Trade and Industry Secretary Alfredo E. Pascual  joined other ASEAN Economic Ministers (AEM) as they finalized key economic deliverables, discussed free trade deals with UK and Canada and further cooperation with existing partners at the 55th AEM Meeting in Semarang, Indonesia over the weekend.

During the AEM, the ministers finalized key economic deliverables, such as the Framework and Study for a Digital Economy Framework Agreement (DEFA), the ASEAN Strategy on Carbon Neutrality, and the Blue Economy Framework, among others, which are all in line with the implementation of the ASEAN Economic Community Blueprint 2025. These deliverables will then be submitted for endorsement in the upcoming 43rd ASEAN Summit in September 2023. 

In the meeting, the ministers also endorsed the Framework for Negotiating the DEFA. This framework is envisioned to accelerate ASEAN’s digital transformation agenda through comprehensive agreement on digital trade, cross-border data flows, competition, and digital payments, among others.

The ministers likewise endorsed the ASEAN Strategy on Carbon Neutrality which outlines eight regional strategies to address key obstacles to decarbonization and accelerate the work towards carbon neutrality. These include green value chain integration, circular economy supply chains, green infrastructure and market, carbon markets, standards, and green talent and capital, among others.

In particular, at the 3rd ASEAN Economic Ministers-United Kingdom (AEM-UK) Consultations on Sunday, Aug. 20, Pascual acknowledged the vital role of the UK in advancing ASEAN’s regional economic integration agenda, particularly in the areas of sustainability and digitalization. This includes new cooperation initiatives of the UK on the ASEAN Catalytic Green Finance Facility, which aims to increase access to finance for green infrastructure, and the British International Investment, which plans to open satellite offices in the region, including in the Philippines.

The trade and industry chief also expressed appreciation to ASEAN and UK officials for the progress made in the implementation of the initiatives outlined under the Joint Ministerial Declaration on Future Economic Cooperation.

Further, Pascual called on ASEAN and UK officials to consider expanding initiatives to support the region’s digital transformation agenda, particularly the intended DEFA. As the Philippines targets to transition into a green economy, a partnership with the UK will be integral in advancing sustainable and digitalized processes.

During the ASEAN-UK Forum on Regional Industrial Integration held at the margins of the AEM, Pascual emphasized the value of strong collaboration between the private and public sectors in the areas of green transition, digitalization, and inclusivity, among others.

The DTI secretary underscored that while ASEAN can learn a lot from the UK’s experience in these emerging areas, the UK can also gain insights on how to engage actively with ASEAN. Particularly, the UK will benefit from this as the latter continues to expand its role as a major global economic player, especially with the recent entry into force of the Regional Comprehensive Economic Partnership (RCEP) Agreement to all parties.

Meanwhile, Pascual also welcomed the updates on the progress of the ASEAN-Canada FTA (ACAFTA) Negotiations, and Canada’s establishment of a regional Agriculture and Agri-Food Office in the Philippines.

At the 12th AEM-Canada Consultations, Pascual welcomed the progress made by negotiators in the ACAFTA, particularly in advancing discussions on the critical areas of labor, environment, inclusive trade, and good regulatory practices.

The trade and industry chief also reaffirmed the country’s commitment to driving negotiations forward as the Philippines is chairing the negotiations on investment, legal and institutional issues, government procurement, intellectual property, and micro, small, and, medium enterprises (MSMEs).

As part of Canada’s commitment to ASEAN, Minister Mary Ng emphasized the importance of trade, investment, and supply chain resilience to support sustainable economic development in the region. Further Minister Ng highlighted the establishment of Canada for an Agriculture and Agri-Food Office in the Philippines as part of its Indo-Pacific Strategy.

During the 7th ASEAN Economic Ministers-Hong Kong, China (AEM-HKC) Consultation, Pascual recognized HKC as one of ASEAN’s long-standing trading partners in advancing inclusive growth and development in the region.

To this end, he welcomed HKC’s commitment to strengthening economic relations in the region through more economic and technical cooperation projects in the area of digitalization and innovation, especially targeted for micro, small, and medium enterprises (MSMEs) under the ASEAN-Hong Kong, China FTA (AHKFTA).

Further, the DTI chief highlighted that the Philippines has been advocating for more training sessions for upskilling start-ups and MSMEs through the use of digital technology and intellectual property. 

Pascual met with Minister Dukgeun Ahn of the Ministry of Trade, Industry and Energy (MOTIE) of the Republic of Korea (ROK) to discuss greater economic engagements between the two countries.

Both Ministers welcomed the conclusion of the PH-ROK FTA negotiations and agreed to work for its signing, preferably at the sidelines of the 24th ASEAN-Republic of Korea (ASEAN-ROK) Summit in September 2023. 

In addition, they will also work on a possible supply chain resilience cooperation to ensure stability and predictability of business operations, particularly in the manufacturing sector.