Free trade pact between Southeast Asia, US unlikely: ASEAN

By DPA

Singapore : A free trade pact between Southeast Asian nations and the US appears unlikely although ties remain solid, a top regional official said in remarks published Tuesday.


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In contrast, a free-trade agreement between the Association of South-East Asian Nations (ASEAN) and China is well on track, and talks with the European Union have gotten off the ground, ASEAN Secretary General Ong Keng Yong was quoted as saying in the Straits Times.

Efforts by US President George W. Bush to reach a pact with ASEAN were dealt a setback earlier this month when the administration failed to persuade Congress to renew the president's "fast-track" trade promotion authority.

ASEAN and the US signed a Trade Investment Framework Agreement last August, a precursor to liberalising trade.

"It can sustain us for a long time to come," The Straits Times quoted Ong as telling US executives Monday.

The non-binding agreement involves developing a common customs system for ASEAN members to smoothen the flow of goods within the member states and between the bloc and the US.

ASEAN includes Singapore, Thailand, Malaysia, Indonesia, the Philippines, Brunei, Cambodia, Vietnam, Brunei and Myanmar.

Ties between ASEAN and the US have been hit recently by Bush's decision to postpone a summit with ASEAN's leaders to mark 30 years of diplomatic ties.

Ong said the relationship remains solid.

"Relations cannot be downgraded just because the president did not turn up one time," he said.

 

 

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