BANGKOK – The Philippine government expressed optimism that the negotiations on the Regional Comprehensive Economic Partnership (RCEP) will be concluded during the 35th Association of Southeast Asian Nations Summit in Thailand.
This, despite the repeatedly missed deadlines on the conclusion of RCEP, seen to be one of the world’s largest trade deals.
Presidential Communications Operations Secretary Martin Andanar told foreign reporters the multilateral free trade agreement will have a significant effect on the 10-member states of the regional bloc and six dialogue partner countries, namely China, Japan, India, South Korea, Australia and New Zealand.
“The last time we were here, we were very optimistic [about RCEP]. And we continue to be so,” Andanar said.
While the conclusion of the RCEP negotiations has yet to materialize, such is expected to happen during the summit on Monday, November 4.
Moreover, Andanar said the Philippines, through the Department of Trade and Industry (DTI), has put in so much time and effort toward the swift conclusion of the trade pact.
“I think that the RCEP is a very good council for countries here in Asia to have good and full cooperation on trade,” he told reporters from several international media outfits.
Asean member-states have started making progress about the RCEP since 2012 but there were differences in opinion among the 10-nation regional bloc and its six partner countries.
Trade Secretary Ramon Lopez earlier said negotiators are targeting to submit to leaders the RCEP package by November in Thailand and get the trade deal signed by next year in Vietnam.
However, there is a possibility that the objective of ending the negotiations may be put at risk, as New Delhi is reluctant to liberalize its market, especially in a trade deal including Beijing, with which it had a trade deficit of about $54 billion in the last fiscal year.
Nonetheless, the Palace official said RCEP will pave the way for a stronger regional bloc and make the region more competitive.
“A region needs to work together closely, especially in the trading of goods and services here in our region, but you know Asean is a region to [be] reckon[ed] with. We have a big population, we have a big, strong market. And we are very close to each other – a regional bloc. That is precisely the rationale for the Asean to become a strong regional bloc [and] to be able to compete with other regional blocs in bigger continents outside the Asean,” Andanar added.
Last year RCEP economies accounted for nearly half of the world population, close to one-third of the global economy, 29.1 percent of global trade and about one-third of global investment inflows.
The RCEP covers trade in goods, services trade, investments, intellectual property, movement of people, electronic commerce, and dispute settlement, among others.
Trump’s absence
In a related development, Andanar also said he does not see the absence of a top-level US leader in Bangkok as a wrong message to the thriving 10-nation regional bloc.
On Tuesday this week, the White House announced that National Security Advisor Robert O’Brien and Commerce Secretary Wilbur Ross will represent US President Trump in the Asean Summit in Bangkok on November 3 and 4.
“The relationship between the Asean and the US goes back several decades already. And I don’t think that one meeting that is not attended as well as it used to be will already change the relationship of the Asean and the US,” he said.
He argued that the Asean as a group already has several relationships with other countries not limited to the United States.
“We will be fine. Asean will remain a vibrant and strong organization whether the Americans are there or not,” he said.