already
from the commission of an offence and pardoned or has already served the
instrumentalities of crime; sentence
○ the restraining of dealings in property or ○ If it would affect the sovereignty of the
the freezing of property derived from the requested party
commission of an offence that may be ● Requested party may refuse if:
recovered, forfeited or confiscated; ○ Requesting Party has, in respect of that
○ the recovery, forfeiture or confiscation of request, failed to comply with any
property derived from the commission of material terms of this Treaty
an offence; ○ assistance would, or would be likely to
○ locating and identifying witnesses and prejudice the safety of any person,
suspects; and whether that person is within or outside
○ the provision of such other assistance as the territory of the Requested Party
may be agreed and which is consistent ○ assistance would impose an excessive
with the objects of this Treaty and the burden on the resources of the Requested
laws of the Requested Party. Party
● The provisions of this Treaty shall not create any ● Request shall be made in writing
right on the part of any private person to obtain, Shall contain the following:
suppress or exclude any evidence or to impede the ○ Name of the requesting office
execution of any request for assistance ○ Purpose of the request
● This Treaty does not apply to - ○ Description of the offense to which the
○ the arrest or detention of any person with request relates
a view to the extradition of that person; ○ Description of the facts alleged to
○ the enforcement in the Requested Party constitute the offense
of criminal judgements imposed in the ○ Description of the evidence sought
Requesting Party except to the extent ○ Procedure or requirements to be followed
permitted by the law of the Requested ○ Specify time limit within which
Party; compliance with the request is desired;
○ the transfer of persons in custody to serve ○ Such other info
sentences; and ● Execution of Request
○ Requests for assistance shall be carried
out promptly, in the manner provided for Consultation
by the laws and practices of the - Shall state the reason for the request, including
Requested Party. Subject to its domestic identification of the matters giving rise to the
laws and practices, the Requested Party dispute, including identification to the matters
shall carry out the request in the manner giving rise to the dispute.
specified by the Requesting Party. - Responding party shall reply to the request w/in 30
● Limitations of use: The Requesting Party shall not, days and shall enter consulation within 60 days.
without the consent of the Requested Party use or
disclose or transfer information or evidence Good Offices, Mediation and Conciliation
provided by the Requested Party for purposes other - Parties to dispute may request chairman or ASEAN
than those stated in the request. Must protect or Sec. Gen. to provide good offices, mediation or
confidentiality conciliation.
● Search and Seizure: The Requested Party shall, - Persons providing good offices, mediation or
subject to its domestic laws, execute a request for conciliation shall assist and facilitate the parties to
the search, seizure and delivery of any documents, the dispute to achieve an amicable settlement of the
records or items to the Requesting Party if there are dispute between them.
reasonable grounds for believing that the - Where the Parties to the dispute reach an amicable
documents, records or items are relevant to a settlement of the dispute, they shall draw up and
criminal matter in the Requesting Party. sign a written settlement agreement.
● Return of Evidence: The Requesting Party shall at - By signing the settlement agreement, the Parties to
the conclusion of the criminal matter in respect of the dispute put an end to the dispute and are bound
which the request for assistance was made return to by the agreement.
the Requested Party any documents, records or - The settlement agreement shall then be notified by
items provided to the Requesting Party pursuant to the Parties to the dispute to the SecretaryGeneral of
a request under this Treaty. ASEAN, other Member States, and the ASEAN
● Costs: The Requested Party shall assume all Coordinating Council where good offices,
ordinary expenses of fulfilling the request for mediation or conciliation is directed by it.
assistance except that the Requesting Party shall
bear - Request for Arbitration Art. 8
○ the fees of counsel retained at the request The Complaining Party may, by notice in writing addressed
of the Requesting Party; to the Responding Party, request for the establishment of an
○ the fees and expenses of expert arbitral tribunal to resolve the dispute, if:
witnesses; (a) the Responding Party does not reply within thirty (30)
○ the costs of translation, interpretation and days from the date of receipt of the request for consultation;
transcription; (b) the Responding Party does not enter into consultation
○ the expenses associated with conveying within sixty (60) days from the date of receipt of the request
any person to or from the territory of the for consultation; or
Requested Party and the fees, allowances (c) the consultation fails to settle the dispute within ninety
and expenses payable to the person (90) days, or any other period mutually agreed by the Parties
concerned while that person is in the to the dispute, from the date of receipt of the request for
Requesting Party pursuant to a request consultation
made under Article 14 or 15 of this
Treaty; and 4. Where the Responding Party does not agree to the request
○ the expenses associated with conveying for the establishment of an arbitral tribunal, or fails to
custodial or escorting officers respond within the period specified in Paragraph 3 of this
Article, the Complaining Party may refer the dispute to the
ASEAN Coordinating Council.
Protocol to the ASEAN Charter on Dispute Settlement
Shall apply disputes regarding? - Where a dispute is referred to the ASEAN
1. ASEAN charter Coordinating Council pursuant to Paragraph 4 of
2. Other ASEAN charter unless specific means of Article 8, the ASEAN Coordinating Council may
settling such disputes have already been provided direct the Parties to the dispute to resolve their
for dispute through good offices, mediation,
3. Other ASEAN instruments which expressly conciliation or arbitration.
provide that this Protocol or part of this protocol
- Without prejudice to the right of the parties to such An arbitral tribunal shall make an examination of the facts of
disputes to mutually agree that this protocol shall the case before it, and decide the case in the light of the
apply relevant provisions of the ASEAN Charter and/or the
- The parties are encouraged to reach a mutually ASEAN instrument cited by the Parties to the dispute to
agreed solution (Art. 3)
resolve the dispute between them, and shall provide reasons cooperation and understanding, to build trust and
for its rulings. confidence between and among them, including:

a. holding dialogues and exchange of views as
1. The arbitral tribunal shall apply the provisions of the
appropriate between their defense and military officials;
ASEAN Charter and other ASEAN instruments, as well as
applicable rules of public international law.
2. The arbitral tribunal shall apply other rules of law b. ensuring just and humane treatment of all persons
applicable to the substantive questions of the dispute or to who are either in danger or in distress;
decide a case ex aequo et bono, if so agreed by the Parties to
the dispute.
c. notifying, on a voluntary basis, other Parties
concerned of any impending joint/combined military
exercise; and
Declaration on the Conduct of Parties in the South
China Sea d. exchanging, on a voluntary basis, relevant
ASEAN and China
6. Pending a comprehensive and durable settlement of
the disputes, the Parties concerned may explore or
Declare the following:
undertake cooperative activities. These may include the
1. The Parties reaffirm their commitment to the
purposes and principles of the Charter of the United
Nations, the 1982 UN Convention on the Law of the
Sea, the Treaty of Amity and Cooperation in Southeast a. marine environmental protection;
Asia, the Five Principles of Peaceful Coexistence, and
other universally recognized principles of international
b. marine scientific research;
law which shall serve as the basic norms governing
state-to-state relations;
c. safety of navigation and communication at sea;
2. The Parties are committed to exploring ways for
building trust and confidence in accordance with the d. search and rescue operation; and
above-mentioned principles and on the basis of equality
and mutual respect;
e. combating transnational crime, including but not
limited to trafficking in illicit drugs, piracy and armed
3. The Parties reaffirm their respect for and robbery at sea, and illegal traffic in arms.
commitment to the freedom of navigation in and
overflight above the South China Sea as provided for
The modalities, scope and locations, in respect of
by the universally recognized principles of international
bilateral and multilateral cooperation should be agreed
law, including the 1982 UN Convention on the Law of
upon by the Parties concerned prior to their actual
the Sea;

4. The Parties concerned undertake to resolve their

7. The Parties concerned stand ready to continue their
territorial and jurisdictional disputes by peaceful means,
consultations and dialogues concerning relevant
without resorting to the threat or use of force, through
issues, through modalities to be agreed by them,
friendly consultations and negotiations by sovereign
including regular consultations on the observance of
states directly concerned, in accordance with
this Declaration, for the purpose of promoting good
universally recognized principles of international law,
neighbourliness and transparency, establishing
including the 1982 UN Convention on the Law of the
harmony, mutual understanding and cooperation, and
facilitating peaceful resolution of disputes among them;

5. The Parties undertake to exercise self-restraint in the

8. The Parties undertake to respect the provisions of
conduct of activities that would complicate or escalate
this Declaration and take actions consistent therewith;
disputes and affect peace and stability including,
among others, refraining from action of inhabiting on
the presently uninhabited islands, reefs, shoals, cays, 9. The Parties encourage other countries to respect the
and other features and to handle their differences in a principles contained in this Declaration;
constructive manner.
10. The Parties concerned reaffirm that the adoption of
Pending the peaceful settlement of territorial and a code of conduct in the South China Sea would further
jurisdictional disputes, the Parties concerned undertake promote peace and stability in the region and agree to
to intensify efforts to seek ways, in the spirit of
work, on the basis of consensus, towards the eventual
attainment of this objective Art. 1: Members shall endeavor to strengthen economic
cooperation to contribute to the promotion of global trade
liberalization; shall abide by the principle of mutual benefit
in the implementation of measures to enhance ASEAN
economic cooperation; ALL members shall participate in
Also see: United Nations Convention on the Law of the
intra-ASEAN economic arrangements. In the implementation
Sea provisions on EEZ
of such arrangements, 2 or more members may proceed first
if others are not ready to implement.
What is EEZ?
The exclusive economic zone is an area beyond and
1. Trade
adjacent to the territorial sea, subject to the specific
a. Establish and participate in the ASEAN
legal regime established in this Part, under which the
Free Trade Area (AFTA) within 10 years
rights and jurisdiction of the coastal State and the rights
beginning 1 January 1993. Ministerial-
and freedoms of other States are governed by the
level Council will be set up to supervise,
relevant provisions of this Convention.
coordinate and review implementation of
To what extent?
b. Main mechanism for the AFTA will be
The exclusive economic zone shall not extend beyond
the Common Effective Preferential Tariff
200 nautical miles from the baselines from which the
(CEPT) Scheme. Products not covered
breadth of the territorial sea is measured.
by this scheme may be covered by
ASEAN Preferential Trading
Rights and duties of other States in the exclusive
A r r a n g e m e n t s ( P TA ) o r o t h e r
economic zone
mechanisms that may be agreed upon.
1. In the exclusive economic zone, all States, whether
c. Reduce or eliminate non-tariff barriers
coastal or land-locked, enjoy, subject to the relevant
among/between each other on import and
provisions of this Convention, the freedoms referred to
export of products specifically agreed
in article 87 of navigation and overflight and of the
upon under existing/future arrangements.
laying of submarine cables and pipelines, and other
d. Explore further measures on border and
internationally lawful uses of the sea related to these
non-border areas of cooperation to
freedoms, such as those associated with the operation of
supplement and complement trade
ships, aircraft and submarine cables and pipelines, and
compatible with the other provisions of this Convention.
2. Industry, Minerals and Energy
2. Articles 88 to 115 and other pertinent rules of
a. Increase investments, industrial linkages
international law apply to the exclusive economic zone
and complementarity by adopting new
in so far as they are not incompatible with this Part.
and innovative measures, as well as
3. In exercising their rights and performing their duties
strengthening existing ASEAN
under this Convention in the exclusive economic zone,
States shall have due regard to the rights and duties of
b. Flexibility for new forms of industrial
the coastal State and shall comply with the laws and
cooperation. Strengthen cooperation in
regulations adopted by the coastal State in accordance
development of minerals sector.
with the provisions of this Convention and other rules of
c. Enhance cooperation in field of energy -
international law in so far as they are not incompatible
energy planning, information exchange,
with this Part.
transfer of technology, research and
development, manpower training,
conservation and efficiency, and
exploration, production and supply of
VI. Issues in ASEAN Economic Community
energy resources.
3. Finance and Banking
1. Basic Documents – ACABADO
a. S t r e n g t h e n a n d d e v e l o p f u r t h e r
§ Framework Agreement on Enhancing ASEAN
cooperation in capital markets
Economic Cooperation
b. Encourage and facilitate free movement
of capital and other financial resources,
including further liberalization of the use
§ Protocol to Amend the Framework Agreement on
of ASEAN currencies in trade and
Enhancing ASEAN Economic Cooperation (Not in
4. Food, Agriculture and Forestry
a. Strengthen regional cooperation in areas
of development, production and
promotion of agricultural products for
Framework Agreement on Enhancing ASEAN Economic
ensuring food security, and upgrading
C o o p e r a t i o n ( P ro t o c o l i n c l u d e d ; a m e n d m e n t s
information exchanges in ASEAN
underlined): Signed by Malaysia, Philippines, Brunei
Darussalam, Indonesia, Singapore and Thailand, on 28
January 1992.
b. Enhance technical joint cooperation to well as adherence to rules-based systems for effective
better manage, conserve, develop and compliance and implementation of economic commitments.
market forest resources
5. Transportation and Communications The AEC will establish ASEAN as a single market
a. Enhance regional cooperation for and production basemaking ASEAN more dynamic and
providing safe, efficient and innovative competitive with new mechanisms and measures to
transportation and communications strengthen the implementation of its existing economic
infrastructure network initiatives; accelerating regional integration in the priority
b. Improve and develop intra-country postal sectors; facilitating movement of business persons, skilled
and telecommunications to provide cost- labour and talents; and strengthening the institutional
effective, high quality and customer- mechanisms of ASEAN. As a first step towards realising the
oriented services ASEAN Economic Community, ASEAN has been
Art. 3: Other Areas of Cooperation - Research & implementing the recommendations of the High Level Task
Development, Technology Transfer, tourism promotion, Force (HLTF) on ASEAN Economic Integration contained
human resources development, other economic-related areas. in the Bali Concord II.
Regular consultation and exchange of views on regional and At the same time, the AEC will address the
international developments and trends to identify ASEAN development divide and accelerate integration of Cambodia,
priorities and challenges Lao PDR, Myanmar and Viet Nam (CLMV) through the
Art. 4: Sub-regional Economic Arrangements - Initiative for ASEAN Integration and other regional
acknowledgement that these arrangements (whether among/ initiatives. Other areas of cooperation a real so to be
between members, or between members and non-members) incorporated such as human resources development and
could complement ASEAN economic cooperation capacity building; recognition of professional qualifications;
Art. 5: Extra-ASEAN Economic Cooperation - Establish and closer consultation on macroeconomic and financial policies;
strengthen cooperation with other countries, regional and trade financing measures; enhanced infrastructure and
international organizations and agreements communications connectivity; development of electronic
Art. 6: Private Sector Participation - Encourage cooperation transactions through e-ASEAN; integrating industries across
and exchanges among ASEAN private sectors and between the region to promote regional sourcing; and enhancing
ASEAN and non-ASEAN private sectors, and consideration private sector involvement for the building of the AEC.
of policies aimed at promoting greater intra-ASEAN and
extra-ASEAN investments and economic activities.
Art. 7: Monitoring Body - ASEAN Secretariat Based on the above and taking into consideration the
Art. 8: Review of Progress - ASEAN Economic Ministers’ importance of external trade to ASEAN and the need for the
meeting and its subsidiary bodies to review progress of ASEAN Community as a whole to remain outward looking,
implementation and coordination the AEC envisages the following key characteristics: (a)a
Art. 9: Settlement of Disputes - Amicable settlement if single market and production base, (b) a highly competitive
possible; Appropriate body shall be designated for settlement economic region, a region of equitable economic
if necessary development, and (d) a region fully integrated into the global
Art. 10, 11 & 12: (10) Other ASEAN economic agreements/ economy. These characteristics are inter-related and mutually
arrangements form integral part of this Agreement. (11) This reinforcing. Incorporating the required elements of each
Agreement shall not affect the rights and obligations of characteristic in one Blueprint shall ensure the consistency
members under existing agreements, nor shall it prohibit and coherence of these elements as well as their
them from entering into other agreements not contrary to this implementation and proper coordination among relevant
agreement or its objectives. (12) Agreement shall not prevent stakeholders.
member states from taking action or adopting measures
necessary to protect its national security, public morals, SINGLE MARKET AND PRODUCTION BASE
human, animal or plant life and health, and articles of artistic, An ASEAN single market and production base shall
historic and archaeological value. (12 A) New ASEAN comprise five core elements: (i) free flow of goods; (ii) free
members shall accede to the Agreement (Arts. 13-15 of the flow of services; (iii) free flow of investment; (iv) freer flow
Agreement are formalities as to Amendments, Entry into of capital; and (v) free flow of skilled labour. In addition, the
Force and Final Provision; Art. 3 of Protocol is formality as single market and production base also include two important
to Entry into Force and deadline for acceptance) components, namely, the priority integration sectors, and
food, agriculture and forestry.
§ AEC 2015 Blueprint (PAJO)
Elimination of Tariffs. Tariffs on all intra-ASEAN goods
The AEC is the realisation of the end goal of will be eliminated in accordance with the schedules and
economic integration as espoused in the Vision 2020, which commitments set out in the CEPT-AFTA Agreement and
is based on a convergence of interests of ASEAN Member other relevant Agreements/Protocols.
Countries to deepen and broaden economic integration Elimination of Non-Tariff Barriers. ASEAN has
through existing and new initiatives with clear timelines. In achieved significant progress in tariff liberalisation. The
establishing the AEC, ASEAN shall act in accordance to the main focus of ASEAN towards 2015 will be placed on the
principles of an open, outward-looking, inclusive, and full elimination of non- tariff barriers (NTBs).
market-driven economy consistent with multilateral rules as Rules of Origin (ROO): Putting in place ROO which are
responsive to the dynamic changes in global production
processes so as to: facilitate trade and investment among In facilitating the free flow of services by 2015, ASEAN
ASEAN Member Countries; promote a regional production is also working towards recognition of professional
network; encourage development of SMEs and the narrowing qualifications with a view to facilitate their movement within
of development gaps; and promote the increased usage of the the region.
AFTA CEPT Scheme. Liberalisation measures of the financial services sector
Trade facilitation. Simple, harmonised and standardised should allow members to ensure orderly financial sector
trade and customs, processes, procedures and related development and maintenance of financial and socio-
information flows are expected to reduce transaction costs in economic stability.
ASEAN which will enhance export competitiveness and Member Countries would be guided by the following
facilitate the integration of ASEAN in to a single market for principles in pacing their liberalisation measures:
goods, services and investments and a single production (a) Liberalisation through ASEAN Minus X
base. formula where countries that are ready to liberalise can
Customs Integration. In light of the acceleration of proceed first and be joined by others later; and
AEC,the realisation of ASEAN Customs Vision 2020 is (b) The process of liberalisation should take place with
brought forward to 2015. In particular, the 2005-2010 due respect for national policy objectives and the
Strategic Plan of Customs Development aims to: (a)integrate level of economic and financial sector development
customs structures; (b) modernise tariff classification, of the individual members.
customs valuation and origin determination and establish
ASEAN e-Customs; © smoothen customs clearance; (d) Free Flow of Investment
strengthen human resources development; (e) promote ASEAN investment cooperation is being implemented
partnership with relevant international organisations; (f) through the Framework Agreement on the ASEAN
narrow the development gaps in customs; and (g) adopt risk Investment Area (AIA), 1998, while investment protection is
management techniques and audit-based control (PCA) for accorded under a separate agreement i.e. the ASEAN
trade facilitation. Agreement for the Promotion and Protection of Investment,
ASEAN Single Window. The implementation of 1987 or commonly referred to as ASEAN Investment
measures of simplifying, harmonising and standardising Guarantee Agreement (IGA).
trade and customs, processes, procedures and the application Under the AIA, all industries (in the manufacturing,
of ICT in all areas related to trade facilitation would be agriculture, fishery, forestry and mining and quarrying
paramount in the ultimate creation of an ASEAN Single sectors and services incidental to these sectors) shall be open
Window. The ASEAN Single Window is an environment and national treatment granted to investors both at the pre-
where ten National Single Windows of individual Member establishment and the post-establishment stages, with some
Countries operate and integrate. National Single Window exceptions as listed in member countries’ Temporary
enables a single submission of data and information, a single Exclusion Lists (TEL) and Sensitive Lists (SL). The TEL is
and synchronous processing of data and information and a to be phased-out based on agreed timelines. Although the SL
single decision- making for customs clearance of cargo, does not have a timeline for phasing-out, they will be
which expedites the customs clearance, reduce transaction reviewed periodically.
time and costs, and thus enhance trade efficiency and To enhance regional integration as well as to maintain a
competitiveness. competitive investment area, both the Framework
Agreement on the AIA and the ASEANIGA will be reviewed.
Standards and Technical Barriers to Trade. Systems of The objective is to realise a more comprehensive investment
standards, quality assurance, accreditation, and measurement agreement which should be forward looking, with improved
are crucial to promote greater efficiency and enhance cost features, provisions and obligations by considering
effectiveness of production of intra-regional imports/ exports. international best practices that would increase the invest or
Standards, technical regulations and conformity assessment condence in ASEAN. The ASEAN Comprehensive
procedures will be harmonised through the implementation Investment Agreement (ACIA), which will build on the
of the ASEAN Policy Guideline on Standards and existing AIA Agreement and ASEANIGA, will cover the
Conformance, with greater transparency, improved quality of following pillars:
conformity assessment and active participation of the private Investment Protection: Provide enhanced protection to
sector. all investors and their investments to be covered under the
comprehensive agreement.
Free Flow of Services Facilitation and Cooperation: A more transparent,
Free flow of trade in services is one of the important consistent and predictable investment rules,regulations,
elements in realising ASEAN Economic Community, where policies and procedures.
there will be substantially no restriction to ASEAN services Promotion and Awareness: Promote ASEAN as an
suppliers in providing services and in establishing integrated investment area and production network.
companies across national borders within the region, subject Liberalisation: Progressive liberalisation of ASEAN
to domestic regulations. Liberalisation of services has 'been Member Countries’ investment regime to achieve free and
carried out through rounds of negotiation mainly under the open investment by 2015.
Coordinating Committee on Services. Negotiation of some
specific services sectors such as financial services and air Freer Flow of Capital
transport are carried out by their respective Ministerial Strengthening ASEAN Capital Market Development and
bodies. In liberalising services, there should be no back- Integration.
loading of commitments, and pre-agreed exibility shall be Allowing Greater Capital Mobility.
accorded to all ASEAN Member Countries.
The liberalisation of capital movements is to be guided by The ASEAN Economic Community (AEC) Blueprint
the following principles: 2025 was adopted by the ASEAN Leaders in 2015 as
a) Ensuring an orderly capital account liberalisation part of the ASEAN 2025: Forging Ahead Together.
consistent with member countries’ national agenda The new Blueprint incorporates and carries forward the
and readiness of the economy; work of the AEC Blueprint 2015, which was adopted in
2007, and charts the broad trajectories of ASEAN
b) Allowing adequate safeguard against potential economic integration from 2016 to 2025 following the
macroeconomic instability and systemic risk that formal establishment of the AEC on 31 December 2015.
may arise from the liberalisation process, including The AEC Blueprint 2025 aims to strengthen and
the right to adopt necessary measures to ensure reinforce the following five characteristics of the
macroeconomic stability; and ASEAN Economic Community by 2025:
c) Ensuring the benefits of liberalisation to be shared by
all ASEAN countries. (a) A Highly Integrated and Cohesive Economy;
(b) A Competitive, Innovative, and Dynamic
Infrastructure Development ASEAN;
Transport Cooperation. An efficient, secure and (c) Enhanced Connectivity and Sectoral
integrated transport network in ASEAN is vital for realising Cooperation;
the full potential of the ASEAN Free Trade Area as well as in (d) A Resilient, Inclusive and People-Oriented,
enhancing the attractiveness of the region as a single People-Centred ASEAN; and (e) A Global
production, tourism and investment destination and ASEAN
narrowing development gaps. ASEAN transport is also To achieve these characteristics, strategic measures as
critical in linking ASEAN with the neighbouring Northeast operationalised by key action lines will be pursued by
and South Asian countries. relevant ASEAN sectoral bodies through their
Land transport. Priority is given to completion of the corresponding sectoral work plans.
Singapore- Kunming Rail Link (SKRL and the ASEAN The Consolidated Strategic Action Plan (CSAP) thus
Highway Network (AHN) projects. seeks to complement the AEC 2025 Blueprint by
Maritime and air transport. Adopt the general principles serving as a single reference document intended for the
and framework for an ASEAN Single Shipping Market and public to inform stakeholders of the key action lines that
develop and implement the ASEAN Single Aviation Market. will be implemented in pursuit of ASEAN economic
Information Infrastructure. A secure and connected integration from 2016 to 2025. This Consolidated
information infrastructure is important for sustaining the Strategic Action Plan (CSAP) is envisaged in the AEC
region’s economic growth and competitiveness. Efforts have Blueprint 2025 as follows:
been made to facilitate interconnectivity and technical (para. 82.ii.) A strategic action plan will
interoperability among ICT systems, leveraging on existing be developed comprising of key
national networks and evolving these into a regional action lines that will
information infrastructure. Equal emphasis has been given to operationalise the strategic measures
improving trust and confidence in the use of the Internet and in the AEC Blueprint 2025. The
security of electronic transactions, payments and settlements. strategic action plan will take into
Energy Cooperation. Secure and reliable supply of account the relevant sectoral
energy including bio-fuel is crucial to support and sustain workplans, and will be reviewed
economic and industrial activities. Regional collaboration in periodically to account for
the Trans-ASEAN Gas Pipeline (TAGP) and the ASEAN developments in each sector.
Power Grid (APG) Projects allows the optimisation of the An important feature of the CSAP is that it allows for
region’s energy resources for greater security. These projects more structured monitoring and reporting of the
also provide opportunities for private sector involvement in implementation progress of the AEC Blueprint 2025,
terms of investment, including financing, and technology and better tracking of the key achievements by
transfer. Interconnected networks of electricity grids and gas identifying indicative timelines as applicable for these
pipelines offer significant benefits both in terms of security, actions to be undertaken by responsible ASEAN sectoral
exibility and quality of energy supply. bodies. The CSAP also facilitates stakeholder feedback
Mining cooperation. Enhance trade and investment and to ASEAN economic integration priorities in the
strengthen cooperation and capacity in geological and succeeding years, as it will be reviewed and updated
mineral sector for sustainable mineral development in the periodically over the 10-year period.
ASEAN region. Many of the action lines contained in the CSAP form
Financing of Infrastructure Projects. Financing is always part of ASEAN’s continued deepening of the existing
recognised as an important contributor to economic growth. integration areas, and in some cases also reflect
As ASEAN accelerates its economic integration efforts, ASEAN’s commitment to complete the remaining
greater investment will be needed particularly in the integration measures under the preceding Blueprint.
development of regional infrastructure. Putting in place Others, however, are actions relating to the new focus
innovative financing schemes to attract greater private sector areas included in the 2025 Blueprint including those that
involvement is thus important. are cross-cutting in nature. In this case, the CSAP also
sheds light on the complementarities across sectors and
§ AEC 2025 Documents (PAJO) the coordination required among different ASEAN
sectoral bodies.
§ Article XXIV of the General Agreement on Tariffs charges to be considered shall be applied rates.
and Trade (ACABADO) Examination of individual measures, regulations,
h t t p s : / / w w w. w t o . o r g / e n g l i s h / r e s _ e / b o o k s p _ e / products covered, and trade flows affected may be
analytic_index_e/gatt1994_09_e.htm required for overall assessment.
§ Understanding on the Interpretation of Article XXIV 6. If a contracting party proposes to increase any rate of duty
of the GATT https://www.wto.org/english/docs_e/ inconsistently with the provisions of Article II, the
legal_e/10-24.pdf procedure in Art. XXVIII must be commenced before
tariff concessions are modified or withdrawn upon
Art. XXIV of GATT - Territorial Application - formation. Negotiations must be in good faith to achieve
Frontier Traffic - Customs Union and Free Trade compensatory adjustment. In providing for compensatory
Areas (FTAs; not to be mistaken with Free Trade adjustment, due account shall be taken of the
Agreements) (Interpretation included and compensation already afforded by the reduction brought
underlined) about in the corresponding duty of the other constituents
This Article refers to how the GATT is to be applied of the union. If reductions are not sufficient, the customs
territorially, procedures if contracting parties wish to create a union should offer compensation which may be reduction
Customs Union/FTA/interim agreement leading to the of duties on other tariff lines. The offers shall be
formation of such Customs Union/FTA, and dispute considered by negotiating members; if unacceptable,
settlement if any provision here is not observed negotiations to continue. If despite efforts, compensatory
1. Agreement applies to the metropolitan customs territories adjustment cannot be reached within a reasonable period,
of contracting parties and other customs territories that the customs union shall be free to modify or withdraw
have accepted this agreement or applied it fully or concessions, and members free to withdraw substantially
provisionally. Each customs territory shall be treated as equivalent concessions. No obligation on members
though it were a contracting party; Not to be construed as benefiting from reduction of duties consequent upon
creating any rights or obligations between customs formation of customs union or interim agreement to
territories. provide such compensatory adjustment to its
2. Customs territory - any territory in which separate tariffs constituents.
or other regulations of commerce are maintained for a 7. (a) Contracting party deciding to enter into a customs
substantial part of the trade of such territory with other union or FTA, or an interim agreement leading to the
territories. formation of such, shall promptly notify a working party
3. Agreement shall not be construed to prevent: (a) and make available to it such information regarding the
Advantages accorded by any contracting party to proposed union or area to enable them to submit a report
adjacent countries in order to facilitate frontier traffic; (b) to the Council for Trade in Goods on its findings. The
Advantages accorded to trade with the Free Territory of Council may make recommendations they may deem
Trieste (independent territory between Italy and appropriate.

Yugoslavia) by countries contiguous to it, provided the (b) After studying the plan and schedule included in an
advantages do not conflict with the Treaties of Peace interim agreement referred to in par. 5 in consultation
arising from World War II. with the parties to that agreement and taking due account
4. Recognize the desirability of increasing freedom of trade of the information made available in sub-par. (a), IF the
by development, through agreements and closer working party finds that such agreement is not likely to
integration between economies of parties to such result in the formation of a customs union or FTA within
agreements. Purpose of a customs union or FTA - to the proposed time-frame or that such period is not a
facilitate trade between constituent territories, not to raise reasonable one, it may make recommendations in its
barriers to the trade of other contracting parties with such report to the parties to the agreement, or provide for
territories. further review of the agreement. If no plan and schedule
5. Agreement shall not prevent the formation of a customs included, the working party shall recommend such in its
union or FTA or the adoption of an interim agreement report. The parties shall not maintain or put into force
necessary for such formation, between the parties; such agreement if they are not prepared to modify it in
Provided that the duties and other regulations imposed by accordance with these recommendations.

such union, FTA or interim agreement in respect of trade, (c) Substantial change in the plan or schedule must be
with parties (to this agreement) who are not parties to communicated to the Council for examination, which
such union, FTA, or agreement, shall not be higher or may request the parties concerned to consult with them if
more restrictive than the general incidence of duties and the change seems likely to jeopardize or delay unduly the
regulations applicable in the constituent territories prior formation of the customs union or FTA.
to the formation of such union or the adoption of such 8. For the purposes of this Agreement:

interim agreement; Any interim agreement shall include a (a) Customs union - the substitution of a single customs
plan and schedule for the formation of such a customs territory for two or more customs territories, so that (i)
union or FTA within a reasonable length of time. duties and other restrictive regulations of commerce
Evaluation of general incidence of duties and regulations (except those permitted under this agreement) are
applicable before and after the formation to be based on eliminated with respect to substantially all the trade
overall assessment of weighted average tariff rates and between the constituent territories of the union or at least
customs duties collected. Assessment based on import with respect to substantially all the trade in products
statistics supplied by the union. Secretariat to compute originating in such territories, and, (ii) subject to the
such rates and duties using methodology used in Uruguay provisions of par. 9, substantially the same duties and
Round of Multilateral Trade Negotiations. Duties and other regulations of commerce are applied by each of the
members of the union to the trade of territories not on the CEPT-AFTA was signed in Singapore on 28 January
included in the union;
(b) FTA - a group of two or more customs territories in On 23 August 2007, the 21st AFTA Council Meeting agreed
which the duties and other restrictive regulations of to enhance the CEPT-AFTA Agreement into a comprehensive
commerce (except those permitted under this agreement) Trade in Goods Agreement for the AFTA.
are eliminated on substantially all the trade between the The ASEAN Trade in Goods Agreement was signed on 26
constituent territories in products originating in such February 2009 and is the product of the enhancement and
territories. consolidation of all existing provisions under the CEPT-
Customs unions and constituents of FTAs shall report AFTA Agreement and relevant ASEAN economic
periodically to the Council on the operation of their agreements and instruments.
agreement, or when significant changes/developments
occur. Pursuant to Section 1100 of the Customs Modernization and
9. Preferences referred to in Art. I (2) shall not be affected by Tariff Act, an importer or exporter may file a written
the formation of a customs union or FTA but may be application for an advance ruling on the tariff classification
eliminated or adjusted by negotiations with contracting of goods with the Commission.
parties affected. This procedure of negotiations applies to Submission of Certificate of Origin Form D is required in
the elimination of preferences required to conform with order to avail of ATIGA preferential tariffs.
the provisions of paragraph 8 (a)(i) and paragraph 8 (b).
10.Parties may, by 2/3 majority, approve proposals which do DATE OF FULL IMPLEMENTATION: 2010
not fully comply with the requirements of paragraphs 5
to 9, provided that such proposals lead to the formation OVERVIEW OF TARIFF COMMITMENTS/
of a customs union or FTA. RECIPROCITY:
11.Taking into account the exceptional circumstances arising Except as otherwise provided, ASEAN Member States
out of the establishment of India and Pakistan as (AMS) shall eliminate import duties on all products traded
independent States and recognizing the fact that they between the AMSs by (a) 2010 for ASEAN-6 (Brunei,
have long constituted an economic unit, the parties agree Indonesia, Malaysia, Philippines, Singapore, and Thailand)
that the Agreement shall not prevent the two countries and (b) 2015, with flexibility to 2018, for CLMV (Cambodia,
from entering into special arrangements with respect to Laos, Myanmar, and Vietnam).
the trade between them. Import duties on unprocessed agricultural products shall be
12.Contracting parties to take reasonable measures available reduced or eliminated to 0% - 5% by 2010 for ASEAN-6;
to it to ensure observance of the Agreement by the 2013 for Viet Nam; 2015 for Lao PDR and Myanmar; and
regional and local governments and authorities within its 2017 for Cambodia. Import duties on sugar products for Viet
territories. Nam shall be reduced to 0% - 5% by 2010.
Dispute Settlement - provisions of Art. XXII and XXIII Products placed in the General Exceptions (GE) List of each
to be applied. May also be invoked in respect of AMS shall not be subject to reduction/elimination of import
measures affecting its observance within the territory of a duties.
member. If the Dispute Settlement Body rules that a Reduction and elimination of import duties shall be
provision of this agreement has not been observed, the implemented on 1 January of each year.
erring member shall ensure its observance. If observance For a product to be eligible for tariff concession under the
is not possible, provisions relating to compensation and ATIGA, the following conditions have to be met:
suspension of concessions or other obligations shall 1. (1) Products on which tariffs of the
apply. Members should accord consideration and exporting Member State have reached or are at the
adequate opportunity for consultation regarding rate of 20% or below;
representations made by another member, concerning 2. (2) If the goods have a Regional Value
measures affecting the operation of this agreement taken Content (RVC) of not less than 40%, or if all non-
in the former’s territory. originating materials used in the production of the
goods have undergone a Change in Tariff
Classification (CTC) at four-digit level (i.e., a
change in tariff heading) of the Harmonized
System; and
2. Single Market – LA CHICA/ INGUILLO 3. (3) Preferential tariff treatment shall be
supported by a Certificate of Origin (CO) Form
O ASEAN Trade in Goods Agreement (ATIGA) “D” issued by a Government authority designated
http://agreement.asean.org/media/download/ by the exporting Member State

(ATIGA itself is 129 pages) o Protocol to Amend Certain ASEAN Economic

THE AGREEMENT: Agreements related to Trade in Goods http://
At the 4th ASEAN Summit in January 1992, the ASEAN agreement.asean.org/media/download/
Heads of Government agreed to establish an ASEAN Free 20140506100628.pdf
Trade Area (AFTA) by the year 2008 to open up their
economies in the era of globalization. The main Signed: March 8, 2013, Ha Noi, Vietnam
implementing mechanism of AFTA was the Common
Effective Preferential Tariff (CEPT) Scheme. The Agreement
Article 1: ATIGA shall be the main mechanism for the States on a priority basis so as to enable the progressive,
AFTA. For products not covered by the ATIGA, any expeditious and systematic integration of the healthcare
agreed mechanism may be used sector.
(viii) rubber-based products
Article 2: MS shall enter into negotiations directed The objective of this Protocol is to spell out measures as in
towards accelerating commitments relating to ICT the Roadmap referred to in Article 2 to be taken by Member
products, ICT services and investments under ATIGA States on a priority basis so as to enable the progressive,
(re: e-ASEAN Framework Agreement) expeditious and systematic integration of the rubber-based
products sector.
Article 3: Each MS shall eliminate import duties on (ix) textiles and apparels
Priority Integration Sectors (PIS) products in The objective of this Protocol is to spell out measures as in
accordance with ATIGA the Roadmap referred to in Article 2 to be taken by Member
States on a priority basis so as to enable the progressive,
Article 4-12: ASEAN Sectoral Integration Protocol expeditious and systematic integration of the textiles and
(SIP) for Agro-Based Products, Automotives, e- apparels sector.
ASEAN, Electronics, Fisheries, Healthcare, Rubber- (x) tourism
Based Products, Textile and Apparel Products, Wood- The objective of this Protocol is to spell out measures as in
Based Product no longer applies the Roadmap referred to in Article 2 to be taken by Member
States on a priority basis so as to enable the progressive,
expeditious and systematic integration of the tourism sector.
o ASEAN Framework Agreement for the (xi) wood-based products
Integration of Priority Sectors The objective of this Protocol is to spell out measures as in
http://agreement.asean.org/media/download/ the Roadmap referred to in Article 2 to be taken by Member
20140119111352.pdf States on a priority basis so as to enable the progressive,
expeditious and systematic integration of the wood-based
Signed: Vientiane, 29th November 2004 products sector.

(i) agro-based products · Protocol on Notification Procedures http://

The objective of this Protocol is to spell out measures as in agreement.asean.org/media/download/
the Roadmap referred to in Article 2 to be taken by Member 20140119131353.pdf
States on a priority basis so as to enable the progressive,
expeditious and systematic integration of the agro-based DESIRING to promote transparency and to improve the
products sector. operation of notification procedures under all ASEAN
(ii) air travel economic agreements;
The objective of this Protocol is to spell out measures as in
the Roadmap referred to in Article 2 to be taken by Member Article 1 General Obligation to Notify
States on a priority basis so as to enable the progressive, 1. Member States shall abide by the notification
expeditious and systematic integration of the air travel sector. procedures set out in this Protocol.
(iii) Automotives 2. Member States shall notify any action or measure that
The objective of this Protocol is to spell out measures as in they intend to take:
the Roadmap referred to in Article 2 to be taken by Member a. which may nullify or impair any benefit to other
States on a priority basis so as to enable the progressive, Member States, directly or indirectly under
expeditious and systematic integration of the automotive any ASEAN economic agreement; or
sector. b. when the action or measure may impede the
(iv) e-ASEAN attainment of any objective of an ASEAN
The objective of this Protocol is to spell out measures as in economic agreement.
the Roadmap referred to in Article 2 to be taken by Member 3. Without affecting the generality of the obligations of
States on a priority basis so as to enable the progressive, Member States under paragraph 2, this notification
expeditious and systematic integration of the e-ASEAN procedure shall apply, but need not be limited, to
sector. changes in the measures as listed in Annex 1 and
(v) Electronics amendments thereto.
The objective of this Protocol is to spell out measures as in 4. The provisions of this Protocol shall not apply to
the Roadmap referred to in Article 2 to be taken by Member actions taken under emergency or safeguard measures of
States on a priority basis so as to enable the progressive, an ASEAN economic agreement.
expeditious and systematic integration of the electronics
sector. Article 2 Prior Notification of Intent
(vi) Fisheries 1. A Member State shall make a notification before
The objective of this Protocol is to spell out measures as in effecting such action or measure referred to in Article 1.
the Roadmap referred to in Article 2 to be taken by Member Subject to any other notification period provided in an
States on a priority basis so as to enable the progressive, ASEAN economic agreement, notification shall be
expeditious and systematic integration of the fisheries sector. made at least 60 days before such an action or measure
(vii) healthcare is to take effect.
The objective of this Protocol is to spell out measures as in 2. A Member State proposing to apply an action or
the Roadmap referred to in Article 2 to be taken by Member measure shall provide adequate opportunity for prior
discussions with those Member States having an interest signatory governments with the Secretary-General of
in the action or measure concerned. ASEAN.

Article 3 ASEAN Bodies to be Notified Done: Makati, October 8, 1998, in a single copy in the
A Member State shall notify SEOM and the ASEAN English language.
Secretariat in accordance with Article 2.
o Agreement to Establish and Implement the
Article 4 Content of Notification ASEAN Single Window
In submitting a notification, a Member State shall http://agreement.asean.org/media/download/
provide sufficient information regarding the proposed 20140119103428.pdf
action or measure to be taken, which shall include: a. a What is the ASEAN Single Window- it is the environment
description of the action or measure to be taken; b. the where National Single WIndows of Member Countrires
reasons for undertaking the action or measure; and c. the operate and integrate
intended date of implementation and the duration of the
action or measure.
Functions of the National Single Windows: The system
Article 5 Confidentiality of Notification
The contents of the notification and all information
relating to it shall be treated with confidentiality. a. A single submission of data and information

Article 6 Follow-up to Notification

b. A single and synchronous processing of data and
1. The Member State concerned shall, without
information and
discrimination, allow adequate opportunities for other
Member States to present their comments in writing and
discuss these comments upon request. Discussions c. Single decision making for customs release and
entered into by the Member State concerned with other clearances
Member States shall be for the purpose of seeking
further clarification about the action or measure. The
Definition of Terms
Member State may give due consideration to these
written comments and the discussion in the
implementation of the action or measure. ● Customs Administration- Govt Agency responsible
2. Other Member States shall present their comments for Custom and related national legislation.
within 15 days of the notification. Failure of a Member
State to provide comments within the stipulated time
● Land Agency- Govt Agency appointed by the
shall not affect its right to seek recourse to a dispute
member countries for the implementation of the
settlement mechanism.
Asean SIngle WIndow.
3. The Member State concerned shall furnish the
ASEAN Secretariat with a copy of the comments
received. ● Line ministries and agencies- Govt agencies
responsible for the administration of trade laws and
Article 7 Role of the ASEAN Secretariat/Central regulations.
Registry of Notifications
1. The ASEAN Secretariat shall act as the central
Principles in Implementing the ASEAN Single Window:
registry of notifications, including written comments
Member Countries shall carry out transactions, processes and
and results of discussions.
decisions in a manner complying with the principles of:
2. The ASEAN Secretariat shall draw the attention of
individual Member States to notification requirements,
such as those stipulated in Article 4, which remain 1. Consistency
3. The ASEAN Secretariat shall make available
2. Simplicity
information regarding individual notifications on
request to any Member
3. Transparency
Article 8 Final Provisions
1. Any amendment to this Protocol shall become
4. Efficiency
effective upon acceptance by all Member States.
2. New Members of ASEAN shall accede to this
Protocol by signing and depositing the instrument of Obligations of Member Countries in the Development of
accession with the Secretary-General of ASEAN. the Asean Single Window
3. This Protocol shall be deposited with the Secretary-
General of ASEAN who shall promptly furnish a
1. Shall develop and timely implement their National
certified copy thereof to each Member State.
Single Window.
4. This Protocol shall enter into force upon the deposit
of instruments of ratification or acceptance by all
● Philippine, Brunei, Thailand, Indonesia, Singapore 2. “Lead agency” means the government agency appointed
and Malaysia started operating their NSW on 2008 by Member Countries to take the leading role in the
establishment and the implementation of the ASEAN Single
● Cambodia, Lao DPR, Myanmar and Vietnam
started theirs in 2012.
3. “Line ministries and agencies” means government
agencies which are responsible for the administration and
2. Ensure that their line ministries and agencies shall
enforcement of trade laws and regulations as relevant to the
cooperate with and provide information to their
release and clearance of cargo.
lead agency pursuant to the development of their
3. Make use of info and communication technology
within relevant internationally accepted standards Article 3: Objectives
in relation to the development and implementation
of their NSW
The objectives of this Agreement to Establish and Implement
the ASEAN Single Window (hereinafter referred to as “this
4. Work in partnership with industries and other Agreement”) are:
businesses to support the establishment of their
1. To provide a legal framework to establish and
implement the ASEAN Single Window;
Dispute Settlement 2. To ensure the implementation of regional
commitments by ASEAN to establish and
implement the ASEAN Single Window;
All disputes arising under this Agreement shall be settled
3. To strengthen the coordination and partnership
under the ASEAN Protocol on Enhanced Dispute Settlement
among ASEAN Customs Administrations and
relevant line ministries and agencies, and economic
operators (importers, exporters, transport operators,
PART I GENERAL PROVISIONS; express industries, customs brokers, forwarders,
commercial banking entities and financial
institutions, insurers, and those relevant to the
Article 1 Definition of the ASEAN Single Window and the
international supply chain) to effectively and
National Single Window
efficiently implement the ASEAN Single Window.

1. The ASEAN Single Window is the environment where

National Single Windows of Member Countries operate and
Article 4: Principles of the implementation of the ASEAN
Single Window

2. The National Single Window is a system which enables:

Member Countries shall ensure that transactions, processes
and decisions under their National Single Windows and the
1. a single submission of data and information; ASEAN Single Window are performed, carried out or made
2. a single and synchronous processing of data and in a manner complying with the principles of:
information; and
3. a single decision-making for customs release and
1. consistency;
clearance. A single decision-making shall be
uniformly interpreted as a single point of decision
for the release of cargoes by the Customs on the 2. simplicity;
basis of decisions, if required, taken by line
ministries and agencies and communicated in a
3. transparency; and
timely manner to the Customs.

4. efficiency.
Article 2 General Definitions
For the purposes of this Agreement:

Article 5: Obligations of Member Countries

1. “Customs Administration” means the government agency
which is responsible for the administration of Customs law
and related national legislation. 1. Member Countries shall develop and implement their
National Single Windows in a timely manner for the
establishment of the ASEAN Single Window. Brunei 29th day of November 2004, shall apply to disputes arising
Darussalam, Indonesia, Malaysia, Philippines, Thailand and under this Agreement.
Singapore shall operationalise their National Single Windows
by 2008, at the latest. Cambodia, Lao PDR, Myanmar, and
Article 9 Further Measures
Viet Nam shall operationalise their National Single Windows
no later than 2012.
The Ministers responsible for ASEAN economic integration
shall meet whenever necessary to review this Agreement for
2. Member Countries shall ensure that their line ministries
the purpose of considering further measures to improve the
and agencies co-operate with, and provide necessary
development and/or implementation of the ASEAN Single
information to their Lead agency in accordance with their
national laws in the development and implementation of their
National Single Windows.
Article 10 Final Provisions
3. Member Countries shall make use of information and
communication technology that are in line with relevant 1. The provisions of this Agreement may be modified
internationally accepted standards in the development and through amendments to be mutually agreed upon in writing
implementation of their National Single Windows. by all Member Countries.

4. Member Countries shall work in partnership with 2. This Agreement shall be deposited with the Secretary-
industries and businesses to support the establishment of General of ASEAN, who shall promptly furnish a certified
their National Single Windows. copy thereof to each Member Country.

Article 6 Technical Matters of the ASEAN Single Window Article 11 Entry into Force

Member Countries shall, by means of a Protocol to be agreed 1. This Agreement shall enter into force upon signing.
upon, adopt relevant internationally accepted standards,
procedures, documents, technical details and formalities for
2. Each Member Country shall, upon the completion of its
the effective implementation of the ASEAN Single Window.
national procedures of ratification of this Agreement, notify
the ASEAN Secretariat in writing.
DONE: Kuala Lumpur, Malaysia, December 9, 2005
Article 7 Monitoring Mechanisms

1. The Ministers responsible for ASEAN economic Protocol to Establish and Implement the
integration, with the assistance of the Senior Economic ASEAN Single Window
Officials Meeting (SEOM) and the ASEAN Directors- http://agreement.asean.org/media/download/
General of Customs, shall regularly oversee, monitor, 20140119103813.pdf
coordinate and review the implementation of this Agreement.

Done at: Siem

2. The ASEAN Secretariat shall:
Date enacted: 2006-12-20
1. provide support to the Ministers, the SEOM, the In force: 2006-12-20
ASEAN Directors-General of Customs and
relevant ASEAN bodies for overseeing,
monitoring, coordinating and reviewing the What is Single Window?
implementation of this Agreement; and
2. regularly report to the SEOM and the ASEAN
Directors-General of Customs and Leaders of • UN/CEFACT Recommendation No. 33
agencies of regional economic integration on the
progress in the implementation of this Agreement.
“A facility that allows party involved in trade and transport to
lodge standardized information and documents with a single
PART V: OTHER PROVISIONS entry point to fulfill all import, export, and transit-related
regulatory requirements. If information is electronic, then
individual data elements should only be submitted once.”
Article 8 Dispute Settlement

• WCO World Customs Organization

The provisions of the ASEAN Protocol on Enhanced Dispute
Settlement Mechanism, done at Vientiane, Lao PDR on the
A Single Window Environment is a cross border,
‘intelligent’, facility that allows parties involved in trade and 1 For the purposes of this
transport to lodge standardized information, mainly Protocol, the following
electronic, with a single entry point to fulfill all import, terms shall be defined as
export and transit related regulatory requirements. follows:

• ASW ASEAN Agreement to Establish ASW

(a) The ASEAN
National Single Window is a system which enables the Single Window
Single submission, single processing and single decision (hereinafter “ASW”) is
making for customs release and clearance the environment where
National Single
ASEAN Single Window Commitment Windows of Member
Countries operate and
v Agreement to Establish and Implement the ASEAN Single
Window (December 9,2005)

v Protocol to Establish and Implement the ASEAN Single

(b) The National
Window (December 20,2006) Single Window
(hereinafter “NSW”) is a
system which enables:
v Memorandum of Understanding on the Implementation of
the ASEAN Single Window Pilot Project (July 18,2011)

Part I - General provisions and objectives

(i) a single
submission of data and
Article 1 General definition and interpretation

(ii) a single and

synchronous processing
of data and information;

(iii) a single
decision-making for
customs release and
clearance of cargo. A
single decision-making
shall be uniformly
interpreted as a single
point of decision for the
release of cargoes by the
Customs on the basis of
decisions, if required,
taken by Line ministries
and agencies and
communicated in a
timely manner to the
2 This Protocol shall be a To provide a legal and
. read and interpreted in . technical framework to
accordance with the establish and implement
ASW Agreement. In the the ASW and NSWs as
event of any regional commitments
inconsistency between towards the
this Protocol and the establishment of an
ASW Agreement, the ASEAN Economic
provisions of the ASW Community;
Agreement shall take
precedence. b To s t r e n g t h e n t h e
. coordination and
3 The Technical Guide of partnership among Lead
. ASW and NSWs agencies/ASEAN
Implementation is the Customs Administrations
compilation of relevant and relevant line
internationally accepted ministries and agencies
standards, procedures, and economic operators
documents, glossary, (importers, exporters,
technical details and transport operators,
formalities for the express industries,
effective implementation customs brokers,
of the ASEAN Single forwarders, commercial
Window, to be adopted banking entities and
as deemed appropriate financial institutions,
by Member Countries. It insurers, and those
constitutes the technical relevant to the
guidance of the international supply
implementation subject chain) to effectively and
to regular reviews and efficiently implement the
updates in line with new ASW;
technology and
development as deemed c To encourage
necessary by Member . participation of
Countries. The Technical economic operators to
Guide of ASW and the implementation of
NSWs Implementation the ASW and NSWs; and
(hereinafter the “ASW d To provide technical,
Te c h n i c a l G u i d e ” ) . functional and
appears as Annex 1. operational guidance for
4 The Action Plan of ASW the implementation of
. Implementation is the the ASW and NSWs in
schedule comprising Member Countries as set
activities required, as forth in the ASW
specified in Annex 2. Agreement, taking into
consideration the ASW
Technical Guide.
Article 2 Objectives

The objectives of this Protocol are: Part II - Scope and coverage

Article 3 Scope of application

Provisions under this Protocol shall apply for the
establishment and implementation of the ASW and NSWs at 1 Documents and
regional and national levels, respectively. . formalities that shall be
used in the ASW system
by Member Countries
Article 4 ASEAN Single Window Model
comprise, inter alia, the
1 The conceptual ASW
. Model appears in the
ASW Technical Guide. (a) A S E A N
Customs Declaration
2 The ASW shall operate Document as endorsed
. in an open environment by ASEAN Directors-
of required relationships General of Customs, as
and linkages between in Annex 3;
economic operators and
governments, for a
completion of a
transaction, such as (b) Commercial and
Government-to- transport documents for
Business, Business-to- the release and clearance
Business, or of goods and
Government-to- commodities by
Government, and others Customs Administrations
of such nature, through a as stipulated in national
secure infrastructure. laws and regulations of
Member Countries, as
Article 5 National Single Windows

Member Countries shall develop and implement their NSWs

based on international standards and best practices as (c) Formalities and
established in international agreements and conventions documents required by
concerning trade facilitation and modernisation of customs national laws and
techniques and practices.
regulations for the
release and clearance of
Part III - Technical aspects of the ASEAN Single Window goods and commodities
and National Single Windows by Customs
Administrations as
Article 6 Documents and formalities stipulated in national
laws and regulations of
Member Countries, as
appropriate; and

(d) Other formalities

as stipulated by national
laws and regulations and
international conventions
where relevant.
2 The format of documents 4 The access to, exchange,
. and formalities for the . use, legal validity, and
purpose of NSW systems confidentiality of data
shall be determined by and information in the
the respective national framework of the ASW
competent authorities in are subject to the
line with international national laws and
standards. regulations of the
respective Member
Article 7 Data and information

Article 8 Applications of information and communication

1 Data and information, technology
. including regulatory
information, for the
purpose of a single 1 The NSWs shall make
submission, of a single . use of the appropriate
and synchronous technology with open
processing and of a architecture based on
single decision making international standards
shall be submitted, and technical
collected and processed advancements in areas of
in an agreed format and information and
transmitted through communication
secured channels and in technology and data
e s t a b l i s h e d processing.
communication and
2 The implementation of
interface protocols as
. the NSWs shall make
defined by Member
use of international
standards of data and
2 For the purpose of the information processing
. ASW and NSWs, and management, such
Member Countries shall, as the United Nation
as deemed appropriate, Electronic Data
align data and Interchange for
information parameters, Administration,
for customs clearance Commerce and
and release, to the World Transport (UN/
Customs Organization EDIFACT), Extensible
(WCO) Data Model and Mark-up Language
relevant international (XML), American
standards. National Standard
Institution X.12 (ANSI
3 Bilateral or regional X12), RosettaNet or
. arrangements among others relevant to the
Member Countries for implementation of the
the exchange and sharing NSWs.
of data and information
for the ASW shall be
3 The secure infrastructure 1 Member Countries shall
. for the ASW and NSWs . determine the roles and
shall follow international functions of their
standards and best respective Line
practices with features ministries and agencies
such as confidentiality, for the effective
data integrity, implementation and
authenticity and non- operation of the ASW
repudiation. and NSWs. All Line
ministries and agencies
of the respective
Article 9 The ASW Technical Guide Member Countries shall
Member Countries shall implement the ASW and NSWs
support and cooperate
based on the ASW Technical Guide, with the necessary closely with their
modifications or updates as required by individual Member respective Lead agency
Countries for effective implementation. as determined in the
ASW Agreement.
Article 10 Protection of intellectual property rights
2 The respective ASEAN
The protection of intellectual property rights of technological . Customs Administrations
products and services being developed by Member Countries are ultimate
for the ASW shall be enforced in conformity with the decisionmakers for
respective national laws and regulations of the Member
Countries and with international agreements to which the
release and clearance of
Member Countries are Contracting Parties. cargo on the basis of
timely communicated
information, if required,
Article 11 Partnership in the ASW and NSWs from Line ministries and
agencies of respective
Member Countries shall strengthen the partnership with the Member Countries.
trading community and businesses in the implementation of
the ASW and NSWs. Business-tobusiness initiatives as
relevant to the ASW and NSWs shall be encouraged.
Article 15 Action Plan of ASW implementation

The implementation of the ASW and NSWs shall be in

Article 12 Mobilisation of resources for implementation accordance with the Action Plan of ASW Implementation,
Member Countries shall mobilise resources for the which may be reviewed or revised as deemed appropriate.
establishment and implementation of their respective NSWs,
as well as their respective components of the ASW.
Part V - Other provisions

Part IV - Processes, roles and functions

Article 16 Annexes

Annexes to this Protocol are integral parts of this Protocol.

Article 13 Customs and business processes

Customs and business processes are established on the basis

Article 17 Dispute settlement
of international standards and best practices.
The provisions of the ASEAN Protocol on Enhanced Dispute
Settlement Mechanism, done at Vientiane, Lao PDR on the
Article 14 Roles and functions of line ministries and 29th day of November 2004, shall apply to disputes arising
agencies under this Protocol.

Article 18 Institutional arrangements

1 The Ministers 1 The provisions of this
. responsible for ASEAN . Protocol may be
Economic Integration modified through
shall meet whenever amendments mutually
necessary to review this agreed upon in writing
Protocol for the purpose by all Member
of considering further Countries.
measures to improve the
development and/or 2 This Protocol shall be
implementation of the . deposited with the
ASW. Secretary-General of
ASEAN, who shall
2 The Steering Committee furnish a certified copy
. of ASW implementation to each Member
(ASW Steering Country.
Committee) shall be
established by the
Ministers responsible for Article 21Entry into force
ASEAN Economic
Integration to monitor
and coordinate the 1 This Protocol shall enter
implementation of the . into force upon signing.
ASW and NSWs. The
ASW Steering 2 Each Member Country
Committee shall be led . shall, upon the
by a high level officer of completion of its
an ASEAN Customs national procedures of
Administration or of a ratification of this
government agency as Protocol, notify the
designated by the ASEAN Secretariat in
Ministers. writing.
3 The ASEAN Secretariat In witness whereof, the undersigned, being duly authorised
. shall provide technical thereto by their respective Governments, have signed the
and secretarial support to Protocol to Establish and Implement the ASEAN Single
the ASW Steering Window.
Committee. Done at [Siem Reap, Cambodia] on [Date April 2006], in a
single copy in the English language.

Article 19 Mutual assistance o Memorandum of Understanding on the

Mutual assistance among Member Countries shall be Implementation of the ASEAN Single
promoted for effective and efficient implementation of the Window Pilot Project
ASW and NSWs. http://agreement.asean.org/media/download/

Article 20 Final provisions

Several Member States initiated bilateral pilots to exchange
the intra-ASEAN preferential certificate of origin (ATIGA
Form D) between their certificate issuing authorities and
Customs administrations, since this was one of the concerns
of the private sector.

At the regional level Member States launched discussions

for a broader Pilot project involving most, if not all, Member
States. Besides the technical aspects of the Pilot, discussions c. A single decision making for customs release and
began on a Memorandum of Understanding that would clearance.
outline the basic legal framework governing the pilot. With What is the ASW? It is the secured environment where
the key issue of how the ASW will operate at a high level NSWs of Member States operate and integrate. It constitutes
a regional facility to enable a seamless, standardized and
resolved, Member States started to put the technical outlines
harmonised routing and communication of trade and
of the ASW Pilot Project, which would consist of three customs-related information and data for custom clearance
components: and release from and to NSWs.
(i) technical architecture design, Information Security and Confidentiality: Each member State
(ii) implementation of that design, and shall:
(iii) a full pilot evaluation, including a Cost-Benefit 1. Ensure that irs NSW protects the security and
Analysis. Seven Member States signed on to join the Pilot confidentiality of the data and information in its
while the remaining three signed on as observers. NSW Info System
2. Ensure that the use of data and info received
through the ASW environment shall be for lawful
All 10 Member States (at the Customs DG level) signed the and authorised purposes consistent with the terms
Memorandum of Understanding for the Implementation of of the protocol
the ASW Pilot Project. 3. Establish in its national laws, protection from
unlawful disclosure of confidential information that
may be transmitted, exchanged or disseminated by
Faced with budget limitations, Member States decided to the NSWs of other Member States
implement a scaled-down version of the architecture design. 4. Ensure that there is no unlawful disclosure where
confidential info transmitted between NSWs.
This scaled down Pilot implementation took place between
5. Ensure that its NSWs provides information security
November 2011 and October 2012 and was recently extended protections commensurate with the risk resulting
to March 2013. While the Pilot is ongoing at the technical from the unauthorized access or loss of confidential
level, the LWG has made substantial progress in drafting a information.
regional Legal Framework Agreement (LFA) that would 6. Adopt information security controls and procedures
govern the cross-border exchange of electronic data.1 A full for access to data and info contained in their
working draft LFA is expected to be finalized in 2013. respective NSWs
o Memorandum of Understanding between the
Governments of the Participating Member States of
the Association of Southeast Asian nations (ASEAN)
o Protocol on the Legal Framework to
on the Pilot Project for the Implementation of a
Implement the ASEAN Single Window
Regional Self-Certification System
1. Protocol shall apply to transactions between
Obligations of the Participating Member States:
National Single Windows within ASW
They shall accord to goods originating in the other
environment among Member States
Participating Member States the preferantial tariff treatment
2. Nothing here shall be construed as creating
set out upon submission of EITHER:
any obligations for Member States with
a. Certificate of ORigin
respect to domestic operations and
b. Invoice Declaration made out by a
transaction of their own NSW save as
Certified Exporter
prescribed with regard to INformation Security
● Self certification reduces the documentation burden
and Confidentiality
of traders when claiming for preferential tariff
3. All transactions here shall comply with the
treatment and would help to improve utilisation of
technical and operational criteria as agreed by
tariff concessions offered under ATIGA. This
the Member States
would further enhance intra ASEAN trade.
● Under this scheme, the primary responsibility of
1. Nothing shall affect and/or limit any
origin certification is carried out by traders such as
agreements in relation to mutual assistance in
manufacturers and exporters, including small and
criminal matters and those to which a Member
medium enterprises, participating in regional trade.
State is a party
● Under this scheme, certified exporters are allowed
2. Not cover the enforcement of purely private
to declare that their products have satisfied the
and proprietary claims among private NSW
ASEAN origin criteria. The declaration will be
used within the ASW environment
made out by a certified exporter on a commercial
3. Not cover electronic NSW transactions
invoice or, in the event the invoice is not available
between a Member and Non-Member State
to the importer at the time of exportation, on any
What is a NSW? It is a system which enables:
other commercial document such as billing
a. A single submission of data and info
statements, delivery order, or packing list.
b. A single and synchronous processing of data and
Application for Certification of ORigin
1. At any time of carrying out the formalities for Accords to goods originating in the other
exporting the products under preferential treatment, Participating Member States the preferential tariff treatment
the exporter or his authorized rep shall submit a set out in Art 19 of the agreement upon submission of:
written application for the Cert. of Origin with a. Certificate of Origin
appropriate supporting documents proving that the b. An Invoice Declaration made out by a Certified
products to be exported qualify for the issuance of Exporter according to the procedures set out in the
the Certificate. Annex of this MOU.
2. A Certified Exporter may, at his own discretion,
apply for a Certificate of Origin in place of making Suspension of the Provisions of this Agreement
out Invoice Declaration. Each Member State reserves the right for reason of
Certified Exporter national security, national interest, public order or public
1. The competent authorities of the exporting health to suspend temporarily, either in whole or in part, the
Member State may authorise an exporter who implementation of this MOU. The suspension shall take
makes shipment of products under the agreement to effect after a written notification has been given to other
make Invoice Declarations with regard ti the participating Member States through Diplomatic Channels or
originating status of the goods concerned. The the Asean Secretariat.
exporter seeking authorisation must apply in
writing or electronically and must offer to the Accession by Non-participating Asean Member States
satisfaction of the competent authorities all Non-Participating Asean Member States may accede to the
guarantees necessary to verify the originating MOU at any time subject to the agreement of the
status of the goods for which the invoice Participating States at the level of their representatives. The
declaration was made out. MOU shall be binding to the acceding party upon deposit of
2. The competent authorities may grant the status of their instruments of ratifications or letters of acceptance with
Certified Exporter subject to the ff conditions: the Secretary Geeneral of the ASean, who shall promptly
a. That the exporter must grant the inform each Participating Member of such deposit.
competent authorities access to records
and premises for the purpose of
monitoring the use of the authorisation
and of the verification of the correctness 3. Other ASEAN economic agreements
of declarations made out.
b. Exporter must undertake to make out a. Investment - WENCESLAO
Invoice Declaration only for goods they ASEAN Comprehensive Investment Agreement (ACIA)
produces and for which he has all http://agreement.asean.org/media/download/
appropriate documents proving the origin 20140119035519.pdf
status of the goods concerned at the time WHAT IS THE MAIN POINT OF ACIA? To protect
of making of the declaration single investors in the ASEAN community.
c. UNdertake to ensure that the person ● Objective: to create a free and open investment
responsible for making out the regime in ASEAN in order to achieve the end goal
INvoiceknow and understand the Rules of economic integration under the AEC in
of Origin accordance with the blueprint through the ff:
d. Exporter accepts the full responsibility (a) Progressive liberalization of the
for all INvoice Declaration made out investment regimes of member States;
including any misuse. (b) Provision of enhanced protection to
3. An authorisation shall be in writing. investors of all Member States and their

Withdrawal of the Authorization: (c) Improvement of transparency and
May be withdrawn at any time, where the Certified predictability of investment rules,
Exporter no longer oggers the guarantess as regulation and procedures conducive to
prescribed, no longer fulfills the conditions or increased investment among member
otherwise abuses the authorisation. States
(d) Joint promotion of the region as an
Validity period of the Certificate of Origin or Invoice integrated investment area.
Declaration (e) C o o p e r a t i o n t o c r e a t e f a v o r a b l e
12 months for origin Certification purposes, from conditions for investment by investors of
the date of issuance or in the case of the Invoice a member States in the territory of the
Declaration from date of making out. member States
Memorandum of Understanding among the
Governments of the Participating Member States of the ● Guiding Principles:
Association of Southeast Asian Nations (ASEAN) on the (a) Investment liberalization, protection,
Second Pilot Project for the Implementation of a Regional investment promotion and facilitation;
Self-Certification System (b) Free and open investment
http://agreement.asean.org/media/download/ (c) Benefit ASEAN investors
20140117162924.pdf (d) Preferential treatment among member
Obligations of the Participation Member States: States
(e) No backtracking of commitments under management, production or
the AIA Agreement and the ASEAN IGA revenue-sharing contracts
(f) Special and differential treatment and (vi) business concessions
other flexibilities to member States required to conduct economic
depending on their level of development activities
(g) Reciprocal treatment in the enjoyment of
concessions (c) Investor - natural person of a
(h) Accommodate expansion of scope of member state or who has made an
agreement investment in the territory of any other
member state
● Application
(a) Investors of any member states and their ● National Treatment
investments Each member State shall accord to investors of any
(b) Existing investments and investments other member state treatment no less favorable that
after this agreement that it accords to its own investors with respect to
(c) Investment liberalizations shall apply to the admission, establishment, acquisition,
the ff. Sectors expansion, management, conduct, operation and
(1) Manufacturing sale of other disposition of investments in its
(2) Agriculture territory
(3) Fishery
(4) Forestry ● Most-Favored Nation Treatment (MFN)
(5) mining and quarrying Each member state shall accord to investors of
(6) S e r v i c e s i d e n t i c a l t o another member state no less favorable than that it
manufacturing, agriculture, accords to investors of any other member-state or a
fishery, forestry, mining and non-member state with respect to the admission,
quarrying establishment, acquisition, expansion,
(7) Any other sectors agreed upon management, conduct, operation and sale or other
the member states disposition of investments.
Note: Investor-state dispute settlement is not
● No application in the ff: applicable
(a) Any taxation measures except for
transfers and expropriation Compensation in cases of Strife: each member
(b) Subsidies or grants state shall accord to investors of other member
(c) Government procurement state in relation to their covered investments which
(d) Services supplied in the exercise of suffered losses due to armed conflicts or strife,
government authority by a member state non-discriminatory treatment with respect to
(government authority means any restitution and compensation
service, which is supplied neither on a
commercial basis nor in competition with Expropriation and Compensation: No member
one or more service suppliers state shall expropriate a covered investment except
(e) Measures adopted or maintained by a for public use, in a non-discriminatory manner, on
Member State affecting trade in services prompt payment of compensation and in
accordance with due process of law.
● Definition of terms
(a) “Covered invesmtnet” - an DENIAL OF BENEFITS
investment within a member A member-State may deny benefits to:
states’ territory of an investor (a) An investor of a member-state that is a
(b) Investment - means every kind juridical person of another member state
of asset, owned or controlled, and to investments of such investor if an
by an investor including but investor of a non-member state owns or
not limited to the ff: controls the juridical person and the
(i) movable and immovable juridical person has no substantive
porperty and other property business operations in the territory of
rights such as mortgage such other member state
(ii) shares, stocks, bonds and (b) An investor of a member state that is a
debentures and any other forms juridical person of such other member
of particpation in a juridical state and to investments of such investor
person and rights or interest if the investor of the denying member
(iii) intellectual porperty rights state owns or controls the juridical
(iv) claims to money or to any person and the juridical person has no
contractual performance substantive business operations in the
related to a business territory of such other member state
(v) rights under contracts (c) An investor of a member state that is a
including turnkey construction, juridical person of such other member
state and to investments of such investor c. research and development; and
of a non-member state own and control d. exchange of information.
the juridical person, and the denying e. identify sectors for cooperation
member state does not maintain and formulate action plans,
diplomatic relations with the non- programs and understandings
member state. that shall provide details on the
nature and extent of
Principle of Transparency: ACIA aims to make cooperation
an annual list of investment-related agreements and (3) Liberalization:
any changes in the law and regulations, guidelines a) eliminate substantially all
and measures relating to investments available to existing discriminatory
the public except those considered confidential measures and market access
information which would prejudice legitimate limitations amongst Member
commercial interests of a particular judicial person. States; and
b) prohibit new or more
Dispute Settlement between an investor and a discriminatory measures and
member-State: “disputing investor” - an investor market access limitations.
of a member-state that makes a claim on its behalf (4) Negotiation of Specific Commitments:
or an investor of a member state that makes a claim a) enter into negotiations on
on behalf of a juridical person of another member measures affecting trade in
state that the investor owns or controls. specific service sectors directed
towards achieving
Available claims to the disputing investor: commitments beyond the
breach of the obligations under the ACIA relating specific commitments under
to national treatment, MFN, Senior-Management the general Agreement on
and Board of Directors; Treatment of investment; Trade Services (GATS)
Compensation in cases of Strife; transfers; and b) accord preferential treatment on
expropriation and compensation. members based on most
favored nation (MFN)
· Protocol to Amend the ASEAN Comprehensive (5) Mutual Recognition Upon agreement, a
Investment Agreement (Not in Force) http:// member state may recognize the education or
agreement.asean.org/media/download/ experience obtained, requirements met, or licenses
20141007110406.pdf or certifications granted in another Member State,
AMENDED PROVISIONS OF THE ACIA: for licensing or certification of service suppliers.
Particularly articles on Reservations and Modifications (6) Denial of Benefits The benefits here shall be
of Commitments - WHY? To clarify these articles; and denied to a service supplier who is:
to adopt an efficient mechanism to effect changes in 1. a natural person of a non-Member State or
each member state’s reservation list following 2. a juridical person owned or controlled by
subsequent amendments or modifications. persons of a non-Member State
constituted under the laws of a Member
b. Services - State,
● ASEAN Framework Agreement on Services 3. Not engaged in substantive business
(1995) operations in the territory of Member
(1) Objectives: State(s)
a) to enhance cooperation in services: (7) Settlement of Disputes
1. to improve efficiency and 1. Protocol on Dispute Settlement
competitiveness Mechanism for ASEAN
2. diversify production capacity and supply 2. specific dispute settlement mechanism
3. distribution of services of service as may be established
suppliers within and outside ASEAN;
b) to substantially eliminate restrictions to trade in ● Protocol to Amend ASEAN Framework
services amongst Member States; and Agreement on Services: The provision on
c) to liberalize trade in with the aim to realizing a negotiation is amended:
free trade area in services. 1. It provides that the states may enter into
(2) Areas of Cooperation: Member States shall: negotiations to liberalize trade but it removed the
1. strengthen and enhance existing goal of achieving commitments beyond specific
cooperation efforts in service sectors commitments under GATS.
2. develop cooperation in sectors that are 2. It states that any extension of preferential treatment
not covered by existing cooperation on MFN basis shall be voluntary.
arrangements, through: 3. All agreements that the members states enter into
a. establishing or improving pursuant to Art. IV of this Convention must be
infrastructural facilities; deposited with the Sec-Gen of ASEAN.
b. joint production, marketing and
purchasing arrangements; ● Finance
● 1997 Ministerial Understanding on ASEAN 3. Negotiate to liberalize banking sectors
Finance Cooperation in Finance
(1) Objective: Annexes to the Protocol:
● Provide better cooperation in economy and finance 1. Consolidated Schedule of the Specific
● Strengthen efforts in addressing economic Commitments on Financial Services
challenges ● Chiang Mai Initiative
(2) Exchange of Information Multilateralization
● exchange information, ideas and perspectives on CMIM: signed on 24 December 2009; entered into
developments affecting ASEAN in the area of force on 24 March 2010.
finance CMIM Agreement: 17 July 2014.
(3) Scope of Cooperation (1) What is it?
· cooperation and facilitation efforts, programs and · It is a multilateral arrangement
activities including: among the finance ministries and
a) Banking and Finance; central banks of the ASEAN+3-
b) Financial and Capital Markets; member countries and the Hong
c) Customs Matters; Kong Monetary Authority.
d) Insurance Matters; · It is governed by a single
e) Taxation and Public Finance; contractual agreement for the
f) Any other area of finance as may be agreed purpose of providing financial
upon by the ASEAN Finance Ministers. support in United States Dollars
(4) Activities through currency swap transactions
1. exchange views on macroeconomic policies among them.
2. improve transparency of policies, regulations and · It is the first regional currency
rules affecting the finance swap arrangement launched by the
3. encourage regular meetings among policy to ASEAN+3 countries.
explore ways to promote ASEAN as an efficient · It is composed of: (a) the ASEAN
and attractive financial and investment region; Swap Arrangement (ASA) among
4. promote public-private sector linkages in the ASEAN countries; and (b) a
area of finance network of bilateral swap
5. develop ASEAN's human resource in the area of arrangements (BSAs) among the
finance ASEAN+3 countries.
6. pursue other activities that may be imperative for (2) Objective: To enhance the effectiveness of
bringing about a more efficient development and the CMI:
greater cooperation a. address potential and actual BOP
(5) Decision Rules Consensus, but countries ready to go and short-term liquidity difficulties
ahead shall be allowed to do so, while other Member States in the region; and
which have agreed but are not yet ready to implement the b. supplement existing international
programs and projects may do so as soon as practicable. arrangements.
(6) Meetings (3) Effect on other Swap Arrangements:
· ASEAN Finance Ministers shall follow the a. replaces the existing network of
pattern of ASEAN Summit BSAs among ASEAN+3-member
· AFMM shall be chaired by the host country countries.
on a rotational basis and in alphabetical order b. ASA has remained in effect
· AFMM shall be assisted by the ASEAN (4) types of facilities available to CMIM
Senior Finance Officials Meeting (ASFOM). members
1. CMIM Precautionary Line
● Protocol to Amend the Ministerial (CMIM-PL)- crisis prevention
Understanding on ASEAN Cooperation in facility
Finance It provides that the AFMM shall be 2. CMIM Stability Facility
assisted by the ASEAN Finance and Central Bank (CMIM-SF)-crisis resolution
Deputies Meeting (AFDM) not the AFMM. facility

● Protocol to Implement the 6th Package of · Under both facilities, 30 percent of

Commitments on Financial Services under the the maximum drawable amount by
ASEAN Framework Agreement on Services any member is categorized as quick
http://asean.org/storage/2016/12/Consolidated- disbursing while the remaining
AFAS-6-SOCs-with-ABIFCommitments.pdf portion is linked to an IMF program.
· The maturity period for the
Members have agreed to: CMIM-PL is six (6) months and one
1. Extend their specific commitments under (1) year for the IMF de-linked and
the GATS to other member states who IMF linked portions, respectively,
are non-WTO members for a maximum supporting period of
2. Extend preferential treatment on MFN two (2) years
basis to each member states
· the maturity period for the is made, the Member State to which the request is
CMIM-SF is six (6) months and one made shal reply to the request within 10 days after
(1) year for the IMF de-linked and receipt and enter consultations within 30 days of
IMF linked portions, for a receipt of request. In case of urgency, Appellate
maximum supporting period of two Body shall make every effort to accelerate the
(2) years and three (3) years, proceedings.
(5) Activation Process Member States in dispute may agree on good
offices, conciliation or mediation that may begin
anytime and terminated at any time. Once
procedure for this is terminated. They may proceed
with a request to the SEOM for the establishment
of a panel. If parties agree procedures for good
offices, conciliation and mediation may continue
while panel process proceeds. The Secretary
General may acting in ex officio capacity offer
(6) AMRO good offices, mediation or conciliation to assist in
· Internal organization & settling the dispute.
independent regional surveillance
unit of the CMIM If Member State requested for consultation does
· ensure timely monitoring and not reply within 10 days after receipt and does not
analysis of the ASEAN+3 enter into consultation within 30 days or
economies consultation failed to settle within 60 days, the
· It is governed by: Executive matter shall be raised to the SEOM if the
Committee (EC) composed of compalaining party wishes to request for a panel.
ASEAN+3 finance and central bank Panel shall be established by SEOM unless SEOM
deputies decides by consensus.
· Operations: headed by the AMRO
Director, Chief Economist and two The function of the panel is to make an objective
(2) Deputy Directors with strategic/ assessment of the dispute before it including an
technical guidance from the examination of the facts of the case and the
Advisory Panel (AP) applicability and conformity with the sections of
· Office: Monetary Authority of the agreement and its findings and
Singapore complex in Singapore recommendations in relation to the case.

A panel shall regulate its own procedures and

4. Dispute resolution - BRIES shall submit its findings and recommendations in
· ASEAN Protocol on Enhanced Dispute a written report within 60 days of establishment.
Settlement Mechanism In exceptional cases panel may take an additional
· http://agreement.asean.org/media/download/ 10 days. Before submitting its findings and
20141217102933.pdf recommendations it shall accord adequate
The SEOM (Senior Economic Officials Meeting) opportunity to the parties to review the report.
shall administer this protocol and the consultation The panel have the right to seek information and
and dispute settlement of the covered agreements. technical advice from any individual or body
They have the authority to establish panels, adopt which it deems appropriate. Panel deliberations
panel and Appellate Body reports, maintain shall be confidential.
surveillance of implementation of finds and
recommendations of panel and Appellate Body The SEOM shall adopt the panel report within 30
reports adopted by the SEOM and authorize days of submission unless a party disputes
suspension of concessions and other obligations. formally notify the SEOM of its decision to
They shall also be notified of mutually agreed appeal or SEOM decides by consensus not to
solutions to matters formally raised in consultation adopt the report.
and dispute settlement provisions.
When there are more than 1 Member State
Member states shall accord adequate opportunity requests the establishment of a panel related to
for consultations regarding any representations the same matter, a single panel ay be established
made by other Member states regarding any matter to take into account the rights of all the member
affecting the implementation or application of the states concerned. A single panel shall be
Agreement. Any differences shall be settled established whenever feasible and shall organize
amicably if possible. Any Member states that its examination and present its findings and
considers any benefit impaired shall make recommendations to the SEOM. The written
representations or proposals to other Member State submissions shall be made available to the other
concerned, which shall give due consideration and complainants.
representations to the proposals made to it. All such
requests shall be notified to the SEOM. If a request
The interest of the parties and 3rd parties under panels and Appellate body especially with legal,
the covered agreement at issue shall be fully take historical and procedural aspects of the matters
account during the panel process. and shall assist the SEOM to monitor and
maintain surveillance.
An appellate body shall be established by
ASEAN Economic Ministers and shall hear The total period for the disposal of disputes shall
appeals from panel cases. It is composed of 7 not exceed 445 days unless a longer time period
persons 3 shall serve on any one case. They shall applies. The venue for the proceedings of the
serve on cases in rotation. It shall comprise of panels and appellate body shall be the ASEAN
persons of recognized authority, irrespective of Secretariat. Panel and Appellate Body
nationality with demonstrated expertise in law, proceedings apart from substantive meetings may
international trade and subject matter of the be held at any venue which the panels and
covered agreements. They shall be appointed for appellate body considers appropriate in
a four year term and may be reappointed once. A consultation with the parties to the dispute,
person appointed to replace a person whos term having regard with the convenience and cost
had not expired shall hold office for the effectiveness of such venue.
remainder of the predecessors term. Only parties
to the dispute may appeal, not 3rd parties. An · Yaung Chi Oo Trading Pte. Ltd. v.
appeal is limited to issues of law covered in the Government of Myanmar, 42 ILM 540
panel report and legal interpretations developed (2003)
by the panel. Facts:
• The case was brought under the ASEAN
There shall be no ex parte communications with Agreement for the Promotion and Protection of
the panel or appellate body concerning matters Investments of 1987 and the 1998 Framework
under consideration by the panel or the appellate Agreement for the ASEAN Investment Area. →
Myanmar is a party to the 2 Agreements.

Parties to the dispute shall comply with the • The dispute, which was conducted und.er the
findings and recommendations of the panel ICSID Additional Facility Arbitration Rules, concerned a
report adopted by the SEOM within 60 days from dispute arising from an interim seizure and a judicial
the SEOMs adoption of the same. In the event of winding up order of a joint venture company in
an appeal, 60 days from the SEOMs adoption of Myanmar. 

the findings and recommendations of the • YCO is a company incorporated in Singapore.

Appellate Body reports, unless disputants agree • 29 November 1993 – YCO concluded a Joint
on a longer period and shall be made within 14 Venture Agreement with Myanmar Foodstuff Industries
days from the adoption of the findings and (MFI) for the establishment of a joint venture company,
recommendations of the panel report or in the
Myanmar Yaung Chi Oo Company Ltd (MYCO) to
event of an appeal 14 days from the SEOMs
adoption of the findings and recommendations of operate the Mandalay Brewery and to market its
the Appellate Body’s reports. They are required products.

to provide a status report for their progress in o MFI is a Myanmar State-owned corporation.

writing. SEOM shall keep under surveillance the o Allocation of shares – 55% to MFI (to
implementation of the findings and contribute machinery, other items and the use of land
recommendations of panel and Appellate Body comprising the beer factory) and 45% to YCO (capital,
reports adopted by it. expertise, marketing, and provision of foreign raw

Compensation and suspension of concessions or o The term of the Agreement is for 5 years
other obligations are temporary measures
unless terminated earlier for a cause.

available in the event that the findings and
recommendations of panel and Appellate Body o The issue of a permit under the Union of
reports adopted by the SEOM are not Myanmar Foreign Investment Law and Procedure was
implemented within the period of 60 days or the a condition precedent to the entry into force of the
longer time period agreed upon by the parties. Agreement and the incorporation of MYCO.

o The joint venture is subject to the laws and
An ASEAN DSM fund shall be established for jurisdiction of Myanmar 

this protocol. It is a revolving fund separate from • MYCO began operations in October 1994. 

the ASEAN Secretariat’s regular budget. The o According to YCO, the output of the brewery
initial sum shall be contributed equally by all and its profits significantly increased.

member states and the ASEAN secretariat shall
• At the time of the conclusion of the joint
be responsible for administering the fund. The
fund shall be used to meet the expenses of the venture, Myanmar was not yet a member of the
panels, appellate body and administration costs ASEAN. It applied for membership in 1997 and was
of the ASEAN secretariat. Tje ASEAN admitted to the ASEAN. 

Secretariat shall be responsible in assisting the • Between December 1997 and November
1998, armed agents of Myanmar occupied the brewery “effective management” in Singapore but rejected this
and accounts of its directors were unlawfully frozen.
 argument given the company’s compliance with the
• November 1998 – the initial contract expired requirements of the Singaporean law, such as the existence of
without renewal.
 a resident director and the required annual auditing of

• February 1999 – the Myanmar Foreign
• The Tribunal agreed with Myanmar that the
Investment Commission appointed an inspector and investment had not been specifically approved and registered
manager to MYCO.
 in writing after the 1987 ASEAN Agreement entered into
• Myanmar became a party to the 1998 force for Myanmar in 1997 and thus, did not qualify as such
Framework Agreement for the ASEAN Investment Area under this Agreement. Even though the investment had been
which came into force in June 1999.
 approved under domestic law before 1997 under Article II(3),
• December 1999 – a winding up order was an express subsequent act amounting to written approval and
made by a Myanmar court despite opposition of YCO.
 registration would be required to make the investment
• YCO appealed against the winding up order to protected under the Agreement. 

the Myanmar Supreme Court but was unsuccessful.
 • The Tribunal rejected the argument of YCO that
the 1998 ASEAN Agreement broadened the definition of
• 29 June 2000 – YCO commenced arbitration
investment for the purpose of arbitral jurisdiction under the
proceedings under Article X of the 1987 ASEAN 1987 ASEAN Agreement. It observed that the concepts of
Agreement with allegations such as:
 “investment” under the two Agreements were distinct and
o The conduct of Myanmar was in breach of separate and there was no intention to substitute one for the
substantive provisions of the 1987 ASEAN Agreement, other or to merge them. 

particularly Articles III, IV, VI on fair and equitable • YCO argued that jurisdiction could be attached on
treatment, full protection and compensated the basis of the most-favoured nation clause contained in
 Article 8 of the 1998 ASEAN Agreement, read in
• A Tribunal was constituted with 3 arbitrators:
 conjunction with the 1998 bilateral investment treaty
o Professor James Crawford (Australia)
 between Myanmar and the Philippines. The Tribunal
disagreed because this treaty provided for a different mode of
o M. Francis Delon (France)

dispute settlement and a different appointing authority. 

o Professor Sompong Sucharikul (Thailand) - 

President of the Tribunal. 
 The ASEAN was founded in 1967. It aims to foster good
• 5 January 2002 – An initial hearing on relations among member states and within the region,
jurisdiction was held in Brunei. 
 especially in the field of economic development.

o YCO made an application for provisional 

measures which was dismissed by the Tribunal for the ASEAN has its own system of investment protection which
reasons that there was no necessity for such measures was first established by the 1987 ASEAN Agreement.

when MYCO had already been wound up and that the 

measures related to preservation and discovery of The conditions for a direct foreign investment to receive the
more favorable protection envisaged in the 1987 Agreement
evidence lacked specificity. 

include specific approval in writing and registration.

o The Tribunal also ordered that the issue of 

jurisdiction to be joined to the merits. 
 In case of new investments, the Agreement only applies to
• Myanmar argued that – 
o The Tribunal lacked jurisdiction because of the DIRECTLY CONNECTED WITH INVESTMENTS
absence of privity of consent between YCO and B R O U G H T I N T O T H E T E R R I T O RY O F A N Y
o The Claimant failed to exhaust local remedies COMAPNIES OF ANY OTHER CONTRACTING PARTY
available to it. 
Whether or not there is jurisdiction? No. UPON SUCH CONDITIONS AS IT DEEMS FIT FOR THE

· The Tribunal examined the terms of the 1987 ASEAN 

Agreement and found no such requirements on exhaustion of In case of existing investments, there must have been
all available remedies first. SPECIFICALLY APPROVED IN WRITING AND
· As to the argument of Myanmar that YCO had not made REGISTED BY THE HOST COUNTRY UPON SUCH
any “investment”, the Tribunal concluded that there was a CONDITIONS AS IT DEEMS FIT FOR PURPOSES OF
substantial inward direct investment into Myanmar because THE AGREEMENT, SUBSEQUENT TO ITS ENTRY INTO
the parties had accepted the existence of capital contributions FORCE.

made by YCO and machinery and supplies were shipped to 

Myanmar and paid for YCO. In both cases, a company investing in the host State must not
• Myanmar also argued that YCO was not effectively only be incorporated in or constituted under the laws in force
managed from Singapore and hence, lost the treaty protection in the territory of another State Party, but must have its
for company incorporated in the territory of Singapore as a PLACE OF EFFECTIVE MANAGEMENT in that State.

Contracting Party of the 1987 ASEAN Agreement. The 

Tribunal acknowledged the dramatic change in the level of The 1987 Agreement was thus subject to important
limitations in terms of its coverage as compared to other Body to perform conformity assessment activities
bilateral or multilateral investment protection treaties. as specified under this Framework Agreement and
However, the ASEAN has a tradition of progressively the relevant Sectoral MRAs;
introducing improvements or revisions to existing
Agreements or Framework Agreements by way of Designating Body - means a body appointed by a
subsequent Protocols.
 Member State to a Sectoral MRA, with
responsibility to identify and monitor Conformity
The ASEAN new investment treaty (ASEAN Comprehensive Assessment Bodies as specified under this
Investment Agreement) signed in February 2009, contains Framework Agreement and the relevant Sectoral
the requirement that covered investments are those have been MRAs.
admitted according to the ASEAN host state’s laws,
regulations, and national policies, and where applicable, Objectives:
specifically approved in writing by the competent authority
of a Member State. It has solved the complexity in the a. To stipulate the general principles for
relationship between the 1987 and 1998 ASEAN Agreements developing Sectoral MRAs amongst Member
by replacing both of them. States and other related cooperative activities to
facilitate elimination of technical barriers to
5. Deviation from ASEAN Agreements – SAN JUAN trade within ASEAN;
§ Protocol to Provide Special Consideration for Rice b. To stipulate the general conditions under which
and Sugar, http://agreement.asean.org/media/download/ each Member State to a Sectoral MRA shall accept
20140119102720.pdf or recognize results of conformity assessment
§ Protocol to Amend the Protocol to Provide Special procedures, produced by the Conformity
Consideration for Rice and Sugar http:// Assessment Bodies of the other Member States to
agreement.asean.org/media/download/ the Sectoral MRA in question in assessing
20140119102807.pdf conformity to the requirements, as specified in the
Sectoral MRA.
VII. AEC and the Legal Profession – OSIT
General Provisions:
§ ASEAN Framework Agreement on Mutual
Recognition Agreements http:// ● Member States to the Sectoral MRAs shall accept
agreement.asean.org/media/download/ or recognize the conformity assessment results,
20140119122338.pdf which have been issued in accordance with the
provisions in the Sectoral MRAs, by the listed
What is a Mutual Recognition Arrangement (MRA)? Conformity Assessment Bodies of other Member
States to the Sectoral MRAs.
Mutual Recognition Arrangements (MRAs) are ● Member States shall strengthen and enhance
framework arrangements established in support of existing cooperation efforts in confidence building
liberalising and facilitating trade in services. and develop cooperation in areas that are not
MRAs aim to facilitate mobility of professionals/ covered by existing cooperation arrangements,
skilled labor in ASEAN. Through exchange of through inter alia:
information, MRAs also work towards the adoption
of best practices on standards and qualifications. a) harmonization of standards with relevant
international standards, particularly those relevant
Definitions: to the Sectoral MRAs;
b) establishing or improving of infrastructure in
Conformity Assessment - means systematic calibration, testing, certification and accreditation
examination to determine the extent to which a to meet relevant international requirements;
product, process or service fulfills specified c) actively participating in relevant arrangements
requirements; undertaken by specialist regional and international
Conformity Assessment Body - means a body d) effectively using the existing MRAs developed
whose activities and expertise include performance by regional and international bodies which
of all or any stage of the conformity assessment majority of ASEAN Member States are parties to;
process except for accreditation; e) research and development; and
f) exchange of information and training
Regulatory Authority - means an entity that
exercises a legal right to control the import, use or ● Member States shall identify sectors for developing
sale of products within a Member State's MRAs based on the following criteria:
jurisdiction and may take enforcement action to
ensure that products marketed within its a) with special focus on but not limited to the list of
jurisdiction comply with legal requirements. 20 priority product groups identified for
harmonization of standards;
Designation - means the authorisation by a b) the volume of intra-ASEAN trade affected;
Designating Body of a Conformity Assessment
c) the existence and extent of technical barriers to a) listing, suspension, withdrawal, removal,
trade; reinstating and verification of Conformity
d) the readiness of technical infrastructure in the Assessment Bodies in accordance with the Sectoral
majority of Member States, which shall include the MRA;
existence of Conformity Assessment Bodies that b) amending transition arrangements in the
satisfy the procedures and criteria stated in Article Sectoral MRA;
6, clause 1; and c) providing a forum for discussion of issues that
e) the interest of the majority of Member States. may arise concerning the implementation of the
Sectoral MRA; and
● Based on paragraph 3 of Article I of the d) considering ways to enhance the operation of the
Framework Agreement on Enhancing ASEAN Sectoral MRA.
Economic Cooperation signed on 28 January 1992
in Singapore, two or more Member States may Art. 6 Listing of Conformity Assessment Bodies
proceed first if other Member States are not ready
to participate in the Sectoral MRAs. Ways to demonstrate technical competence of Conformity
Assessment Bodies:
Art. 4 Elements of Sectoral MRA
a) accreditation by an accreditation body that is a signatory to
● A Sectoral MRA shall include: a regional or international MRA, which is conducted in
conformance with the relevant International Organization
a) scope and coverage with respect to products; Standardization (ISO) / International Electrotechnical
b) a list of the relevant legislative, regulatory and Commission (IEC) Guides; or
administrative provisions pertaining to the b) participation in regional/international mutual recognition
conformity assessment procedures and technical arrangements for testing and certification bodies, which are
regulations for the specified products and conducted in conformance with the relevant ISO/IEC Guides;
provisions to update other Member States to the or
Sectoral MRA on changes; c) regular peer evaluations which are conducted in
c) a list of Designating Bodies; conformance with the relevant ISO/IEC Guides.
d) the procedures and criteria for listing
Conformity Assessment Bodies; Art. 10 Monitoring of Conformity Assessment Bodies
e) the current list of agreed Conformity Assessment
Bodies and a statement of the scope of the ● Designating Bodies shall ensure that Conformity
conformity assessment and relevant procedures for Assessment Bodies identified by them and listed in
which each has been accepted; a Sectoral MRA are capable and remain capable of
f) a description of the mutual recognition properly assessing conformity of products or
obligations; processes, as applicable, and as covered in the
g) a sectoral transition arrangement that provides applicable Sectoral MRA, Designating Bodies shall
for a specified time period where Member States to maintain monitoring of such Conformity
a Sectoral MRA require time to implement Assessment Bodies listed in a Sectoral MRA by
legislative or regulatory changes to effect the means of regular audit or assessment.
Sectoral MRA; ● Designating Bodies shall compare methods used to
h) a list of contact points, who shall not be verify that the Conformity Assessment Bodies
members of the relevant Joint Sectoral Committee; listed by the Joint Sectoral Committee comply with
i) provisions for the establishment of a Joint the relevant requirements of the Sectoral MRAs.
Sectoral Committee; and ● Designating Bodies shall consult as necessary with
j) additional provisions as required. their counterparts in other Member States to the
Sectoral MRAs, to ensure the maintenance of
● The Sectoral MRAs may include a statement or confidence in conformity assessment procedures.
arrangement related to mutual acceptance of the This consultation may include joint participation in
standards or technical regulations or mutual audits/inspections related to conformity assessment
recognition of the equivalence of such standards or activities or other assessments of Conformity
technical regulations. Assessment Bodies listed in a Sectoral MRA.
● Designating Bodies shall consult, as necessary,
Art. 5 Joint Sectoral Committee: with relevant Regulatory Authorities to ensure that
all technical requirements identified in the relevant
● It shall be responsible for the effective functioning Sectoral MRAs are satisfactorily addressed.
of a particular Sectoral MRA.
● It is composed of one official rep. designated by Art. 11 Preservation of Regulatory Authority
each Member State to the MRA who is not from a
Conformity Assessment Body. ● Nothing in this Framework Agreement shall be
● It takes its decisions by consensus. construed to limit the authority of a Member State
● It is responsible for: to determine, through its legislative, regulatory and
administrative measures, the level of protection it
considers appropriate for safety; for protection of
human, animal, or plant life or health; for the ● Member States shall take all precautions
environment and for consumers. reasonably necessary to protect information
● Nothing in this Framework Agreement shall be exchanged under this Framework Agreement and
construed to limit the authority of a Regulatory the Sectoral MRAs from unauthorized disclosure.
Authority to take all appropriate and immediate
measures whenever it ascertains that a product o Examples: Medical Professionals http://
may: agreement.asean.org/media/download/
a) compromise the health or safety of
persons in its territory; Art. 1 Objectives:
b) not meet the legislative, regulatory, or
administrative provisions within the ● Facilitate mobility of medical practitioners within
scope of the applicable Sectoral MRA ; ASEAN
or ● Exchange information and enhance cooperation in
c) otherwise fail to satisfy a requirement respect of mutual recognition of medical
within the scope of the applicable practitioners
Sectoral MRA ● Promote adoption of best practices on standards
and qualifications
Art. 12 Consultation and Settlement of Disputes ● Provide opportunities for capacity building and
training of medical practitioners
● Member States shall, at the written request of
another Member State, enter into consultations Professional Medical Regulatory Authority (PMRA) - refers
with a view to seeking a prompt, equitable and to a body vested with the authority by the gov’t in each
mutually satisfactory solution, if that Member State ASEAN Member State to regulate and control Medical
considers that: Practitioners and their practice of medicine. (ex. PRC, PMA)

a) an obligation under this Framework Agreement Art. 2 Recognition and Eligibility of Foreign Medical
has not been fulfilled, is not being fulfilled, or may Practitioners
not be fulfilled; or
b) any objective of this Framework Agreement is Conditions:
not being achieved or may be frustrated.
● In possession of a medical qualification recognized
● Any differences between Member States by the PMRA of the Country of Origin and Host
concerning the interpretation or application of this Country.
Framework Agreement and the Sectoral MRAs ● In possession of a valid professional registration
shall, as far as possible, be settled amicably and current practising certificate to practice
between the Member States concerned or within medicine issued by the PMRA of the Country of
the relevant Joint Sectoral Committee if applicable. Origin.
If a settlement cannot be reached, thus, it shall be ● Has been in active practice as a general Medical
subjected to the Dispute Settlement Mechanism of Practitioner or specialist, as the case may be, for
ASEAN in accordance with the Protocol on not less than 5 continuous years in the Country of
Dispute Settlement Mechanism. Origin.
● In compliance with CPD at satisfactory level in
Art. 14 Technical Assistance and Funding accordance with the policy on CPD mandated by
the PMRA of the Country of Origin
● Member States shall, if requested, advise other ● Has been certified by the PMRA of the Country of
Member States, and shall grant them technical Origin of not having violated any professional or
assistance on mutually agreed terms and ethical standards, local and international, in
conditions. relation to the practice of medicine in the Country
● Member States to a Sectoral MRA may engage the of Origin and in other countries as far as the PMRA
services of Conformity Assessment Bodies of other is aware.
Member States to undertake the requisite ● Has declared that there is no investigation or legal
conformity assessment activities, should they not proceeding pending against him/her in the Country
have their own facilities to do so. of Origin or another country
● Member States shall accord priority to funding for ● In compliance with any other assessment or
activities under this Framework Agreement and the requirement as may be imposed on any such
Sectoral MRAs. applicant for registration as deemed fit by the
PMRA or other relevant authorities of the Host
Art. 15 Confidentiality Country.

● Member States shall maintain, to the extent Undertaking:

permitted under its laws and regulations, the
confidentiality of information exchanged under this
Framework Agreement and the Sectoral MRAs.
● To be bound by Professional and Ethical Codes of Conditions:
Conduct and standards of medical practice imposed
by the PMRA of the Host Country ● Granted a Nursing Qualification;
● To be bound by prevailing laws of the Host ● Possession of a valid professional registration and/
Country or licence from the Country of Origin and a current
● To subscribe to any requirement for insurance practising licence or certificate or any relevant
liability scheme in the Host Country certifying documents;
● To respect the culture and religious practice of the ● Minimum practical experience in the practice of
Host Country nursing of not less than three (3) continuous years
prior to the application;
o Accountants http://agreement.asean.org/ ● Compliance with satisfactory continuing
media/download/20150126112310.pdf professional development in accordance with the
Policy on Continuing Professional Development in
nursing as may be mandated by the NRA of the
Art. 4 Recognition, Qualifications, and Eligibility Country of Origin;
● Certification from the NRA of the Country of
Conditions: Origin of no record or pending investigation of
having violated any technical, professional or
● Has completed an accredited accountancy degree ethical standards, local and international, for the
or professional accountancy examination practice of nursing; and
programme recognised by the National ● Compliance with any other requirements, such as
Accountancy Body (NAB = Phil. Institute of to submit for a personal medical examination or
CPAs) and/or Professional Regulatory Authority undergo an induction program or a competency
(PRA = PRC, Board of Accountancy)of the assessment, as may be imposed on any such
Country of Origin or Host Country, or has been application for registration and/or licence as
assessed and recognised by the NAB and/or PRA deemed fit by the NRA or any other relevant
as having the equivalent of such a degree. authority or the Government of the Host Country
● Possesses a current and valid professional concerned.
registration certificate in the Country of Origin
issued by the NAB or PRA, of that Country of Undertaking:
Origin and in accordance with its policy on the
registration, licensing and/or certification of the
practice of accountancy § ASEAN Framework Agreement on Services http://
● Has acquired relevant practical experience of not agreement.asean.org/media/download/
less than 3 years cumulatively within a 5 year 20140119141949.pdf
period following the first qualification
● Has complied with the Continuing Professional Art. 1 Objectives:
Development (CPD) policy of the Country of
Origin; and (a) to enhance cooperation in services amongst
● Has obtained certification from the NAB and/or Member States in order to improve the efficiency
PRA of the Country of Origin, that he or she has no and competitiveness, diversify production capacity
record of any serious violation of technical, and supply and distribution of services of their
professional or ethical standards, local and service suppliers within and outside ASEAN;
international, applicable to the practice of (b) to eliminate substantially restrictions to trade iri
accountancy. services amongst Member States; and
(c) to liberalise trade in services by expanding the
Undertaking: depth and scope of liberalisation beyond those
undertaken by Member States under the GATS
● Be bound by local and international codes of with the aim to realising a free trade area in
professional conduct in accordance with the policy services.
on ethics and conduct established and enforced by
the Country of Origin Art. 2 Areas of Cooperation:
● Be bound by Domestic Regulations of the Host
Country ● Member States shall strengthen and enhance
● Work in collaboration with a local Professional existing cooperation efforts in service sectors and
Accountant in the Host Country subject to the develop cooperation in sectors that are not covered
Domestic Regulations of the Host Country. by existing cooperation arrangements, through
inter alia:
o Nurses http://agreement.asean.org/media/
download/20150119183446.pdf (a) establishing or improving infrastructural
Art. 3 Recognition, Qualifications and Eligibility of (b) joint production, marketing and purchasing
Foreign Nurses arrangements;
(c) research and development; and
(d) exchange of information.

● Member States shall identify sectors for

cooperation and formulate Action Plans,
Programmes and Understandings that shall provide
details on the nature and extent of cooperation.

Art. 3 Liberalisation

Pursuant to Article 1 (c). Member States shall liberalise trade

in services in a substantial number of sectors within a
reasonable time-frame by:

(a) eliminating substantially all existing discriminatory

measures and market access limitations amongst Member
States; and
(b) prohibiting new or more discriminatory measures and
market access limitations.

Art. 5 Mutual Recognition

Each Member State may recognise the education or

experience obtained, requirements met, or licenses or
certifications granted in another Member State, for the
purpose of licensing or certification of service suppliers.
Such recognition may be based upon an agreement or
arrangement with the Member State concerned or may be
accorded autonomously.

Art. 6 Denial of Benefits

The benefits of this Framework Agreement shall be denied to

a service supplier who is a natural person of a non-Member
State or a juridical person owned or controlled by persons of
a non-Member State constituted under the laws of a Member
State, but not engaged in substantive business operations in
the territory of Member State(s).

Art. 7 Settlement of Disputes

● The Protocol on Dispute Settlement Mechanism for

ASEAN shall generally be referred to and applied
with respect to any disputes arising from, or any
differences between Member States concerning the
interpretation or application of, this Framework
Agreement or any arrangements arising therefrom.
● A specific dispute settlement mechanism may be
established for the purposes of this Framework
Agreement which shall form an integral part of this
Framework Agreement.