ASEAN'S FTA Process and Prospects (original) (raw)

2020, Foreign Policy Review

Over the past three decades, regional economic integration has been a focus on the economic agenda of all ASEAN member states as well as of the group. The rapid increase in both the number and quality of RTAs/FTAs is an indication of the region's active trade policy. This paper examined ASEAN's FTA policy and process since the early 1990s and the factors that led to the conclusion of various trade pacts among the member states and also those with partners, as well as the prospects and challenges of future commitments. The paper considered both strategic and economic dimensions of the integration process. It argued that ASEAN's FTA policy was brought about by strategic calculation and political aspiration to create a single market and production base; a trade and production hub of the Asia-Pacific region. The economic impacts of these trade pacts have, so far however, varied greatly. ASEAN is now embarking on the new phase of its integration process with the coming conclusion of RCEP. The paper suggests that it is crucial for ASEAN to make RCEP effective as it would bring significant economic benefits to member states and help enhance ASEAN's economic and strategic centrality.

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