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February 27, 2023

Ministry of Commerce Participates in Special ASEAN–Canada Free Trade Agreement Negotiation Meeting

Background

On 23 February 2023, a Cambodian delegation led by Secretary of State Roth Saravuth of the Ministry of Commerce, in his capacity as head of Cambodia’s negotiating team, attended a Special Meeting of the Trade Negotiating Committee for the ASEAN–Canada Free Trade Agreement (Special ACAFTA TNC). The meeting was held at The Trans Luxury Hotel in Bandung, Indonesia, and was chaired by Dina Kurniasari, Head of the ASEAN Negotiation Department of the Directorate General for International Trade Negotiations of the Ministry of Trade of Indonesia. Trade negotiating chairs from the ten ASEAN Member States, Canada, and officials from the ASEAN Secretariat participated.

Scope of Application

The discussions related to the ongoing negotiations for an ASEAN–Canada Free Trade Agreement, focusing on ASEAN’s collective negotiating position toward Canada. The scope included proposed ASEAN positions on environment, labour, and inclusive trade issues to be reflected in an ASEAN non-paper to be transmitted to the Canadian side, as well as potential technical and financial assistance for ASEAN Member States, in particular Cambodia, Lao PDR, and Myanmar.

Key Provisions or Decisions

During the meeting, the head of the Cambodian delegation:

  • Expressed appreciation to Indonesia for hosting and organizing the Special ACAFTA TNC meeting.
  • Proposed that ASEAN maintain a unified position on an ASEAN non-paper to be submitted to Canada, covering three trade-related areas: environment, labour, and inclusive trade.
  • Suggested that ASEAN establish specialized working groups on each of these three areas to review and discuss the issues in detail and provide recommendations for decision by the ASEAN–Canada FTA Trade Negotiating Committee.

The meeting expressed support for Cambodia’s proposals. Participants also welcomed technical and financial assistance provided by Canada to support ASEAN capacity-building and related projects, with specific reference to Cambodia, Lao PDR, and Myanmar.

Implications for Investors, Businesses, or Compliance

The discussions contribute to shaping ASEAN’s unified negotiating stance in the ASEAN–Canada FTA process, including prospective chapters on environment, labour, and inclusive trade. The establishment of specialized working groups, if implemented, would inform the design of future trade commitments and cooperation measures in these areas. While no binding provisions were adopted at this meeting, the positions discussed may influence the eventual content of the ASEAN–Canada FTA, which could affect market access conditions and related trade disciplines for businesses operating in or trading with Cambodia and other ASEAN Member States.

Official Source

Ministry of Commerce official communication via the ministry’s Facebook page dated 27 February 2023.

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