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The Comprehensive Economic Partnership for East Asia (CEPEA) is a Japanese led proposal for trade co-operation, free trade agreement, among the 16 present member countries of the East Asia Summit. All those movements and efforts were taken over by the following Regional Comprehensive Economic Partnership.


Countries involved

The 16 countries are: *
Southeast Asia Southeast Asia, also spelled South East Asia and South-East Asia, and also known as Southeastern Asia, South-eastern Asia or SEA, is the geographical south-eastern region of Asia, consisting of the regions that are situated south of mainland ...
: the 10 members of
ASEAN ASEAN ( , ), officially the Association of Southeast Asian Nations, is a political and economic union of 10 member states in Southeast Asia, which promotes intergovernmental cooperation and facilitates economic, political, security, military ...
** except for *** *** *** *** *** *** *** *** *** *** *
East Asia East Asia is the eastern region of Asia, which is defined in both geographical and ethno-cultural terms. The modern states of East Asia include China, Japan, Mongolia, North Korea, South Korea, and Taiwan. China, North Korea, South Kore ...
: the three members of ASEAN Plus Three ** ** ** *
South Asia South Asia is the southern subregion of Asia, which is defined in both geographical and ethno-cultural terms. The region consists of the countries of Afghanistan, Bangladesh, Bhutan, India, Maldives, Nepal, Pakistan, and Sri Lanka. ...
and
Oceania Oceania (, , ) is a geographical region that includes Australasia, Melanesia, Micronesia, and Polynesia. Spanning the Eastern and Western hemispheres, Oceania is estimated to have a land area of and a population of around 44.5 million as ...
: ** ** **


Background

The concept has been in discussion stages since 2006 but gained momentum in 2008 and 2009 when
India India, officially the Republic of India ( Hindi: ), is a country in South Asia. It is the seventh-largest country by area, the second-most populous country, and the most populous democracy in the world. Bounded by the Indian Ocean on the ...
and
ASEAN ASEAN ( , ), officially the Association of Southeast Asian Nations, is a political and economic union of 10 member states in Southeast Asia, which promotes intergovernmental cooperation and facilitates economic, political, security, military ...
; and Australia,
New Zealand New Zealand ( mi, Aotearoa ) is an island country in the southwestern Pacific Ocean. It consists of two main landmasses—the North Island () and the South Island ()—and over 700 smaller islands. It is the sixth-largest island country ...
and
ASEAN ASEAN ( , ), officially the Association of Southeast Asian Nations, is a political and economic union of 10 member states in Southeast Asia, which promotes intergovernmental cooperation and facilitates economic, political, security, military ...
respectively concluded
free trade agreements A free-trade agreement (FTA) or treaty is an agreement according to international law to form a free-trade area between the cooperating states. There are two types of trade agreements: bilateral and multilateral. Bilateral trade agreements occur ...
. The CEPEA proposal was advanced by Japan in conjunction with the establishment of the Economic Research Institute for ASEAN and East Asia (ERIA). The two mechanisms are designed to be mutually supporting liberalisation and co-operation. The details of the concept and its relationship with other proposals for the region, such as the East Asian Community, remain unclear. An alternative proposal based on the 13 members of the ASEAN Plus Three is called the East Asia Free Trade Agreement (EAFTA). The
Third East Asia Summit The Third East Asia Summit was held in Singapore on November 21, 2007. The East Asia Summit (EAS) is a pan-Asia forum held annually by the leaders of 16 countries in the East Asian region. EAS meetings are held after annual ASEAN leaders' meeting ...
agreed that a final report on the CEPEA proposal was to be received at the Fourth East Asia Summit which was held in October 2009. The Chairman's Report for the Fourth East Asia Summit (25 October 2009) stated:
19.We noted the final Phase II Report of the Track Two Study Group on Comprehensive Economic Partnership in East Asia (CEPEA) and welcomed the decision of our Economic Ministers who met in Bangkok on 15 August 2009 to task the Senior Economic Officials to discuss and consider the recommendations in the Phase I and II reports. CEPEA and East Asia Free Trade Area (EAFTA) could be examined and considered in parallel.
The report for the ASEAN Plus Three meeting, held the day before with 13 of 16 of the same members, also stated:
13.We noted the final report of the Phase II feasibility study of the East Asia Free Trade Area (EAFTA) and welcomed the decision of 12th AEM Plus Three Consultations in Bangkok on 15 August 2009 to task the Senior Economic Officials to discuss and consider the recommendations in the Phase I and II reports. EAFTA and Comprehensive Economic Partnership in East Asia (CEPEA) could be examined and considered in parallel.
The Chairman's Statement of the 16th ASEAN Summit (9 April 2010) stated:
30. We noted the initiatives being undertaken to take forward broader regional integration by considering the recommendations of both East Asia Free Trade Agreement (EAFTA) and the Comprehensive Economic Partnership for East Asia (CEPEA) studies together. We looked forward to receiving the progress report at the 17th ASEAN Summit in October 2010 and to discussing with our Dialogue Partners the future direction of regional architecture with ASEAN at its core.
By August 2010 working groups involving the 16 nations to study Economic Cooperation, Rules of Origin, Customs Procedures and Tariff Nomenclature had been formed. In August 2011, East Asia Summit Economic Ministers welcomed a Chinese and Japanese joint 'Initiative on Speeding up the Establishment of EAFTA and CEPEA'.


East Asia Free Trade Agreement

13 of the 16 nations (excluding India, Australia and New Zealand) are also simultaneously negotiating an East Asia Free Trade Area. The two processes are not alternatives and both are being pursued simultaneously


Current arrangements

The 16 members are presently involved in a series of separate arrangements among the members of the grouping. The 10 members ASEAN have established the
ASEAN Free Trade Area The ASEAN Free Trade Area (AFTA) is a trade bloc agreement by the Association of Southeast Asian Nations supporting local trade and manufacturing in all ASEAN countries, and facilitating economic integration with regional and international alli ...
. Australia and New Zealand have the long established
Closer Economic Relations The Australia–New Zealand Closer Economic Relations Trade Agreement, commonly known as Closer Economic Relations (CER), is a free trade agreement between the governments of New Zealand and Australia. It came into force on 1 January 1983, bu ...
. Between the 16 members bilateral and multilateral arrangements are in place or under negotiation. ASEAN has the following arrangements in place: ** the ASEAN–China Free Trade Area came into force on 1 January 2010; ** a comprehensive economic partnership agreement with Japan came into force on 1 December 2008; ** the ASEAN Korea Free Trade Agreement, the trade in goods provisions came into effect on 1 June 2007, an agreement for trade in services was signed in 2007 and the trade in investments provisions were signed in 2009; ** a free trade agreement with Australian and New Zealand (jointly) AANZFTA that came into force on 1 January 2010; ** the ASEAN-India Trade in Goods (TIG) Agreement came into effect on 1 January 2010.India formally signs Trade in Services & Trade in Investments Agreement wit
ASEAN
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India has formally signed the Trade in Services & Trade in Investments Agreement with ASEAN. The Services Agreement will open up opportunities of movement of both manpower and investments from either side between India and ASEAN. Nine out of ten ASEAN countries have signed the same. Philippines is completing its domestic procedure and it is expected to sign soon; plus China, Japan and South Korea are researching (as at October 2009) a joint arrangement between the three countries ( China–Japan–South Korea Free Trade Agreement) with talks hoped to commence in 2012; plus China has the following additional arrangements in place: ** China–South Korea Free Trade Agreement - came into force 20 December 2015; ** China–Australia Free Trade Agreement - came into force 20 December 2015; ** the New Zealand – China Free Trade Agreement came into force 1 October 2008; ** a feasibility study on an arrangement with India was positively concluded in 2007; plus Japan has the following additional arrangements in place: ** negotiations with South Korea on an arrangement but which have been suspended since 2004; ** Japan–Australia Economic Partnership Agreement - negotiations with Australia on an arrangement; ** negotiations with India on an arrangement; ** conducting a feasibility study with New Zealand as of (14 May 2008) plus South Korea has the following additional arrangements in place: ** Australia–Korea Free Trade Agreement - negotiations with Australia on an arrangement; ** negotiations with New Zealand on an arrangement; ** India and South Korea signed a comprehensive economic partnership agreement in August 2009; plus Australia has the following additional arrangements in place: ** as noted above
Closer Economic Relations The Australia–New Zealand Closer Economic Relations Trade Agreement, commonly known as Closer Economic Relations (CER), is a free trade agreement between the governments of New Zealand and Australia. It came into force on 1 January 1983, bu ...
with New Zealand; ** a feasibility study with India about entry into an arrangement; plus India has the following additional arrangements in place: ** a feasibility study with New Zealand about entry into an arrangement; plus multiple additional bilateral arrangements between one or more ASEAN members separately. In addition individual members of ASEAN may also have other arrangements in place beyond the arrangements negotiated by ASEAN as a bloc i.e., Singapore by itself outside of ASEAN has a series of FTAs.Singapore's FTAs
/ref>


See also

* East Asian Community * East Asia Summit * Rules of Origin *
Market access In international trade, market access is a company's ability to enter a foreign market by selling its goods and services in another country. Market access is not the same as free trade, because market access is normally subject to conditions or req ...
*
Free-trade area A free-trade area is the region encompassing a trade bloc whose member countries have signed a free trade agreement (FTA). Such agreements involve cooperation between at least two countries to reduce trade barriers, import quotas and tariffs, and ...
*
Tariffs A tariff is a tax imposed by the government of a country or by a supranational union on imports or exports of goods. Besides being a source of revenue for the government, import duties can also be a form of regulation of foreign trade and po ...


External links


Market Access Map
(A free tool developed by International Trade Centre, which identify customs tariffs, tariff rate quotas, trade remedies, regulatory requirements and preferential regimes applicable to products, including Comprehensive Economic Partnership for East Asia)
Rules of Origin Facilitator
(A free tool jointly developed by International Trade Centre,
World Trade Organization The World Trade Organization (WTO) is an intergovernmental organization that regulates and facilitates international trade. With effective cooperation in the United Nations System, governments use the organization to establish, revise, and e ...
and World Customs Organization which enables traders to find specific criteria and general origin requirements applicable to their products, understand and comply with them in order to be eligible for preferential tariffs. The tool is very useful for traders who want to gain benefit from Comprehensive Economic Partnership for East Asia)


References

{{East Asia Summit (EAS) Economy of East Asia Organizations associated with ASEAN Proposed free trade agreements Politics of East Asia