APEC Study Center Consortium Conference, San Francisco, .pptVIP

APEC Study Center Consortium Conference, San Francisco, Sep. 22-23 New IAP Peer Review Process toward FTAAP By Ippei Yamazawa Hitotsubashi University, Tokyo 1 1. Possible Highlight at APEC Honolulu President Obama host APEC Leaders’ meeting in Honolulu in November His Priority: complete TPP negotiation and guide APEC toward a high level FTA in Asia Pacific region (FTAAP) Media focuses on the rivalry in Asia-Pacific Regional Economic Integration (REI), TPP vs ASEAN+3 +6, but neglects APEC’s own liberalization program This report explains the new IAP process and urge ASC experts to monitor it implementation and achievement 2 2 Liberalization program in APEC APEC Seattle 1993 started the ‘free and open trade in Asia Pacific’ • 1994 Bogor Declaration: industrialized economies achieve it by 2010, while the rest by 2020 • 1995 Osaka Action Agenda 1995 provided APEC’s core program of trade and investment liberalization and facilitation (TILF). • 1997 Its implementation started APEC 2010 gave the mid-term assessment of APEC economies’ achievement toward Bogor Goals Leaders committed to continue it until 2020, which will build the base for FTAAP 3 2.2 Individual Collective Action Plan Framework Include both liberalization and facilitation measures　(TILF) Unique modality: Concerted Unilateral Liberalization, applied to members and non-members alike on MFN basis Ensure implementation of IAP/CAP through peer review and pressure Initial IAPs committed ‘Uruguay Round agreements plus small α (voluntary liberalization)’ Yamazawa’s assessment 1998 4 3. Paradigm shift in the regional integration A big setback due to Asian financial crisis EVSL also failed IAP: much less liberalization than expected APEC shifted to a realistic line toward facilitation, capacity building and structural reform (behind-the-border measures) 5 3.2 Toward East Asian Community Chiang Mai Innitiative (currency swap agreement )→ ‘ASEAN + 3’ group formed Bilateral FTAs flourished ‘ASEAN + 1’