The ASEAN-China Free Trade Agreement (ACFTA) is a trade agreement between the Association of Southeast Asian Nations (ASEAN) and China. The agreement was signed in 2004 and went into effect on January 1, 2010. Since then, the two sides have been working to further enhance their economic cooperation and deepen their economic integration.
In 2018, the ASEAN-China Free Trade Agreement saw a major breakthrough with the completion of negotiations on an upgraded version of the agreement. The new agreement includes provisions for greater market access in goods, services, and investment, as well as improved rules on intellectual property and e-commerce.
One of the major highlights of the 2018 agreement is the elimination of tariffs on 90% of goods traded between ASEAN and China. This will help to reduce the cost of doing business and increase trade flows, leading to greater economic growth and job creation in both regions.
In addition, the agreement includes provisions for greater cooperation on trade in services, such as financial services, telecommunications, and tourism. This will help to promote investment and innovation in these key sectors, and enhance the competitiveness of ASEAN and China in the global marketplace.
The 2018 ASEAN-China Free Trade Agreement also includes significant provisions on intellectual property, including improved protection and enforcement of patents, trademarks, and copyrights. This will help to create a more level playing field for businesses operating in ASEAN and China, and spur innovation and creativity in both regions.
Finally, the agreement includes provisions on e-commerce, recognizing the growing importance of digital trade in the global economy. The agreement includes measures to promote trade in digital goods and services, and to ensure the secure and reliable flow of data across borders.
Overall, the 2018 ASEAN-China Free Trade Agreement represents a significant milestone in the economic partnership between ASEAN and China. By reducing trade barriers and promoting greater cooperation in key sectors, the agreement will help to drive economic growth and job creation in both regions, and strengthen their position in the global marketplace.