The Australia New Zealand ASEAN Free Trade Agreement: An Overview
The Australia New Zealand ASEAN Free Trade Agreement (ANZFTA) is a comprehensive free trade agreement that was signed by Australia, New Zealand and the ten member states of the Association of Southeast Asian Nations (ASEAN) – Brunei Darussalam, Cambodia, Indonesia, Laos, Malaysia, Myanmar, the Philippines, Singapore, Thailand, and Vietnam – in February 2009.
ANZFTA aims to promote bilateral and regional economic integration, enhance trade and investment, and create a more transparent and predictable business environment between the signatory parties. The agreement covers a wide range of topics including trade in goods, services, investment, intellectual property, competition, and economic cooperation.
Trade in Goods
ANZFTA provides for the elimination of tariffs on 90% of all goods traded between Australia, New Zealand, and ASEAN member states. The remaining 10% of goods will have tariffs gradually reduced over time or will be subject to tariff-rate quotas. ANZFTA also includes rules of origin to ensure that only products that are made or substantially transformed within the free trade area will be eligible for preferential treatment.
Services
ANZFTA provides for greater market access for service providers between the signatory parties. The agreement includes provisions for the liberalization of trade in services, including the granting of national treatment and most-favored nation treatment to service providers, and the removal of restrictions on market access and the movement of personnel.
Investment
ANZFTA provides for the facilitation and protection of investment between the signatory parties. The agreement includes provisions that encourage cross-border investment and provide for the protection of investors and their investments.
Intellectual Property
ANZFTA provides for the protection of intellectual property rights between the signatory parties. The agreement includes provisions for the protection of patents, trademarks, copyright, and other forms of intellectual property, and provides for the enforcement of these rights.
Competition
ANZFTA provides for the promotion of fair competition between the signatory parties. The agreement includes provisions that prohibit anti-competitive practices, including price-fixing, market allocation, and the abuse of market power.
Economic Cooperation
ANZFTA provides for the promotion of economic cooperation between the signatory parties. The agreement includes provisions for the establishment of a Joint Committee on Economic Cooperation, which will promote cooperation on a wide range of economic issues, including trade and investment, customs and trade facilitation, and other areas of mutual interest.
Conclusion
Overall, the Australia New Zealand ASEAN Free Trade Agreement is a comprehensive agreement that seeks to deepen economic integration and promote trade and investment between Australia, New Zealand, and the ASEAN member states. The agreement is a significant step towards the creation of a more open and integrated regional economy and is likely to have positive economic impacts for all signatory parties.