CTI Priorities for 2017

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1 2017/SOM1/EC/018 Agenda Item: 14 CTI Priorities for 2017 Purpose: Information Submitted by: CTI Chair First Economic Committee Meeting Nha Trang, Viet Nam February 2017

2 APEC Committee on Trade and Investment Priorities for 2017 Lyn Aquia, CTI Chair SOM1 and Related Meetings, 28 February 2017 Nha Trang, Viet Nam Advancing Free Trade for Asia-Pacific Prosperity 2012 APEC Secretariat CTI Agenda Support for the multilateral trading system/wto Advancing regional economic integration Strengthening trade facilitation and connectivity, including regulatory cooperation and convergence Promoting innovative development and contributions of CTI and sub-fora to cross-cutting mandates 1

3 Priorities for 2017 CTI Keeping Agenda the momentum on the FTAAP and Bogor Goals; Advancing on digital trade and e-commerce; Facilitating services trade; and Leading SCFAP II s implementation Cross-cutting: MSMEs, innovative and inclusive growth 01 Bogor Goals Addressing behind-the-border barriers, NTMs, services, investment, environmentally sustainable growth 2018 and 2020 reporting on progress 02 FTAAP Lima Declaration on FTAAP Capacity Building Needs Initiative (next phase) Information Sharing Mechanism (ISM) 2

4 2016 Second-Term Review of the Bogor Goals Report Findings: Expansion of trade and investment flows, although trade has slowed down Significant fall in tariffs, but some sectors still face high tariff rates Increasing trend in the application NTMs affecting trade Fall of services restrictions, even though levels of restrictiveness vary across economies and sectors Positive efforts in trade facilitation and important steps to facilitate investments Progress in economic growth and social outcomes, but employment levels have not recovered APEC has mixed outcomes on environmentally sustainable growth 2016 Lima Declaration on the Free Trade Area of the Asia Pacific (FTAAP) Recommendations: Reaffirms the Bogor Goals and FTAAP; Complete and enhance the possible pathways; Continue APEC s Role as an incubator and strengthening existing APEC initiatives that support FTAAP objectives; New initiatives to advance regional economic integration; - Stocktake of NGETI in RTAs/FTAs - Work programs for consensus- and capacitybuilding Strengthen consultation with stakeholders 3

5 2016 Lima Declaration on the Free Trade Area of the Asia Pacific (FTAAP) Develop work programs through the FOTC on FTAAP Tariffs (NTMs) Services Investment ROOs MAG MAG GOS IEG MAG SCSC SCSC MAG GOS SCCP SCCP SCCP ECSG BMG AD, CD, LSIF Stocktake exercise of NGETI in FTAs Basis for multi-year workplan to close the gaps, starting 2018 by each fora Reporting on progress by 2018 and 2020 parallel to Bogor Goals report 03 Services APEC Services Competitiveness Roadmap (ASCR) & its Implementation Plan Objective: To increase APEC competitiveness in the services sector by 2025 Targets: o Progressively reducing restrictions to services trade and investment; o Increasing the share (%) of services exports from APEC economies in the total world services exports by 2025; and o Increasing trade in services by o The role of unilateral reforms 4

6 Progressing the ASCR Implementation Plan APEC-wide Action Lead Fora 1 Enhance the role of trade in services in GVCs CTI 2 Enhance flexibility for business visitors CTI, BMG 3 Develop a set of good practice principles on domestic regulations in the CTI, EC, GOS services sector 4 Implement the Renewed APEC Agenda on Structural Reform (RAASR) EC, GOS, CTI 5 Supporting liberalisation, facilitation and cooperation of environmental services CTI, GOS 6 Progressive liberalization and facilitation of manufacturing-related services CTI, GOS 7 Collaborate to respond to the rapid developments in internet-based technology CTI, ECSG, AHSGIE 8 Support certain cross-border provision of financial services CTI, GOS, FMP 9 Develop services data and statistics to measure and support implementation of CTI, GOS, PSU the Roadmap 10 Progressive facilitation of services to improve the regional food system PPFS, CTI 04 Trade Facilitation New: Supply Chain Connectivity Framework Action Plan Phase 2 (SCFAP 2) ARCAM : Sustainable Materials Management (SMM) Single window system s international interoperability Regulatory Coherence and Cooperation Good Regulatory Practices (GRP) (SCSC, CD, LSIF) Ongoing: Global Data Standards Asia Pacific Model E-Port Network (APMEN) initiative 5

7 Supply Chain Connectivity Framework Action Plan (SCFAP Phase II) Goal: Reduction of trade costs across supply chains and to improve supply chain reliability in supporting the competitiveness of business in the Asia Pacific region Five Chokepoints 1. Lack of Coordinated Border Management and Underdeveloped Border Clearance and Procedures 2. Inadequate Quality and Lack of Access to Transportation Infrastructure and Services SCCP SCCP TPTWG 3. Unreliable Logistics Services and High Logistical Costs TPTWG SCCP 4. Limited Regulatory Cooperation and Best Practices EC & SCCP 5. Underdeveloped Policy and Regulatory Infrastructure for E- Commerce AHSGIE ECSG FOTC on Trade Facilitation; need for clear targets, indicators 05 NGETI APEC-endorsed NGETI: Facilitating global supply chains, 2011 Enhancing SME participation in global production chains, 2011 Promoting effective, non-discriminatory, and market-driven innovation policy, 2011 Transparency in RTAs/FTAs, 2012 Manufacturing related services in supply chains/value chains,

8 Potential NGETI (Collective Strategic Study, Chapter 3) gender issues and CSR digital trade environmental issues labor issues food safety and security trade facilitation intellectual property rights competition policy government procurement anti-corruption 06 Digital trade/ e-commerce Next Steps for Advancing Work on Digital Trade in 2017 PSU Study on Facilitating Digital Trade for Inclusive Growth: Key Issues in Promoting Digital Trade in APEC Work Plan for Promoting E-Commerce to Globalize MSMEs (PSU Study) 7

9 07 MSMEs MSMEs Internationalization Supporting Industry Initiative MSME initiatives: Services, GVCs, e- commerce 08 Investment Investment Facilitation Action Plan (IFAP) Infrastructure investment Improving the Investment Climate for GVCs Development 09 MTS WTO Trade Facilitation Agreement (TFA) Information Technology Agreement (ITA) Progressing the WTO Ministers Decision to Eliminate Export Subsidies 8

10 Contributions to other APEC cross-cutting mandates Quality Growth Connectivity Blueprint Innovative Development, Economic Reform and Growth Disaster Risk Reduction Framework Women s economic empowerment Urbanization Trade Facilitation Initiative Mapping of CTI Sub-fora Contributions (1) (2) (3) (4) (5) (6) (7) CTI Priorities MTS Bogor Goals FTAAP Services MSMEs Digital Trade Trade Facilitation SCSC BMG ECSG SCCP MAG IEG GOS IPEG LSIF CD AD 9

11 Collaboration EC Priorities Structural Reform SELI Ease of Doing Business Competition Policy Public Sector Governance CTI Priorities FTAAP and Bogor Services Trade Digital Trade & e-commerce SCFAP2 CTI Chair Contact Points CTI Chair APEC Secretariat 10

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