Foreign ministers of the Association of Southeast Asian Nations (ASEAN) reiterate their commitment to full and effective implementation of the Regional Comprehensive Economic Partnership (RCEP) trade agreement at a conference in Phnom Penh, Cambodia, Feb. 17, 2022. (Photo by Sovannara/Xinhua)
Malaysia is expected to see a 200-million-U.S. dollar increase in export gains, making the RCEP a vital tool in recovering from the economic disruptions caused by the COVID-19 pandemic, the country's trade ministry said.
KUALA LUMPUR, March 18 (Xinhua) -- The Regional Comprehensive Economic Partnership (RCEP), the world's largest trade deal so far, came into effect in Malaysia from Friday, the country's trade ministry said in a statement.
Malaysia is expected to be the largest beneficiary among the ASEAN (the Association of Southeast Asian Nations) members from the RCEP in terms of export gains, the country's International Trade and Industry Ministry (MITI) said.
The country is expected to see a 200-million-U.S. dollar increase in export gains, making the RCEP a vital tool in recovering from the economic disruptions caused by the COVID-19 pandemic, the ministry said.
"Representing a significant milestone in the vibrant growth and revitalisation of economies, anchored on the rules-based multilateral trading system, RCEP enables Malaysia to enjoy the global trade and investment ecosystem, benefiting from the eventual elimination of around 90 percent of tariff among members," it said.
"Other advantages to be gained include further liberalization of trade encompassing removal of non-tariff barriers, increased trade facilitation, removal of barriers to the services sector as well as enhancement of business environment through regulations relating to intellectual property protection, government procurement practices and e-commerce," it added.
The ministry also said that beyond improving the ways of doing business, RCEP would spark the creation of new regional supply chains apart from strengthening existing networks, boosting the growth of domestic businesses as they immerse into the global trading ecosystem.
"Business communities, from large to small scale entrepreneurs, are encouraged to take advantage of the vast investment opportunities and greater participation in regional and global value chains presented by this mega-trade agreement," it said.
Chinese Premier Li Keqiang and leaders of other countries attend the signing ceremony of the Regional Comprehensive Economic Partnership (RCEP) agreement after the fourth RCEP Summit, which is held via video link, Nov. 15, 2020. (Xinhua/Zhang Ling)
The mega free trade agreement has been applauded by the Asia-Pacific region as an important step toward deeper regional integration and a renewed worldwide momentum for free trade and multilateralism at a time of multiple global uncertainties.
Signed in November 2020, the RCEP groups the 10 members of the ASEAN, as well as China, Japan, South Korea, Australia and New Zealand, covering roughly 30 percent of the world's gross domestic product and population. ■
