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ASEAN urged to explore RCEP, CPTPP cooperation amid global pressures
🇲🇾 Malaysia /Economy & Trade

ASEAN urged to explore RCEP, CPTPP cooperation amid global pressures

From Utusan Malaysia · (8m ago) Malay

Translated from Malay, summarized and contextualized by DistantNews.

TLDR

  • ASEAN should explore closer cooperation between the CPTPP and RCEP trade agreements to navigate complex global pressures.
  • Experts suggest aligning rules of origin could facilitate trade flow between the blocs, potentially including non-member countries.
  • This strategic move aims to enhance ASEAN's economic integration and maintain its relevance in the evolving global economy.

KUALA LUMPUR: As the global economic and geopolitical landscape shifts rapidly, ASEAN must proactively seek deeper collaboration between the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) and the Regional Comprehensive Economic Partnership (RCEP). CARI ASEAN Research and Advocacy Chairman, Tan Sri Dr. Munir Majid, emphasized that while Malaysia achieved some successes during its ASEAN chairmanship last year, these efforts are insufficient to address current challenges.

ASEAN perlu meneroka potensi kerjasama yang lebih erat antara Perjanjian Komprehensif dan Progresif bagi Perkongsian Trans-Pasifik (CPTPP) serta Perkongsian Ekonomi Komprehensif Serantau (RCEP) bagi mendepani tekanan global yang semakin kompleks.

— Tan Sri Dr. Munir MajidChairman of CARI ASEAN Research and Advocacy, Tan Sri Dr. Munir Majid, stating the need for closer cooperation between CPTPP and RCEP to face global pressures.

Dr. Majid proposed that member states of both trade blocs can work in tandem without full integration, acknowledging differing national interests and geopolitical positions. A key area for cooperation lies in harmonizing rules of origin, which would simplify trade flows across both agreements. This means a product with 30% local content could potentially access markets in both RCEP and CPTPP, a model that could be extended to other nations like Peru and the United Kingdom, current CPTPP members not part of RCEP.

Salah satu bidang kerjasama utama yang boleh diteroka adalah penyelarasan peraturan asal usul yang berpotensi memudahkan aliran perdagangan merentasi kedua-dua blok berkenaan.

— Tan Sri Dr. Munir MajidDr. Munir Majid suggesting harmonizing rules of origin as a key area for cooperation to facilitate trade.

This approach could broaden existing cooperation frameworks such as ASEAN+1, ASEAN+3, and ASEAN+RCEP, thereby strengthening economic integration within the region. Dr. Majid recalled the genesis of RCEP, an ASEAN initiative conceived in 2012 during Cambodia's chairmanship, which materialized a decade later. This demonstrates ASEAN's capacity to drive large-scale economic cooperation. Therefore, ASEAN should leverage its position in both major agreements to forge a more inclusive and resilient new global economic network, ensuring its continued relevance and significant role in shaping the future global economic direction.

Ini bermaksud sekiranya 30 peratus sesuatu produk dihasilkan di negara tertentu, ia boleh menembusi pasaran anggota RCEP dan pendekatan sama boleh diperluaskan kepada CPTPP.

— Tan Sri Dr. Munir MajidDr. Munir Majid explaining how harmonized rules of origin could work for trade.
DistantNews Editorial

Originally published by Utusan Malaysia in Malay. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.

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