Public Consultation on the ASEAN Trade in Goods Agreement (ATIGA)

1. Introduction

1.1 The Ministry of Trade and Industry (MTI) is seeking feedback on the ASEAN Trade in Goods Agreement (ATIGA). The public consultation period is from 17 July 2023 to 16 August 2023.

2. Background

2.1 The ASEAN Trade in Goods Agreement (ATIGA) is a central component of ASEAN’s economic integration. Its primary goal is to facilitate the flow of goods within the ASEAN region, by providing a comprehensive framework aimed at reducing trade barriers among ASEAN Member States (AMS)¹. 

2.2 The ATIGA has eliminated tariffs on 98.6%² of tariff lines and addressed issues related to Non-Tariff Measures (NTMs). This aligns with the ASEAN Economic Community’s (AEC) objective of achieving a highly integrated and cohesive economy³. In 2021, total intra-ASEAN trade reached US$710 billion⁴ and total Gross Domestic Product (GDP) of the ASEAN region stood at US$3.3 trillion⁵.

3. ATIGA Upgrade 

3.1 The ATIGA upgrade negotiations were launched by the ASEAN Economic Ministers at the 54^th ASEAN Economic Ministers’ Meeting in September 2022. An upgraded ATIGA will ensure the Agreement’s continued relevance amidst emerging trends, and better facilitate ASEAN trade flows, advance regional economic integration, as well as maintain ASEAN Centrality amidst a shifting global environment. AMS are targeting to substantially conclude negotiations by end-2024.   

3.2 The ATIGA’s existing chapters are set out in Figure 1 below. In addition to a comprehensive review of all the provisions found within these chapters, the ATIGA Upgrade will also look at addressing trends such as supply chain resilience, digitalisation and sustainability, including elements of the circular economy. 

Figure 1: Chapter Overview of the ATIGA, taken from https://www.enterprisesg.gov.sg/-/media/ esg/files/non-financial-assistance/for-companies/free-trade-agreements/asean-fta/afta_legal_text.pdf

4. Invitation to Provide Feedback

4.1 MTI invites businesses and members of the public to provide feedback on the various aspects of the ATIGA that could be improved on and other beneficial provisions that could be incorporated into the upgraded Agreement by 16 August 2023. Feedback should be submitted via the form HERE. Alternatively, the form can be accessed via scanning the QR code below. 

4.2 Please note that all submissions received may be published and attributed to the respective respondents unless they expressly request MTI not to do so. As such, if respondents would like (i) their whole submission, or part of it, or (ii) their identity, or both, to be kept confidential, please state so in the submission. In addition, MTI reserves the right not to publish any submissions received where MTI considers it not in the public’s interest to do so, such as if the submission appears to be libellous or offensive. 

¹ AMS comprise Brunei Darussalam, Cambodia, Indonesia, Lao PDR, Malaysia, Myanmar, Philippines, Singapore, Thailand and Viet Nam
² World Trade Organization’s 2021 report on ASEAN (https://asean.org/wp-content/uploads/2021/10/457-1.pdf). 
³ The Asian Development Bank estimates that the region’s economy is expected to grow at a rate of 4% to 5% annually. 
⁴ Source: ASEANStats 2022.
⁵ Source: ASEANStats 2022.

Annex A – Frequently Asked Questions on the ASEAN Trade in Goods Agreement (ATIGA)