Commerce Minister Pichai Naripthaphan joined the Asean Economic Community (AEC) Council Ministers meeting on Oct 7 in Vientiane, Laos, as part of the 44th and 45th Asean Summits.
Mr Pichai participated in a discussion on the direction of Asean amid the global economic slowdown.
The world economy is projected to grow 3.2% this year, with risk factors including trade restrictions and intensifying geopolitical tensions. Yet the Asean economy remains resilient, estimated to grow by 4.6% in 2024.
The meeting emphasised three key strategies to strengthen Asean's economic resilience as global expansion is projected to be subdued.
The first strategy is for Asean to be more resilient and agile by focusing on developing robust mechanisms to manage economic volatility, investing in future-oriented industries and strengthening regional collaboration.
Secondly, the meeting emphasised the need to boost intra-Asean trade to its fullest potential to develop the region's economic strength and cushion Asean's vulnerabilities against the ramifications of global shocks.
The third strategy is for the bloc to fully explore trade potential with strategic and emerging economies. This is to reduce the effects of global demand fragility on Asean's growth potential.
Furthermore, Asean should conclude negotiations on the upgraded Asean Trade in Goods Agreement in 2025 to maximise the effective utilisation of the advantages of regional integration.
The meeting also pushed for accelerating the completion of Asean's Digital Economy Framework Agreement negotiations, aiming to reach the target of 50% of negotiations in 2024.
The AEC Council met to discuss the progress and outcomes of various AEC initiatives in 2024 under the Asean Economic Pillar, which include the negotiations on the upgraded Asean-China Free Trade Agreement, preparation of the report on the revision of the Asean Framework Agreement on Intellectual Property Rights Cooperation, and the establishment of Asean-wide unique business identification numbers.
After 2025, it must strive to strengthen its position in embracing sustainability and climate response, building a digitally resilient Asean, and ensuring the centrality of inclusivity in its initiatives, particularly for micro, small and medium-sized enterprises to ensure that no one is left behind and to narrow the development gap.
The meeting discussed the way forward in crafting the AEC Strategic Plan to implement the Asean Community Vision 2045 before presenting to the 44th and 45th Asean Summits on Oct 9-11.
The council ministers approved and endorsed documents for economic deliverables, which are forwarded to be endorsed by Asean leaders at the Asean Summits on Wednesday.
These include the Asean Leaders' Declaration on Enhancing Supply Chains Connectivity, Vientiane Declaration on Narrowing the Development Gap in Asean and Regional Guidelines for Sustainable Agriculture in Asean.
