Apec will benefit from a free-trade agreement of its own
Tang Guoqiang backs Apec's efforts to create an Asia-Pacific free trade agreement that works in tandem with existing arrangements, to ultimately boost regional economic development and improve people's lives
China is hosting this year's Apec meetings and is working hard to ensure their success, given the importance of the Asia-Pacific Economic Cooperation forum to the future of the region.
The establishment of Apec, in 1989, was a landmark in the region's economic cooperation. Over the past 25 years, it has achieved much, not least by playing a crucial role in promoting the liberalisation of trade and investment, as reflected by the World Trade Organisation's Information Technology Agreement in 1996 and, more recently, the WTO Bali package last year.
The average tariff levels of Apec economies has been driven down from 17 per cent in 1989 to 5.7 per cent in 2011. Trade facilitation has been even more successful, with average transaction costs reduced by 5 per cent from 2002 to 2006, and another 5 per cent from 2007 to 2010. Supply chain connectivity is set to improve by 10 per cent from 2010 to 2015.
Further, Apec has encouraged cooperation through various mechanisms. About 1,600 economic and technical cooperation projects have been completed and, at any time, more than 170 are ongoing. Businesspeople also enjoy greater mobility across the region thanks to the Apec Business Travel Card programme.
Officials from Apec member nations meet several times each year. This has built capacity and extended best practices. And Apec economic leaders meet every year to discuss regional cooperation in common areas of interest.
Apec has initiated new visions, new directions and new concepts for regional cooperation, including the Bogor Goals (towards free and open trade and investment) and an Asia-Pacific free-trade area, among other things.