treaty of amity and cooperation in southeast asia fileasean-china documents series 1991-2005 139 the...

ASEAN-China Documents Series 1991-2005 139

The High Contracting Parties :

CONSCIOUS of the existing ties of history, geography and culture, which have bound their peoples together;

ANXIOUS to promote regional peace and stability through abiding respect for justice and the rule or law and enhancing regional resilience in their relations;

DESIRING to enhance peace, friendship and mutual cooperation on matters affecting Southeast Asia consistent with the spirit and principles of the Charter of the United Nations, the Ten Principles adopted by the Asian-African Conference in Bandung on 25 April 1955, the Declaration of the Association of Southeast Asian Nations signed in Bangkok on 8 August 1967, and the Declaration signed in Kuala Lumpur on 27 November 1971;

CONVINCED that the settlement of differences or disputes between their countries should be regulated by rational, effective and sufficiently flexible procedures, avoiding negative attitudes which might endanger or hinder cooperation;

BELIEVING in the need for cooperation with all peace-loving nations, both within and outside Southeast Asia, in the furtherance of world peace, stability and harmony;

SOLEMNLY AGREE to enter into a Treaty of Amity and Cooperation as follows:

CHAPTER I : PURPOSE AND PRINCIPLES

Article 1

The purpose of this Treaty is to promote perpetual peace, everlasting amity and cooperation among their peoples which would contribute to their strength, solidarity and closer relationship;

Article 2

In their relations with one another, the High Contracting Parties shall be guided by the following fundamental principles:

a.

b.

c.

d.

Mutual respect for the independence, sovereignty, equality, territorial integrity and national identity of all nations;

The right of every State to lead its national existence free from external interference, subversion or coersion;

Non-interference in the internal affairs of one another;

Settlement of differences or disputes by peaceful means;

Treaty of Amity and Cooperation in Southeast Asia

Bali, Indonesia, 24 February 1976

PREAMBLE

ASEAN-China Documents Series 1991-2005140

CHAPTER II : AMITY

Article 3

In pursuance of the purpose of this Treaty, the High Contracting Parties shall endeavour to develop and strengthen the traditional, cultural and historical ties of friendship, good neighbourliness and cooperation which bind them together and shall fulfill in good faith the obligations assumed under this Treaty. In order to promote closer understanding among them, the High Contracting Parties shall encourage and facilitate contact and intercourse among their peoples.

CHAPTER III : COOPERATION

Article 4

The High Contracting Parties shall promote active cooperation in the economic, social, technical, scientific and administrative fields as well as in matters of common ideals and aspirations of international peace and stability in the region and all other matters of common interest.

Article 5

Pursuant to Article 4 the High Contracting Parties shall exert their maximum efforts multilaterally as well as bilaterally on the basis of equality, non-discrimination and mutual benefit.

Article 6

The High Contracting Parties shall collaborate for the acceleration of the economic growth in the region in order to strengthen the foundation for a prosperous and peaceful community of nations in Southeast Asia. To this end, they shall promote the greater utilization of their agriculture and industries, the expansion of their trade and the improvement of their economic infrastructure for the mutual benefit of their peoples. In this regard, they shall continue to explore all avenues for close and beneficial cooperation with other States as well as international and regional organisations outside the region.

Article 7

The High Contracting Parties, in order to achieve social justice and to raise the standards of living of the peoples of the region, shall intensify economic cooperation. For this purpose, they shall adopt appropriate regional strategies for economic development and mutual assistance.

Article 8

The High Contracting Parties shall strive to achieve the closest cooperation on the widest scale and shall seek to provide assistance to one another in the form of training and research facilities in the social, cultural, technical, scientific and administrative fields.

e.

f.

Renunciation of the threat or use of force;

Effective cooperation among themselves.


Article 9

The High Contracting Parties shall endeavour to foster cooperation in the furtherance of the cause of peace, harmony, and stability in the region. To this end, the High Contracting Parties shall maintain regular contacts and consultations with one another on international and regional matters with a view to coordinating their views, actions and policies.

Article 10

Each High Contracting Party shall not in any manner or form participate in any activity which shall constitute a threat to the political and economic stability, sovereignty, or territorial integrity of another High Contracting Party.

Article 11

The High Contracting Parties shall endeavour to strengthen their respective national resilience in their political, economic, socio-cultural as well as security fields in conformity with their respective ideals and aspirations, free from external interference as well as internal subversive activities in order to preserve their respective national identities.

Article 12

The High Contracting Parties in their efforts to achieve regional prosperity and security, shall endeavour to cooperate in all fields for the promotion of regional resilience, based on the principles of self-confidence, self-reliance, mutual respect, cooperation and solidarity which will constitute the foundation for a strong and viable community of nations in Southeast Asia.

CHAPTER IV : PACIFIC SETTLEMENT OF DISPUTES

Article 13

The High Contracting Parties shall have the determination and good faith to prevent disputes from arising. In case disputes on matters directly affecting them should arise, especially disputes likely to disturb regional peace and harmony, they shall refrain from the threat or use of force and shall at all times settle such disputes among themselves through friendly negotiations.

Article 14

To settle disputes through regional processes, the High Contracting Parties shall constitute, as a continuing body, a High Council comprising a Representative at ministerial level from each of the High Contracting Parties to take cognizance of the existence of disputes or situations likely to disturb regional peace and harmony.

Article 15

In the event no solution is reached through direct negotiations, the High Council shall take cognizance of the dispute or the situation and shall recommend to the parties in dispute appropriate means of settlement such as good offices, mediation, inquiry or conciliation. The High Council may however offer its good offices, or upon agreement of the parties in dispute, constitute itself into a committee of mediation, inquiry or conciliation. When deemed necessary, the High Council shall recommend appropriate measures for the prevention of a deterioration of the dispute or the situation.


Article 16

The foregoing provision of this Chapter shall not apply to a dispute unless all the parties to the dispute agree to their application to that dispute. However, this shall not preclude the other High Contracting Parties not party to the dispute from offering all possible assistance to settle the said dispute. Parties to the dispute should be well disposed towards such offers of assistance.

Article 17

Nothing in this Treaty shall preclude recourse to the modes of peaceful settlement contained in Article 33(l) of the Charter of the United Nations. The High Contracting Parties which are parties to a dispute should be encouraged to take initiatives to solve it by friendly negotiations before resorting to the other procedures provided for in the Charter of the United Nations.

CHAPTER V : General Provision

Article 18

This Treaty shall be signed by the Republic of Indonesia, Malaysia, the Republic of the Philippines, the Republic of Singapore and the Kingdom of Thailand. It shall be ratified in accordance with the constitutional procedures of each signatory State. It shall be open for accession by other States in Southeast Asia.

Article 19

This Treaty shall enter into force on the date of the deposit of the fifth instrument of ratification with the Governments of the signatory States which are designated Depositories of this Treaty and the instruments of ratification or accession.

Article 20

This Treaty is drawn up in the official languages of the High Contracting Parties, all of which are equally authoritative. There shall be an agreed common translation of the texts in the English language. Any divergent interpretation of the common text shall be settled by negotiation.

IN FAITH THEREOF the High Contracting Parties have signed the Treaty and have hereto affixed their Seals.

DONE at Denpasar, Bali, this twenty-fourth day of February in the year one thousand nine hundred and seventy-six.

For the Republic of Indonesia :

SOEHARTOPresident

For Malaysia :

DATUK HUSSEIN ONNPrime Minister


For the Republic of the Philippines :

FERDINAND E. MARCOSPresident

For the Republic of Singapore :

LEE KUAN YEWPrime Minister

For the Kingdom of Thailand :

KUKRIT PRAMOJPrime Minister

...............................................


The Government of Brunei Darussalam The Government of the Republic of Indonesia The Government of Malaysia The Government of the Republic of the Philippines The Government of the Republic of Singapore The Government of the Kingdom of Thailand

DESIRING to further enhance cooperation with all peace-loving nations, both within and outside Southeast Asia and, in particular, neighbouring States of the Southeast Asia region;

CONSIDERING Paragraph 5 of the preamble of the Treaty of Amity and Cooperation in Southeast Asia, done at Denpasar, Bali, on 24 February 1976 (hereinafter referred to as the Treaty of Amity) which refers to the need for cooperation with all peace-loving nations, both within and outside Southeast Asia, in the furtherance of world peace, stability and harmony.

HEREBY AGREE TO THE FOLLOWING:

Article 1

Article 18 of the Treaty of Amity shall be amended to read as follows:

“This Treaty shall be signed by the Republic of Indonesia, Malaysia, the Republic of the Philippines, the Republic of Singapore and the Kingdom of Thailand. It shall be ratified in accordance with the constitutional procedures of each signatory State.

It shall be open for accession by other States in Southeast Asia.

States outside Southeast Asia may also accede to this Treaty by the consent of all the States in Southeast Asia which are signatories to this Treaty and Brunei Darussalam.”

Article 2

Article 14 of the Treaty of Amity shall be amended to read as follows:

“The settle disputes through regional processes, the High Contracting Parties shall constitute, as a continuing body, a High Council comprising a Representative at ministerial level from each of the High Contracting Parties to take cognizance of the existence of disputes or situations likely to disturb regional peace and harmony.

However, this article shall apply to any of the States outside Southeast Asia which have acceded to the Treaty only in cases where that state is directly involved in the dispute to be settled through the regional processes.”

Protocol Amendingthe Treaty of Amity and Cooperation in Southeast Asia

Manila, Philippines, 15 December 1987


Article 3

This Protocol shall be subject to ratification and shall come into force on the date the last instrument of ratification of the High Contracting Parties is deposited.

DONE at Manila, the fifteenth day of December in the year one thousand nine hundred and eighty-seven.

145

For Brunei Darussalam :

PRINCE HAJI MOHAMED BOLKIAHMinister of Foreign Affairs


PROF. DR. MOCHTAR KUSUMAATMADJAMinister for Foreign Affairs

For Malaysia :

DATO HAJI ABU HASAN HAJI OMARMinister of Foreign Affairs


RAUL S. MANGLAPUSSecretary of Foreign Affairs


S.DANABALANMinister for Foreign Affairs


AIR CHIEF MARSHALL SIDDHI SAVETSILAMinister of Foreign Affairs

...............................................


The Government of Brunei DarussalamThe Government of the Kingdom of CambodiaThe Government of the Republic of IndonesiaThe Government of the Lao People’s Democratic RepublicThe Government of MalaysiaThe Government of the Union of MyanmarThe Government of the Republic of the PhilippinesThe Government of the Republic of SingaporeThe Government of the Kingdom of ThailandThe Government of the Socialist Republic of Viet NamThe Government of Papua New Guinea

Hereinafter referred to as the High Contracting Parties:

DESIRING to ensure that there is appropriate enhancement of cooperation with all peace-loving nations, both within and outside Southeast Asia and, in particular, neighboring States of the Southeast Asia region;

CONSIDERING Paragraph 5 of the preamble of the Treaty of Amity and Cooperation in Southeast Asia, done at Denpasar, Bali, on 24 February 1976 (hereinafter referred to as the Treaty of Amity) which refers to the need for cooperation with all peace-loving nations, both within and outside Southeast Asia, in the furtherance of world peace, stability and harmony.

HEREBY AGREE TO THE FOLLOWING:

Article 1

Article 18, Paragraph 3, of the Treaty of Amity shall be amended to read as follows:

“States outside Southeast Asia may also accede to this Treaty with the consent of all the States in Southeast Asia, namely, Brunei Darussalam, the Kingdom of Cambodia, the Republic of Indonesia, the Lao People’s Democratic Republic, Malaysia, the Union of Myanmar, the Republic of the Philippines, the Republic of Singapore, the Kingdom of Thailand and the Socialist Republic of Vietnam.”

Article 2

This Protocol shall be subject to ratification and shall come into force on the date the last instrument of ratification of the High Contracting Parties is deposited.

DONE at Manila, the twenty-fifth day of July in the year one thousand nine hundred and ninety-eight.

Second Protocol Amendingthe Treaty of Amity and Cooperation

in Southeast Asia

Manila, Philippines, 25 July 1998



PRINCE HAJI MOHAMED BOLKIAHMinister of Foreign Affairs

For the Kingdom of Cambodia :

CHEM WIDHYASpecial Enjoy of theRoyal Government of Cambodia


ALI ALATASMinister for Foreign Affairs

For the Lao People’s Democratic Republic :

SOMSAVAT LENGSAVADDeputy Prime Minister andMinister of Foreign Affairs

For Malaysia :

DATUK SERI ABDULLAH HAJI AHMAD BADAWIMinister of Foreign Affairs

For the Union of Myanmar :

U OHN GYAWMinister for Foreign Affairs


DOMINGGO L. SIAZONSecretary of Foreign Affairs


S. JAYAKUMARMinister for Foreign Affairs


SURIN PITSUWANMinister of Foreign Affairs

For the Socialist Republic of Viet Nam :

NGUYEN MANH CAMDeputy Prime Minister andMinister of Foreign Affairs

For Papua New Guinea :

ROY YAKIMinister of Foreign Affairs

...............................................


1.

2.

We, the Heads of State/Government of the Member Countries of ASEAN and the People’s Republic of China have reviewed the development of bilateral relationship in recent years. We agree that since the issuance of the Joint Statement of the Meeting of the Heads of State/Government of the Member Countries of ASEAN and the President of the People’s Republic of China in 1997, the relationship between ASEAN and China has seen rapid, comprehensive and in-depth growth and ASEAN and China have become important partners of cooperation.

a.

b.

c.

d.

We are pleased with the depth and scope of the mutually beneficial cooperation between the two sides. We agree that ASEAN-China relations have seen important and positive developments, extensive and substantive cooperation in all areas of mutual interest. We highlight the strategic importance of ASEAN-China relations to peace, development and cooperation in our region and recognize the positive contribution of such relations to world peace and development.

Politically, our two sides respect each other’s sovereignty and territorial integrity and their independent choice of development path. Guided by the spirit of the Joint Statement of the Meeting of the Heads of State/Government of the Member States of ASEAN and the President of the People’s Republic of China in 1997, China has signed separately with the ten ASEAN countries political documents aimed at development of bilateral relations in the 21st century. In October 2003, China acceded to the Treaty of Amity and Cooperation in Southeast Asia, which demonstrated that the political trust between the two sides notably enhanced.

Economically, the two sides have strengthened contacts and exchanges for mutually complementary and beneficial cooperation. Cooperation in the five priority areas: agriculture, information and telecommunications, human resources development, two-way investment and the Mekong River Basin development, has made steady progress. In 2002, the two sides signed the Framework Agreement on Comprehensive Economic Cooperation between ASEAN and China, launched the process towards an ASEAN-China Free Trade Area and moved bilateral economic cooperation towards greater scope and depth.

In security, ASEAN and China have worked to actively implement the concept of enhancing mutual trust through dialogue, resolving disputes peacefully through negotiations and realizing regional security through cooperation. With a view to securing peace and stability in South China Sea, the two sides signed the Declaration on the Conduct of Parties in the South China Sea and agreed to work on the basis of consensus towards the eventual attainment of this objective. The two sides have issued the Joint Statement on Cooperation in the Field of Non-Traditional Security Issues, under which active cooperation on transnational issues has been conducted, opening new areas of security cooperation.

In regional and international affairs, ASEAN and China have engaged in productive cooperation. The two sides have joined hands in promoting the sound development of the ASEAN Plus Three cooperation, ASEAN Regional Forum (ARF), Asia Cooperation Dialogue (ACD), Asia-Pacific Economic Cooperation (APEC), Asia-Europe Meeting (ASEM), Forum for East Asia-Latin America Cooperation (FEALAC) and other regional and trans-regional cooperation mechanisms. The two sides have good communication and cooperation on issues of mutual interest and concern and have rendered each other support and cooperation in the United Nations, World Trade Organization, and other international organizations with mutual understanding.

Joint Declaration of the Heads of State/Government of the Association of Southeast Asian Nations and

the People’s Republic of China on Strategic Partnership for Peace and Prosperity

Bali, Indonesia, 8 October 2003


3.

4.

5.

6.

In today’s world that is undergoing complex and profound changes, the enhanced cooperation between ASEAN and China, as two important partners in the Asia-Pacific region, will serve the immediate and long-term interests of both sides and is conducive to peace and prosperity in the region. To this end, we agree that ASEAN and China establish “a strategic partnership for peace and prosperity”.

We declare that the purpose of the establishment of a strategic partnership for peace and prosperity is to foster friendly relations, mutually beneficial cooperation and good neighbourliness between ASEAN and China by deepening and expanding ASEAN-China cooperative relations in a comprehensive manner in the 21st century, thereby contributing further to the region’s long-term peace, development and cooperation. This strategic partnership is non-aligned, non-military, and non-exclusive, and does not prevent the participants from developing their all-directional ties of friendship and cooperation with others.

We reiterate that ASEAN-China cooperation will continue to take the UN Charter, the Treaty of Amity and Cooperation in Southeast Asia, the Five Principles of Peaceful Coexistence, and other universally recognized norms governing international relations as its guidance, and the Joint Statement of the Meeting of the Heads of State/Government of the Member States of ASEAN and the People’s Republic of China in 1997 and other cooperation documents the two sides have signed in various fields as its basis.

We agree that ASEAN-China Strategic Partnership for Peace and Prosperity is a comprehensive and forward-looking cooperation focusing on politics, economy, social affairs, security and international and regional affairs. To this end, we agree to:

1.

2.

Political Cooperation

a.

b.

c.

Economic Cooperation

a.

b.

c.

d.

Strengthen high-level exchanges and contacts, consolidate and deepen understanding and friendship among the peoples of ASEAN and China and give fuller and more effective play to the role of dialogue and consultation mechanism at different levels.

Proceed from the new starting point of China’s accession to the Treaty of Amity and Cooperation in Southeast Asia to further enhance mutual trust and lay a solid foundation for bilateral relations.

Continue consultation on China’s intention to accede to the Protocol to the Treaty on the Southeast Asia Nuclear Weapon-Free Zone.

Give full play to the respective strength of their markets and maintain the rapidly growing momentum of their economic relations and trade in order to achieve the goal of US$100 billion of two-way annual trade by 2005.

Speed up talks on ASEAN-China FTA, which has become a key pillar in ASEAN-China economic cooperation, so as to ensure its smooth establishment by 2010, and hereby assist ASEAN new members (CLMV) to effectively participate in and benefit from the ASEAN-China FTA.

Deepen cooperation in key areas, such as agriculture, information and telecommunications, human resources development, two-way investment and the Mekong River Basin development, and earnestly implement long and medium-term cooperation programmes.

Support each other’s endeavour for economic growth and development. China undertakes to strongly support ASEAN’s drive in narrowing down the development gap and to assist the new members in the exercise. To this end, China shall increase its input in the Initiative for ASEAN Integration (IAI) and support cooperation at sub-


3.

4.

5.

Social Cooperation

a.

b.

c.

Security Cooperation

a.

b.

c.

Regional and International Cooperation

a.

b.

c.

d.

e

f.

regional level, including the Brunei-Indonesia-Malaysia-Philippines East ASEAN Growth Area (BIMP-EAGA), West-East Corridor (WEC), and the Cambodia, Lao PDR, and Viet Nam Growth Triangle. ASEAN is prepared to participate in China’s western region development.

Implement the consensus of the Special ASEAN-China Leaders’ Meeting on SARS, which was held in April 2003, such as strengthening cooperation in the public health sector. A 10+1 special fund for health cooperation will be set up and the 10+1 Health Ministers meeting mechanism will be launched.

Further activate exchanges in science and technology, environment, education, and culture as well as personnel exchange, and improve cooperation mechanisms in these areas. Efforts will also be made to enhance tourism cooperation and deepen understanding and friendship between the peoples of their countries.

Attach importance to and strengthen youth exchanges and cooperation and establish a 10+1 Youth Ministers meeting mechanism to broaden the base for everlasting friendship.

Expedite the implementation of the Joint Statement on Cooperation in the Field of Non-Traditional Security Issues and actively expand and deepen cooperation in such areas.

Hold, when appropriate, ASEAN-China security-related dialogue to enhance mutual understanding and promote peace and security in the region.

Implement the Declaration on the Conduct of Parties in the South China Sea, discuss and plan the way, areas and projects of follow-up actions.

Cooperate on major regional and international issues for the maintenance of regional peace and stability, while maintaining the authority and central role of the UN.

Maintain close coordination and cooperation under the framework of ARF and promote its healthy development. China supports ASEAN’s role as the primary driving force of the ARF and its commitment to move the overlapping stages of ARF at a pace comfortable to all.

Make the ASEAN Plus Three mechanism as the main channel to move forward cooperation and regional economic integration in East Asia and Asia as a whole so as to promote sustainable development and common prosperity there.

Further promote ACD, APEC, ASEM, FEALAC and other regional and trans-regional cooperation schemes.

Work for free and fair trade worldwide as well as a well-balanced development of economic globalization. China strongly supports an early WTO membership for Lao PDR and Viet Nam.

Respect the diversity in the Asia Pacific, particularly the differences in development path, security concern, values, culture and traditions of the countries in the region. Work jointly to create an environment of tolerance and openness for cooperation and development in the region.


Done on the Eighth Day of October in the Year Two Thousand and Three in Bali, Indonesia.

g. Have a periodic review of the present Joint Declaration when necessary, taking into due consideration the dynamic development in the region and in the world.

For Brunei Darussalam

HAJI HASSANAL BOLKIAHSultan of Brunei Darussalam

For the Kingdom of Cambodia

SAMDECH HUN SENPrime Minister

For the Republic of Indonesia

MEGAWATI SOEKARNOPUTRIPresident

For the Lao People’s Democratic Republic

BOUNNHANG VORACHITHPrime Minister

For Malaysia

DR. MAHATHIR BIN MOHAMADPrime Minister

For the People’s Republic of China

WEN JIABAOPremier of the State Council


For the Union of Myanmar

GENERAL KHIN NYUNTPrime Minister

For the Republic of the Philippines

GLORIA MACAPAGAL-ARROYOPresident

For the Republic of Singapore

GOH CHOK TONGPrime Minister

For the Kingdom of Thailand

DR. THAKSIN SHINAWATRAPrime Minister

For the Socialist Republic of Viet Nam

PHAN VAN KHAIPrime Minister

...............................................


The Association of Southeast Asian Nations (ASEAN) as one “Party”, (hereinafter referred to collectively as “ASEAN” or “ASEAN Member Countries”, or individually as “ASEAN Member Country”) and the People’s Republic of China as the other “Party” (hereinafter referred to as “the Parties” or individually as “a Party”);

RECALLING China’s initiative to enhance Information and Communications Technology (ICT) cooperation and to facilitate the fulfillment of the e-ASEAN Initiative;

MINDFUL of the Manila Declaration 2002 signed in Manila at the ASEAN Telecommunication Ministerial Meeting (TELMIN) on 28 August 2002 and the e-ASEAN Framework Agreement signed by ASEAN Heads of Governments/States in Singapore, on 24 November 2000;

REALIZING the vast potential for cooperation between the Parties in the ICT sector;

RECOGNIZING that cooperation based on equity, friendship and mutual benefit meets the ICT development requirements of the Parties;

DESIRING to further promote the close and friendly relations between China and the ASEAN Member Countries in the ICT sector;

IN THE SPIRIT of building solid foundations for medium and long-term partnership in the ICT sector;

HAVE AGREED on the following understanding:

Article I

Objective

The Parties will enhance cooperation and exchanges in ICT in accordance with their respective domestic laws, regulations, policies, administrative guidelines and procedures in their respective territories.

Article II

Areas of Cooperation

The Parties have identified the following fields of common interest for mid-and long-term cooperation:

1. Human Resource Development

China will utilize its domestic training bases to provide training for personnel of ASEAN Member Countries. The Parties

Memorandum of Understanding Between The Association of Southeast Asian Nations

and the People’s Republic of China on Cooperation in Information and

Communications Technology



2.

3.

4.

5.

6.

7.

8.

9.

Article III

Implementation

1.

will cooperate in developing mutual recognition arrangements (MRAs) for ICT Skills Certification.

Information Infrastructure Development

China will actively assist and facilitate the construction and development of information infrastructure such as fixed/mobile communications networks, multimedia applications and Internet in ASEAN Member Countries.

Technology Development

The Parties will cooperate in ICT research and development projects that are mutually beneficial, including strengthening centers of excellence, transfer of technology and exchange of researchers.

ICT Application Development

The Parties will encourage their private sector enterprises to actively participate in the development of ICT application systems for governments and businesses.

Compatibility, Integrity, and Security of ICT Systems

The Parties will cooperate in fields that enhance the compatibility, integrity, and security of ICT systems, including mutual recognition arrangements (MRAs) of telecommunications equipment, harmonization and compatibility of data exchange standards, cyber crime prevention and data protection.

e-ASEAN Projects Implementation

The Parties will work towards accelerating the implementation of e-ASEAN work programmes, e-ASEAN pilot projects and the Initiative for ASEAN Integration in ICT sector projects that have been endorsed by ASEAN. The work programmes may include the ASEAN Information Infrastructure; e-Commerce, Capacity Building and e-Society; Facilitation and Liberalization of ICT Products, Services and Investments; and e-Government.

Exchange of Information

The Parties will cooperate to make available information and best practices on ICT-related laws, policies, regulations, administrative guidelines and procedures, and e-readiness assessment.

ASEAN-China ICT Seminar

The Parties will hold annually or as often as required an ASEAN-China Seminar on ICT.

Other Fields of Cooperation in ICT

The Parties will cooperate in other fields of ICT as mutually agreed

The Parties agree to designate ASEAN Ministries of Information and Communications Technology and the Ministry of Information Industry of China as their respective contact agencies that are responsible for co-ordinating the identification, implementation and supervision of cooperation projects.


2.

Article IV

Financial Arrangements

The activities mentioned in this Memorandum of Understanding shall be conducted subject to the availability of funds and personnel of the Parties.

Article V

Protection of Intellectual Property Rights

1.

2.

3.

Article VI

Confidentiality

1.

2.

Article VII

Revision, Amendment and Modification

1.

2.

The Parties agree that project formulation, implementation, monitoring and evaluation will be carried out through the ASEAN Plus China cooperation mechanism.

The protection of intellectual property rights within the jurisdiction of each Party will be enforced in conformity with its domestic laws, regulations, administrative policies, guidelines and procedures and also with the International agreements to which both China and the individual ASEAN Member Country concerned are parties.

The usage of a Party’s name, logo and/or official emblem on any publication, document and / or paper is prohibited without its prior written approval.

Notwithstanding anything contained in this Article, a Party shall own the intellectual property rights in respect of any technology, products and services development, which were solely and separately developed by that Party.

A Party shall not disclose or distribute to any third party any confidential information, document, data received from or supplied to each of the other Parties in the course of the implementation of this Memorandum of Understanding except to the extent as authorized in writing to do so by the Party giving or supplying the information, document or data, as the case may be.

In the event of termination of this Memorandum of Understanding, the Parties agree that the provisions of this Article shall continue to apply.

The Parties may revise, amend or modify all or part of the Memorandum of Understanding by mutual consent in writing. Such revision, amendment or modification, if mutually agreed upon, will come into force on such date as determined and shall not have retroactive effect.

Any revision, amendment or modification shall be done without prejudice to the rights and obligations arising from or based on this Memorandum of Understanding prior or up to the date of such revision, amendment or modification.

155


In the event of any dispute or difference arising out of the interpretation or implementation or application of the provisions of this Memorandum of Understanding, the Parties shall settle it amicably through consultation or negotiation through diplomatic channels without reference to any third party or any International tribunal.

1.

2.

3.

Article VIII

Suspension

Each Party reserves the right, for reasons of national security, public order or public health, to suspend temporarily, either in whole or in part, the implementation of the Memorandum of Understanding, of which suspension shall be effec-tive after notification has been given to the other Party through diplomatic channels.

Article IX

Settlement of Dispute

Article X

Entry Into Force, Duration and Termination

This Memorandum of Understanding shall enter into force on the date of its signing and shall remain in force for a period of four (4) years unless either Party notifies the other Party in writing of its intention to terminate this Memorandum of Understanding. Thereafter, it may be extended for additional periods subject to availability of funds and agreement of the Parties, such agreement to be evidenced by way of exchange of letters.

The termination of this Memorandum of Understanding shall not affect the implementation of ongoing activities/programmes which have been agreed upon prior to the date of the termination of this Memorandum of Understanding.

For ASEAN, this Memorandum of Understanding shall be deposited with ASEAN Secretary General who shall promptly circulate certified copies thereof to all Members Countries of ASEAN.

IN WITNESS WHEREOF the undersigned, duly authorized thereto by the respective Governments of the ASEAN Member Countries and the People’s Republic of China, have signed this Memorandum of Understanding.

SIGNED on the Eighth Day of October in the year Two Thousand and Three in Bali, Indonesia, in duplicate in the English language.


H.E. WANG XUDONGMinister of Information Industry

For ASEAN

H.E. ONG KENG YONGSecretary-General of ASEAN

...............................................


1.

2.

3.

Consolidating ASEAN-China Cooperation

4.

5.

6.

7.

We the ASEAN Leaders held a meeting with each of the Leaders of China, Japan, Republic of Korea and India. During the meetings all Leaders of the Dialogue Partners expressed their strong support for the Bali Concord II as a solid platform to achieve an ASEAN Community based on political-security, economic and socio-cultural cooperation.

ASEAN Leaders welcome the commitment of the ASEAN Dialogue Partners to support a numbers of areas of ASEAN cooperation as follows:--

--

Leaders discussed several important issues such as the nuclear question on Korean Peninsula, the future of East-Asian cooperation, poverty alleviation, human resources development and the development of infrastructures for ASEAN Integration

In the meeting with Premier Wen Jiabao of China, we had a productive discussion on issues of common concern and reviewed developments in ASEAN+China relations in recent years. We observed that political and security cooperation between ASEAN and China had matured over the years. We agreed to further enhance ASEAN-China relations and partnership to strengthen trade and investment, technical cooperation, cultural and social dialogue to promote stability and prosperity in the region. In the economic field, the two sides had strengthened their mutually beneficial cooperation.

We were heartened that China had committed itself to enhancing its relation with ASEAN by acceding to the TAC in this very Summit. We welcomed China’s accession to the TAC as a factor that would contribute further to the region’s long-term peace and stability. It is yet another testimony to our deeper political trust and higher level of cooperation

We signed a Joint Declaration of the Heads of State/Government of the Member States of ASEAN and the People’s Republic of China on Strategic Partnership for Peace and Prosperity. The Declaration would serve as a blueprint for fostering the partnership between the ASEAN states and China for peace and prosperity. It signing marked the beginning of a new stage in our relations. We welcomed the continued support of China to ASEAN in playing a key role in ASEAN Regional Forum. We hope that the existing disputes such as the issue of Spratlys Islands be resolved by peaceful dialogue.

We agreed to strengthen cooperation in five priority areas: politics, economy, social affairs, security, and regional and international issues. We agreed to promote high-level exchanges and contacts, consolidate and deepen mutual understanding and friendship and make use of mechanisms for dialogue and consultation mechanism at various levels.

Counter terrorism and other form of trans-national crimes;Economic integration of ASEAN, such as the Initiative for ASEAN Integration (IAI), and sub-regional initiatives such as GMS and BIMP-EAGA;Establishment of Asian Bond as an alternative for regional financing;Efforts on containing and avoiding of SARS, HIV/AIDS and other communicable diseases.

Excerpts from the Press Statement of the Chairperson of the ASEAN + China Summit, the ASEAN + Japan Summit,

the ASEAN + Republic of korea Summit and the ASEAN + India Summit



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We also agreed to continue consultations on China’s intention to accede to the Protocol to the Treaty on the Southeast Asia Nuclear Weapons-Free Zone.

ASEAN Leaders commended China Government for taking initiative that led to the convening of the Six-Party talks in order to mitigate the crisis on the Korean Peninsula. ASEAN Leaders expressed their hope that China would sustain its constructive role in the search for a possible comprehensive political resolution of the problem.

ASEAN Leaders and Prime Minister Wen agreed to expedite the implementation of the Joint Statement on Cooperation in the Field of Non-Traditional Security Issues; to hold an ASEAN-China security-related dialogue to enhance mutual understanding and promote peace and stability in the Region; and to follow-up the Declaration on the Conduct of Parties in the South China Sea. ASEAN Leaders expressed hope that this would lead to the eventual establishment of a code of conduct in the South China Sea. We also agreed to cooperate on major regional and international issues in order to sustain regional peace and stability, while upholding the authority and central role of the UN.

We pledged our joint efforts to break the US$100 billion mark by 2005; to intensify cooperation in key areas such as agriculture, information and telecommunications, and human resources development; and to support each other’s endeavour for economic growth and development. ASEAN Leaders welcomed China’s support for the economic integration of ASEAN, such as the BIMP-EAGA and Greater Mekong Sub-regional Cooperation (GMS). We welcomed China’s plan to hold an ASEAN EXPO in Nanning, China, next year. We agreed to promote scientific and technological exchange as well as the establishment of network of East Asia Think Tank.

We welcomed the signing of the Protocol to Amend the Framework Agreement on Comprehensive Economic Cooperation between ASEAN and China by the ASEAN Economic Ministers and China’s MOFCOM Minister. The Agreement was concluded with an eye to the eventual establishment of an ASEAN-China FTA. We took note of the idea for accelerating the implementation of ASEAN-China CEP by some ASEAN Member Countries.

In the area of social cooperation, we agreed to continue our efforts in avoiding the SARS and other communicable diseases; to further activate exchanges in science and technology, education, HRD and culture as well as personnel exchanges; to improve the mechanisms for cooperation in these areas; and to give due importance to and strengthen youth exchanges and cooperation.

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List of Ministers

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The Second ASEAN and China Transport Ministers (ATM + China) Meeting was held on 25 October 2003 in Yangon, Myanmar. H.E. Maj. Gen. Hla Myint Swe, Minister of Transport for Myanmar and H.E. Mr. Zhang Chunxian, Minister of Communications of the People’s Republic of China, co-chaired the Second ATM + China.

The Ministers welcomed the signing of the Joint Declaration of the Heads of State/Government of the Member States of ASEAN and the People’s Republic of China on Strategic Partnership for Peace and Prosperity in the Ninth ASEAN Summit in Bali, Indonesia. This Declaration would serve as a blueprint for fostering the partnership between the ASEAN states and China for peace and prosperity. The Ministers also welcomed the signing of the Protocol to Amend the Framework Agreement on Comprehensive Economic Cooperation between ASEAN and China by the ASEAN and China economic ministers in Bali, accelerating the early harvest program of the ASEAN-China free trade area initiative.

The Ministers reviewed developments and were satisfied with the substantive progress on the ASEAN – China transport cooperation since the First ATM+China meeting.

The Ministers reaffirmed that building an integrated transport network for smooth and speedy movement of goods and people is a vital supporting infrastructure to an ASEAN-China free trade area. To effectively expand, enrich and improve the mechanism of ASEAN-China transport cooperation to support the ASEAN-China free trade area initiative, the Ministers agreed to upgrade and formalize transport relations in a more holistic and integrated manner, as well as lay the solid foundation for medium-to-long term transport cooperation.

To achieve this, the Ministers agreed to conclude a Memorandum of Understanding (MOU) on ASEAN-China Transport Cooperation. The Ministers tasked their senior officials to deliberate on the draft of the MOU and to submit the final draft for signing in the Third ATM + China Meeting or at the ASEAN-China Summit Meeting in 2004. The MOU will formalize policy dialogues and cooperative programs between ASEAN and China in transport infrastructure development and construction, transport facilitation, maritime safety, human resource development in maritime, land and inland waterways transport and civil aviation, railways cooperation, and information exchange.

The Ministers endorsed the implementation of the initial joint projects and activities covering port management and marketing, inland waterways regulation and joint table-top search and rescue exercise. These joint projects will be implemented in 2004-2005, with funding support from China.

The Third ATM + China Meeting would be held in Cambodia in October 2004.

H.E. Pehin Dato Haji Zakaria Sulaiman, Minister of Communications, Brunei Darussalam;

H.E. Mr. Chhin Kong Hean, Director General of Public Works and Transport, Cambodia;

H.E. Mr. Zhang Chunxian, Minister of Communications, People’s Republic of China;

Joint Media Statement of the Second ASEAN and China Transport Ministers Meeting

Yangon, Myanmar, 25 October 2003


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H.E. Mr. Agum Gumelar, Minister of Communications, Indonesia;

H.E. Mr. Bouathong Vonglokham, Minister of Communication, Transport, Post and Construction, Lao PDR;

H.E. Dato’ Chan Kong Choy, Minister of Transport, Malaysia;

H.E. Major General Hla Myint Swe, Minister of Transport, Myanmar;

H.E. Mr. Arturo T. Valdez, Deputy Minister of Transport, Philippines;

H.E. Mr. Yeo Cheow Tong, Minister for Transport, Singapore;

H.E. Mr. Nikorn Chamnong, Deputy Minister of Transport, Thailand;

H.E. Mr. Pham The Minh, Vice Minister of Transport, Viet Nam; and

H.E. Mr. Ong Keng Yong, ASEAN Secretary-General.

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The Governments of the Member Countries of the Association of Southeast Asian Nations (ASEAN) and the Government of the People’s Republic of China, (hereinafter referred to as “the Parties”);

DESIRING to strengthen the friendly cooperation among the Parties;

PURSUANT to the Joint Declaration of ASEAN and China on Cooperation in the Field of Non-traditional Security Issues adopted on 4th November 2002;

DETERMINED to deepen cooperation in the field of non-traditional security issues among the Parties;

Have agreed as follows

Article 1

Objectives

The Parties shall develop practical strategies in accordance with their national laws and regulations to enhance the capacity of each individual country and the region as a whole in dealing with such non-traditional security issues as trafficking in illegal drugs, people smuggling including trafficking in women and children, sea piracy, terrorism, arms smuggling, money laundering, international economic crime and cyber crime.

Article 2


The Parties have identified the following fields of common interest for mid and long-term cooperation:

1. Information Exchange

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b.

The Parties shall establish a compilation of their national laws and regulations pertaining to such fields as mentioned in Article 1;

The Parties shall establish a collection of international conventions pertaining to such fields as mentioned in Article 1, to which they are parties, and a collection of bilateral agreements signed among them where appropriate;

Memorandum of Understanding Betweenthe Governments of the Member Countries of

the Association of Southeast Asian Nations (ASEAN) and the Government of the People’s Republic of China on Cooperation in the Field of Non-Traditional

Security Issues

Bangkok, Thailand, 10 January 2004


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Article 3

Implementation

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Personnel Exchange and Training

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Law Enforcement Cooperation

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Joint Research

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The Parties agree that the implementing agencies for this Memorandum of Understanding are:

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The implementing agencies of the Parties shall determine through consultation the details, schedule and arrangements for the implementation of the cooperation provided in this Memorandum of Understanding, and shall serve as coordinators for such cooperation.

The Parties shall, subject to their respective national laws and policies, exchange intelligence on the non-traditional security issues referred to in Article 1; and

The Parties shall, subject to their respective national laws and policies, exchange information on special equipment and techniques applied in the prevention and investigation of the non-traditional security issues referred to in Article 1.

The Parties shall promote personnel contact and exchange among their law enforcement officers and experts;

China shall organize workshops to promote exchange of law enforcement experiences among the Parties in combating terrorism, trafficking in illegal drugs, sea piracy and international economic crime;

China shall hold training courses to upgrade the level of capacity of each Party and the region as a whole in drug control, forensic sciences, immigration administration, road traffic control and the investigation of cyber crime. To ensure the quality of the training courses, China shall invite regional and international experts to give lectures; and

The Parties shall promote exchange and cooperation among institutions.

The Parties shall encourage and offer each other the fullest law enforcement cooperation possible in accordance with their respective national laws and on the basis of mutual respect for sovereignty, equality and mutual benefit; and

The Parties shall promote cooperation in accordance with their national laws in such fields as evidence gathering, tracing of crime proceeds, apprehension and repatriation of criminal fugitives and return of crime proceeds; and encourage each other to enter into bilateral legal arrangements therein.

The Parties shall support the joint research by their experts and scholars in the field of non-traditional security issues, and share the results of research between them; and

The Parties shall organize experts in relevant fields to provide short-term technical services and to make study tours.

The ASEAN Secretariat in coordination with the relevant national agencies of the ASEAN Member Countries; and

The Ministry of Public Security for the People’s Republic of China.


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Article 4

Financial Arrangements

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Article 5

Confidentiality

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Article 6

Suspension

Each Party reserves the right for reasons of security, public order or public health to suspend temporarily, either in whole or in part the implementation of this Memorandum of Understanding, which suspension shall take effect immediately after notification has been given to the other Party through diplomatic channels.

Article 7

Revision and Amendment

The Parties may request in writing a revision, amendment or modification of all or any part of this Memorandum of Understanding. Any revision, amendment or modification shall be mutually agreed upon in written form by the Parties and shall form part of this Memorandum of Understanding. Such revision, amendment or modification shall come into force on such date as may be determined by the Parties.

ASEAN welcomes China’s participation in the existing ASEAN cooperation pertaining to the fight against transnational crime, including the ASEAN Action Plan on the Fight against Transnational Crime and its Work Program.

The Parties shall hold meetings at working level once every year to exchange information on implementation of this Memorandum of Understanding, to brief each other on the progress of cooperation under various mechanisms, and to discuss the plans for future cooperation.

Expenses of workshops and training courses organized by China in accordance with this Memorandum of Understanding shall be covered by the Chinese side, including meals, accommodation and local transportation for the participants sent by ASEAN Member Countries during their stay in China and fees for inviting experts, while the expenses of international travel shall be covered by the sending Countries, except when it is agreed otherwise.

Expenses incurred in the implementation of other cooperative activities in accordance with this Memorandum of Understanding shall be covered by the Parties through consultation.

The activities mentioned in this Memorandum of Understanding shall be conducted subject to the availability of funds and personnel of the Parties.

Information, document, data, equipment or technology received in accordance with this Memorandum of Understanding shall not be disclosed or distributed to any third party except to the extent as authorized in written form to do so by the country providing it.

In the event of termination of this Memorandum of Understanding, the Parties have agreed that the provisions of this Article shall continue to apply.


Article 8

Settlement of Dispute

Any dispute or differences arising out of the interpretation/ implementation/application of the provisions of this Memorandum of Understanding shall be settled amicably through consultation/ negotiation between the Parties without reference to any third party.

Article 9

Entry Into Force, Duration and Termination

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IN WITNESS WHEREOF, the undersigned, duly authorized by the respective Governments of the ASEAN Member Countries and the People’s Republic of China, have signed this Memorandum of Understanding.

This Memorandum of Understanding is signed in Bangkok, Thailand, on the 10th day of January of the year Two Thousand and Four in two original copies in the English language.

This Memorandum of Understanding shall come into effect on the date of its signing and shall remain in force for a period of 5 years. Thereafter, it may be extended for additional periods subject to availability of funds and agreements of the Parties expressed by way of exchange of letters.

Each Party may give written notice to the other of its desire to terminate this Memorandum of Understanding, of which termination shall be effective thirty (30) days after written notification has been given to the other Party. The termination of this Memorandum of Understanding shall not affect the implementation of ongoing activities/programs.

For the Government of the People’s Republic of China

TIAN QIYUExecutive Vice Minister of

Public Security, the People’s Republic of China

For ASEAN

ONG KENG YONGSecretary-General of ASEAN

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The Ministers from China and ten Members Countries of the Association of Southeast Asian Nations (ASEAN) held an informal meeting in Qingdao, China on 21 June 2004. The meeting was co-chaired by H.E. Li Zhaoxing, Minister of Foreign Affairs of the People’s Republic of China, and H.E. Hor Namhong, Senior Minister and Minister of Foreign Affairs and International Cooperation of the Kingdom of Cambodia as a Country Coordinator for ASEAN-China Dialogue Relations. H.E. Ong Keng Yong, Secretary-General of ASEAN, attended the meeting.

The Ministers exchanged views on regional and global issues. They agreed that ASEAN and Chinese Permanent Representatives to the United Nations could have regular consultations. They discussed the current situation in Iraq and agreed that the United Nations should play a leading role in Iraqi post-war reconstruction. The Ministers expressed their support for the ongoing efforts towards a nuclear-weapon-free Korean Peninsula. The ASEAN side commended China’s active and important role in promoting the Six-Party Talks about the nuclear issue on the Korean Peninsula.

The Ministers exchanged views on Asian regional cooperation, East Asia cooperation in particular. Both sides agreed that an East Asian community is a long-term objective for East Asia cooperation to be developed through the existing ASEAN+3 mechanism and supported the idea of convening the East Asia Summit at an appropriate time. The Chinese side reaffirmed its support for ASEAN’s role as the major driving force in East Asia cooperation.

The Ministers welcomed the convening of the third Ministerial Meeting of the Asia Cooperation Dialogue (ACD), to be hosted by China on 22 June 2004 in Qingdao. The Ministers agreed that ASEAN and China could play a key role in deepening and widening Asian Cooperation, including the development of Asian Bond Market in both demand and supply sides.

The Ministers shared the views that the on-going process of bilateral, sub-regional and regional arrangements would be the building blocks for the region-wide and multilateral cooperation.

The Ministers shared the view that efforts should be continued to promote the role of the Treaty of Amity and Cooperation in Southeast Asia (TAC) as a code of conduct for state-to-state relations in this region. The Chinese side reiterated its willingness to sign the Protocol to the Treaty of the Southeast Asia Nuclear Weapon-Free Zone (SEANWFZ), for which ASEAN would highly commend China, given China’s status as a Permanent Member of the United Nations Security Council.

The Ministers agreed that the Declaration on the Conduct of Parties in the South China Sea (DOC) should be incrementally implemented in an effective way so as to maintain regional stability and promote cooperation in the South China Sea.

The Ministers agreed on the formulation of the Plan of Action on Strengthening China-ASEAN Strategic partnership, to be adopted by ASEAN-China Leaders in Vientiane in November 2004, with a view to implementing the Joint Declaration on Strategic Partnership for Peace and Prosperity signed by leaders of the two sides in October 2003. The Ministers also agreed that ASEAN and China should develop comprehensive frameworks for their cooperation in the five key areas, namely agriculture, ICT, HRD, Mekong basin development and mutual investment, as well as SMEs, public health and science and technology.

Joint Press Release of the ASEAN-China Foreign Ministers’ Informal Meeting

Qingdao, China, 21 June 2004


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The Ministers believed that the establishment of ASEAN-China Free Trade Area serves the shared interests of both sides. They commended the joint efforts made by the ASEAN-China Trade Negotiating Committee which clearly reflected the strong commitment by both sides to move forward the negotiation process that would lead to an early conclusion of the agreement for ASEAN-China Free Trade Area.

The Ministers noted with satisfaction the latest developments regarding the accession of some ASEAN countries to the WTO and expressed support for their early accession. They also called for the admission of Cambodia, Laos and Myanmar to the Asia-Europe Meeting (ASEM).

China reiterated its support for ASEAN’s integration process including efforts to establish the ASEAN Community, comprising the ASEAN Security Community (ASC), the ASEAN Economic Community (AEC) and the ASEAN Socio-cultural Community (ASCC), and the Initiative for ASEAN Integration (IAI). The Ministers maintained that both sides should step up cooperation in the Mekong River Basin development, Brunei Darussalam-Indonesia-Malaysia-the Philippines-East ASEAN Growth Area (BIMP-EAGA), the development of China’s west and the revitalization of China’s northeast region, with a view to promoting common development.

The Ministers believed that maintaining peace and stability across the Taiwan Straits conforms to the common interests of all countries in the region. ASEAN member countries reaffirmed their commitment to the one-China policy and for which the Chinese side expressed its appreciation.

The Ministers noted with satisfaction the significant progress made in broadening and deepening relations between ASEAN and China, and agreed to continue utilizing existing mechanisms to enhance mutual understanding and expand common ground, which would go a long way in strengthening China-ASEAN strategic partnership.


WE, the Ministers Responsible for Youth representing Brunei Darussalam, the Kingdom of Cambodia, the Republic of Indonesia, the Lao People’s Democratic Republic, Malaysia, the Union of Myanmar, the Republic of the Philippines, the Republic of Singapore, the Kingdom of Thailand, the Socialist Republic of Viet Nam and the People’s Republic of China;

HAVING gathered in Beijing from 29 to 30 September 2004 for the First ASEAN-China Ministerial Meeting on Youth;

RECALLING the Joint Declaration of the Heads of State/Government of ASEAN and the People’s Republic of China on strategic partnership for peace and prosperity;

ENDEAVOURING to further the commitment relevant to ASEAN-China cooperation on youth highlighted in the Joint Declaration’s section on social cooperation stating the Leaders commitment to “attach importance to and strengthen youth exchanges and cooperation and establish a 10+1 youth ministers meeting mechanism to broaden the base for everlasting friendship” which serves as a blue print for fostering the partnership between ASEAN and China for peace and prosperity;

SEEKING to strengthen the gains brought about by and consistent with the Jakarta Declaration of the First AMMY in 1992, the Kuala Lumpur Agenda on ASEAN Youth Development of the Second AMMY in 1997 and the Yangon 2000 Declaration on Preparing ASEAN Youth for the Challenges of Globalisation of the Third AMMY in 2000 and the Manila Declaration on Strengthening Participation in Sustainable Youth Employment of the Fourth AMMY in 2003;

REAFFIRMING that young people everywhere are key agents for social change, economic and industrial development, and technological innovation;

MINDFUL that ASEAN-China youth which comprises approximately one-third of the world youth population play a significant role in promoting progress, prosperity and overall economic development of ASEAN and China in the 21 century;

DESIROUS to ensure that youth in our region are empowered to take advantage of the opportunities arising from globalisation, trade and investment liberalisation, and information and communication technology;

COMMITTED thus to encourage partnerships and links of solidarity between ASEAN and Chinese youth, and to ensure that they are provided with every opportunity to realise their full potential so that their energy and vision can contribute towards promoting peace, cooperation and prosperity in the region and beyond;

DO HEREBY DECLARE OUR AGREEMENT to strengthen and coordinate joint initiatives for youth by adopting the following vision and strategies:

1. We envision strong networks of youth leaders and related organisations in ASEAN and China, working together in friendship and harmony for progress and prosperity in the East Asian region. We see our youth empowered to participate meaningfully in our development strategies. Our youth shall be aware of the historical, cultural and traditional values that distinguish our region and shall continue to build on these values in working for the benefits of our societies. Their leadership qualities

Beijing Declaration of the Ministers Responsible for Youth of the Association of Southeast Asian Nations and

the People’s Republic of China on ASEAN-China Cooperation on Youth

Beijing, China, 29 September 2004


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shall be enhanced, their skills and competencies nurtured, their entrepreneurship capabilities encouraged and their integral role recognised in building a peaceful, prosperous and caring community of nations.

To achieve our vision, we shall undertake to address concerns mutually shared by ASEAN and China in striving for progress in the situation of youth in our region and for their continued development, by giving priority to joint actions that will:

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We shall also jointly undertake, in consultation with the other Plus Three Partners, efforts to promote the establishment of ASEAN Plus Three youth exchange programmes, building on the existing momentum of ASEAN regional cooperation on youth.

To realise our vision and to further deepen existing collaboration between ASEAN and China on youth development, we shall endeavour to meet once every two years, preferably in conjunction with the AMMY, and informally in between, if necessary.

We task our Senior Officials to meet at least once every year, in conjunction with the SOMY, to implement the priority strategies identified by this First ASEAN-China Ministerial Meeting on Youth, and to report progress regularly at our future meetings.

We shall prioritise the implementation of exchange programmes among ASEAN and Chinese youth to further enhance collaborative efforts in the development of the youth in our countries and to cultivate unity and harmony among them.

Foster and promote greater awareness and understanding of ASEAN and China among the youth through regular focused exchanges which would serve as a viable mechanism to share experiences, address shared challenges/concerns and identify and implement appropriate solutions;

Share knowledge and experiences among the concerned agencies and institutions in ASEAN and China on existing training programmes and policies to ensure the youth are provided with the necessary industry relevant skills training and education to find gainful employment or means of self-employment;

Facilitate and encourage public-private partnerships that emphasise investing in the youth, thus creating conducive environments for employment and self-employment opportunities for the youth;

Facilitate access to credit, markets and business development opportunities, including the establishment of institutions, mechanisms and structures, for ASEAN and Chinese young entrepreneurs;

Strengthen exchange and cooperation between ASEAN and Chinese young entrepreneurs through joint training programmes for youth in business development and entrepreneurial skills;

Foster greater collaboration with non-governmental and community based organisations to identify the needs of young women and disadvantaged and differently-abled youth (including rural youth as well as out-of-school youth) to access relevant education, training and employment opportunities; and

Identify priority activities undertaken by the ASEAN Senior Officials Meeting on Youth (SOMY) on ASEAN youth leadership development, and skills training, among other relevant priorities, for joint implementation with China, so as to strengthen exchange and cooperation between ASEAN and Chinese youth in various fields such as human resources development, information and communication technology, culture, education, environmental protection, agriculture, and volunteer services.


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DONE on the Twenty-Ninth Day of September in the Year Two Thousand and Four in Beijing, People’s Republic of China.

We encourage and welcome partnerships and opportunities to implement mutually shared concerns with like-minded partners from the international community, including relevant regional and international organisations, and the business and private sectors, among others.

We hereby pledge our resolve and commitment to forge even closer partnerships for and among our youth, in addressing the call by our Leaders for a region of peace, progress and prosperity, where our young people - as the leaders of tomorrow - shall have enhanced moral, spiritual and cultural values as a strong foundation for developing their leadership skills, and shall enjoy equal opportunities and access to appropriate education and training, basic social services, and adequate support for transition to work. We are confident that our partnerships will also ensure that the creativity and energy of our youth continue to be nurtured and encouraged, and that the special needs of disadvantaged and vulnerable youth are not neglected.


PEHIN DATO HAJI AWANG HUSSAINMinister of Culture, Youth and Sports

For the Kingdom of Cambodia :

CHEY CHAPUndersecretary of State

Ministry of Education, Youth and Sports


DANTO NTOMACharge d’Affaires

Embassy of the Republic of Indonesia to the People’s Republic of China

For the People’s Republic of China :

ZHOU QIANGFirst Secretary of the Secretariat

Central CommitteeCommunist Youth League of China


For the Lao People’s Democratic Republic :

PHONGSANEE GNOUTITHAMActing Secretary-General

Laos People’s Revolutionary Youth Union

For Malaysia :

DATUK AZALINA OTHMAN SAIDMinister of Youth and Sports

For the Union of Myanmar :

MAJOR-GENERAL SEIN HTWAMinister for Social Welfare,

Relief and Resettlement


PAOLO BENIGNO A. AQUINO IVChairman and Chief Executive Officer

National Youth Commison



DR. VIVIAN BALAKRISHNANActing Minister for Community

Development, Youth and Sports.Senior Minister of Statefor Trade and Industry

and Chairman, National Youth Council


SAKHON BOONKHUMDirector-General

Ministry of Social Development and Human Security

For the Socialist Republic of Viet Nam :

HOANG BINH QUAN Chairman

National Committee on Youthof Viet Nam

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We, the Transport Ministers of ASEAN and China, held our Third Meeting on 24 November 2004 in Phnom Penh, Cambodia. H.E. Mr. Sun Chanthol, Minister of Public Works and Transport for Cambodia and H.E. Mr. Zhang Chunxian, Minister of Communications of the People’s Republic of China, co-chaired our Meeting.

Recognizing the significant potential of ASEAN-China strategic partnership in transport and its crucial support for the ASEAN-China free trade area initiative, we adopted the Memorandum of Understanding (MOU) between the Governments of Member Countries of the Association of Southeast Asian Nations and the Government of the People’s Republic of China on Transport Cooperation. The MOU will be signed by the ASEAN Secretary-General and the Minister of Communications of China at the sidelines of the ASEAN-China Summit in Vientiane, Lao PDR on 27 November 2004.

Under the MOU, we agreed to further strengthen our policy and information exchange and implement joint projects and activities in the following cooperation areas: (a) Transport Infrastructure Construction; (b) Transport Facilitation; (c) Maritime Safety and Security; (d) Air Transport; and (e) Human Resources Development. Working groups or ad-hoc expert task forces may be formed to expedite the implementation of these areas.

We also agreed to work towards developing and signing an ASEAN-China regional maritime transport cooperation framework agreement as well to pursue the proposal to explore the possibility of concluding an ASEAN-China regional passenger and cargo air services arrangement. These agreements will provide greater impetus and dynamism into the development of international ocean shipping industry and air services liberalization in this region that also reinforces the establishment of an ASEAN-China free trade area.

We welcomed the establishment of the ASEAN STOM + China Maritime Consultative Group as the cooperative platform to work out and recommend the details of the initiative concerning the ASEAN-China maritime transport agreement, as well as to discuss the relevant projects and activities to advance cooperation in maritime safety and security. China will host the first ASEAN STOM + China Maritime Consultative Group meeting in Shanghai in the second quarter of 2005.

We are pleased with the substantive progress on the ASEAN–China transport cooperation since the Second ATM + China meeting. In particular, the ASEAN-China transport cooperation which began two years ago has contributed towards strengthening infrastructure linkages and enhancing cross border movement of goods and people between the two sides. Some of these joint cooperation projects and activities include:

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(b)

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(d)

Construction of Lao PDR section of Kunming-Bangkok Highway funded by US$ 30 million from the Chinese government which started early this year and is due for completion by June 2006;

Navigation Channel Improvement Project on the upper Mekong River which was completed in April 2004. The project was jointly executed by China, Lao PDR, Myanmar and Thailand with Chinese funding of US$ 5 million;

The pre-feasibility study of the missing link of the Trans-Asian Railway inside Cambodia, with US$ 1 million financial assistance from China;

Ongoing Negotiations on Annexes/ Protocols of the GMS Agreement for the Facilitation of Cross-Border Transport of Goods and People, whose first stage was concluded in Phnom Penh in late April 2004 and part of second stage to be concluded in Lao PDR next month; and

Joint Media Statement of the ThirdASEAN and China Transport Ministers Meeting

Phnom Penh, Cambodia, 24 November 2004


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List of Ministers

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We looked forward to the implementation of the following activities starting in 2005;

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(c)

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We agreed to seek additional financial and technical assistance from international organizations to support transport infrastructure development projects and to promote transport facilitation in the region.

We thanked the Royal Government of Cambodia for excellent organization of the Meeting and agreed to hold our Fourth ATM + China Meeting in Lao PDR in 2005.

H.E. Pehin Dato Haji Zakaria Sulaiman, Minister of Communications, Brunei Darussalam;

H.E. Mr. Sun Chanthol, Minister of Public Works and Transport, Cambodia;

H.E. Mr. Zhang Chunxian, Minister of Communications, China;

H.E. Mr. M.Hatta Rajasa, Minister of Communications, Indonesia;

H.E. Mr. Sommad Pholsena, Deputy Minister of Communication, Transport, Post and Construction, Lao PDR;

H.E. Dato’Sri Chan Kong Choy, Minister of Transport ,Malaysia;

H.E. Maj. Gen. Thein Swe, Minister of Transport, Myanmar

H.E. Mr. Arturo T. Valdez, Undersecretary (Deputy Minister) for Transportation, Philippines;

H.E. Mr. Yeo Cheow Tong, Minister for Transport, Singapore;

H.E. Mr. Nikorn Chamnong, Deputy Minister of Transport, Thailand;

Port Management and Marketing Workshop for ASEAN High-level Officials and Managers in Dalian in August/September 2004; the ASEAN-China Workshop on Ships’ Ballast Water Management in Beijing in September 2004 and the China-Philippines Joint Table-Top Search and Rescue Exercise Project in Beijing and Manila separately this year.

Development Study for the Inland Waterway Improvement Project in Cambodia, Laos, Myanmar and Viet Nam;

China’s scholarship for two ASEAN officials each year, to study one-year master’s degree course in World Maritime University Branch in Dalian;

China Drill on Search and Rescue at Sea to be held in Shanghai in July 2005, followed by a China Workshop on Compensation for Oil Pollution Caused by Ship;

China Workshop on Management of Seafarers in response to ILO’s Consolidated Maritime Labor Convention for adoption in 2006, the implementation of the IMO International Ship and Port Facility Security (ISPS) Code, and International Convention on Standards of Training, Certification and Watch-keeping for Seafarers (STCW) as amended; and

Workshop on the Regulation Techniques of Inland Waterways for ASEAN High-level Officials and Technical Personnel in 2005.

ASEAN-China Documents Series 1991-2005ASEAN-China Documents Series 1991-2005174

(xi)

(xii)

H.E. Mr. Nguyen Tien Sam, Vice Minister of Transport, Viet Nam; and

H.E. Mr. Ong Keng Yong, ASEAN Secretary-General.

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ASEAN-China Documents Series 1991-2005 ASEAN-China Documents Series 1991-2005 175

The Governments of the Member Countries of the Association of Southeast Asian Nations (ASEAN) and the Government of the People’s Republic of China (hereinafter referred to collectively as “the Parties” or individually as “a Party”);

RECALLING the initiative for strengthening the ASEAN-China transport cooperation put forward by the People’s Republic of China at the Fourth ASEAN-China Summit held in Singapore in November 2000;

STRESSING that the areas of cooperation under this Memorandum of Understanding shall be complementary to the activities carried out in other ASEAN-China fora;

REAFFIRMING the Framework Agreement on the Comprehensive Economic Cooperation Agreement between the Association of Southeast Asian Nations and the People’s Republic of China signed on 4 November 2002 in Phnom Penh, Cambodia, aimed at strengthening and enhancing economic, trade and investment cooperation as well as in the liberalization of trade in goods and services;

RECALLING also the proposal to establish the ASEAN-China Transport Ministers Meeting mechanism made by the People’s Republic of China at the Fifth ASEAN-China Summit held in November 2001 in Brunei Darussalam, so as to strengthen communication and coordination, and promote the cooperation in the transport sector between the Parties;

NOTING the common consensus reached on furthering the ASEAN-China transport cooperation at the First ASEAN-China Transport Ministers Meeting held in Jakarta, Indonesia on 19 September 2002;

RECOGNIZING that advancing the ASEAN-China transport cooperation relations in a holistic manner is in the best mutual interest of the Parties;

IN THE SPIRIT of laying solid foundations for lasting partnership and cooperation in the transport sector;

HAVE AGREED AS FOLLOWS:

ARTICLE IOBJECTIVE

On the basis of equality, mutual benefit and reciprocity, the Parties shall cooperate in the transport sector within their respective purview and in accordance with their respective applicable national laws and regulations, and where applicable, international treaties and conventions to which the Parties are parties to.

Memorandum of Undestanding Betweenthe Governments of the Member Countries of

the Association of Southeast Asian Nations and the Government of the People’s Republic of China on

Transport Cooperation

Vientiane, Lao PDR, 27 November 2004


ARTICLE IIAREAS OF COOPERATION

The Parties shall promote the following areas for medium and long-term cooperation:

1.

2.

3.

TRANSPORT INFRASTRUCTURE CONSTRUCTION. Considering that the Parties share the interest in undertaking economic and technical cooperation in the construction of transport infrastructure, the Parties shall actively cooperate in the following areas:

a)

b)

c)

d)

e)

f)

TRANSPORT FACILITATION. The Parties shall strengthen cooperation in different modes of transport and develop a network of road, water, railway and air services to facilitate transportation to meet the future development demands of the ASEAN-China free trade area. Cooperation may include, but shall not be limited to, the following areas:

a)

b)

c)

MARITIME SAFETY AND SECURITY. The Parties shall establish consultative mechanism, in consultation with rel-evant ASEAN fora, to discuss, identify and implement mutually beneficial projects in the following areas:

a)

b)

c)

Planning, designing, construction and maintenance of road, bridge and tunnel or underpass improvement projects;

Planning, designing and construction of sea and inland river port projects;

Planning, river regulation and maintenance of navigation channels;

Planning, designing, construction and maintenance of railways;

Planning, designing and construction of civil airports; investment in and financing for the construction of civil airports; and

Organizing forums and trade exhibitions of transport infrastructure construction in China and in the ASEAN Member Countries (including road, bridge and tunnel projects, metro-related projects, intelligent transport systems and other projects), to facilitate mutual participation in the ASEAN-China transport infrastructure projects.

Intensifying efforts towards concluding a regional maritime transport cooperation framework to facilitate ASEAN-China trade with due recognition of the existing shipping agreements between China and the relevant ASEAN Member Countries;

Developing the shipping industry in the Lancang-Mekong River and other international rivers through consultations among the riparian countries; and

Facilitating international land transport on the basis of harmonizing the technical standards of infrastructure and facilities required by the Asian Highway Network, and the Trans-Asian Railway Network and the Greater Mekong Subregion (GMS) Agreement for the Facilitation of Cross-Border Transport of Goods and People.

Maritime Safety. The Parties shall cooperate in the implementation of relevant International Maritime Organization (IMO) conventions on safety of navigation at sea, to which the Parties are parties to;

Search and Rescue at Sea. The Parties shall cooperate on search and rescue at sea in accordance with national laws and regulations and international laws;

Marine Environmental Protection Against Pollution. The Parties shall undertake cooperation within the IMO


4.

5.

6.

d)

e)

AIR TRANSPORT. The Parties shall cooperate in the following areas:

a)

b)

c)

HUMAN RESOURCES DEVELOPMENT. The Parties shall cooperate in holding of workshops or seminars on subjects of common interest in the transport sector. Subjects may cover, but shall not be limited to, the following areas:

a)

b)

c)

d)

e)

f)

g)

h)

INFORMATION EXCHANGE. The Parties shall cooperate in the exchange of information on transport infrastructure and industry developments to facilitate ASEAN-China transport services. The information may cover, but shall not be

framework on the management of ship’s ballast water and marine environmental protection against pollution from ships;

Port State Control. The Parties shall undertake closer cooperation on port state control, in line with the Tokyo Memorandum of Understanding on Port State Control in the Asia-Pacific Region signed on 1 December 1993 and 11 April 1994, in so far as the respective Parties are parties thereto; and

Maritime Security. The Parties shall cooperate by exchanging information and sharing of experiences on the implementation of the IMO International Ship and Port Facility Security (ISPS) Code, in so far as it binds the respective Parties.

Air Services Arrangements. The Parties shall actively expand the air services arrangements and connectivity either on a bilateral, regional or sub-regional basis, to support and facilitate the traffic and movement of passengers and cargo to increase the trade and economy of ASEAN and China;

Airline Cooperation. The Parties shall promote cooperative arrangements between or among designated national airlines, including the utilization of resources and business management; and

Investigation on Aircraft Accidents and Incidents. The Parties shall cooperate to exchange information on air safety (major occurrences and aircraft accidents) and provide mutual assistance in the use of air safety investigation facilities and equipment, with a view to sharing information on flight safety and expertise on accident investigation.

Port management;

Maritime transport security;

Techniques on navigation channel regulation;

Maritime and inland waterways safety administration;

Management on ship’s ballast water;

Personnel training on planning, designing, construction, maintenance and management of roads, bridges and tunnels or underpasses;

Personnel training on planning, designing, construction, maintenance and management of railways; and

Personnel training on planning, construction, and management of civil airports; safety management for air service; aircraft maintenance, repairing and overhaul; air traffic control; airworthiness; special techniques on incident and accident investigation; certification of aircraft operation; apron movement control, fire fighting and aviation security; and training in the licensing and certification for pilots, and training in international civil aviation laws.


ARTICLE IIIIMPLEMENTATION

ARTICLE IVPROTECTION OF INTELLECTUAL PROPERTY RIGHTS

7.

1.

2.

3.

4.

1.

2.

limited to, the following areas:

a)

b)

c)

d)

e)

f)

g)

h)

OTHER AREAS OF COOPERATION. The Parties shall, with mutual consent, also cooperate in any other areas of the transport sector.

The Ministry of Communications of the People’s Republic of China and the ASEAN Secretariat shall be the agencies responsible for the identification, coordination, implementation and monitoring of projects and activities conducted pursuant to this Memorandum of Understanding.

The identification, implementation, monitoring and appraisal of the joint cooperation projects and activities shall be undertaken through the ASEAN-China Senior Transport Officials Meeting, for final consideration and approval by the ASEAN-China Transport Ministers Meeting.

Working groups or ad-hoc expert task forces may be formed, as appropriate, to expedite the implementation of specific areas of cooperation under this Memorandum of Understanding.

The specific tasks, obligations and conditions relating to the cooperative activities under this Memorandum of Understanding, including the responsibility for cost payment, shall be discussed and agreed to by the relevant Parties prior to the implementation of such activities, and be subject to the availability of funds and technical personnel of the Parties.

The Parties undertake to protect intellectual property rights according to their respective national laws and regulations, and where applicable, to the international agreements to which the Parties are parties to.

The names, special marks or official logos or emblems of any of the Parties shall not be used in any publication or document without the prior written consent of the Party concerned.

Transport development policies, laws and regulations;

Technical standards and specifications on railways, roads, bridges and tunnels;

Technical standards and specifications on ports and navigation channels;

Facilitation measures on international land transport;

Facilitation measures on international shipping;

Information on existing port dues and charges;

Regulations on seafarers going ashore; and

Laws and regulations, policies and standards in the field of civil aviation, including but not limited to, construction, management and operation of civil airports; safety management systems of airport and aircraft operators, and notification and investigation of aircraft accidents and incidents.


ARTICLE VCONFIDENTIALITY

Any confidential information, document or data received pursuant to this Memorandum of Understanding shall not be disclosed or distributed to any third party, except to the extent authorized in written form to do so by the Party providing the information, document or data.

ARTICLE VIAMENDMENT

A Party may request in writing any amendment of all or any part of this Memorandum of Understanding. Such amendment shall be mutually agreed upon in written form by the Parties and shall form an integral part of this Memorandum of Understanding. Such amendment shall enter into force on such date as agreed upon in writing by the Parties.

ARTICLE VIISETTLEMENT OF DISPUTES

Any dispute or differences arising out of the interpretation or implementation or application of the provisions of this Memorandum of Understanding shall be settled amicably through consultation or negotiation between the Parties.

ARTICLE VIIIENTRY INTO FORCE, DURATION AND TERMINATION

IN WITNESS WHEREOF, the undersigned, duly authorized by the respective Governments of the ASEAN Member Countries and the People’s Republic of China, have signed this Memorandum of Understanding.

DONE in duplicate at Vientiane, Lao PDR on this 27th day of November 2004, in the English and Chinese languages. Both texts are equally authentic. In case of any discrepancy in interpretation, the English text shall prevail.

1.

2.

3.

This Memorandum of Understanding shall enter into force on the date of signature and remain in force for an initial period of five (5) years. It shall be extended for successive periods of five (5) years thereafter, unless either Party provides thirty (30) days’ advance notice in writing to the other Party of its intention for the termination.

For purposes of the termination of this Memorandum of Understanding, official notification shall be communicated to the Ministry of Foreign Affairs of the People’s Republic of China or the ASEAN Secretariat.

The termination of this Memorandum of Understanding shall not affect any project or activity already undertaken under this Memorandum of Understanding, which has not been completed, unless the Parties agree otherwise in writing.

For the Governments of the Member Countries of the Association of Southeast Asian Nations



ZHANG CHUNXIANMinister of Communications

...............................................


Pursuant to the Joint Declaration of the Heads of State/Government of the Association of South East Asian Nations and the People’s Republic of China on Strategic Partnership for Peace and Prosperity signed at the Seventh ASEAN-China Summit on 8 October 2003 in Bali, Indonesia, this Plan of Action is formulated to serve as the “master plan” to deepen and broaden ASEAN-China relations and cooperation in a comprehensive and mutually beneficial manner for the next five years (2005-2010) with the view to strengthening the strategic partnership for regional peace, development and prosperity and playing a proactive role to tap the opportunities and meet the challenges of the new millennium.

This Plan of Action will also support the implementation of the Declaration of ASEAN Concord II, signed in Bali on 7 October 2003, leading to an ASEAN Community.

In the light of the above, ASEAN and China will pursue the following joint actions and measures:

1. POLITICAL AND SECURITY COOPERATION

1.1

1.2

Regular High-level Contacts, Visits and Interactions

1.1.1

Mechanisms for Dialogue and Cooperation

1.2.1

1.2.2

1.2.3

1.2.4

Increase regular high-level bilateral visits and interactions, improve contacts and communications, and promote dialogue on ASEAN-China cooperation and regional and international topics of common interests and concerns, among others, through strengthening existing mechanisms, establishing hotline for communications, using electronic mail for dissemination of information and correspondence, and holding informal meetings to exchange views on various issues.

Strengthen the role of the ASEAN-China Senior Officials Consultation (SOC) in assisting the ASEAN-China Summit and the ASEAN-China Ministerial Meeting in providing guidance and strategic direction to further enhance ASEAN-China dialogue relations and cooperation;

Enhance the role of the ASEAN-China Joint Cooperation Committee Meeting (JCC), ASEAN-China Working Group on Development Cooperation, and the Senior Economic Officials-Ministry of Commerce of China (SEOM-MOFCOM) Consultations in monitoring, coordinating, and reviewing ASEAN-China dialogue relations, including development cooperation;

Improve coordination and communication among existing ASEAN-China mechanisms at various levels and sectors, including foreign affairs, economics, transport, customs, youth, and prosecutors-general to ensure timely and effective implementation of decisions and initiatives taken at the ASEAN-China Summit and other related ministerial and senior officials’ meetings;

Explore, if and when necessary and based on mutual consensus, the need for additional mechanisms at appropriate levels in other areas of cooperation such as agriculture, public health, information technology, tourism, environment, quality supervision inspection and quarantine cooperation, public security and law enforcement cooperation; and

Plan of Action to Implement the Joint Declaration on ASEAN-China Strategic Partnership for

Peace and Prosperity



1.3

1.4

1.5

1.6

1.2.5

Treaty of Amity and Cooperation in Southeast Asia

1.3.1

1.3.2

Protocol to the Treaty on the Southeast Asia Nuclear Weapon-Free Zone

1.4.1

1.4.2

Declaration on the Conduct of Parties in the South China Sea

1.5.1

1.5.2

1.5.3

1.5.4

1.5.5

1.5.6

1.5.7

Cooperation in the Field of Non-traditional Security

1.6.1

Facilitate dialogue, exchanges and cooperation between defence officials of China and ASEAN Member Countries, where appropriate.

Continue to promote the role of the Treaty of Amity and Cooperation in Southeast Asia as a code of conduct for inter-state relations in Southeast Asia; and

Cooperate to urge other ASEAN Dialogue Partners to accede to the Treaty so as to enhance regional peace and security, prosperity, and mutual confidence and trust.

China supports ASEAN’s efforts towards realising a Southeast Asia Nuclear- Weapon Free Zone (SEANWFZ) and reaffirms its readiness to sign the Protocol to the SEANWFZ Treaty at an early opportunity; and

Cooperate in encouraging all the Nuclear Weapon States to sign the Protocol.

Implement in an effective way the Declaration on the Conduct of Parties (DoC) in the South China Sea to maintain regional stability and promote cooperation in the South China Sea;

Convene regular ASEAN-China Senior Officials Meeting (SOM) on the realisation of the DoC to provide guidance for and review the implementation of the DoC;

Establish a working group to draw up the guidelines for the implementation of the DoC and to provide recommendations to the ASEAN-China SOM on policy and implementation issues;

Promote joint cooperation and dialogue in areas such as marine scientific research, protection of the marine environment, safety of navigation and communication at sea, search and rescue operation, humane treatment of all persons in danger or distress, fight against transnational crimes as well as cooperation among military officials;

Promote trust and confidence building through cooperative activities, in accordance with the principles of the DoC, in particular, those of consultations and consensus among the concerned Parties in the South China Sea, pending the peaceful settlement of the territorial and jurisdictional issues as stated in the DoC;

Affirm the vision of the DoC state parties to work, on the basis of consensus, on the eventual adoption of a code of conduct in the South China Sea; and

Adhere to the terminologies used in the UN Convention on the Law of the Sea and other instruments of the International Maritime Organisation.

Implement measures and activities agreed upon under the Joint Declaration of ASEAN and China Cooperation in the Field of Non-traditional Security Issues signed on 4 November 2002 in Phnom Penh and the ASEAN-China Memorandum of Understanding (MoU) on Cooperation in the Field of Non-traditional Security Issues signed on 10 January 2004 in Bangkok;


2.

1.7

ECONOMIC COOPERATION

2.1

1.6.2

1.6.3

1.6.4

1.6.5

1.6.6

1.6.7

1.6.8

1.6.9

Military Exchanges and Cooperation

1.7.1

1.7.2

1.7.3

1.7.4

1.7.5

ASEAN-China Free Trade Area

2.1.1

Jointly develop the 2005 Work Plan and subsequent annual work plans to implement the ASEAN-China Memorandum of Understanding on Cooperation in the Field of Non-Traditional Security Issues focusing on substantive activities and projects of mutual interests;

Enhance cooperation in the fight against transnational crimes through existing mechanisms such as the ASEAN Senior Officials Meeting on Transnational Crime and China Consultation, ASEAN-China Cooperative Operations in Response to Dangerous Drugs (ACCORD), ASEAN Plus Three Ministerial Meeting on Transnational Crime and the ASEAN Plus Three Senior Officials Meeting on Transnational Crime;

Promote contacts and cooperation between law enforcement agencies and prosecution bodies on criminal justice and relevant legal systems;

Increase personnel exchanges, training programmes and seminars to share best practices and experiences on procedures and law enforcement for concluding bilateral and multilateral agreements on counter-terrorism, illicit drug trafficking, trafficking in persons, illegal migration, sea piracy, and international economic crimes, and to enhance competence in criminal technology, forensic sciences, immigration, road transport management, and investigation into cyber crimes;

Explore cooperation, where appropriate and in accordance with their national law, in intelligence-sharing, investigation and evidence-collection, arresting and escorting criminal suspects and retrieving stolen goods or money;

Promote Alternative Development (AD) as an effective means to prevent and eliminate illicit drugs;

Support joint research between experts and scholars in the field of non-traditional security issues; and

Initiate and support development projects that aim at eradicating poverty and socio-economic disparity and injustices as well as promoting the elevation of standard of living, in particular, of underprivileged groups and people in underdeveloped areas; as transnational crime and terrorism cannot be successfully eliminated without identifying, addressing and eradicating the root causes in order to prevent new recruits to criminal syndicates and terrorist entities.

Promote mutual confidence and trust in defence and military fields with a view to maintaining peace and stability in the region;

Conduct dialogues, consultations and seminars on security and defence issues;

Strengthen cooperation on military personnel training;

Consider observing each other’s military exercises and explore the possibility of conducting bilateral or multilateral joint military exercises; and

Explore and enhance cooperation in the field of peacekeeping.

Expedite the implementation of the ASEAN-China Framework Agreement on Comprehensive Economic Cooperation


2.2

2.3

2.1.2

2.1.3

2.2.4

2.2.5

Investment Cooperation

2.2.1

2.2.2

2.2.3

2.2.4

2.2.5

Financial Cooperation

2.3.1

2.3.2

2.3.3

2.3.4

2.3.5

2.3.6

to liberalise and promote trade in goods and services and create a transparent, liberal and facilitative investment regime;

Fulfil obligations and commitments under the Early Harvest Programme and the ASEAN-China Trade in Goods Agreement and expedite negotiations on Trade in Services and Investment;

Enhance trade, investment and economic cooperation as well as upgrade technical cooperation;

Establish channels of communication with all the stake holders, such as government officials, chamber of commerce and industry, research institutions, think-tanks, etc., for the successful implementation of the Framework Agreement on ASEAN-China Comprehensive Economic Cooperation; and

Strengthen the economic and technical cooperation in the areas of agriculture, information and communication technology, human resource development, investment, Mekong River basin development, Brunei-Indonesia-Malaysia-Philippines East ASEAN Growth Area (BIMP-EAGA), and other areas of mutual interest so as to reach the goal of common development and prosperity of China and ASEAN.

Promote mutual investments by increasing exchanges and mutual understanding among investment authorities, including the private sectors in ASEAN Member Countries and China;

Promote networking and cooperation among governments, business associations, academic institutions and corporations, among others, through promotion fairs on investment policies in China and ASEAN Member Countries and by holding regular ASEAN-China Exposition in Nanning, China, and if or when appropriate in ASEAN;

Promote mutual understanding and cooperation among enterprises in ASEAN Member Countries and China, among others, through the chambers of commerce, the ASEAN-China Business and Investment Summit and the ASEAN-China Business Council;

Encourage enterprises in China to make ASEAN a priority investment destination and vice versa, and create a more conducive and attractive climate for the flow of such investments; and

Strengthen the law enforcement and regulations so as to provide favourable conditions for investments.

Strengthen economic review and policy dialogue through the ASEAN Plus Three framework, including the development of early warning system and monitoring of short-term capital flows;

Promote closer financial cooperation and greater financial stability in ASEAN Plus Three countries;

Promote dialogues on macro-economic and financial policies in appropriate fora;

Enhance the effectiveness of the Chiang Mai Initiative;

Develop and deepen regional bond markets;

Promote regional financial and monetary integration;


2.4

2.5

2.3.7

2.3.8

Agricultural Cooperation

2.4.1

2.4.2

2.4.3

2.4.4

2.4.5

2.4.6

2.4.7

2.4.8

2.4.9

2.4.10

2.4.11

2.4.12

2.4.13

ICT Cooperation

2.5.1

Strengthen human resource development and capacity building in banking and financial sectors, particularly under the ASEAN Plus Three cooperation; and

Enhance cooperation and technical assistance to develop ASEAN-China capital markets.

Continue implementing the MoU between the ASEAN Secretariat and the Ministry of Agriculture of the People’s Republic of China signed on 2 November 2002 in Phnom Penh;

Enhance cooperation on human resources development through training courses, including on agricultural techniques and management;

Establish technology demonstration farms, including the establishment of technology demonstration zones;

Undertake hi-tech exchanges and promote cooperation in various key areas of mutual interest such as hybrid rice and corn, horticultural plants cultivation, bio-technology application, fertiliser, water management, post harvest technology, food security, aquaculture, livestock breeding, organic farming and marsh gas application in the rural areas;

Support economic and trade cooperation through training, seminars, exhibitions, shows and project demonstrations to promote the trade of farm tools, processing machinery and techniques and equipment, agricultural production materials, grains and improved species;

Enhance technical exchanges and cooperation among agricultural experts and agriculture-related enterprises for study, observation, and training in agriculture, fisheries and agriculture-related fields;

Improve agricultural productivity and diversification;

Promote Greater Mekong Sub-region (GMS) agricultural exchanges and development among GMS member countries, in cooperation with the Asian Development Bank (ADB);

Enhance trade and marketability of food, agriculture and forestry products/ commodities between ASEAN and China;

Enhance cooperation to adopt joint approaches, where appropriate, in international and regional issues pertaining to agriculture;

Promote sustainable management of forest resources through enhancing dialogue and cooperation;

Harmonise related protocols on food safety and organise a network of food laboratories in ASEAN and China; and

Build the capacity of farmers and farming community in ICT in ASEAN and China.

Expedite the implementation of the MoU between ASEAN and China on Cooperation in Information and Communications Technology signed in October 2003 in Bali, Indonesia;


2.6

2.7

2.5.2

2.5.3

2.5.4

2.5.5

2.5.6

2.5.7

2.5.8

Transport Cooperation

2.6.1

2.6.2

2.6.3

2.6.4

2.6.5

2.6.6

Tourism Cooperation

2.7.1

2.7.2

2.7.3

Promote the establishment and development of ASEAN-China broadband high-speed optical fibre network and information flow and the application of new technology in the region;

Promote HRD cooperation through various training courses, seminars, workshops as well as exchange of visits among ICT experts;

Establish the ASEAN-China ICT cooperation website;

Explore the possibility of convening ASEAN-China ICT Ministers’ Meeting to foster ICT policy dialogues and cooperation;

Convene “ASEAN-China ICT Week” on a regular basis to promote ICT cooperation;

Formulate cooperative and emergency response procedures for purposes of maintaining and enhancing cyber security, and preventing and combating cybercrime; and

Strengthen cooperation in research and development and transfer of technology.

Conclude MoU between ASEAN-China on Transport Cooperation and implement the measures and activities contained in the MoU;

Formalise a consultation mechanism for maritime transport cooperation under the ASEAN-China Transport Ministers’ Meeting in close coordination with other related ASEAN fora and carry out mutually beneficial projects in such areas as maritime safety and security, search and rescue at sea, marine environmental protection against pollution from ships, ship ballast water management, port state control and international shipping;

Work towards developing and signing a ASEAN-China regional maritime transport cooperation framework agreement;

Support the development of the Asian Highway Network by taking measures such as establishing routes databases, harmonising technical standards of infrastructure and facilities and facilitating international land transport;

Complete Kunming-Bangkok highway by the end of 2007; and

Strengthen capacity building in port management, navigation channel technology, transportation infrastructure design and construction and other areas of common interest in the transport sector.

Explore the possibility of establishing a high-level cooperation mechanism between relevant tourism authorities;

Promote better understanding of each other’s tourism industry, policies, laws and regulations, among others, through workshops, exhibitions, and shows;

Promote and strengthen tourism information exchange and cooperation on regulating tourism markets among national tourism organisations covering areas such as tourism products, policies, laws and regulations;


2.8

2.9

2.7.4

2.7.5

2.7.6

2.7.7

2.7.8

2.7.9

2.7.10

Energy Cooperation

2.8.1

2.8.2

2.8.3

2.8.4

2.8.5

2.8.6

2.8.7

Mekong River Basin Development Cooperation

2.9.1

2.9.2

Encourage flows of tourists and attract more foreign visitors through joint promotion campaigns;

Promote networking and training programmes among ASEAN and China tourism schools and colleges;

Jointly formulate tourism development plans incorporating joint promotion, marketing, investment and human resource development;

Support the organisation and implementation of ASEAN tourism investment road shows and seminars;

Encourage each other participation in International Tourism Fair in China and the annual ASEAN Tourism Forum;

Enhance cooperation on rectifying tourism business operators and standardising outbound travels and border tours; and

Encourage participation in the capacity-building activities provided by the World Tourism Organization (WTO).

Explore the possibility of establishing a high-level cooperation mechanism between relevant energy authorities;

Strengthen policy exchanges and communication with a view to promoting greater openness, transparency, and cooperation in energy security and sustainable energy development activities;

Enhance cooperation in the development and production of renewable energy, energy efficiency and conservation, clean coal technology and energy policy and planning, as well as in the establishment of institutional linkages for developing other programs of cooperation;

Strengthen energy cooperation and encourage greater private-sector participation and investment in joint energy resource exploration and development;

Cooperate in the promotion of energy conservation and the development of clean and efficient energy resources in efforts to diversify sources of primary energy supply while preserving a balance between energy production, consumption and environmental protection;

Establish a sound and commercially viable regional energy transportation network through mutually beneficial activities and investments including the exploration and production of oil and natural gas, development of gas pipeline and transport infrastructure, and other supply facilities; and

Encourage exchange of information on energy pricing and market stabilising initiatives to better manage the risks of international oil market volatility, on voluntary basis.

Strengthen cooperation under the framework of the Greater Mekong Sub-region (GMS) and ASEAN-Mekong Basin Development Cooperation (AMBDC); and

Develop the Singapore-Kunming Rail Link.


2.9.1.1

2.9.1.2

2.9.1.3

2.9.1.4

2.9.1.5

Transportation

3.9.1.1.1

2.9.1.1.2

2.9.1.1.3

2.9.1.1.4

2.9.1.1.5

2.9.1.1.6

2.9.1.1.7

ICT

2.9.1.2.1

2.9.1.2.2

Trade

2.9.1.3.1

2.9.1.3.2

Tourism

2.9.1.4.1

Electrification

2.9.1.5.1

2.9.1.5.2

Build railways and roads from Kunming to Yangon and Myitikyina;

Improve the roads from China’s Yunnan province to Viet Nam and the railway links between China and Viet Nam;

Carry out possibility study of building railway links from China to Laos and Myanmar;

Consider implementing measures to improve navigational safety on the Lancang-Mekong River in a sustainable manner through consultations among the riparian countries, while undertaking to preserve the environment and unique way of life of the people who live along the river;

Consider the further expansion of the Environmental Impact Assessment of the navigation channel improvement project on the upper Mekong River, and share information with the lower Basin countries;

Consider the possibility to open more aviation routes in the sub-region at an appropriate time; and

Carry out preliminary study on the missing rail link between Phnom Penh and Loc Ninh, the missing section in Cambodia which is part of the Singapore-Kunming Rail Link.

Promote international cooperation in terms of investment and human resources development on ICT; and

Explore the possibility of establishing a GMS information highway.

Launch the experimental project of one stop inspection under the Agreement for Facilitation of Cross Border Movement of Goods and People between and among GMS Countries whose modalities are subject to consultation and consensus among countries concerned so as to facilitate trade; and

Explore the possibility study of setting up commodity markets in major border cities and other distribution centres in ASEAN and China.

Explore the possibility of establishing a regional tourism corridor with a view to making tourism a key industry in the region.

Implement the GMS Inter-Governmental Agreement on Regional Power Trade (IGA) and speed up the formulation of Sub-region Power Trade Operating Agreement (PTOA);

Promote GMS transnational electric power networking conducive to environmental and social well-being; and


2.9.1.6

2.9.1.7

2.9.2

2.10

2.9.1.5.3

Environmental Protection

2.9.1.6.1

2.9.1.6.2

2.9.1.6.3

2.9.1.6.4

2.9.1.6.5

2.9.1.6.6

2.9.1.6.7

Public Health

2.9.1.7.1

2.9.1.7.2

2.9.1.7.3

Other Sub-regional Initiatives

2.9.2.1

Initiative for ASEAN Integration

2.10.1

2.10.2

Enhance cooperation on rural electrification.

Enhance cooperation on the protection of bio-diversity in the sub-region and explore the possibility of establishing a bio-diversity corridor;

Promote forestation in Lancang-Mekong River basin and Honghe River basin to bring soil erosion under control;

Work towards managing and monitoring water quality of Mekong river;

Establish nature reserves to protect rare species, among others, through the mechanism of the relevant environmental instruments, such as the ASEAN Agreement on Transboundary Haze Pollution and the ASEAN Declaration on Heritage Parks;

Continue to protect the environment and promote sustainable use including the equitable access and benefit sharing of the sub-region’s shared natural resources and their biodiversity;

Promote exchange of information and strengthen cooperation concerning the use of water in the Lancang-Mekong River, with a view to achieve sustainable development of all riparian countries; and

Promote cooperative activities to address global warming.

Establish an integrated prevention and control system for communicable and non-communicable diseases;

Promote Alternative Development (AD) to check drug production and distribution; and

Strengthen cooperation to prevent production and spread of counterfeit drugs.

Support other sub-regional development initiatives and welcome Ayeyawady-Chao Phraya-Mekong Economic Cooperation Strategy (ACMECS) as further means to narrow the development gap.

China will intensify support for the ASEAN’s integration efforts by implementing Initiative for ASEAN Integration (IAI) projects and providing technical assistance for projects developed to implement the Vientiane Action Programme (VAP) and other related ASEAN action programmes, including human resource development and capacity building for the least developing countries (LDC) of ASEAN and pockets of underdevelopment in the ASEAN-6 countries; and

China will support ASEAN’s efforts to narrowing the development gaps within ASEAN and between ASEAN and China by enhancing regional and sub-regional development.


3.

2.11

2.12

2.13

FUNCTIONAL COOPERATION

3.1

Brunei-Indonesia-Malaysia-Philippines East ASEAN Growth Area (BIMP-EAGA)

2.11.1

2.11.2

2.11.3

2.11.4

2.11.5

2.11.6

SMEs Cooperation

2.12.1

2.12.2

2.12.3

Industrial Cooperation

2.13.1

Public Health Cooperation

3.1.1

3.1.2

Explore the possibility of establishing a regular dialogue between BIMP-EAGA Secretariat and China;

Strengthen cooperation in the priority sectors identified for BIMP-EAGA development, namely SMEs, agriculture, transport, infrastructure and ICT, natural resources, and tourism;

Cooperate in resource development through direct investment, project-contracting and technology-sharing;

Increase dialogue between the East Asian Business Council (EABC) and relevant associations in China (i.e., China Council for the Promotion of International Trade, its quasi-government business chamber), apart from government-to-government dialogue, to strengthen coordination and synergise links among the private sectors of China and EAGA;

Promote and support the efforts of the BIMP-EAGA and the East Asian Business Council to expand mutual trade and investments between BIMP-EAGA and China; and

Provide opportunities for possible technical and capital assistance for BIMP-EAGA programs and projects.

Explore the possibility of establishing a SMEs Joint Committee to discuss issues and promote cooperation related to SMEs;

Jointly identify possible areas of cooperation, including promotion of business collaboration, investment and finance, and marketing development, capacity building for SMEs, business matching, and exchange of information on SMEs policies and best practices through seminars, workshops, networking, research and development for SMEs, and promotion of industrial clustering between SMEs of both sides; and

Promote programmes for enhancing ASEAN Small and Medium Enterprise and Industries’ capacity, technology, financing, business opportunities and market access.

Strengthen cooperation in HRD and exchange of experience in the formulation of plans and models of local industries.

Establish regional epidemiological and laboratory networks based on existing national and regional institutions and designate key epidemiological centres and laboratories for disease monitoring to ensure effective and efficient disease surveillance and response;

Enhance regional, and inter-regional cooperation in order to jointly control and prevent communicable and non-communicable diseases;


3.2

3.3

3.1.3

3.1.4

3.1.5

3.1.6

3.1.7

3.1.8

3.1.9

3.1.10

Science and Technology Cooperation

3.2.1

3.2.2

3.2.3

3.2.4

3.2.5

3.2.6

Education Cooperation

3.3.1

3.3.2

Establish mechanisms on early notification, control and monitoring of infectious and emerging diseases such as, but not limited to, SARS, avian flu, plague, cholera and HIV/AIDS;

Strengthen technology exchanges and training activities and health human resources development through seminars and the establishment of training bases;

Exchange experts, knowledge and best practices for the establishment of communicable diseases monitoring systems;

Consider the establishment of a cooperation mechanism on health quarantine;

Establish joint testing and control mechanism for the prevention of transnational transport of bio-terrorist factors as well as nuclear and radioactive materials for non-peaceful activities;

Enhance regional, inter-regional cooperation to jointly resolve and prevent immediate public health problems and other infectious diseases;

Exchange experts for promotion and development of traditional and alternative medicines; and

Promote exchange of information in incorporating traditional medicine/ complimentary and alternative medicine (TM/CAM) into national healthcare system

Strengthen cooperation in implementing HRD and joint research and development activities in the areas identified by the ASEAN-China Joint Science and Technology Committee (JSTC), including biotechnology, remote sensing, seismology, food, marine science, non-conventional energy and materials science and technology, and other new areas which are mutually beneficial;

Implement joint scientific research and technology development activities among research institutions in ASEAN and China in the areas identified by the JSTC;

Organise various scientific workshops and seminars in China, specifically for CLMV countries or other ASEAN countries, which are technologically less developed on applicable technologies;

Strengthen cooperation among technology-oriented SMEs of ASEAN and China;

Organise exhibition on technological innovation by China-ASEAN SMEs during China-ASEAN Expo; and

Explore cooperation in space technology applications and meteorology.

Continue to implement the ASEAN-China Academic Cooperation and Exchange Programme between ASEAN University Network (AUN) and Chinese Ministry of Education (CME);

Carry out joint research and training and exchange outstanding professors, teachers and students with the ASEAN University Network (AUN) as the platform;


3.4

3.3.3

3.3.4

3.3.5

3.3.6

3.3.7

3.3.8

3.3.9

3.3.10

Culture Cooperation

3.4.1

3.4.2

3.4.3

3.4.4

3.4.5

3.4.6

3.4.7

3.4.8

3.4.9

Promote teaching of each other’s language in China and ASEAN Member Countries and encourage more students to study in each other’s universities;

Encourage and support inter-collegiate exchanges and cooperation;

Promote mutual recognition of academic degrees among interested universities in ASEAN and China;

Facilitate the establishment of a directly linked university website between China Education and Research Network (CERNET) and AUN;

Consider establishing a civil servant training and exchange mechanism between China and ASEAN countries, including diplomats training;

Continue to provide additional scholarships for short and long-terms to ASEAN Member Countries, especially to the less developing countries;

Encourage participation in educational exhibition or road shows between ASEAN and China universities to create awareness and disseminate information about the universities in the respective countries; and

Facilitate visa procedure for Chinese students and faculties who travel to ASEAN Member Countries for academic purposes and vice versa.

Expedite the formulating of implementation plans after the signing of the ASEAN-China MOU on Cultural Cooperation;

Conduct active exchanges and cooperation in literature, the performing arts, visual arts, art education and cultural industry;

Encourage and support cooperation between departments of historical relics, archaeology and cultural heritage preservation, museums, archives, libraries, and cultural institutes;

Strengthen coordination and communication between and among cultural departments of national governments and encourage non-governmental cultural and art groups to engage in multilateral cultural exchanges;

Step up cooperation to explore market for cultural products and vigorously develop cultural industry;

Support each other on hosting high-profile cultural and art events;

Jointly preserve and promote national traditional festivals;

Encourage and support sports exchanges and cooperation; and

Promote socio-culture cooperation by commencing the development of SMCE and sharing experiences in the field of socio-culture on theme “One Village One product” and in the field of Development of Cultural Mapping.


3.5

3.6

3.7

Labour and Social Security Cooperation

3.5.1

3.5.2

3.5.3

3.5.4

Human Resources Development (HRD) Cooperation

3.6.1

3.6.2

3.6.3

Local Government Cooperation and People-to-People Exchanges

3.7.1

3.7.1.1

3.7.1.2

3.7.1.3

3.7.2

3.7.2.1

3.7.3

3.7.31

3.7.32

3.7.33

Exchange information, through seminars or workshops, on labour market promotion with a view to formulating policies and regulations on labour flow in the future;

Exchange information and share experiences on labour laws and regulations with a view to promoting and enhancing the labour standards and the well-being of workers from ASEAN and China;

Strengthen exchanges and cooperation in human resources development with China’s assistance to ASEAN for training courses, study-tours and seminars; and

Strengthen cooperation in the development of social security systems with China’s support in providing professional training for social insurance personnel from ASEAN Member Countries.

Continue the promotion of HRD cooperation through the implementation of HRD programmes benefiting participants from both sides;

Strengthen HRD cooperation in the five priority areas under the ASEAN-China cooperation and other new and emerging areas of cooperation in ASEAN, among others, through training courses, study tours and seminars; and

Encourage private sector participation in the human resource development process.

Exchanges Between Local Governments

Facilitate provinces/cities to become sister provinces/cities and to encourage governors and mayors to conduct dialogue and exchanges;

Hold experience-sharing meetings and seminars for local governments in urban planning, administration and external cooperation through, among others, the ASEAN Environmentally Sustainable Cities Programme; and

Support local governments’ participation in the multilateral cooperation activities.

Non-governmental Exchanges and People-to-People Interaction

Explore the possibility of establishing exchanges and cooperation through the China-ASEAN Association and other non-governmental friendship institutions in various fields.

Youth Exchanges

Exchange volunteers in medical service and language teaching;

Continue the Lancang-Mekong River Youth Friendship Voyage;

Explore the possibility of establishing a ASEAN-China Young Entrepreneurs Forum;


3.8

3.9

3.7.34

3.7.35

3.7.36

3.7.37

3.7.38

Environmental Cooperation

3.8.1

3.8.2

3.8.3

3.8.4

3.8.5

Media Cooperation

3.9.1

3.9.2

3.9.3

3.9.4

3.9.5

3.9.6

Organise activities, such as ASEAN-China Youth Festival of Culture and Arts and ASEAN-China Youth Leadership Exchange Programme and support other cultural immersion programmes, including the existing annual ASEAN Youth Camps, and other activities for young leaders, outstanding youths and future leaders;

Establish link between the Youth ASEAN and All China Youth Federation websites;

Implement ASEAN-China Exchange Programmes for Young Managers and Entrepreneurs;

Consider organising annually ASEAN-China Young Leaders Forum to address topics such as economy, trade, human resource development, information and communication technology, education, environmental protection, agriculture and volunteers services; and

Consider holding ASEAN Young Leaders’ Advanced Study class on a regular basis starting from September 2005 at the Guangxi International Young Exchange Institute of China.

Strengthen existing ministerial and senior officials consultations (ASEAN Plus Three Environment Ministerial Meetings and ASEAN Plus Three Senior Officials Meetings on the Environment) to implement identified-priority and potential areas of cooperation;

Convene, if necessary, a ASEAN-China Ministerial Meeting on Environment for policy dialogue, and establish a ASEAN-China joint committee for environmental protection to formulate work plans;

Strengthen cooperation in the ten agreed priority areas of cooperation under the ASEAN Plus Three cooperation;

Promote exchanges and cooperation between non-governmental environmental organisations and the general public; and

Explore the establishment of an ASEAN-China Environment Information Network.

Explore the possibility of setting up a press officials’ dialogue mechanism for communication and exchange on news reporting and media policies;

Continue to implement the ASEAN-China Seminar on Mass Media Cooperation and share the experience of the development of media industry as well as promote media cooperation;

Co-host film and TV festivals in ASEAN and China;

Promote mutual visits and exchanges of journalists and strengthen cooperation in news reporting, press interviews and production of TV programmes;

Cooperate in making films and production of TV programmes, and promote exchanges of programmes;

Facilitate market access of audio-visual products through dialogue and consultations;


COOPERATION IN INTERNATIONAL AND REGIONAL FORA4.

4.1

4.2

4.3

3.9.7

3.9.8

3.9.9

East Asia Cooperation

4.1.1

4.1.2

4.1.3

4.1.4

Inter-regional Cooperation

4.2.1

4.2.2

4.2.3

4.2.4

Cooperation in the UN

4.3.1

4.3.2

Undertake personnel training for the technicians and professionals in the TV and broadcasting sectors of ASEAN countries;

Advance and reinforce a positive international image of ASEAN and China relations supportive of the interests, policies, programmes and goals of both ASEAN and China through responsible news reporting; and

Establish a workshop on Enhancing ASEAN-China Cooperation through Information and Media.

Strengthen East Asia cooperation by implementing the short-term, and medium and long-term measures of the East Asia Study Group (EASG) and enhancing functional cooperation in the various agreed sectors within the ASEAN Plus Three framework;

Carry out a joint study on the establishment of an East Asian community and the feasibility of an East Asia Free Trade Area within the ASEAN Plus Three framework;

Strengthen coordination and cooperation between ASEAN and China to further the ASEAN Plus Three process; and

Cooperate in promoting the interests and addressing the challenges facing ASEAN Plus Three Countries and East Asia through fora such as the ASEAN Plus Three Summit, East Asia Forum, Network of East Asia Think Tanks, and other related meetings, including the proposed East Asia Summit.

Maintain close coordination and cooperation in the ARF and promote its healthy development. China supports ASEAN as the major driving force in ARF and its efforts to advance the ARF process at a pace comfortable to all;

Promote the ACD process through cooperation on energy, agriculture, finance as well as other fields;

Promote coordination and cooperation in fora such as APEC and the Asia-Europe Meeting; and

Promote South-South cooperation through mechanisms such as Forum of East Asia and Latin America Cooperation (FEALAC) and Asia-Africa Sub-Regional Organisation Conference (AASROC).

Strengthen dialogue and cooperation on issues of mutual interest, such as UN reforms, counter-terrorism, development and other issues; and

Enhance closer coordination and hold regular meetings between the Permanent Representatives of ASEAN Member Countries and China in the UN.


FUNDING

INSTITUTIONAL ARRANGEMENTS

5.

6.

4.4

5.1

5.2

5.3

5.4

6.1

6.2

6.3

Cooperation within the World Trade Organisation (WTO)

4.4.1

4.4.2

4.4.3

4.4.4

4.4.5

4.4.6

The activities mentioned in this Plan of Action will mainly be funded by ASEAN-China Cooperation Fund (ACCF) while cooperation in public health will be funded by the ASEAN-China Public Health Cooperation Fund. Where possible, physical infrastructure and related projects will be supported by the Government of China to the best of its capacity, and where feasible, by the Governments of ASEAN Member Countries.

The Chinese Government will contribute US$ 5 million to the ACCF for five years (2005-2010) to implement the various activities and projects under this Plan of Action. If necessary, China will consider replenishing the ACCF to ensure smooth implementation of activities and projects under this Plan;

ASEAN and China will encourage international financial institutions/ agencies, development partners and their respective private sectors to participate in the implementation of major projects of interest to them under this Plan of Action; and

ASEAN and China will continue to strengthen existing funding mechanisms and look into providing requisite resources in accordance with their respective capacities as well as explore effective and innovative resource mobilisation strategies for mobilising resources for the effective implementation of this Plan.

Concerned sectoral bodies in ASEAN and agencies in China will jointly draw up specific work programmes/projects to implement the various actions and measures outlined in this Plan of Action with the assistance of the ASEAN Secretariat. Experts from ASEAN and China could be invited, on a case-by-case basis, to develop specific work programmes and project proposals;

China will provide technical support to the ASEAN Secretariat in coordinating and implementing this Plan;

Regular review of this Plan will be conducted through existing mechanisms, such as the ASEAN-China Ministerial

Make efforts to push for the completion of the negotiations on the Doha Development Agenda (DDA) with a view to achieving a well balanced and equitable outcome as stipulated in the July 2004 package;

Make the existing Special and Differential Treatment (S&D) as well as Less-than-Full-Reciprocity principle more precise, effective and operational to provide opportunity for developing members to participate more actively and enable them to derive benefit from trade liberalisation;

Support and work towards expanding technical assistance and help on capacity-building for developing countries;

Strengthen cooperation in the multilateral trading system, especially the WTO, to make it more responsive to the priorities of the developing countries;

Effectively address particular concerns of developing and less developed members through specific flexibility provision; and

Support the accession of Laos and Viet Nam to the WTO at the earliest possible time.


6.4

...............................................

Meeting, ASEAN-China SOC, ASEAN-China JCC, SEOM-MOFCOM Consultations, ASEAN-China Working Group on Development Cooperation to ensure the Plan remains relevant to the needs and priorities of the ASEAN-China dialogue relations and to incorporate new and urgent areas of cooperation given the dynamic regional and international environment; and

Upon completion of this Plan, the ASEAN-China JCC with the assistance of the SEOM-MOFCOM Consultations and under the supervision of the ASEAN-China SOC will prepare a new five-year Plan of Action for the consideration and adoption of the ASEAN-China Summit through the ASEAN-China Ministerial Meeting.


The Governments of Brunei Darussalam, the Kingdom of Cambodia, the Republic of Indonesia, the Lao People’s Democratic Republic (“Lao PDR”), Malaysia, the Union of Myanmar, the Republic of the Philippines, the Republic of Singapore, the Kingdom of Thailand and the Socialist Republic of Viet Nam, Member States of the Association of Southeast Asian Nations (collectively, “ASEAN” or “ASEAN Member States”, or individually, “ASEAN Member State”), and the People’s Republic of China (“China”);

RECALLING the Framework Agreement on Comprehensive Economic Co-operation (“the Framework Agreement”) between ASEAN and China (collectively, “the Parties”, or individually referring to an ASEAN Member State or to China as a “Party”) signed by the Heads of Government/State of ASEAN Member States and China in Phnom Penh, Cambodia on the 4th day of November 2002 and the Protocol to Amend the Framework Agreement on Comprehensive Economic Co-operation on the Early Harvest Programme signed by the Economic Ministers of the Parties in Bali, Indonesia on the 6th day of October 2003;

RECALLING further Articles 2(a), 3(1) and 8(1) of the Framework Agreement, which reflect the Parties’ commitment to establish the ASEAN-China Free Trade Area (ACFTA) covering trade in goods by 2010 for ASEAN 6 and China and by 2015 for the newer ASEAN Member States;

REAFFIRMING the Parties’ commitment to establish the ASEAN-China Free Trade Area within the specified timeframes, while allowing flexibility to the Parties to address their sensitive areas as provided in the Framework Agreement,

HAVE AGREED AS FOLLOWS:ARTICLE 1Definitions

For the purposes of this Agreement, the following definitions shall apply unless the context otherwise requires:

(a)

(b)

(c)

(d)

(e)

“WTO” means the World Trade Organization;

“the GATT 1994” means the General Agreement on Tariffs and Trade 1994, including Annex I (Notes and Supplementary Provisions);

“ASEAN 6” refers to Brunei Darussalam, Indonesia, Malaysia, the Philippines, Singapore and Thailand;

“newer ASEAN Member States” refers to Cambodia, Lao PDR, Myanmar and Viet Nam;

“applied MFN tariff rates” shall include in-quota rates, and shall:

(i) in the case of ASEAN Member States (which are WTO members as of 1 July 2003) and China, refer to their respective applied rates as of 1 July 2003; and

Agreement on Trade in Goods of the Framework Agreement on Comprehensive Economic Cooperation between

the Association of Southeast Asian Nations and the People’s Republic of China



ARTICLE 2National Treatment on Internal Taxation and Regulation

Each Party shall accord national treatment to the products of all the other Parties covered by this Agreement and the Framework Agreement in accordance with Article III of the GATT 1994. To this end, the provisions of Article III of the GATT 1994 shall, mutatis mutandis, be incorporated into and form an integral part of this Agreement.

ARTICLE 3Tariff Reduction and Elimination

1.

2.

ARTICLE 4Transparency

Article X of the GATT 1994 shall, mutatis mutandis, be incorporated into and form an integral part of this Agreement.

ARTICLE 5Rules of Origin

The Rules of Origin and the Operational Certification Procedures applicable to the products covered under this Agreement and the Early Harvest Programme of the Framework Agreement are set out in Annex 3 of this Agreement.

(f)

(g)

(h)

(i)

The tariff reduction or elimination programme of the Parties shall require the applied MFN tariff rates on listed tariff lines to be gradually reduced and where applicable, eliminated, in accordance with this Article. The tariff lines which are subject to the tariff reduction or elimination programme under this Agreement shall include all tariff lines not covered by the Early Harvest Programme under Article 6 of the Framework Agreement, and such tariff lines shall be categorised for tariff reduction and elimination as follows:

(a)

(b)

Subject to Annex 1 and Annex 2 of this Agreement, all commitments undertaken by each Party under this Article shall be applied to all the other Parties.

(ii)

“non-tariff measures” shall include non-tariff barriers;

“AEM” means ASEAN Economic Ministers;

“MOFCOM” means Ministry of Commerce of China;

“SEOM” means ASEAN Senior Economic Officials Meeting.

Normal Track: Tariff lines placed in the Normal Track by each Party on its own accord shall have their respective applied MFN tariff rates gradually reduced and eliminated in accordance with the modalities set out in Annex 1 of this Agreement with the objective of achieving the targets prescribed in the thresholds therein.

Sensitive Track: Tariff lines placed in the Sensitive Track by each Party on its own accord shall have their respective applied MFN tariff rates reduced or eliminated in accordance with the modalities set out in Annex 2 of this Agreement.

in the case of ASEAN Member States (which are non-WTO members as of 1 July 2003), refer to the rates as applied to China as of 1 July 2003;


ARTICLE 6Modification of Concessions

1.

2.

ARTICLE 7WTO Disciplines

1.

2.

ARTICLE 8Quantitative Restrictions and Non-Tariff Barriers

1.

2.

3.

ARTICLE 9Safeguard Measures

1.

2.

3.

Any Party to this Agreement may, by negotiation and agreement with any Party to which it has made a concession under this Agreement, modify or withdraw such concession made under this Agreement.

In such negotiations and agreement, which may include provision for compensatory adjustment with respect to other products, the Parties concerned shall maintain a general level of reciprocal and mutually advantageous concessions not less favourable to trade than that provided for in this Agreement prior to such negotiations and agreement.

Subject to the provisions of this Agreement and any future agreements as may be agreed pursuant to reviews of this Agreement by the Parties under Article 17 of this Agreement, the Parties* hereby agree and reaffirm their commitments to abide by the provisions of the WTO disciplines on, among others, non-tariff measures, technical barriers to trade, sanitary and phytosanitary measures, subsidies and countervailing measures, anti-dumping measures and intellectual property rights.

The provisions of the WTO Multilateral Agreements on Trade in Goods, which are not specifically mentioned in or modified by this Agreement, shall apply, mutatis mutandis, to this Agreement unless the context otherwise requires.

Each Party undertakes not to maintain any quantitative restrictions at any time unless otherwise permitted under the WTO disciplines.*

The Parties shall identify non-tariff barriers (other than quantitative restrictions) for elimination as soon as possible after the entry into force of this Agreement. The time frame for elimination of these non-tariff barriers shall be mutually agreed upon by all Parties.

The Parties shall make information on their respective quantitative restrictions available and accessible upon implementation of this Agreement.

Each Party, which is a WTO member, retains its rights and obligations under Article XIX of the GATT 1994 and the WTO Agreement on Safeguards.

With regard to ACFTA safeguard measures, a Party shall have the right to initiate such a measure on a product within the transition period for that product. The transition period for a product shall begin from the date of entry into force of this Agreement and end five years from the date of completion of tariff elimination/reduction for that product.

A Party shall be free to take ACFTA safeguard measures if as an effect of the obligations incurred by that Party, including tariff concessions under the Early Harvest Programme of the Framework Agreement or this Agreement, or, if as a result of unforeseen developments and of the effects of the obligations incurred by that Party, including tariff concessions under the Early Harvest Programme of the Framework Agreement or this Agreement, imports of any particular product from the other Parties increase in such quantities, absolute or relative to domestic production, and under such conditions so as to cause or threaten to

* Non-WTO members of ASEAN shall abide by the WTO provisions in accordance with their accession commitments to the WTO*.* Non-WTO members of ASEAN shall phase out their quantitative restrictions 3 years [Viet Nam: 4 years] from the date of entry into force of this Agreement or in accordance with their accession commitments to the WTO, whichever is earlier.


4.

5.

6.

7.

8.

9.

10.

11.

12.

ARTICLE 10Acceleration of Commitments

Nothing in this Agreement shall preclude the Parties from negotiating and entering into arrangements to accelerate the implementation of commitments made under this Agreement, provided that such arrangements are mutually agreed to and implemented by all the Parties.

ARTICLE 11Measures to Safeguard the Balance of Payments

Where a Party is in serious balance of payments and external financial difficulties or threat thereof, it may, in accordance with the GATT 1994 and the Understanding on Balance-of-Payments Provisions of the GATT 1994, adopt restrictive import measures.

cause serious injury to the domestic industry of the importing Party that produces like or directly competitive products.

If an ACFTA safeguard measure is taken, a Party taking such a measure may increase the tariff rate applicable to the product concerned to the WTO MFN tariff rate applied to such product at the time when the measure is taken.

Any ACFTA safeguard measure may be maintained for an initial period of up to 3 years and may be extended for a period not exceeding 1 year. Notwithstanding the duration of an ACFTA safeguard measure on a product, such measure shall terminate at the end of the transition period for that product.

In applying ACFTA safeguard measures, the Parties shall adopt the rules for the application of safeguard measures as provided under the WTO Agreement on Safeguards, with the exception of the quantitative restriction measures set out in Article 5, and Articles 9, 13 and 14 of the WTO Agreement on Safeguards. As such, all other provisions of the WTO Agreement on Safeguards shall, mutatis mutandis, be incorporated into and form an integral part of this Agreement.

An ACFTA safeguard measure shall not be applied against a product originating in a Party, so long as its share of imports of the product concerned in the importing Party does not exceed 3% of the total imports from the Parties.

In seeking compensation under Article 8 of the WTO Agreement on Safeguards for an ACFTA safeguard measure, the Parties shall seek the good offices of the body referred to in paragraph 12 to determine the substantially equivalent level of concessions prior to any suspension of equivalent concessions. Any proceedings arising from such good offices shall be completed within 90 days from the date on which the ACFTA safeguard measure was applied.

On a Party’s termination of an ACFTA safeguard measure on a product, the tariff rate for that product shall be the rate that, according to that Party’s tariff reduction and elimination schedule, as provided in Annex 1 and Annex 2 of this Agreement, would have been in effect commencing on 1 January of the year in which the safeguard measure is terminated.

All official communications and documentations exchanged among the Parties and to the body referred to in paragraph 12 relating to any ACFTA safeguard measures shall be in writing and shall be in the English language.

When applying ACFTA safeguard measures, a Party shall not have simultaneous recourse to the WTO safeguard measures referred to in paragraph 1.

For the purpose of this Article, any reference to “Council for Trade in Goods” or the “Committee on Safeguards” in the incorporated provisions of the WTO Agreement on Safeguards shall, pending the establishment of a permanent body under paragraph 1 of Article 16, refer to the AEM-MOFCOM, or the SEOM-MOFCOM, as appropriate, which shall be replaced by the permanent body once it is established.


ARTICLE 12General Exceptions

Subject to the requirement that such measures are not applied in a manner which would constitute a means of arbitrary or unjustifiable discrimination between the Parties where the same conditions prevail, or a disguised restriction on international trade, nothing in this Agreement shall be construed to prevent the adoption or enforcement by a Party of measures:

ARTICLE 13Security Exceptions

Nothing in this Agreement shall be construed:

(a)

(b)

(c)

(d)

(e)

(f)

(g)

(h)

(i)

(j)

(a)

(b)

necessary to protect public morals;

necessary to protect human, animal or plant life or health;

relating to the importations or exportations of gold or silver;

necessary to secure compliance with laws or regulations which are not inconsistent with the provisions of this Agreement, including those relating to customs enforcement, the enforcement of monopolies operated under paragraph 4 of Article II and Article XVII of the GATT 1994, the protection of patents, trade marks and copyrights, and the prevention of deceptive practices;

relating to the products of prison labour;

imposed for the protection of national treasures of artistic, historic or archaeological value;

relating to the conservation of exhaustible natural resources if such measures are made effective in conjunction with restrictions on domestic production or consumption;

undertaken in pursuance of obligations under any intergovernmental commodity agreement which conforms to criteria submitted to the WTO and not disapproved by it or which is itself so submitted and not so disapproved;

involving restrictions on exports of domestic materials necessary to ensure essential quantities of such materials to a domestic processing industry during periods when the domestic price of such materials is held below the world price as part of a governmental stabilization plan; Provided that such restrictions shall not operate to increase the exports of or the protection afforded to such domestic industry, and shall not depart from the provisions of this Agreement relating to non-discrimination;

essential to the acquisition or distribution of products in general or local short supply; Provided that any such measures shall be consistent with the principle that all Parties are entitled to an equitable share of the international supply of such products, and that any such measures, which are inconsistent with the other provisions of this Agreement shall be discontinued as soon as the conditions giving rise to them have ceased to exist.

to require any Party to furnish any information the disclosure of which it considers contrary to its essential security interests;

to prevent any Party from taking any action which it considers necessary for the protection of its essential security interests, including but not limited to:


ARTICLE 14Recognition of China’s Market Economy Status

Each of the ten ASEAN Member States agrees to recognise China as a full market economy and shall not apply, from the date of the signature of this Agreement, Sections 15 and 16 of the Protocol of Accession of the People’s Republic of China to the WTO and Paragraph 242 of the Report of the Working Party on the Accession of China to WTO in relation to the trade between China and each of the ten ASEAN Member States.

ARTICLE 15State, Regional and Local Government

In fulfilling its obligations and commitments under this Agreement, each Party shall ensure their observance by regional and local governments and authorities in its territory as well as their observance by non-governmental bodies (in the exercise of powers delegated by central, state, regional or local governments or authorities) within its territory.

ARTICLE 16Institutional Arrangements

1.

2.

3.

ARTICLE 17Review

1.

(c)

Pending the establishment of a permanent body, the AEM-MOFCOM, supported and assisted by the SEOM-MOFCOM, shall oversee, supervise, coordinate and review the implementation of this Agreement.

The ASEAN Secretariat shall monitor and report to the SEOM-MOFCOM on the implementation of this Agreement. All Parties shall cooperate with the ASEAN Secretariat in the performance of its duties.

Each Party shall designate a contact point to facilitate communications between the Parties on any matter covered by this Agreement. On the request of a Party, the contact point of the requested Party shall identify the office or official responsible for the matter and assist in facilitating communication with the requesting Party.

The AEM-MOFCOM or their designated representatives shall meet within a year of the date of entry into force of this Agreement and then biennially or otherwise as appropriate to review this Agreement for the purpose of considering further measures to liberalise trade in goods as well as develop disciplines and negotiate agreements on matters referred to in Article 7 of this Agreement or any other relevant matters as may be agreed.

(i)

(ii)

(iii)

(iv)

to prevent any Party from taking any action in pursuance of its obligations under the United Nations Charter for the maintenance of international peace and security.

action relating to fissionable materials or the materials from which they are derived;

action relating to the traffic in arms, ammunition and implements of war and to such traffic in other goods and materials as is carried on directly or indirectly for the purpose of supplying a military establishment;

action taken so as to protect critical communications infrastructure from deliberate attempts intended to disable or degrade such infrastructure;

action taken in time of war or other emergency in domestic or international relations; or


2.

ARTICLE 18Annexes and Future Instruments

This Agreement shall include:

ARTICLE 19Amendments

This Agreement may be amended by the mutual written consent of the Parties.

ARTICLE 20Miscellaneous Provisions

Except as otherwise provided in this Agreement, this Agreement or any action taken under it shall not affect or nullify the rights and obligations of a Party under existing agreements to which it is a party.

ARTICLE 21Dispute Settlement

The Agreement on Dispute Settlement Mechanism between ASEAN and China shall apply to this Agreement.

ARTICLE 22Depositary

For the ASEAN Member States, this Agreement shall be deposited with the Secretary-General of ASEAN, who shall promptly furnish a certified copy thereof, to each ASEAN Member State.

ARTICLE 23Entry Into Force

1.

2.

3.

4.

The Parties shall, taking into account their respective experience in the implementation of this Agreement, review the Sensitive Track in 2008 with a view to improving the market access condition of sensitive products, including the further possible reduction of the number of products in the Sensitive Track and the conditions governing the reciprocal tariff rate treatment of products placed by a Party in the Sensitive Track.

(a)

(b)

This Agreement shall enter into force on 1 January 2005.

The Parties undertake to complete their internal procedures for the entry into force of this Agreement prior to 1 January 2005.

Where a Party is unable to complete its internal procedures for the entry into force of this Agreement by 1 January 2005, the rights and obligations of that Party under this Agreement shall commence on the date of the completion of such internal procedures.

A Party shall upon the completion of its internal procedures for the entry into force of this Agreement notify all the other Parties in writing.

the Annexes and the contents therein which shall form an integral part of this Agreement: and

all future legal instruments agreed pursuant to this Agreement.


IN WITNESS WHEREOF, the undersigned being duly authorised by their respective Governments, have signed this Agreement on Trade in Goods of the Framework Agreement on Comprehensive Economic Co-operation between the Association of Southeast Asian Nations and the People’s Republic of China.DONE at, Vientiane, Lao PDR this Twenty Ninth Day of November in the Year Two Thousand and Four, in duplicate copies in the English Language.


PEHIN DATO ABDUL RAHMAN TAIBMinister of Industry and Primary Resources


CHAM PRASIDHSenior Minister and Minister of Commerce


MARI ELKA PANGESTUMinister of Trade


SOULIVONG DARAVONGMinister of Commerce

For Malaysia

RAFIDAH AZIZMinister of International Trade and Industry


BO XILAIMinister of Commerce



SOE THAMinister of National Planning and

Economic Development


CESAR V. PURISIMASecretary of Trade and Industry


LIM HNG KIANGMinister for Trade and Industry


WATANA MUANGSOOKMinister of Commerce

For the Socialist Republic of Viet Nam

TRUONG DINH TUYENMinister of Trade

...............................................


The Governments of Brunei Darussalam, the Kingdom of Cambodia, the Republic of Indonesia, the Lao People’s Democratic Republic (“Lao PDR”), Malaysia, the Union of Myanmar, the Republic of the Philippines, the Republic of Singapore, the Kingdom of Thailand and the Socialist Republic of Viet Nam, Member States of the Association of Southeast Asian Nations (“ASEAN”) and the People’s Republic of China (“China”), (collectively, “the Parties”, or individually referring to an ASEAN Member State or to China as a “Party”);

RECALLING the Framework Agreement on Comprehensive Economic Co-operation (“the Framework Agreement”) between ASEAN and China signed by the Heads of Government/State of ASEAN Member States and China in Phnom Penh on the 4th day of November 2002;

RECALLING paragraph 1 of Article 11 of the Framework Agreement on the establishment of appropriate formal dispute settlement procedures and mechanism for the purposes of the Framework Agreement within 1 year after the date of entry into force of the Framework Agreement;

Have agreed as follows:

ARTICLE 1Definitions

For the purposes of this Agreement, the following definitions shall apply unless the context otherwise requires:

ARTICLE 2Scope and Coverage

1.

(a)

(b)

(c)

(d)

(e)

This Agreement shall apply to disputes arising under the Framework Agreement which shall also include the Annexes and the contents therein. Hereinafter, any reference to the Framework Agreement shall include all future legal instruments

All the definitions in the Framework Agreement shall apply to this Agreement;

“days” means calendar days, including weekends and holidays;

“parties to a dispute”, “parties to the dispute”, or “parties concerned”, means the complaining party and the party complained against;

“complaining party” means any party or parties that requests for consultations under Article 4; and

“party complained against” means any party to which the request for consultations is made under Article 4.

Agreement on Dispute Settlement Mechanism of the Framework Agreement on Comprehensive

Economic Cooperation Between the Association of Southeast Asian Nations and

the People’s Republic of China



2.

3.

4.

5.

6.

7.

8.

ARTICLE 3Liaison Office

1.

2.

1.

agreed pursuant to it unless where the context otherwise provides.

Any special or additional rules and procedures on dispute settlement contained in the Framework Agreement may be

listed administratively by the ASEAN Secretariat as an Appendix to this Agreement with the consent of the Parties.Unless otherwise provided for in this Agreement or in the Framework Agreement, or as the Parties may otherwise agree, the provisions of this Agreement shall apply with respect to the avoidance or settlement of disputes between or among the Parties concerning their respective rights and obligations under the Framework Agreement.

The provisions of this Agreement may be invoked in respect of measures affecting the observance of the Framework Agreement taken by central, regional or local governments or authorities within the territory of a Party.

Subject to paragraph 6, nothing in this Agreement shall prejudice any right of the Parties to have recourse to dispute settlement procedures available under any other treaty to which they are parties.

Once dispute settlement proceedings have been initiated under this Agreement or under any other treaty to which the parties to a dispute are parties concerning a particular right or obligation of such parties arising under the Framework Agreement or that other treaty, the forum selected by the complaining party shall be used to the exclusion of any other for such dispute.

Paragraphs 5 and 6 above shall not apply where the parties to a dispute expressly agree to the use of more than one dispute settlement forum in respect of that particular dispute.

For the purposes of paragraphs 5 to 7, the complaining party shall be deemed to have selected a forum when it has requested the establishment of, or referred a dispute to, a dispute settlement panel or tribunal in accordance with this Agreement or any other agreement to which the parties to a dispute are parties.

For the purpose of this Agreement, each Party shall:

(a)

(b)

(c)

Unless otherwise provided in this Agreement, the submission of any request or document under this Agreement to the designated office of any Party shall be deemed to be the submission of that request or document to that Party.

ARTICLE 4Consultations

A party complained against shall accord due consideration and adequate opportunity for consultations regarding a request for consultations made by a complaining party with respect to any matter affecting the implementation or application of the Framework Agreement whereby:

designate an office that shall be responsible for all liaison affairs referred to in this Agreement;

be responsible for the operation and costs of its designated office; and

notify the other Parties of the location and address of its designated office within 30 days after the completion of its internal procedures for the entry into force of this Agreement.


2.

3.

4.

5.

6.

7.

8.

ARTICLE 5Conciliation or Mediation

1.

(a)

(b)

Any request for consultations shall be submitted in writing, which shall include the specific measures at issue, and the factual and legal basis (including the provisions of the Framework Agreement alleged to have been breached and any other relevant provisions) of the complaint. The complaining party shall send the request to the party complained against and the rest of the Parties. Upon receipt, the party complained against shall acknowledge receipt of such request to the complaining party and the rest of the Parties simultaneously.

If a request for consultations is made, the party complained against shall reply to the request within 7 days after the date of its receipt and shall enter into consultations in good faith within a period of not more than 30 days after the date of receipt of the request, with a view to reaching a mutually satisfactory solution. If the party complained against does not respond within the aforesaid 7 days, or does not enter into consultations within the aforesaid 30 days, then the complaining party may proceed directly to request for the appointment of an arbitral tribunal under Article 6.

The parties to a dispute shall make every effort to reach a mutually satisfactory resolution of any matter through consultations. To this end, the parties concerned shall:

(a)

(b)

Consultations shall be confidential, and are without prejudice to the rights of any Party in any further or other proceedings.

Whenever a Party (other than the parties to a dispute) considers that it has a substantial interest in consultations being held pursuant to this Article, such Party may notify the parties to a dispute in writing of its desire to be joined in the consultations within 10 days after the date of receipt of the request for consultations by the party complained against. Such Party shall be joined in the consultations provided that the party complained against agrees that the claim of substantial interest is well founded. The party complained against shall inform the complaining party and the rest of the Parties of its decision prior to the commencement of the consultations. If the request to be joined in the consultations is not accepted, the requesting Party shall be free to request for separate consultations under this Article.

In cases of urgency, including those which concern perishable goods, the parties concerned shall enter into consultations within a period of no more than 10 days after the date of receipt of the request by the party complained against. If the consultations have failed to settle the dispute within a period of 20 days after the date of receipt of the request by the party complained against, the complaining party may proceed directly to request for the appointment of an arbitral tribunal under Article 6.

In cases of urgency, including those which concern perishable goods, the parties to a dispute and arbitral tribunals shall make every effort to accelerate the proceedings to the greatest extent possible.

The parties to a dispute may at any time agree to conciliation or mediation. They may begin at any time and be terminated by the parties concerned at any time.

any benefit accruing to the complaining party directly or indirectly under the Framework Agreement is being nullified or impaired; or,

the attainment of any objective of the Framework Agreement is being impeded, as a result of the failure of the party complained against to carry out its obligations under the Framework Agreement.1

provide sufficient information to enable a full examination of how the measure might affect the operation of the Framework Agreement; and

treat as confidential any information exchanged in the consultations which the other party concerned has designated as confidential.

1Non-violation disputes are not permitted under this Agreement.


2.

3.

ARTICLE 6Appointment of Arbitral Tribunals

1.

2.

3.

4.

5.

ARTICLE 7Composition of Arbitral Tribunals

1.

2.

If the parties to a dispute agree, conciliation or mediation proceedings may continue before any person or body as may be agreed by the parties to the dispute while the dispute proceeds for resolution before an arbitral tribunal appointed under Article 6.

Proceedings involving conciliation and mediation and positions taken by the parties to a dispute during these proceedings, shall be confidential, and without prejudice to the rights of any Party in any further or other proceedings.

If the consultations referred to in Article 4 fail to settle a dispute within 60 days after the date of receipt of the request for consultations or within 20 days after such date in cases of urgency including those which concern perishable goods, the complaining party may make a written request to the party complained against to appoint an arbitral tribunal under this Article. A copy of this request shall also be communicated to the rest of the Parties.

A request for the appointment of an arbitral tribunal shall give the reasons for the request, including the identification of:

(a)

(b)

Where more than 1 complaining party requests the appointment of an arbitral tribunal related to the same matter, a single arbitral tribunal may, whenever feasible, be appointed by the parties concerned to examine the matter, taking into account their respective rights.

Where a single arbitral tribunal is appointed under paragraph 3, it shall organize its examination and present its findings to all the parties to the dispute in such manner that the rights which they would have enjoyed had separate arbitral tribunals examined the same matter are in no way impaired. If one of the parties to the dispute so requests, the arbitral tribunal may submit separate reports on the dispute to the parties concerned if the timeframe for writing the report so permits. The written submissions by a party to the dispute shall be made available to the other parties and each party to the dispute shall have the right to be present when any of the other parties to the same dispute presents its views to the arbitral tribunal.

Where more than 1 arbitral tribunal is appointed under paragraph 3 to examine the same matter, to the greatest extent possible, the same arbitrators shall be appointed by the parties concerned to serve on each of the separate arbitral tribunals and the timetable for the proceedings of each separate arbitral tribunal shall be harmonised.

Unless otherwise provided in this Agreement or the parties to the dispute agree, the arbitral tribunal shall have three members.

The complaining party shall appoint an arbitrator to the arbitral tribunal pursuant to Article 6 within 20 days of the receipt of the request for appointment of the arbitral tribunal under Article 6. The party complained against shall appoint an arbitrator to the arbitral tribunal pursuant to Article 6 within 30 days of its receipt of the request for appointment of the arbitral tribunal under Article 6. If any party to the dispute fails to appoint an arbitrator within such period, then the arbitrator appointed by the other party to the dispute shall act as the sole arbitrator of the tribunal.

the specific measure at issue; and

the factual and legal basis (including the provisions of the Framework Agreement alleged to have been breached and any other relevant provisions) for the complaint sufficient to present the problem clearly.


3.

4.

5.

6.

7.

ARTICLE 8Functions of Arbitral Tribunals

1.

2.

3.

Once the complaining party and the party complained against have appointed their respective arbitrators subject to paragraph 2, the parties concerned shall endeavour to agree on an additional arbitrator who shall serve as chair. If the parties concerned are unable to agree on the chair of the arbitral tribunal within 30 days after the date on which the last arbitrator has been appointed under paragraph 2, they shall request the Director-General of the World Trade Organization (WTO) to appoint the chair and such appointment shall be accepted by them. In the event that the Director-General is a national of one of the parties to the dispute, the Deputy Director-General or the officer next in seniority who is not a national of either party to the dispute shall be requested to appoint the chair. If one of the parties to the dispute is a non-WTO member, the parties to the dispute shall request the President of the International Court of Justice to appoint the chair and such appointment shall be accepted by them. In the event that the President is a national of one of the parties to the dispute, the Vice President or the officer next in seniority who is not a national of either party to the dispute shall be requested to appoint the chair.

The date of composition of the arbitral tribunal shall be the date on which the chair is appointed under paragraph 3, or the 30th day after the receipt of the request under Article 6 where only a sole arbitrator of the tribunal is available.

If an arbitrator appointed under this Article resigns or becomes unable to act, a successor arbitrator shall be appointed in the same manner as prescribed for the appointment of the original arbitrator and the successor shall have all the powers and duties of the original arbitrator. The work of the arbitral tribunal shall be suspended during the appointment of the successor arbitrator.

Any person appointed as a member or chair of the arbitral tribunal shall have expertise or experience in law, international trade, other matters covered by the Framework Agreement or the resolution of disputes arising under international trade agreements, and shall be chosen strictly on the basis of objectivity, reliability, sound judgement and independence. Additionally, the chair shall not be a national of any party to a dispute and shall not have his or her usual place of residence in the territory of, nor be employed by, any party to a dispute.

Where the original arbitral tribunal is required for a matter as provided in this Agreement but cannot hear the matter for any reason, a new tribunal shall be appointed under this Article.

The function of an arbitral tribunal is to make an objective assessment of the dispute before it, including an examination of the facts of the case and the applicability of and conformity with the Framework Agreement. Where the arbitral tribunal concludes that a measure is inconsistent with a provision of the Framework Agreement, it shall recommend that the party complained against bring the measure into conformity with that provision. In addition to its recommendations, the arbitral tribunal may suggest ways in which the party complained against could implement the recommendations. In its findings and recommendations, the arbitral tribunal cannot add to or diminish the rights and obligations provided in the Framework Agreement. The arbitral tribunal shall have the following terms of reference unless the parties to a dispute agree otherwise within 20 days from its composition:

The arbitral tribunal shall address the relevant provisions in the Framework Agreement cited by the parties to a dispute.

The arbitral tribunal established pursuant to Article 6 above:

(a)

“To examine, in the light of the relevant provisions in the Framework Agreement, the matter referred to this arbitral tribunal by (name of party)… and to make findings, determinations and recommendations provided for in the Framework Agreement.”

shall consult regularly with the parties to the dispute and provide adequate opportunities for the development of a mutually satisfactory resolution;


4.

5.

6.

ARTICLE 9Proceedings of Arbitral Tribunals

1.

2.

3.

4.

5.

6.

7.

(b)

(c)

The decision of the arbitral tribunal shall be final and binding on the parties to the dispute.

An arbitral tribunal shall take its decision by consensus; provided that where an arbitral tribunal is unable to reach consensus, it may take its decision by majority opinion.

The arbitral tribunal shall, in consultation with the parties to the dispute and apart from the matters set out in paragraphs 2, 3, 4 of Article 6 and Article 9, regulate its own procedures in relation to the rights of parties to be heard and its delibera-tions.

An arbitral tribunal shall meet in closed session. The parties to the dispute shall be present at the meetings only when invited by the arbitral tribunal to appear before it.

The venue for the substantive meetings of the arbitral tribunal shall be decided by mutual agreement between the parties to the dispute, failing which the first substantive meeting shall be held in the capital of the party complained against, with the second substantive meeting to be held in the capital of the complaining party.

After consulting the parties to the dispute, the arbitral tribunal shall, as soon as practical and possible within 15 days after the composition of the arbitral tribunal, fix the timetable for the arbitral process. In determining the timetable for the arbitral process, the arbitral tribunal shall provide sufficient time for the parties to the dispute to prepare their respective submissions. The arbitral tribunal should set precise deadlines for written submissions by the parties to the dispute and they shall respect these deadlines.

The deliberations of an arbitral tribunal and the documents submitted to it shall be kept confidential. Nothing in this Article shall preclude a party to a dispute from disclosing statements of its own positions or its submissions to the public; a party to a dispute shall treat as confidential information submitted by any of the other parties concerned to the arbitral tribunal which the submitting party has designated as confidential. Where a party to a dispute submits a confidential version of its written submissions to the arbitral tribunal, it shall also, upon request of any of the other parties concerned, provide a non-confidential summary of the information contained in its submissions that could be disclosed to the public.

The rules and procedures pertaining to the proceedings before the arbitral tribunal as set out in Annex 1 of this Agreement shall apply unless the arbitral tribunal decides otherwise after consulting the parties to the dispute.

The report of the arbitral tribunal shall be drafted without the presence of the parties to the dispute in the light of the information provided and the statements made. The deliberations of the tribunal shall be confidential. Opinions expressed in the report of the arbitral tribunal by an individual arbitrator shall be anonymous.

Following the consideration of submissions, oral arguments and any information before it, the arbitral tribunal shall issue a draft report to the parties concerned, including both a descriptive section relating to the facts of the dispute and the arguments of the parties to the dispute and the arbitral tribunal’s findings and conclusions. The arbitral tribunal shall accord adequate opportunity to the parties concerned to review the entirety of its draft report prior to its finalization and shall include a discussion of any comments by the parties concerned in its final report.

shall make its decision in accordance with the Framework Agreement and the rules of international law applicable between the parties to the dispute; and

shall set out, in its decision, its findings of law and fact, together with the reasons therefore.


8.

9.

ARTICLE 10 Third Parties

1.

2.

3.

ARTICLE 11Suspension and Termination of Proceedings

1.

2.

3.

ARTICLE 12Implementation

1.

2.

The arbitral tribunal shall release to the parties to the dispute its final report within 120 days from the date of its composition. In cases of urgency, including those relating to perishable goods, the arbitral tribunal shall aim to issue its report to the parties to the dispute within 60 days from the date of its composition. When the arbitral tribunal considers that it cannot release its final report within 120 days, or within 60 days in cases of urgency, it shall inform the parties concerned in writing of the reasons for the delay together with an estimate of the period within which it will issue its report. In no case should the period from the composition of an arbitral tribunal to the release of the report to parties to the dispute exceed 180 days.

The final report of the arbitral tribunal shall become a public document within 10 days after its release to the parties concerned.

Any Party having a substantial interest in a dispute before an arbitral tribunal and having notified its interest in writing to the parties to such a dispute and the remaining Parties (hereinafter referred to as a “third party”), shall have an opportunity to make written submissions to the tribunal. These submissions shall also be given to the parties to a dispute and may be reflected in the report of the arbitral tribunal.

Third parties shall receive the submissions of the parties to a dispute to the first meeting of the arbitral tribunal.

If a third party considers that a measure already the subject of an arbitral tribunal proceedings nullifies or impairs benefits accruing to it under the Framework Agreement, such Party may have recourse to normal dispute settlement procedures under this Agreement.

Where the parties to the dispute agree, the arbitral tribunal may suspend its work at any time for a period not exceeding 12 months from the date of such agreement. Upon the request of any party to a dispute, the arbitral proceeding shall be resumed after such suspension. If the work of the arbitral tribunal has been suspended for more than 12 months, the authority for establishment of the arbitral tribunal shall lapse unless the parties concerned agree otherwise.

The parties to a dispute may agree to terminate the proceedings of an arbitral tribunal established under this Agreement before the release of the final report to them, in the event that a mutually satisfactory solution to the dispute has been found.

Before the arbitral tribunal makes its decision, it may at any stage of the proceedings propose to the parties to the dispute that the dispute be settled amicably.

The party complained against shall inform the complaining party of its intention in respect of implementation of the recommendations and rulings of the arbitral tribunal.

If it is impracticable to comply immediately with the recommendations and rulings of the arbitral tribunal, the party complained against shall have a reasonable period of time in which to do so. The reasonable period of time shall be mutually determined by the parties to the dispute or, where the parties concerned fail to agree on the reasonable period of time within 30 days of the release of the arbitral tribunal’s final report, any of the parties to the dispute may refer the


3.

ARTICLE 13Compensation and Suspension of Concessions or Benefits

1.

2.

3.

4.

5.

matter to the original arbitral tribunal wherever possible which shall, following consultations with the parties concerned, determine the reasonable period of time within 30 days after the date of the referral of the matter to it. When the arbitral tribunal considers that it cannot provide its report within this timeframe, it shall inform the parties concerned in writing of the reasons for the delay and shall submit its report no later than 45 days after the date of the referral of the matter to it.

Where there is disagreement as to the existence or consistency with the Framework Agreement of measures taken within the reasonable period of time referred to in paragraph 2 to comply with the recommendations of the arbitral tribunal, such dispute shall be referred to the original arbitral tribunal, wherever possible. The arbitral tribunal shall provide its report to the parties to the dispute within 60 days after the date of the referral of the matter to it. When the arbitral tribunal considers that it cannot provide its report within this timeframe, it shall inform the parties concerned in writing of the reasons for the delay and shall submit its report no later than 75 days after the date of the referral of the matter to it.

Compensation and the suspension of concessions or benefits are temporary measures available in the event that the recommendations and rulings are not implemented within a reasonable period of time. However, neither compensation nor the suspension of concessions or benefits is preferred to full implementation of a recommendation to bring a measure into conformity with the Framework Agreement. Compensation is voluntary and, if granted, shall be consistent with the Framework Agreement.

If the party complained against fails to bring the measure found to be inconsistent with the Framework Agreement into compliance with the recommendations of the arbitral tribunal within the reasonable period of time determined pursuant to paragraph 2 of Article 12, that party shall, if so requested, enter into negotiations with the complaining party with a view to reaching a mutually satisfactory agreement on any necessary compensatory adjustment.

If no mutually satisfactory agreement on compensation has been reached within 20 days after the request of the complaining party to enter into negotiations on compensatory adjustment, the complaining party may request the original arbitral tribunal to determine the appropriate level of any suspension of concessions or benefits conferred on the party which has failed to bring the measure found to be inconsistent with the Framework Agreement into compliance with the recommendations of the arbitral tribunal. The arbitral tribunal shall provide its report to the parties to the dispute within 30 days after the date of the referral of the matter to it. When the arbitral tribunal considers that it cannot provide its report within this timeframe, it shall inform the parties concerned in writing of the reasons for the delay and shall submit its report no later than 45 days after the date of the referral of the matter to it. Concessions or benefits shall not be suspended during the course of the arbitral proceedings.

Any suspension of concessions or benefits shall be restricted to those accruing under the Framework Agreement to the party which has failed to bring the measure found to be inconsistent with the Framework Agreement into compliance with the recommendations of the arbitral tribunal. That party and the rest of the Parties shall be informed of the commencement and details of any such suspension.

In considering what concessions or benefits to suspend:

(a)

(b)

the complaining party should first seek to suspend concessions or benefits in the same sector or sectors as that affected by the measure or other matter that the arbitral tribunal has found to be inconsistent with the Framework Agreement or to have caused nullification or impairment; and

the complaining party may suspend concessions or benefits in other sectors if it considers that it is not practicable or effective to suspend concessions or benefits in the same sector.


6.

ARTICLE 14Language

1.

2.

ARTICLE 15Expenses

1.

2.

ARTICLE 16Amendments

The provisions of this Agreement may be modified through amendments mutually agreed upon in writing by the Parties.

ARTICLE 17Depository

For ASEAN, this Agreement shall be deposited with the Secretary-General of ASEAN, who shall promptly furnish a certified copy thereof, to each ASEAN Member State.

ARTICLE 18Entry Into Force

1.

2.

3.

4.

IN WITNESS WHEREOF, the undersigned, being duly authorised thereto by their respective Governments, have signed this Agreement on Dispute Settlement Mechanism of the Framework Agreement on Comprehensive Economic Co-operation between the Association of Southeast Asian Nations and the People’s Republic of China.

The suspension of concessions or benefits shall be temporary and shall only be applied until such time as the measure found to be inconsistent with the Framework Agreement has been removed, or the Party that must implement the arbitral tribunal’s recommendations has done so, or a mutually satisfactory solution is reached.

All proceedings pursuant to this Agreement shall be conducted in the English language.

Any document submitted for use in any proceedings pursuant to this Agreement shall be in the English language. If any original document is not in the English language, a party submitting it for use in the proceedings pursuant to this Agreement shall provide an English translation of that document.

Each party to a dispute shall bear the costs of its appointed arbitrator and its own expenses and legal costs.

The costs of the chair of the arbitral tribunal and other expenses associated with the conduct of its proceedings shall be borne in equal parts by the parties to a dispute.

This Agreement shall enter into force on 1 January 2005.

The Parties undertake to complete their internal procedures for the entry into force of this Agreement prior to 1 January 2005.

Where a Party is unable to complete its internal procedures for the entry into force of this Agreement by 1 January 2005, the rights and obligations of that Party under this Agreement shall commence on the date of the completion of such internal procedures.

A Party shall upon the completion of its internal procedures for the entry into force of this Agreement notify all the other Parties in writing.


DONE at Vientiane, Lao PDR this Twenty Ninth Day of November in the Year Two Thousand and Four, in duplicate copies in the English Language.



PEHIN DATO ABDUL RAHMAN TAIBMinister of Industry and Primary Resources


CHAM PRASIDHSenior Minister and Minister of Commerce


MARI ELKA PANGESTUMinister of Trade


SOULIVONG DARAVONGMinister of Commerce


BO XILAIMinister of Commerce


For Malaysia

RAFIDAH AZIZMinister of International Trade and Industry


SOE THAMinister of National Planning and

Economic Development


CESAR V. PURISIMASecretary of Trade and Industry


LIM HNG KIANGMinister for Trade and Industry


WATANA MUANGSOOKMinister of Commerce


For the Socialist Republic of Viet Nam,

TRUONG DINH TUYENMinister of Trade

...............................................


1.

2.

3.

4.

5.

6.

7.

8.

...............................................

Before the first substantive meeting of the arbitral tribunal with the parties to the dispute, the parties concerned shall transmit to the arbitral tribunal written submissions in which they present the facts of their case and their arguments.

The complaining party shall submit its first submission in advance of the first submission of the party complained against unless the arbitral tribunal decides, in fixing the timetable referred to in paragraph 3 of Article 9 and after consultations with the parties to the dispute, that the parties concerned should submit their first submissions simultaneously. When there are sequential arrangements for the submission of first submissions, the arbitral tribunal shall establish a firm time-period for receipt of the submission of the party complained against. Any subsequent written submissions shall be submitted simultaneously.

At its first substantive meeting with the parties to the dispute, the arbitral tribunal shall ask the complaining party to present its submissions. Subsequently, and still at the same meeting, the party complained against shall be asked to present its submissions.

Formal rebuttals shall be made at the second substantive meeting of the arbitral tribunal. The party complained against shall have the right to present its submission first, and shall be followed by the complaining party. The parties to the dispute shall submit, prior to the meeting, written rebuttals to the arbitral tribunal.

The arbitral tribunal may at any time put questions to the parties to the dispute and ask them for explanations either in the course of a meeting with the parties concerned or in writing.

The parties to the dispute shall make available to the arbitral tribunal a written version of their oral statements.

In the interests of full transparency, the presentations, rebuttals and statements referred to in paragraphs 2 to 6 shall be made in the presence of the parties to the dispute. Moreover, each party’s written submissions, including any comments on the draft report, written versions of oral statements and responses to questions put by the arbitral tribunal, shall be made available to the other party. There shall be no ex parte communications with the arbitral tribunal concerning matters under its consideration.

The arbitral tribunal may consult experts to obtain their opinion on certain aspects of the matter. With respect to factual issues concerning a scientific or other technical matter raised by a party to the dispute, the arbitral tribunal may request advisory reports in writing from an expert or experts. The arbitral tribunal may, at the request of a party or parties to the dispute, or on its own volition, select, in consultation with the parties to the dispute, scientific or technical experts who shall assist the arbitral tribunal throughout its proceedings but who shall not have the right to vote in respect of any decision to be made by the arbitral tribunal.

ANNEX 1

Rules and Procedures for the Arbital Proceedings


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7.

ASEAN Leaders held a productive meeting with H.E. Wen Jiabao, Premier of the People’s Republic of China. We exchanged views on regional and international political and economic issues of common concern. We also reviewed developments in ASEAN-China relations in recent years. We acknowledged the increasingly important role China has been playing in regional and global affairs.

ASEAN Leaders commended China’s active and important role in promoting the Six-Party Talks on the nuclear issue on the Korean Peninsular. We noted with encouragement the achievement of the three rounds of the Six-Party Talks. ASEAN Leaders expressed their hope that China would continue to play an important role in the quest for a peaceful and comprehensive solution to the nuclear issue on the Korean Peninsular. We shared the view that there is a need to engage into dialogue to promote mutual confidence and common approach, and that the Six-Party Talks should be reconvened at the earliest possibility to bring about the common goal of denuclearisation on the Korean Peninsular.

We expressed our deep concern over the deteriorating situation in Iraq and agreed that the United Nations’ leading role in Iraqi post-war construction is important and relevant to the future of the Iraqi people. We are deeply concerned with the situation in the Middle East and called for a peaceful solution to end the violence in this region.

We welcomed the accession of the Republic of Korea and the Russian Federation to the Treaty of Amity and Cooperation in Southeast Asia, and encouraged other non-Southeast Asian countries to accede to the Treaty. We shared the view that efforts should be pursued to promote the Treaty as a code of conduct for inter-state relations in the region.

ASEAN Leaders reaffirmed their commitment to the One-China Policy and believed that maintaining peace and stability across Taiwan Straits conforms to the common interests of all countries in the region.

China commended ASEAN for the signing of the Vientiane Action Programme (VAP), and expressed its support to the implementation of VAP, which will contribute to the realisation of the goals in the ASEAN Vision 2020 and the Declaration of ASEAN Concord II leading to the establishment of the ASEAN Community comprising 3 main pillars, namely, the ASEAN Security Community (ASC), the ASEAN Economic Community (AEC) and the ASEAN Socio-Cultural Community (ASCC). In this connection, China welcomed the adoption of the ASC Plan of Action and the ASCC Plan of Action and expressed its support in the implementation of activities under the two Plans. China also welcomed the signing of the ASEAN Framework Agreement on the Integration of Priority Sectors and the Protocols, which will support the realisation of the AEC.

We agreed to further strengthen cooperation in the non-traditional security field through the implementation of the Joint Declaration of ASEAN and China Cooperation in the Field of Non-Traditional Security Issues signed on 4 November 2002 in Phnom Penh and the ASEAN-China Memorandum of Understanding (MOU) on Cooperation in the field of Non-traditional Security Issues signed on 10 January 2004 in Bangkok. We noted with satisfaction that the Annual Plan for 2004 to implement the MOU has been completed and that ASEAN and China will be working on the Annual Plan for 2005.

Chairman’s Statement of the 8th ASEAN + China Summit


“Deepening ASEAN-China Strategic Partnership”


8.

9.

10.

11.

12.

13.

14.

15.

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17.

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We adopted the Plan of Action to Implement the Joint Declaration of the Heads of State/Government of ASEAN and China on Strategic Partnership for Peace and Prosperity. We are confident that this Plan of Action would accelerate all-dimensional cooperation between the two sides with a view to consolidating and deepening the ASEAN-China strategic partnership. We also identified a number of priority areas, for implementation, under the Plan, which included energy cooperation, especially alternative clean energy, bio-fuels, and hydroelectric power; SMEs and industrial clustering; public health; science and technology as well as quality supervision, inspection and quarantine inspection.

We noted with satisfaction the progress in the implementation of the Framework Agreement on Comprehensive Economic Cooperation between ASEAN and China and agreed to expedite the implementation of the Early Harvest Programme and provide flexibility to the new Member Countries of ASEAN. We welcomed the signing of the Agreement on Trade in Goods and Agreement on Dispute Settlement Mechanism by the ASEAN-China Economic Ministers as part of the implementation of the Framework Agreement on Comprehensive Economic Cooperation as well as the signing of the MOU between ASEAN and China on Transport Cooperation.

We agreed to develop comprehensive frameworks for our cooperation in the five key areas, namely agriculture, information and communication technology (ICT), human resource development (HRD), Mekong Basin development and mutual investment.

ASEAN Leaders congratulated China for the successful holding of the ASEAN-China EXPO in Nanning earlier this month and welcomed China’s plan to convene an “ASEAN-China Telecommunications Week” in April 2005, in Shanghai. In the area of investment, ASEAN Leaders supported China’s project on holding a high-level Seminar on Promoting Investment by SMEs in East Asia in the second half of 2005.

The ASEAN Leaders welcomed China’s initiative to dispatch young volunteers to ASEAN countries, particularly to CLMV. In this connection, we agreed to further develop this initiative into specific projects taking into account the capabilities of Chinese young volunteers and the needs and requirements of ASEAN Member Countries, especially those of the CLMV.

The ASEAN Leaders were supportive of China’s proposal for commemorating the 15th anniversary of ASEAN-China dialogue relations and welcomed China’s intention to contribute another US$ 5 million to the ASEAN-China Cooperation Fund in 2005.

China reiterated its continued support for ASEAN’s integration through various development initiatives such as the Initiative for ASEAN Integration (IAI), ASEAN-Mekong Basin Development Cooperation (AMBDC), Brunei Darussalam-Indonesia-Malaysia-Philippines-East ASEAN Growth Area (BIMP-EAGA), and Ayeyawady-Chao Phraya-Mekong Economic Cooperation Strategy (ACMECS).

ASEAN Leaders agreed to recognise China as a full market economy and committed not to apply Section 15 and 16 of the Protocol of Accession of the People’s Republic of China to the WTO and Paragraph 242 of the Report of the Working Party on the Accession of China to WTO in relation to the trade between each of the ten ASEAN member states and China.

We noted with satisfaction the admission of Cambodia, Laos and Myanmar to the Asia-Europe Meeting (ASEM) and expressed appreciation to China for its support for the three ASEAN Member Countries.

We expressed our support for Asia’s turn to assume the position of United Nations Secretary-General. In this regard, China was pleased to be informed of ASEAN’s endorsement of the candidature of H.E. Dr. Surakiart Sathirathai, Minister of Foreign Affairs of Thailand, for this position.


ASEAN and China have taken another important step to ensure peace and stability in the South China Sea by setting up a joint working group to study and recommend confidence-building activities.

The joint working group will help translate into concrete cooperation activities the provisions in the Declaration on the Conduct of Parties in the South China Sea (DOC) issued by the Governments of the 10 Member Countries of ASEAN and China in November 2002.

Under the DOC, cooperation activities may include: marine environmental protection, marine scientific research, safety of navigation and communication at sea, search and rescue operation, and combating transnational crime.

The joint working group will also undertake a registration of experts and eminent persons who may provide technical inputs and non-binding professional views or policy recommendations to the group of official representatives of the 11 Governments.

A meeting of senior officials from ASEAN and China, held in Kuala Lumpur on 7 December 2004, adopted the terms of reference of the joint working group.

Co-chairing the meeting, Dr. Kao Kim Hourn, Secretary of State for Foreign Affairs, Cambodia, and Mr. Wu Dawei, Vice Minister of Foreign Affairs of China, expressed similar optimism and confidence that the implementation of the DOC, including the establishment of the joint working group, would contribute significantly to enhancing peace and stability in the South China Sea. (Cambodia co-chaired the meeting in its capacity as ASEAN’s country coordinator in the ASEAN-China dialogue partnership.)

ASEAN and China believe that confidence building activities between them in the South China Sea will create a conducive environment for peaceful settlement of the overlapping sovereignty claims over disputed areas in the South China Sea among Brunei Darussalam, Malaysia, the Philippines, and Viet Nam on the ASEAN side, and China.

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Press ReleaseASEAN-China Senior Officials Meeting on the

Implementation of the Declaration on the Conduct of Parties in the South China Sea

Kuala Lumpur, Malaysia, 7 December 2004


Background:

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Objectives:

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6.

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The Declaration on the Conduct of Parties in the South China Sea (DOC) is the first political document jointly issued by ASEAN Member Countries and China on the South China Sea issue. The document reflects the consensus reached by all Parties on seeking peaceful solutions to disputes and conducting maritime cooperation in order to maintain regional stability in the South China Sea under the principles of the Charter of the United Nations, the 1982 UN Convention on the Law of the Sea, the Treaty of Amity and Cooperation in Southeast Asia, the Five Principles of Peaceful Coexistence, and other universally recognized principles of international law.

All the Parties reaffirm their commitment to sincerely and faithfully implement the DOC in order to contribute to regional peace and stability in the South China Sea.

The ASEAN-China Senior Officials’ Meeting on the implementation of the DOC convened in Kuala Lumpur on 07 December 2004 decided to establish the ASEAN-China Joint Working Group on the Implementation of the DOC (ASEAN-China JWG).

The main task of the ASEAN-China JWG is to study and recommend measures to translate the provisions of the DOC into concrete cooperative activities that will enhance mutual understanding and trust.

The ASEAN-China JWG shall, in accordance with the obligations and commitment to the DOC, recommend for SOM’s consideration, policy and direction, including identifying type of activities the parties should take in order not to complicate or escalate disputes.

The work of the ASEAN-China JWG shall be guided by the principles of mutual understanding, consensus, consultation, and cooperation.

The ASEAN-China JWG is tasked to formulate recommendations on:

a)

b)

c)

guidelines and the action plan for the implementation of the DOC;

specific cooperative activities in the South China Sea, particularly in the following areas:-----

a register of experts and eminent persons who may provide technical inputs, non-binding and professional views or policy recommendations to the ASEAN-China JWG; and,

marine environmental protection;marine scientific research;safety of navigation and communication at sea;search and rescue operation; andcombating transnational crime.

Terms of Reference of the ASEAN-ChinaJoint Working Group on the Implementation of

the Declaration on the Conduct of Parties in the South China Sea


Composition and Organization:

8.

9.

10.

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d)

The ASEAN-China JWG shall comprise representatives of all Parties to the DOC. The ASEAN Secretariat shall also be present.

Meetings of the ASEAN-China JWG shall be co-chaired by representatives of ASEAN Country-coordinator and China.

The ASEAN-China JWG shall meet regularly at least twice a year and submit a report and recommendations to the ASEAN-China SOM at the end of each meeting.

the convening of workshops, as the need arises.


As a follow-up action to the announcement of H. E. Mr. Wen Jiabao, Premier of China at the Special ASEAN Leaders’ Meeting on Aftermath of Earthquake and Tsunami in Jakarta, Indonesia on 6 January 2005 to help ASEAN countries to establish Strong Earthquake and Tsunami Warning Network, the China-ASEAN Workshop on Earthquake-Generated Tsunami Warning was held in Beijing on 25-26 January 2005.

The Workshop aimed to exchange experiences and lessons learned from the recent Indian Ocean tsunami disaster; exchange information on technology in the field of tsunami warning; and explore ways to carry out joint activities in the field of tsunami early warning through earthquake monitoring. The Workshop was attended by officials, emergency response managers and scientists from ASEAN countries, Australia, China, India, Japan, Korea, Maldives, Seychelles, Sri Lanka and USA; and representatives from ASEAN Secretariat, OCHA/UN, UNESCO, ESCAP/UN, ISDR/UN, WMO/UN, Asian Disaster Preparedness Center (ADPC) and Asia Seismology Commission (ASC).

H. E. Mr Hui Liangyu, Vice Premier of China officiated the opening ceremony of the Workshop, calling for the establishment of Indian Ocean tsunami warning system through global planning and coordination, and reaffirming China’s commitment to supporting the capacity building of earthquake-generated tsunami monitoring in ASEAN countries.

The country reports and technical presentations by ASEAN countries and the international organizations covered the wide spectrum of tsunami-related issue ranging from extent of damage of the Indian Ocean tsunami, state-of-the-art of earthquake and tsunami monitoring, and capacity building of warning system in the region to post-tsunami emergency response.

After extensive discussion and consultation among all the parties, the following action plan was recommended for the es-tablishment of earthquake-generated tsunami warning system in this region:

Establishment of Tsunami Warning System in Indian Ocean and Southeast Asian Region

1.

2.

Due to the unavailability of the tsunami warning system in Indian Ocean and Southeast Asian region, the Workshop recognized the urgency in putting in place tsunami warning system at the earliest date. The Workshop also recognized that a tsunami warning system in the Indian Ocean and Southeast Asian region has to cater for the specific requirements and circumstances of the countries in the region. The Workshop recognized that the tsunami warning system be established by building on the existing regional and international capabilities and capacities in earthquake and tsunami with the cooperation and support of these countries and international organizations such as UNESCO/IOC, UN/ISDR and WMO.

The Workshop recognized that the establishment of tsunami warning system would require concerted efforts across the whole chain of tsunami warning including establishment of technical facilities, continuous surveillance, awareness and education, and effective delivery of early warning information to the local communities.

China-ASEAN Workshop onEarthquake-Generated Tsunami Warning “Action Plan to Formulate a Technology

Platform for Earthquake-Generated Tsunami Warning System”

Beijing, China, 25-26 January 2005


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Establishment of an Asian Regional Seismographic Network (ARSN)

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Capacity Building

9.

The timely establishment of a tsunami warning system in the Indian Ocean and Southeast Asian region can be assisted by effective utilization of relevant existing institutions and mechanisms in ASEAN countries such as the ASEAN Earthquake Information Centre (AEIC), ASEAN Specialised Meteorological Centre (ASMC) and Asian Disaster Preparedness Center (ADPC):

a)

b)

c)

Since earthquakes are the major force triggering the local and distant tsunamis that are threatening the countries around the Indian Ocean and Southeast Asian region, the first step would be to enhance the earthquake and tsunami monitoring capability leading to the establishment of the tsunami warning system in the Indian Ocean and Southeast Asian region. The system should be economically maintained, fulfill the multiple purposes and be in the long-term perspective.

Effective and active resource mobilization is essential for the timely establishment of a tsunami warning system in the Indian Ocean and Southeast Asian region. Therefore, the Workshop noted that the availability of funding is critical to supporting the establishment process of such an early warning system. The Workshop also noted Thailand’s proposal on setting up a Voluntary Trust Fund to be discussed further during the Ministerial Meeting on Regional Cooperation on Tsunami Early Warning Arrangements in Phuket, Thailand from 28 to 29 January 2005, and that this could help contribute to this effort.

In view of the need to enhance the earthquake monitoring capabilities and coverage in ASEAN and South Asia regions and for the purpose of rapid, accurate and effective data exchange and warning, an integrated Asian Regional Seismographic Network (ARSN) covering the above areas should be set up in consultation with all parties concerned. The ARSN Network will consist of the seismographs, data processing and data transmission system. In this respect, the potential to utilize the existing telecommunication capabilities and technology, such as Global Telecommunication System (GTS) of WMO, should be explored.

The Workshop also recognized that bilateral cooperation between China and ASEAN countries and other interested parties could contribute to the establishment of the seismographic network.

The Chinese Government will provide assistance to the establishment of ARSN in the form of instrumentation, technical support, training, studies and research on earthquake forecasting and prediction, disaster assessment and emergency response as required under the coordination of the United Nations. The Chinese Government will take measures to intensify scientific cooperation between China and ASEAN countries in the field of earthquake forecasting and prediction, disaster assessment and emergency response.

To expedite technology transfer and information sharing, to prepare for the establishment of the tsunami warning system, to share experiences and lessons in emergency management and response from various disasters, and to conduct joint long-term multidisciplinary research to enhance better knowledge and understanding of the nature of earthquake-generated disaster, the Chinese Government agreed to:

AEIC: Has established networking with key national and international institutions involved in earthquake monitoring and exchange of data for the ASEAN region;

ASMC: Has established networking with key national and international institutions involved in monitoring and forecasting of atmospheric and marine meteorology for the ASEAN region;

ADPC: Has established networking with key national and international institutions involved in disaster awareness and management.


Asian Conference on Disaster Reduction

10.

Provision of Earthquake Data

11.

The action plan was adopted by China and ASEAN countries at the China-ASEAN Workshop on Earthquake-Generated Tsunami Warning on 26 January 2005 in Beijing.

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a)

b)

c)

The Workshop welcomed China’s proposal to convene the Asian Conference on Disaster Reduction, scheduled to be held in the near future.

For immediate action, China Earthquake Administration will provide the parameters of destructive earthquake events (such as magnitude, location, focal mechanism, etc) occurring in the ASEAN and South Asia regions to the interested countries and parties as soon as these events are detected by the China National Seismic Network.

organize training courses for ASEAN countries and other parties interested at an early date agreed upon;

provide support for hazard mapping and needs and capacity assessment for ASEAN countries; and

help strengthen the capacity of national seismology centers in ASEAN countries.


We, the Ministers Responsible for the Information and Communications Technology (ICT) authorities of the Association of Southeast Asian Nations (hereinafter referred to as “ASEAN”) and the People’s Republic of China gathered in China in May, 2005 for an in-depth exchange of views on ICT development and cooperation in this region, and have reached the following consensus:

1.

2.

We agree that ICT plays a vital role in the national economic and social development of a country. With huge population and tremendous economic potential, ASEAN and China increasingly gain in importance in Asia-Pacific region and the world at large. In the meantime, countries in the region still face challenges of speeding up economic development, bridging digital divide and dealing with natural disasters. To address these challenges, it is indispensable to build and improve ICT infrastructure and facilitate extensive application of ICT means. Accelerating ICT development and building an information society are the common tasks facing both ASEAN and China.

We note with satisfaction that, since the fifth ASEAN - China Leaders Meeting in November, 2001 which identified ICT as one of the five priority areas of cooperation between ASEAN and China and, especially upon the signing of Memorandum of Understanding between the Association of Southeast Asian Nations and People’s Republic of China on Cooperation in Information and Communications Technology in October, 2003, with joint efforts of relevant parties, positive headways have been made on cooperation in ICT field between ASEAN and China.

Intergovernmental Cooperation

Technological Cooperation and Product Trade

Human Resources Development

Infrastructure

The past few years witnessed the signing of documents on bilateral exchanges and cooperation between the ICT authorities of Indonesia, Laos, Myanmar, Singapore, Thailand, Vietnam and the Ministry of Information Industry of China and as well as the conduct of three ASEAN-China ICT Seminars in China, Indonesia and Thailand respectively.

ASEAN and China share the complementary interests in the technical cooperation and product trade. The mutually beneficial cooperation and ever-deepening technical exchanges between the two sides have brought about the rapid growth of ICT products trade volume and the enlargement of trade scope.

ASEAN-China ICT Serial Workshops and Greater-Mekong Sub-region (GMS) Training Program for High-level Telecom Officials progress smoothly with subjects covering technology, management, regulation and information security.

Memorandum of Understanding on the Joint Cooperation in Pushing Forward the Construction on the Information Superhighway in the Greater Mekong Sub-region was signed in November 2004 by the ICT authorities of the six GMS countries, which is currently in the implementation phase.

Beijing Declaration on ASEAN-China ICT Cooperative Partnership for

Common Development

Beijing, China, 12 May 2005


3.

4.

5.

We are satisfied with the rapidly developing and ever-deepening relations featuring mutual benefits and cooperation in the ICT field. It has been agreed that our cooperation in this area is extensive, substantive and fruitful. Both sides acknowledged the importance of such cooperation, as it not only promotes the prosperity and development of the ICT industry of each country, but makes great contribution to the regional economic and social development as well.

We have been implementing projects and undertaking activities in support of initiatives of ASEAN Leaders envisaged in e-ASEAN Framework Agreement signed by the leaders of ASEAN countries in November 2000 in Singapore; Ministerial Understanding on ASEAN Cooperation in Telecommunications and Information Technology forged in July 2001 in Malaysia; the Manila Declaration 2002 signed by ASEAN Ministers in August 2002 in the Philippines; the Singapore Action Agenda 2003 in September 2003 in Singapore; the Strategic Partnership for Peace and Prosperity between ASEAN and China established in 2003 and the Action Plan for Implementing the Joint Declaration of Strategic Partnership adopted at ASEAN-China Leaders Meeting in 2004; as well as the Vientiane Action Program adopted at ASEAN Leaders Meeting in 2004, all of which have attached great importance to the ICT development and cooperation in this region. In response to the above initiatives of Leaders, we agree to seek new ways and contents of cooperation in the principles of equality, friendship and mutual benefits, taking into consideration of our respective characteristics and needs, and based on the current cooperation projects. We will also endeavor to deepen and expand the cooperation, which, we believe, will lay a solid foundation for the long-term development of ASEAN and China in the ICT field.

To this end, we agree that ASEAN and China establish an ICT cooperative partnership for common development, so as to further expand and deepen the existing exchanges and cooperation, enhance mutual understanding and cooperation level, promote common development and achieve a mutually beneficial and win-win result. It is stressed that ASEAN - China ICT Cooperative Partnership for Common Development is an all-round and future-oriented relationship. To carry the momentum of this cooperative relationship is the common task and obligation of both sides.

ASEAN and China, therefore, shall focus on cooperation in the following areas:

a.

b.

c.

ICT Infrastructure DevelopmentICT infrastructure is the fundamental factor condition for building an information society, an important means to promote economic growth and improve people’s livelihood. Given the fact that ICT develops rather unevenly in this region, it is critical to push forward cooperation in this area. We should strengthen cooperation on ICT infrastructure construction, including fixed, mobile and satellite networks as well as Internet. Effective measures should be adopted to accelerate the implementation of GMS information superhighway, and discussion shall be made around the feasibility of building ASEAN-China information superhighway, in a bid to promote information flow among countries and the improvement of ICT development level in this region.

Universal ServiceBridging digital divide, promoting universal service and ICT development in rural and remote regions is an urgent task facing this region and a common challenge to all countries. We should strengthen exchanges and discussion, draw upon each other’s experience and practices in establishing compensation mechanism for universal service and narrowing the digital divide, jointly develop and promote applicable technology suitable for rural and remote areas in their ICT development.

Human Capacity BuildingHuman capacity building is the key factor for building an information society. We should facilitate and sustain the implementation of the initiative proposed by Chinese government of training 500 middle and high-level telecom managers and technicians for ASEAN countries within five years. We should further improve cooperation on developing ICT human resources, strengthen information and resources sharing among countries in this area, and promote participation of government, businesses and educational institutions, either through face-to-face discussions or e-learning.


d.

e.

f.

Network and Information SecurityNetwork and information security is an important component of the information society, and a precondition for fostering public confidence in using ICT. It has been strongly recognized that the network and information security in the region are faced with a severe challenge. We should strengthen communications and cooperation in the field of network and information security, and seek to establish an ASEAN - China Coordination Framework for Network and Information Security Emergency Responses.

Trade and Investment FacilitationTrade and investment facilitation is an important condition for achieving common economic development for countries in the region. We should strengthen exchanges and cooperation among countries in areas of E-commerce, E-governance and promote mutual recognition arrangements for ICT expertise certification and telecom equipment certification, improve trade and investment environment of each country and promote the ASEAN-China Free Trade Area (FTA) process.

Intergovernmental Dialogues and ExchangesAs the information and communications technologies and services advance in a big margin, countries are facing many new problems in their ICT development strategy and policy as well as market regulation, which requires more dialogues and exchanges at the governmental level. While taking into account the actual conditions and characteristics of each country’s economic and social development, ASEAN and China should foster exchanges of ICT development strategy and policy and explore effective market regulation model. We shall explore the establishment of suitable mechanism and deepen cooperation at various levels. We shall also strengthen consultation and coordination within relevant international organizations in an active and pragmatic manner.

IN WITNESS WHEREOF, We have adopted this Beijing Declaration on ASEAN-China ICT Cooperative Partnership for Common Development.

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The Governments of the Member Countries of the Association of Southeast Asian Nations and the Government of the People’s Republic of China (hereinafter referred to respectively, as “ASEAN Member Countries” and “China”, and collectively as “The Participants”);

Acknowledging the rich cultures and traditions of the ASEAN Member Countries and China and their close historical ties;

Desiring to further promote the close and friendly relations between ASEAN Member Countries and China in the cultural sector;

Realizing culture as a basis for mutual understanding and cooperation in political, economic, and social spheres between ASEAN and China;

Recognizing the contribution and benefit of cultural exchanges and cooperation in enhancing their mutual understanding and friendship;

Have reached the following understanding:

The Participants will promote exchanges and cooperation in the fields of culture both tangible and intangible in accordance with their respective domestic laws, regulations, policies, administrative guidelines and procedures.

Paragraph 1SCOPE OF COOPERATION

Paragraph 2ACTIVITIES

1.

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The Participants will actively promote greater awareness, understanding and appreciation of each other’s arts and culture through artistic collaboration and exchange, joint research and study, exchange of information, and people-to-people exchange and interaction.

The Participants will encourage and support the conservation, protection and promotion of tangible and intangible cultural heritage through programmes in cultural heritage management, protection of intellectual property rights and networking and exchange among cultural heritage agencies and organizations.

The Participants will encourage and support human resource development in the fields of archaeology and cultural heritage, traditional and contemporary arts, cultural enterprise and creative industries, and arts and cultural management.

The Participants will step up cooperation in the areas of cultural enterprise and creative industries through product development, promotion of the culture market, exchange of information and networking among experts.

Memorandum of Understanding Between the Governments of the Member Countries of the Association of Southeast Asian Nations and the Government of the People’s Republic of China

on Cultural Cooperation

Bangkok, Thailand, 3 August 2005


The protection of copyright within the jurisdiction of each Participant as well as each individual ASEAN Member Country will be enforced in conformity with its domestic laws, regulations, administrative policies, guidelines and procedures and also with the international agreements to which China and the individual ASEAN Member Country concerned are Participants.

Any dispute between the Participants on the interpretation and implementation of this Memorandum of Understanding will be settled amicably through consultations and negotiations between both Participants.

This Memorandum of Understanding may be amended by mutual consent between the Participants and it will come effect from the date of its signing.

5.

Paragraph 3IMPLEMENTATION

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Paragraph 4COPYRIGHT

Paragraph 5SETTLEMENT OF DISPUTES

Paragraph 6AMENDMENT

Paragraph 7ENTRY INTO FORCE, DURATION, AND TERMINATION

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3.

The Participants will endeavor to identify and address common concerns regarding ASEAN-China cultural cooperation relative to multilateral and international conventions.

The Participants decided that the implementing agencies of this Memorandum of Understanding are:a.b.

The implementing agencies of the Participants will determine through consultation the details, schedule and arrangements for the implementation of the cooperation provided in this Memorandum of Understanding, and will serve as coordinators for such cooperation.

The Participants decided that project formulation, monitoring and evaluation will be carried out through the cooperation mechanisms established under the ASEAN-China dialogue relations.

To ensure the implementation of the Memorandum of Understanding, the financial obligations and arrangements for the projects will be discussed and agreed to by both Participants.

This Memorandum of Understanding will come into effect on the date of its signature.

This Memorandum of Understanding will continue into operation for the period of five years and will be extended/renewed automatically for subsequent period of three years period unless either of the two participants notifies the other in writing of its intention to terminate it not later than six months before its expiry date.

The termination of this Memorandum will not affect the validity or fulfilment of any on-going programs and projects which have been agreed by the participants before the termination.

the ASEAN Committee on Culture and Information (ASEAN-COCI); andMinistry of Culture for the People’s Republic of China


Done at Bangkok, Thailand, this Third Day of August in the Year Two Thousand and Five in two original copies in the English and Chinese Languages, both texts being equally authentic.

In the case of divergence between the two texts, the English text shall prevail.

4. In the event of an outbreak of an epidemic disease, public disorder, etc., each Participant reserves the right for reasons of security, public order or public health to suspend temporarily either in whole or part of the implementation of this Memorandum of Understanding which will take effect thirty (30) days after notification has been given to the other Participant through diplomatic channels.

For the Governments of ASEAN Member Countries



SUN JIAZHENGMinister of Culture

People’s Republic of China

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1.

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ASEAN-CHINA TRADE AND INVESTMENT RELATIONS

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EARLY HARVEST PROGRAMME (EHP)

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PROGRESS IN THE ESTABLISHMENT OF THE ASEAN-CHINA FREE TRADE AREA (ACFTA)

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7.

The Fourth AEM-MOFCOM Consultation was held in Vientiane, Lao PDR on 29 September 2005.

The Consultation was co-chaired by H.E. Mr. Soulivong Daravong, Minister of Commerce of Lao PDR; and H.E. Mr. Yu Guang Zhou, Deputy Minister of Commerce of the People’s Republic of China.

The Ministers exchanged views on current regional and global developments, particularly those which affect ASEAN-China trade and investment relations. The Ministers were pleased to note that ASEAN and China is now an economic region with approximately 1.85 billion consumers and combined GDP of US$ 2.48 trillion in 2004. The Ministers also noted the robust growth of China’s economy and that of ASEAN, which occurred despite calamities that caused modest impact on the region’s economic growth. China’s economy grew by 9.5% in 2004 compared to 9.3% in 2003, while ASEAN posted a combined GDP of 6.1% in 2004, higher than the previous year’s economic growth of 5.2%. Fuelled by its robust economy, China’s FDI flows into ASEAN also increased from US$ 189 million in 2003 to US$ 226 million in 2004.

The Ministers were pleased to note the phenomenal growth in ASEAN-China bilateral trade since both sides agreed to establish the ASEAN-China Free Trade Area (ACFTA) in 2002. Latest trade statistics revealed that bilateral trade between the two sides grew by 25% during the first half of 2005 as China continued to be ASEAN’s fourth largest trading partner and vice-versa. Trade volume for the first six months of 2005 was posted at US$ 59.76 billion. The Ministers were equally pleased as bilateral trade grew at an annual rate of 38.9% for the period 2002-2004, reaching US$ 105.9 billion in 2004.

The Ministers were briefed on the status of the implementation of the Early Harvest Programme (EHP), which commenced on 1 January 2004, and noted with satisfaction that after one-and-a-half years of implementation, tariffs on 4.9% of the total tariff lines have been eliminated. Further, ASEAN-China trade for products covered by the EHP has increased by 29% from the 2003 value of US$1.55 billion to US$ 2 billion in 2004.

The Ministers were also pleased to note that the Philippines has concluded her EHP package with China and, in accordance with the Memorandum of Understanding signed in April 2005, MFN tariffs on 214 tariff lines (HS 8-digits) according to the Philippines’ tariff nomenclature will be eliminated by 1 January 2006.

The Ministers welcomed the conclusion of the negotiations for the trade in goods and dispute settlement mechanism for the ACFTA with the signing of the “Agreement on Trade in Goods” and the “Agreement on Dispute Settlement Mechanism” under the ASEAN-China Framework Agreement in Vientiane last year. They also noted the current status of the implementation of the Trade in Goods Agreement which commenced in July 2005. Noting that some countries still have to complete their national procedures, the Ministers urged them to expedite the completion of the process and have the

Joint Media Statement of the Fourth ASEAN Economic Ministers and the Minister of Commerce of the People’s Republic of China Consultation

(AEM-MOFCOM)

Vientiane, Lao PDR, 29 September 2005


8.

9.

10.

CHINA-ASEAN EXPO 2005

11.

BIMP-EAGA

12.

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TIG Agreement ready for implementation by all parties by the ASEAN-China Summit in Kuala Lumpur in December 2005.

The Ministers noted the appointment of National Focal Points in the implementation of the ACFTA. These National Focal Points have been designated to oversee the implementation of the ACFTA in particular, handling private sector queries on the ACFTA and immediate resolution of operational problems related to the granting of ACFTA concessions.

The Ministers endorsed the First Package of Product Specific Rules for the ACFTA Rules of Origin and urged the ROO negotiators to accelerate the ongoing negotiations for the Second Package of Product Specific Rules with a view to concluding the negotiation as soon as possible.

The Ministers were briefed on the on-going negotiations for the services and investment components of the ACFTA. The Ministers expressed appreciation for the efforts exerted by the ASEAN–China Trade Negotiating Committee and the Working Groups on Services and Investment. The Ministers urged the two Working Groups, particularly the Services Working Group, to maximize their efforts to conclude the agreements for signing at the Kuala Lumpur Summit in December 2005.

The Ministers were pleased with the outcome of the 1st ASEAN–China EXPO (CAEXPO). Organized in Nanning, Guangxi Zhuang Autonomous Zone in November 2004. The event was participated in by 1,505 enterprises world-wide and more than 8,000 exhibitors, generating US$ 1.084 billion worth of trade. Riding on the success of the first EXPO, the 2nd ASEAN-China EXPO will be held in Nanning on 19-22 October 2005. This will be held in conjunction with the 2nd China-ASEAN Business and Investment Summit.

The Ministers welcomed the engagement of China as a development partner of BIMP-EAGA. They were also pleased to note the interest of BIMP-EAGA to participate in the 2nd ASEAN-China EXPO, particularly in the area of tourism.


We, the Participating Countries to the Second International Congress of the ASEAN and China Cooperative Operation in Response to Dangerous Drugs (ACCORD) held in Beijing on 18 - 20 October 2005:

Affirming the achievements made by all parties through positive drug control cooperation under the framework of the “Bangkok Political Declaration” and taking note of the achievements made under the “ACCORD Plan of Action” as endorsed at the International Congress “In Pursuit of a Drug-Free ASEAN 2015: Sharing the Vision, Leading the Change” held in Bangkok on 11-13 October 2000 by ACCORD countries and by the technical assistance provided in support of the Plan while noting the need to update the Plan to fully reflect the most pressing drug control needs in the region;

Noting with satisfaction that, with the unremitting efforts of the nations in this region, supported and assisted by the international community, the implementation of alternative development programmes have led to a notable decrease of illicit opium poppy cultivation in the “Golden Triangle” area and a considerable reduction of trafficking of opium and its derivates from and within the region and a slow down in the spread of traditional drugs, while expressing concern about the need for sustainable alternative development;

Noting with deep concern that the illicit manufacture, traffic, distribution and abuse of ATS is spreading rapidly, especially among the youth and the fact that the majority of global ATS seizures occurs in the region, including 80 percent of global methamphetamine seizures, which poses a serious threat to the social fabric of society, and the nations in this region;

Concerned about the close connection between drug related crimes, money laundering and transnational organized crime as manifested throughout the region;

Underlining the importance of special legislation and regulations on precursor chemical control, as have already been enacted in a number of countries in the region, which put strict control on the manufacture, purchase, transportation and use of precursor chemicals while at the same time ensuring their licit uses under the supervision of the relevant authorities such as the police, drug control administrations, industry, public health and environment protection agencies;

Acknowledging that the ACCORD countries, making full use of their potential, advantages and practical research, have gained first hand experience of preventive education and systems of treatment and rehabilitation reflecting the characteristics of this region, and have tried some effective intervention measures to prevent the spread of HIV/AIDS and other infectious diseases; and

Reiterating that in order to jointly solve the drug problems in this region, ASEAN and China need to constantly adhere to the principles of mutual respect and trust, equality and sincerity in cooperation, take action on the basis of broad participation and shared responsibilities and to consistently implement comprehensive and balanced international drug control strategies while focusing on the most pressing drug control needs;

Beijing Declaration on ASEAN and China Cooperative Operation in Response to Dangerous Drugs

(ACCORD)

Beijing, China, 18-20 October 2005


...............................................

Solemnly declare to:

1.

2.

3.

4.

5.

6.

7.

8.

9.

10.

Reconfirm the significance of the ACCORD mechanism as a unique regional drug control framework encompassing both ASEAN and China, and call for continued coordination in meeting its comprehensive drug control goals and targets through timely communication, dialogue and exchange of ideas and enhanced bilateral and multilateral cooperation, including high-level visits and cooperation with other multilateral drug control mechanisms;

Endorse the revised “ACCORD Plan of Action” and its four pillars, namely, to promote civic awareness and social response by advocating on the dangers of drugs; to build consensus and share best practices on demand reduction; to strengthen the rule of law by improving law enforcement cooperation and legislative review; and to eliminate the production of illicit narcotic crops by boosting sustainable alternative development programmes;

Prioritise efforts to combat ATS-related crimes as a key national drug control strategy by acquiring adequate information, including on trends of illicit manufacture, traffic and abuse of drugs in each country, actively collecting and exchanging relevant intelligence and information regarding the subject, and taking coordinated law enforcement measures to address the rampant illicit ATS manufacture, traffic and abuse in this region, working toward the containment of the spread of ATS-related crimes and the prevention of further deterioration of the ATS situation in this region;

Endorse the Regional Joint Action Against ATS-related Crimes Initiative to be implemented fully in line with the updated Plan of Action;

Continue to strengthen alternative development through the provision of adequate financial and technical support for sustainable alternative development activities in the traditional illicit opium poppy cultivation areas, the implementation of favourable market access policies for alternative products, and the expansion and initiation of alternative development programmes, including pilot projects, in different opium poppy cultivating areas;

Call for assessing the possibility of expanding alternative development programmes to other illicit drug crops, including cannabis;

Promote the development of laws and regulations on the manufacture, purchase, transportation and use of precursor chemicals and to exercise strict supervision in these areas, to enforce an effective administration of precursor chemicals, to prevent their diversion to illicit drug manufacturing channels and to take an active part in the global joint operations launched by International Narcotics Control Board (INCB);

Intensify cooperative research, to stipulate pertinent measures on preventive education and rehabilitation, and to consider adopting evidence-based effective intervention measures such as drug maintenance methods, while recognizing the cultural realities and social values unique to this region, in order to reduce the number of new drug addicts, enhance the effectiveness of treatment and rehabilitation and prevent the transmission of HIV/AIDS and other infectious diseases;

Reiterate the commitment of ASEAN and China for internal resource mobilisation to support the ACCORD Account, especially funds intended to support prioritised programmes and activities; and

Urge the international community to take practical and effective actions through financial and technical support for the solution of the drug problems in this region to ensure timely realisation of the goal of “a Drug-Free ASEAN and China in 2015”.


While the traditional opiate drug problem remains serious in the region of East and Southeast Asia and the Pacific, the problem of illicit manufacture, trafficking in and abuse of amphetamine-type stimulants (ATS) has become grave in recent years. The ATS problem has generated a series of threats to the social security, stability and economic development in this region, and a potential danger to the international community as well.

Comprehensive measures and balanced approaches are required to effectively deal with the regional ATS problem, including, inter alia, community-based prevention, education, public awareness, treatment and rehabilitation, law enforcement and criminal justice system responses.

Initial experience indicates that the ATS problem has characteristics that differ from traditional opiate drug problems, especially in terms of fast proliferation in urban areas and more difficult interdiction by law enforcement agencies due to close proximity in the demand and supply chains. Illicit ATS manufacture can virtually take place anywhere with easy access to precursor chemicals. Where trafficking patterns change, which is taking place in the region, abuse follows. Therefore, joint law enforcement in the region and internationally should be taken as an initiative to contain the problem and provide sound basis for comprehensive interventions in other relevant aspects.

In this regard and as an initial measure, it is proposed that ACCORD countries should immediately take joint operations to fight against ATS-related crime, both domestically and internationally, aiming to effectively contain the spreading and deteriorating ATS problem in this region. The proposed joint operations may include those in the Annex.

A.

B.

All countries of this region should heighten their vigilance and take effective actions respectively against their domes-tic ATS-related crime:

1.

2.

International law enforcement cooperation should be taken actively to fight against transnational ATS-related crime:

1.

A series of necessary measures should be taken to obtain a better understanding of the current situation regarding the illicit manufacture, trafficking and abuse of ATS in each country; legislative efforts should be enhanced; domestic law enforcement against ATS-related crime should be strengthened. It is expected that by taking these measures the ATS problem in relevant countries can be effectively controlled in the near future, and successful experience in dealing with the issue can be obtained;

It is proposed that relevant countries take immediate law enforcement actions collectively against ATS-related crime in their respective countries, aiming at successfully destroying a number of domestic ATS-related criminal organizations and network, arresting a number of known major drug traffickers, collecting and sharing information and intelligence on ATS-related crime and establishing an effective information/intelligence sharing system. It is expected that by doing so a kind of social prevention and monitoring system on ATS-related crime can be established.

Joint operations should cover joint targets in trafficking and clandestine laboratories, with a designed operation

Regional Joint Action Againts ATS-Related Crimes AMONG ACCORD COUNTRIES

A Proposal For regional joint action on ATS and their precursors1

Quangzhou, China, 21-22 December 2005

1A proposal from the Chinese delegation under the newly revised ACCORD Plan of Action, that all ACCORD countries should take the ATS issue as one of their top priorities in regional drug control cooperation both at present and for a period of time in the near future, and strengthen their cooperation accordingly


A review on the actions and results of the joint actions in this region should be taken by the end of 2006, and such a review should be carried out in combination with the annual ACCORD task force Pillar III law enforcement meeting. Such a review meeting can provide an opportunity for member countries to share experience, show successful results of their actions, demonstrate the determination of this region in dealing with the ATS problems and the spirit of closer cooperation among countries of this region, and urge the international community and major donor countries to provide necessary financial and technical assistance.

Through the next meeting of the annual ACCORD task force Pillar III law enforcement meeting, the following shall be established:

(i)

(ii)

a.

b.

c.

d.

e.

f.

Regional Standard Operating Procedures, including issues of organization and coordination, resource requirements, and funds mobilization.

An operational plan and target cases.

some substantive points of the proposal for joint action are as follows:

(i)

(ii)

(iii)

ACCORD countries should identify a number of target cases that need transnational cooperation. A consultation system could be set up for designing unique operational and tactical plans, seeking to destroy completely the targeted drug trafficking network including arresting major drug criminal organizers, and high success in terms of quantity of drug seizures;

Smooth communication channels should be established among relevant countries. A number of contact persons with rich experience of cross-border investigation and fluent English capability should be designated by each country, who will be responsible for information/intelligence transmission, coordinating domestic operations, providing quick response to requests from other countries and reachable 7 days/24 hours, and who will provide telephone numbers and/or other communication channels.

Internal law enforcement training should be provided to member countries of ASEAN and China cooperative mechanism in order to enhance their capabilities in identification and suppressing ATS-related crime. The training may include intelligence collection, analysis and estimation; advanced knowledge and techniques of cross-border law enforcement; anti-money laundering, best practice sharing, and other subject matters according to the identified needs;

Joint law enforcement operations along common border areas should be encouraged by relevant countries, fully utilizing and possibly extending the existing border liaison office mechanism established by UNODC. Proper joint operations against ATS trafficking in some targeted common border areas should be taken to interdict illicit ATS smuggling from the source;

ACCORD countries will work with relevant countries where appropriate in pursuit of joint law enforcement operations.

plan agreed by the relevant law enforcement agencies of the ACCORD countries

Regional Standard Operating Procedures about joint operations covering intelligence sharing, controlled delivery and other investigation techniques and actions should be formulated, approved and implemented

Backtracking investigations of the precursors should be conducted and the results be informed to the related countries.

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1.

2.

3.

We, the Transport Ministers of ASEAN and the People’s Republic of China, met for the Fourth ASEAN and China Transport Ministers (ATM+China) Meeting in Vientiane, Lao PDR on 18 November 2005. H.E. Mr. Bouathong Vonglokham, Minister of Communication, Transport, Post and Construction of Lao PDR and H.E. Mr. Zhang Chunxian, Minister of Communications of China co-chaired the Fourth ATM+China.

We recognized the collaborative efforts of our senior officials in the significant progress in our strategic partnership, particularly in the implementation of joint projects and activities consistent with the ASEAN-China Memorandum of Understanding (MOU) on Transport Cooperation which was signed at the 8th ASEAN-China Summit in Vientiane, Lao PDR on 27 November 2004. Key achievements since our last meeting in Phnom Penh last November include among others:

a.

b.

c.

d.

e.

f.

g.

We re-affirmed the essential role of transport in providing greater impetus to increasing trade, investment and tourism, in pursuit of ASEAN-China Free Trade Area (ACFTA) initiative and in reinforcing the comprehensive economic integration between China and ASEAN Member Countries.

Improving cross-border transport infrastructure and connectivity between China and neighboring ASEAN Member Countries, i.e., ongoing construction of the China section and Lao PDR section of the Kunming-Bangkok Highway; the Kunming to Hekou Highway, linking the Viet Nam Kunming–Ha Noi–Hai Phong Passage; and Cambodia National Highway No.7 (from Kratie via Stung Treng) to the Lao-Cambodia Border; and the Yuxi-Mengzi (China) section of the Trans-Asian Railway;

Designation of cross-border crossing points in the GMS counties to facilitate transport of goods and people. Operationalizing “Single-Window Inspection” and the “Single-Stop Custom Inspection at the Hekou (China) – Lao Cai (Viet Nam) border-crossing point;

Completion of the Navigation Channel Improvement Project on the Upper Mekong River, with navigation aids facilities installed;

Ongoing negotiations to conclude an ASEAN-China Maritime Transport Agreement. Three consultations had been held in Shanghai, Phnom Penh and Bangkok. China will host the fourth ASEAN-China Consultative Meeting next year;

Launching of consultations for advancing maritime safety cooperation and regional air services arrangements. China will host the first Meeting of China-ASEAN Maritime Consultation Mechanism in Guangzhou on 14-16 December 2005, and the first Workshop on Passenger and Cargo Air Services Arrangements in 2006;

Finalization of the working outline for the Development Study for the Inland Waterway Improvement Project in Cambodia, Lao PDR, Myanmar and Viet Nam. China will convene the first Workshop in 2006; and

Enhancing human resources development, through the completion of two workshops on the Regulation Techniques for ASEAN Countries Inland Waterways in Wuhan and Nanjing; and the Workshop on Compensation for Oil Pollution caused by Ship in Shanghai, followed by the Drill on Search & Rescue.

Fourth ASEAN and China Transport Ministers Meeting



4.

5.

6.

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The ASEAN Ministers lauded the five-point policy agenda put forward by China Minister for future ASEAN+China transport cooperation. In this context, we agreed to further advance and strengthen our joint cooperation programs and activities, especially the prompt conclusion of the regional maritime transport agreement and regional passenger and cargo air services arrangement, and in launching a study to formulate a medium-to-long term development strategic plan for ASEAN-China transport cooperation. We welcomed the implementation of the following new and follow-up initiatives in 2006:

a.

b.

c.

d.

e.

f.

The ASEAN Ministers expressed their appreciation to China for her continuing support to ASEAN, particularly in its efforts to narrow the development gaps between Member Countries, deepen economic integration and realize its vision to establish the ASEAN Economic Community.

We thanked the Government of Lao PDR for the excellent arrangements made for the Meeting and agreed to meet in Thailand in 2006.

Convening of a meeting on the formulation of the ASEAN-China Transport Development Strategic Plan in China in 2006;

Enhancing capacity building in facilitating cross border transport of goods and people in the Greater Mekong Sub-region (GMS) ;

Participation in the International Maritime Forum on Quality of Seafarers in China in 2006 which will be focusing on (i)(ii)

Ten scholarship places to ASEAN Member Countries for the master’s degree on maritime safety and environmental administration in the coming two years in the Dalian Maritime University (Branch of World Maritime University);

Assistance to littoral states within the Malacca Straits in maritime safety, security and environmental protection; and

Technical exchanges in Hydrography and Aids to Navigation;

the Comprehensive Maritime Labor Convention of the International Labor Organization; andthe implementation of the ISPS Code and STCW ’95 amendments;


The Ministers of ASEAN and China overseeing the issues of transnational crime convened an Informal ASEAN Ministerial Meeting on Transnational Crime (AMMTC) Plus China Consultation in Ha Noi on 30 November 2005.

The Ministers reiterated their commitment to strengthen ASEAN-China cooperation to combat transnational crime, as reflected in the 2002 Joint Declaration on Cooperation in the Field of Non-Traditional Security Issues and the 2004 Memorandum of Understanding on Cooperation in the Field of Non-Traditional Security Issues.

The Ministers welcomed the progress achieved in cooperation to combat transnational crime among ASEAN Member Countries and between ASEAN and China. They commended the ASEAN-China Cooperative Operations in Response to Dangerous Drugs (ACCORD) for its role in advancing regional drug control cooperation.

The Ministers also acknowledged the achievements made by the ASEAN Plus China, Japan and the Republic of Korea Ministerial Meeting on Transnational Crime (AMMTC+3) and expressed confidence that the ASEAN Ministerial Meeting on Transnational Crime Plus China Consultation will complement the AMMTC+3.

To further enhance ASEAN-China cooperation to combat transnational crime, the Ministers pledged their commitment to encourage their relevant agencies responsible for combating transnational crime to establish direct and efficient networks with each other. The Ministers reaffirmed that the cooperation would be in accordance with respect of national laws and on the basis of the principles of sovereignty, equality and mutual benefit.

The Ministers recognised that the efficacy of ASEAN-China cooperation to combat transnational crime depends on the ability and capability of the relevant agencies responsible for this, and decided to prioritise concrete measures aimed at enhancing institutional capacity building and training for these agencies.

The Ministers expressed their sincere appreciation to the people and Government of the Socialist Republic of Viet Nam for successfully hosting the Informal Consultation.

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Joint Press Statement of the Informal ASEAN Ministerial Meeting on

Transnational crime Plus China Consultation

Ha Noi, Viet Nam, 30 November 2005


The ASEAN-China Eminent Persons Group (EPG) today submitted its report to the ASEAN-China Ministerial Meeting through its ASEAN Co-chairman, Tan Sri Musa Hitam for the consideration of the Leaders of ASEAN and China at the 9th ASEAN-China Summit on 12 December 2005 in Kuala Lumpur, Malaysia.

The report is a culmination of a year’s work by the EPG comprising a review of the ASEAN-China dialogue relations in the last 15 years and a set of recommendations to strengthen the relations in the next 15 years and beyond as ASEAN and China celebrate their 15th anniversary in 2006 with a number of commemorative activities.

The report reviews the progress of ASEAN-China relations since the early 1990s by which period China had established diplomatic ties with all ASEAN Member Countries. China was a founding participant in the ASEAN Regional Forum (ARF) and became a Dialogue Partner of ASEAN in 1996. China acceded to the Treaty of Amity and Cooperation in Southeast Asia in 2003 and in the same year, ASEAN and China proclaimed a strategic partnership between them given the wide-ranging and multi-faceted relations. ASEAN and China signed the framework agreement that provides for an ASEAN-China Free Trade Area in 2002.

The report recommends that in the next 15 years and beyond, ASEAN and China should strengthen and deepen their strategic partnership on all fronts with focus on economic, political security, social, and cultural cooperation. It emphasises that building on the free trade area, ASEAN and China should exert efforts to facilitate the free flow of goods, services, capital and labour to enhance the linkages between their economies. The report underscores the need to enhance security cooperation to ensure and further promote harmonious relations among neighbouring countries. It also proposes that ASEAN and China should continue to work closely in contributing to the various regional processes and initiatives and in the promotion of their common interest in the regional and international fora.

In order to achieve the above, the report provides 38 short and medium-and long-term measures to realise this vision taking into account the developments in ASEAN and China and the dynamic developments in the region and the world. These recommendations encompass the political and security, trade and economic, and social and cultural areas as well as strengthening of the institutional framework for cooperation.

Some of the key recommendations include the promotion of confidence building measures through regular dialogue, exchange and interactions; strengthening cooperation in addressing transnational issues; supporting international efforts in the area of disarmament and non-proliferation of weapons of mass destruction (WMD); the early conclusion of the agreements on services and investment under the ASEAN-China Free Trade Area and enhanced cooperation in the key areas of infrastructure, transport, communications, agriculture and energy; establishment in Beijing of an ASEAN-China Centre, to promote trade, investment, tourism, education and cultural cooperation; establishment of an ASEAN-China Foundation, and the launching of a prestigious scholarship programme to promote the academic and student exchanges; the convening of a high-level international meeting on infectious diseases to mobilise international attention and resources; the promotion of open skies policy, visa-free travel, and the setting up of tourism cultural centres; and more people-to-people exchanges, especially in the areas of youth and sports.

The ASEAN-China EPG was established at the 8th ASEAN-China Summit in November 2004 in Vientiane, Lao PDR. The EPG consisted of the following distinguished persons: H.E. Tan Sri Musa Hitam (Co-Chairman, Malaysia); H.E. Qian Qichen (Co-Chairman, People’s Republic of China); H.E. Pehin Dato Lim Jock Seng (Brunei Darussalam); H.E. Dr. Aun Porn Moniroth

Co-Chairmen Press Statement of the ASEAN-China Eminent Persons Group



(Kingdom of Cambodia); H.E. Jusuf Wanandi (Republic of Indonesia); H.E. Khamphan Simmalavong (Lao People’s Democratic Republic); H.E. U Aung Thaung (Union of Myanmar); H.E. Ambassador Rodolfo C. Severino (Republic of the Philippines); H.E. Professor Tommy Koh (Republic of Singapore); H.E. Kasem S. Kasemsri (Kingdom of Thailand); and H.E. Nguyen Manh Cam (Socialist Republic of Viet Nam).

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1. LETTER OF TRANSMITTAL OF THE ASEAN-CHINA EMINENT PERSONS GROUP REPORT TO THE NINTH ASEAN-CHINA SUMMIT

12 October 2005

Dear Leaders of ASEAN and China,

1.

2.

3.

4.

The ASEAN-China Eminent Persons Group (EPG) was initiated at the 8th ASEAN-China Summit on 29 November 2004 in Vientiane, Lao PDR, to take stock of the cooperation and recommend measures for strengthening future ASEAN-China dialogue relations as both sides commemorate the fifteenth year of relations in 2006.

Since the establishment of the ASEAN-China EPG in April 2005, it has met on two occasions to review the relations, deliberate on issues, identify niches for cooperation, develop ideas, and formulate recommendations for consolidating the partnership.

We have deliberated on key challenges and opportunities in the growing relationship, the vision for future relations and guiding principles that will support an enhanced ASEAN-China strategic partnership. We have also identified a number of short-term and medium and long-term measures to propel the future relations, taking into account the dynamic relationship, and regional and international developments.

With the support of our assistants and the resource persons from the ASEAN Secretariat, we have prepared the ASEAN-China EPG Report, which is submitted for your consideration.

Report of the ASEAN-ChinaEminent Persons Group

H.E. Pehin Dato Lim Jock SengMinister of Foreign Affairs and Trade IIBRUNEI DARUSSALAM

H.E. Dr. Aun Porn MonirothChairman, Supreme National Economic CouncilAdviser to Prime MinisterSecretary of State, Ministry of Economyand FinanceKINGDOM OF CAMBODIA

H.E. Mr. Qian QichenFormer Vice PremierPEOPLE’S REPUBLIC OF CHINA


H.E. Mr Jusuf WanandiCo-founder, Member of Boards of Trustees, and Senior FellowCentre for Strategic and International Studies (CSIS)REPUBLIC OF INDONESIA

H.E. Mr. Khamphan SimmalavongFormer Vice Minister of Commerce and TourismLAO PEOPLE’S DEMOCRATIC REPUBLIC

H.E. Tan Sri Musa Bin HitamFormer Deputy Prime MinisterMALAYSIA

H.E. U Aung ThaungMinisterMinistry of Industry (I)UNION OF MYANMAR

H.E. Mr. Rodolfo C. SeverinoFormer ASEAN Secretary-GeneralREPUBLIC OF THE PHILIPPINES

H.E. Prof. Tommy KohAmbassador-at-largeMinistry of Foreign AffairsREPUBLIC OF SINGAPORE


H.E. Mr. Kasem Samosorn KasemsriFormer Deputy Prime MinisterKINGDOM OF THAILAND

H.E. Mr. Nguyen Manh CamFormer Deputy Prime Minister andMinister of Foreign AffairsSOCIALIST REPUBLIC OF VIET NAM

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2. EXECUTIVE SUMMARY OF THE REPORT OF THE ASEAN-CHINA EMINENT PERSONS GROUP

The rapid growth of ASEAN-China relations has been a force for peace and stability in East Asia. It has also served the development of the two sides and the well-being of their peoples. ASEAN and China have, together, managed those relations in such a way as to keep themselves open to the rest of the world and integrated with the global economy. In this manner, they and the cooperation between them have contributed substantially to world peace and prosperity.

Since the establishment of diplomatic relations with all ASEAN Member Countries, China’s relations with ASEAN have been broad-ranging and multi-faceted. China was a founding participant in the ASEAN Regional Forum (ARF) and became a Dialogue Partner of ASEAN in 1996. It has been an active participant in the ASEAN Plus Three process since 1997. In 2003, China acceded to the Treaty of Amity and Cooperation in Southeast Asia. In the same year, ASEAN and China proclaimed a strategic partnership between them.

Trade between ASEAN and China has grown rapidly, reaching US$78.2 billion in 2003, a 43 percent increase from the previous year, with China importing US$47.3 billion from ASEAN, a 50 percent increase. Trade exceeded the US$100 billion mark in 2004. Investment, too, have been growing both ways, accumulating to US$36 billion by the end of 2004. At their 2002 Summit, the leaders of ASEAN and China signed a framework agreement that provides for an ASEAN-China Free Trade Area (ACFTA), pursuant to which the two sides concluded in 2004 an agreement on trade in goods and one on a dispute-settlement mechanism. ASEAN and China are now working on an agreement on trade in services and one on investment. They are also cooperating in agriculture, information and communications technology (ICT), transportation, energy, public health, culture and tourism, and in the development of the Mekong Basin.

The two sides have cooperated in dealing with “non-traditional” security issues, among them drug-trafficking, trafficking in persons, illegal immigration, sea piracy, terrorism, arms smuggling, money laundering, and international economic crime. ASEAN and China have been cooperating closely in other areas, among which are communicable diseases, including primarily SARS and avian influenza. Cooperation in culture and the arts, and educational, youth and other people-to-people exchanges is very active.

In sum, ASEAN and China, through frequent and growing interaction, have developed a solid relationship that has been a constructive element in the peace, stability and prosperity of the region and of the world. The Leaders of ASEAN and China are determined to strengthen their cooperation so that it can be an even more effective force for the advancement of their nations, the well-being of their peoples, and the building of a more peaceful and prosperous world.

In the next 15 years and beyond, ASEAN and China should strengthen and deepen their strategic partnership on all fronts with focus on economic, political and security, social, and cultural cooperation. Building on the free trade area, the two sides should exert efforts to facilitate the free flow of goods, services, capital and labour to enhance the linkages between their economies. Security cooperation needs to be enhanced to ensure and further promote harmonious relations among neighbouring countries.

Both sides should contribute to the building of peace and prosperity in the region and beyond, through the Asia Pacific Economic Cooperation (APEC), the ARF, the East Asia Summit (EAS) and the East Asian community using the ASEAN Plus Three and other regional processes. They should also strengthen cooperation to promote common interest in regional and international fora.

ASEAN and China should continue to observe the following guiding principles in developing a strong, comprehensive and mutually beneficial relationship in the next 15 years and beyond:

a. The development of relations between ASEAN and China should continue to be based on the purposes and principles of the UN Charter, the Treaty of Amity and Cooperation in Southeast Asia, the Five Principles of Peaceful Coexistence, and the Ten Principles of the Bandung Asian-African Conference.


Political/Security

Economic

The strong ties between ASEAN and its Dialogue Partners, including China, form an important component of regional cooperation. Through multilateral fora and regional mechanisms, ASEAN and China should endeavour to promote greater interaction among the political, defence and security establishments in the region. In this regard, we recommend the following measures:

The thrust of economic cooperation between ASEAN and China should be to identify areas of synergy from which both sides can mutually benefit. China’s growth presents new opportunities for ASEAN just as closer economic integration within ASEAN will benefit China. ASEAN and China should work together to promote closer economic linkages between their economies in the areas of trade, investment, finance, transport and communications, energy cooperation, tourism and infrastructural development. In this regard, we recommend the following measures:

b.

c.

d.

e.

1.

2.

3.

1.

2.

Each ASEAN Member Country conducts its relations with China along two tracks: the bilateral and the multi-lateral, which are complementary and mutually reinforcing.

ASEAN and China, in expanding the areas of cooperation, need to follow the principle of consensus and move at a pace that is comfortable to both sides.

It is important to avoid overlapping of mechanisms. ASEAN and China should, in introducing new initiatives, try as much as possible to build upon the existing processes, procedures and institutions.

In promoting regional peace and security, it is important to adopt an open and inclusive approach, and to continue to strengthen linkages that have been developed between ASEAN and its Dialogue Partners.

ASEAN and China can make an important contribution to international peace and stability by promoting confidence-building measures among themselves and with the international community through regular dialogue, exchanges and consultations at the bilateral, regional and international levels. ASEAN and China should look at the possibility of convening a Commemorative Summit in China at an appropriate time to profile the strategic partnership and chart the course for the long-term relationship.

Both sides should strengthen cooperation on transnational issues such as maritime security, illegal trafficking, terrorism, transnational crimes, and disaster relief and management. This includes capacity-building measures to strengthen the region’s capacity to deal with these challenges.

Both sides should also cooperate with one another and support international efforts in the area of disarmament and non-proliferation of weapons of mass destruction (WMD).

ASEAN and China should accelerate the pace of economic cooperation and strengthen the linkages between their economies. We encourage the early conclusion of the agreements on services and investment under the ACFTA negotiations, and enhanced cooperation in the key areas of infrastructure, transport, communications, agriculture and energy.

We further propose the establishment in Beijing of an ASEAN-China Centre, to promote trade, investment, tourism, education and cultural cooperation between ASEAN and China, with an annual ASEAN-China Expo in Nanning as part of its activities. The Centre could also provide advice and guidance to potential investors, especially small and medium enterprises (SMEs).


Socio-cultural

Conclusion

People-to-people ties are vital in bringing the region closer together. Located in a region with diverse cultures and religions, ASEAN and China should work together in building bridges amongst the communities in the region, through exchanges at various levels and in different fields. Promoting greater cultural awareness and preserving their rich and diverse heritage is part and parcel of creating a harmonious community of nations where people can live in peace and prosperity. In this regard, we recommend the following measures:

The recommendations of this report reflect the common desire of ASEAN and China to establish their relationship on a long-term basis, built upon mutual respect and trust, to the benefit of all parties.

3.

1.

2.

3

To narrow the development gaps in the region and improve the well-being of the people, ASEAN and China could cooperate towards realising the Vientiane Action Programme (VAP) and implement specific projects to promote the more rapid development of the less developed countries and sub-regions in ASEAN, and improve the quality of life of the rural and urban poor.

ASEAN and China could establish an ASEAN-China Foundation and launch a prestigious scholarship programme to promote the exchange of talented undergraduate students, post-graduate students, post-doctorate fellows and young professors between ASEAN and China. An ASEAN-China academic research network could be established to facilitate exchanges and joint projects, with a view to publishing a regional academic journal and convening regional conferences of scholars and researchers. The existing networks, linking the libraries of ASEAN and China, could be expanded to include their national museums, archives, cultural centres, arts and film festivals.

Cooperation in the areas of public health and environmental protection should be strengthened. On public health, a high-level international meeting on infectious diseases such as avian influenza should be convened to mobilise international attention and resources to address an urgent global threat. On the environment, ASEAN and China should cooperate and exchange best practices concerning the sustainable use of natural resources, the reduction of air pollution and the better management of towns and cities.

ASEAN and China could look at further promotion of open skies policy, visa-free travel, and the setting up of tourism cultural centres to promote and strengthen tourism cooperation. In the areas of youth and sports, we propose more people-to-people exchanges such as annual ASEAN-China badminton, table-tennis, basketball and soccer competitions, and annual ASEAN-China school camps, with team-building activities and visits to museums and historical places of interest to promote better mutual understanding between the young people of ASEAN and China.


3. REVIEW OF ASEAN-CHINA DIALOGUE RELATIONS

3.1 Fifteen Years of ASEAN-China Relations

Prior to 1991: Turning Confrontation and Suspicion to Dialogue and Cooperation

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Southeast Asian countries and China, as close neighbours, enjoy a long history of exchanges and interactions. Between the inception of ASEAN in August 1967 and the formal establishment of ties between ASEAN and China in 1991, relations between the two sides went through a process of evolution from confrontation and suspicion to dialogue, cooperation and strategic partnership based on equality, good neighbourliness and mutual trust.

In the early days of ASEAN, the relationship with China was characterised by confrontation and mutual distrust. The 1970s witnessed the conclusion of the Zone of Peace, Freedom and Neutrality Declaration and the Treaty of Amity and Cooperation in Southeast Asia by ASEAN, the restoration of the lawful rights of the People’s Republic of China in the United Nations and the establishment of diplomatic relations between China and Malaysia, the Philippines and Thailand.

In November 1978, during a visit to Malaysia, Singapore and Thailand, Chinese leader Deng Xiaoping expressed China’s wish to develop friendly ties with ASEAN Member Countries on the basis of the Five Principles of Peaceful Coexistence. In the following years, the issues on communist parties and the ethnic Chinese in Southeast Asia were resolved and both sides worked together successfully on the political settlement of the Cambodian problem. By 1991, China had established or resumed diplomatic relations with all Southeast Asian countries, which laid the groundwork for dialogue and cooperation between ASEAN and China. ASEAN-China dialogue relations went through three stages between 1991 and 2005:

1991-1996: Putting in Place a Comprehensive Dialogue Framework

A golden period of rapid development in Southeast Asia provided ASEAN with the opportunity to play an important role in regional affairs, with ASEAN initiating a number of regional dialogue mechanisms to promote peace, prosperity and development. After pursuing reform and opening-up for more than a decade, China saw increasing value in a peaceful and stable international environment, particularly with its neighbouring countries. With the congruence in the interests between ASEAN and China, and the political will to develop a closer dialogue and cooperation, both sides intensified efforts towards forging a lasting partnership.

In July 1991, Chinese Foreign Minister Qian Qichen attended the Opening Session of the 24th ASEAN Ministerial Meeting and held the first informal meeting with the ASEAN Foreign Ministers. At the invitation of the Chinese Vice-Foreign Minister Tang Jiaxuan, the Secretary-General of ASEAN Dato’ Ajit Singh led an ASEAN delegation for a visit to Beijing in September 1993. The two sides held exploratory talks to strengthen ASEAN-China cooperation in the fields of trade, economic relations, and science and technology and reached broad understanding in these areas of cooperation. China, in effect, became a Consultative Partner of ASEAN in 1993.

The Secretary-General of ASEAN and the Foreign Minister of China exchanged letters on 23 July 1994 in Bangkok to establish two joint committees, on trade and economic matters and on science and technology. In the same year, ASEAN and China agreed to engage in political consultations at the senior officials’ level. The first ASEAN-China Senior Officials Consultations (SOC) was held in April 1995 in Hangzhou, China. China participated in the first ARF held on 25 July 1994 in Bangkok as a Consultative Partner of ASEAN.

REPORT OF ASEAN-CHINA EMINENT PERSONS GROUP


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In 1996, China attended the 29th ASEAN Ministerial Meeting/Post Ministerial Conference (AMM/PMC) in Jakarta for the first time as a full Dialogue Partner of ASEAN. To help manage the dialogue relationship, ASEAN and China instituted an ASEAN-China Joint Cooperation Committee (JCC), which convened its inaugural meeting in Beijing in February 1997. An ASEAN-China Cooperation Fund was established to support development cooperation activities between ASEAN and China.

1997-2002: Towards Good Neighbourliness and Mutual Trust

The 1997 Asian financial crisis was an important turning point in ASEAN-China dialogue relations. China maintained a policy of not devaluing its currency despite difficulties and extended assistance to ASEAN Member Countries affected by the crisis. ASEAN recognised and acknowledged the importance of the growing Chinese economy for Southeast Asia and the commitment of China to assist and support ASEAN during the crucial period.

In December 1997, ASEAN initiated the ASEAN Plus Three (China, Japan and the Republic of Korea) Summit and an Informal Summit between ASEAN and China. This put in place a top-level mechanism of annual meetings between the leaders of both sides. The Leaders of ASEAN and China issued a Joint Statement announcing the establishment of a partnership of good neighbourliness and mutual trust oriented toward the 21st Century, mapping out the future direction for ASEAN-China dialogue relations.

Guided by the Joint Statement, political relations grew rapidly to a higher level. Between 1998 and 2000, China signed framework documents on bilateral relations or announced cooperation programmes with each of the ten ASEAN Member Countries. ASEAN and China also signed key documents on the South China Sea and on non-traditional security issues in 2002.

In 2001, Leaders of both sides identified agriculture, the information industry, human resource development, mutual investment and Mekong River Basin development as the five priorities for cooperation in the early part of the new century. In the same year, China proposed an ACFTA within 10 years’ time. Consequently, a Framework Agreement was concluded in 2002 to establish a free trade area by the year 2010.

2003-2005: Establishing a Strategic Partnership

Towards the end of 2002, China announced its development goal of building a moderately prosperous society in an “all round manner” and announced a policy of “building good-neighbourly relationships and partnerships with neighbouring countries”. In 2003, ASEAN outlined a plan for an ASEAN Community with the adoption of the Declaration of ASEAN Concord II (Bali Concord II), consisting of the three pillars of the ASEAN Security Community, the ASEAN Economic Community, and the ASEAN Socio-Cultural Community. The highly similar development goals of the two sides made possible a comprehensive upgrading of bilateral relations.

In October 2003, Chinese Premier Wen Jiabao, attending the ASEAN-China Summit, expounded on China’s foreign policy of “building a harmonious, tranquil and prosperous neighbourhood”. China acceded to the Treaty of Amity and Cooperation in Southeast Asia at the Summit, becoming the first Dialogue Partner of ASEAN to accede to the Treaty. A Joint Declaration on ASEAN-China Strategic Partnership for Peace and Prosperity was also signed at the Summit, making China the first strategic partner of ASEAN and ASEAN the first regional organisation to forge a strategic partnership with China.

With the forging of the strategic partnership, bilateral cooperation was further strengthened. In March 2004, the ASEAN Informal Foreign Ministers’ Meeting held in Viet Nam issued a Chairman’s Statement on the question of Taiwan reaffirming ASEAN’s commitment to the One China Policy. Later in September 2004, all the ASEAN Member Countries unanimously recognised China’s full market economy status. At the beginning of 2005, China and ASEAN


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Current Structure

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Political and Security

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launched the “Early Harvest” Programme (EHP) as part of the ASEAN-China free trade arrangement. In July 2005, China announced the expansion of the scope of the special preferential tariff treatment for Cambodia, Lao PDR and Myanmar.

The strategic partnership was also evident in the joint efforts to handle major natural disasters and emergencies. From 2003 to 2005, China and ASEAN cooperated effectively on SARS, avian influenza and the Indian Ocean earthquake and tsunami within the ASEAN-China dialogue and ASEAN Plus Three cooperation frameworks.

Over the last 15 years, the institutional framework to conduct ASEAN-China relations and cooperation has evolved. Today, there are 28 mechanisms within the framework to facilitate cooperation and strengthen relations.

At the apex of the framework is the annual ASEAN-China Summit, which provides the strategic direction for relations. The Summit is supported by the ASEAN-China Ministerial Meeting, which meets annually to review relations and provide policy guidance. The Ministers are supported by the ASEAN-China SOC, which focuses on strategic, political and security cooperation, and the ASEAN-China JCC, which coordinates the overall implementation of ASEAN-China cooperation and acts as the custodian of the ASEAN-China Cooperation Fund.

At the sectoral level, several mechanisms have been developed over the years, reflecting the expanding and intensifying cooperation. ASEAN-China cooperation now covers political and security; trade, investment and economic; science and technology; ICT; transport; transnational crime; and youth. In addition, the ASEAN-China Business Council helps to promote cooperation between the private/business sectors of the two sides while the ASEAN Beijing Committee, comprising the Ambassadors of ASEAN Member Countries in Beijing, helps to promote ASEAN-China relations on behalf of the ASEAN Standing Committee.

In addition, ASEAN and China interact and cooperate at other regional and multilateral fora where ASEAN plays a key role. These include the ASEAN Plus Three Summit, the APEC Economic Leaders Meeting, the Asia-Europe Meeting (ASEM), and the ARF.

China has entered into a number of political declarations and agreements with ASEAN in the area of political and security cooperation in the past four years. These include the Joint Declaration of ASEAN and China on Cooperation in the Field of Non-Traditional Security Issues and the Declaration on the Conduct (DOC) of Parties in the South China Sea, which were concluded at the ASEAN-China Summit in 2002 in Phnom Penh, Cambodia. China was the first Dialogue Partner to accede to the Treaty of Amity and Cooperation in Southeast Asia, doing so at the ASEAN-China Summit in October 2003 in Bali, Indonesia. While the signing of the DOC signalled the desire of both ASEAN and China to promote trust, confidence and cooperation and to agree on a regional code of conduct in the disputed area, the accession by China to the treaty provided further reassurance on the peace and security of the region and that the treaty would eventually become a code for inter-state relations in the region. China has also reiterated its willingness to work with ASEAN for the early signing of the Protocol to the Treaty on Southeast Asia Nuclear Weapon-Free Zone (SEANWFZ).

As a follow-up to the DOC, ASEAN and China convened an ASEAN-China Senior Officials Meeting on the Implementation of the DOC on 7 December 2004 in Kuala Lumpur, Malaysia. At the Meeting, the ASEAN-China SOM adopted the Terms of Reference for the ASEAN-China Joint Working Group on the Implementation of the


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Trade, Economy and Finance

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Declaration on the Conduct of Parties in the South China Sea. The objective of the Joint Working Group is to study and recommend measures to translate the provisions of the DOC into concrete cooperative activities that will enhance mutual understanding and trust. The Joint Working Group held its first meeting on 4-5 August 2005 in Manila. The second meeting of the Working Group has been planned for early of 2006.

ASEAN and China signed an MOU on Cooperation in the Field of Non-Traditional Security Issues in January 2004 in Bangkok to implement the Joint Declaration in the Field of Non-Traditional Security Issues. In this regard, ASEAN and China have successfully implemented all activities envisioned in the 2004 Annual Plan to implement the Memorandum of Understanding.

Trade between ASEAN and China has grown substantially since 1995. In 2003, it grew by 43 percent to a new high of US$78.2 billion, with China importing US$47.3 billion from ASEAN, a 50 per cent increase. At the ASEAN-China Summit in 2003, a target of US$100 billion by 2005 was set for the two-way trade. This target has since been surpassed, which makes China the fourth largest trading partner of ASEAN after the United States, Japan and the European Union. Bilateral trade grew at an annual rate of 39% for the period 2002-2004, reaching US$105.9 billion in 2004.

A similar positive trend can be seen in foreign direct investment between ASEAN and China. In 1991, ASEAN’s investment in China was only US$90 million but grew to US$4.8 billion in 1998. By 2001, the total Foreign Direct Investment (FDI) stood at US$26.2 billion, accounting for 6.6 percent of total FDI in China. On the other hand, China’s investment in ASEAN is small but increasing.

In November 2002, the Leaders of ASEAN Member Countries and China signed the Framework Agreement on Comprehensive Economic Cooperation, which provides for an ACFTA by the year 2010 for Brunei Darussalam, China, Indonesia, Malaysia, the Philippines, Singapore and Thailand, and by 2015 for Cambodia, Lao PDR, Myanmar and Viet Nam (CLMV). The Protocol to Amend the Framework Agreement on Comprehensive Economic Cooperation was signed between ASEAN and China in October 2003 to further regulate the acceleration of tariff reduction and elimination for products under the EHP and finalise the Rules of Origin (ROO). The EHP has been implemented since 1 January 2004.

At the 8th ASEAN-China Summit in November 2004, ASEAN and China signed the Agreements on Trade in Goods (TIG) and Dispute Settlement Mechanism (DSM) under the Framework Agreement on Comprehensive Economic Cooperation. The Agreement on TIG has been implemented since 20 July 2005, subject to the finalisation of each country’s internal procedures, while the Agreement on DSM will provide support to the smooth implementation of the ACFTA. Both sides are now working to conclude at an early date an agreement on trade in services and one on investment under the Framework Agreement.

ASEAN and China signed an MOU on Transport Cooperation on the sidelines of the ASEAN-China Summit in November 2004. The MOU will strengthen ASEAN-China transport cooperation in a more holistic and integrated manner and lays a solid foundation for medium-to long-term collaboration to support the ACFTA. So far, three projects have been implemented, and an ASEAN-China maritime transport cooperation framework agreement is being considered.

ASEAN and China are now working on an MOU on Quality Inspection and Quarantine in support of the ACFTA.

ASEAN and China, through the ASEAN Plus Three process, have achieved progress in promoting regional financial cooperation initiatives by establishing a network of Bilateral Swap Arrangements (BSAs) under the Chiang Mai Initiative (CMI) monitoring capital flows, strengthening the Early Warning System, taking steps to


Functional Cooperation

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develop domestic and regional bond markets, enhancing the effectiveness of economic reviews and policy dialogues, and exploring other modalities of regional collaboration and support mechanism.

At the ASEAN-China Summit on 6 November 2001 in Brunei Darussalam, ASEAN and China agreed to focus their cooperation on five priority areas in the early part of the 21st Century, namely, agriculture, ICT, human resource development (HRD), mutual investment and Mekong River Basin development. At the 6th Meeting of the ASEAN-China JCC in Phnom Penh on 2-3 March 2005, China proposed the inclusion of five new priority areas, namely, energy, transport, culture, tourism and public health, for ASEAN’s consideration.

In order to strengthen cooperation in the five agreed priority areas, ASEAN and China signed an Memorandum of Undestanding on Agricultural Cooperation on 2 November 2002 in Phnom Penh and an MOU on Cooperation in Information and Communications Technology on 8 October 2003 at the Bali Summit. An “ASEAN-China ICT Week” was held on 12-18 May 2005 in Beijing, Shanghai and Shenzhen.

ASEAN and China are working closely together in implementing the Mekong Basin development programmes and projects within various frameworks, such as the Greater Mekong Sub-region (GMS), the ASEAN-Mekong Basin Development Cooperation (AMBDC) and the Mekong River Commission (MRC). China has contributed US$5 million to help regulate the navigation channel on the Mekong River within the territories of Lao PDR and Myanmar. China is now a Development Partner in the Brunei-Indonesia-Malaysia-Philippines East ASEAN Growth Area (BIMP-EAGA).

ASEAN and China will be establishing an ASEAN-China Fund for Public Health to support the implementation of activities and projects related to health. At the Special ASEAN-China Leaders’ Meeting on SARS in April 2003 in Bangkok, China pledged to contribute RMB10 million to the Fund, while Cambodia and Thailand announced that they would contribute US$100,000 and US$250,000, respectively, to it.

ASEAN and China concluded an MOU on Cultural Cooperation on the sidelines of the ASEAN Plus Three Ministers Responsible for Culture and the Arts Meeting (AMCA Plus Three) in August 2005 in Bangkok. A programme framework has been developed to implement the MOU.

Cooperation in tourism with China is conducted through meetings of the ASEAN Plus Three National Tourism Organisations and ASEAN Plus Three Tourism Ministers. The cooperation activities within the ASEAN Plus Three framework would include research on tourism and information technology, seminars on hospitality and tourism, tourism publications, tourism networks, and a centre for tourism resource management.

ASEAN and China have established the Senior Officials Consultation Meeting on Youth in May 2004 and the ASEAN-China Ministers for Youth Affairs Meeting in September 2004. ASEAN and China have also convened the ASEAN-China Business Young Leaders Summit on 23-28 May 2004 in Guangxi, China.

In the area of disaster management, ASEAN and China have adopted an Action Plan to Formulate a Technology Platform for Earthquake-Generated Tsunami Warning System at the China-ASEAN Workshop on Earthquake-Generated Tsunami Warning held in Beijing on 25-26 January 2005.

In the second half of 2005, ASEAN and China will be preparing a number of activities to commemorate the 15th Anniversary of ASEAN-China Dialogue Relations in 2006. ASEAN and China have established an ASEAN-China Eminent Persons Group to assess ASEAN-China relations in the last 15 years and to come up with recommendations for strengthening future relations. The recommendations will be presented to the ASEAN-China Summit on 12 December 2005 in Kuala Lumpur.


3.1.3 Progress and Outstanding Issues

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ASEAN-China relations have developed rapidly, with the two sides enjoying good political relations, rapid progress in economic cooperation, and expanded cooperation in other fields, with strengthened mechanisms to facilitate cooperation.

On the political front, a solid foundation for the long-term ASEAN-China dialogue partnership is in place, with the establishment of a strategic partnership for peace and prosperity between the two sides. China views its relations with ASEAN as an important link in its diplomacy and a major part of its diplomatic work in the neighbouring region, while ASEAN considers China, along with its other East Asian Dialogue Partners, as an important partner for peace, progress and development in the region. Exchanges between the two sides on international and regional situations have grown. The establishment of the ASEAN-China Eminent Persons Group in 2005 is another manifestation of the growing strategic partnership between the two sides.

In the economic field, the process of establishing the ACFTA is progressing, the EHP has been carried out as scheduled and agreements on a DSM and on TIG within the Framework Agreement on Comprehensive Economic Cooperation have been signed. Tariffs have now been reduced on over 7,000 tariff lines. In 2004, trade between the two sides exceeded US$100 billion. China has set the goal for trade with ASEAN in 2010 at US$200 billion. Two-way investment has also expanded. At the end of 2004, paid-up investment was over US$36 billion. The success of the first ASEAN-China Expo in Nanning in November 2004 offered a new platform for the promotion of trade and investment. The second Expo was held on 19-22 October 2005. The two sides are now negotiating agreements on trade in services and on investment.

In the security area, China, the Philippines and Viet Nam took a crucial step in March 2005 in implementing the Declaration on the Conduct of the Parties in the South China Sea by reaching the Tripartite Agreement for Joint Marine Seismic Undertaking in the Agreement Area in the South China Sea. According to the Joint Declaration of China and ASEAN on the Cooperation in the Field of Non-traditional Security Issues, the two sides are carrying out cooperation in eight important areas: drug trafficking, trafficking in persons, illegal immigration, sea piracy, terrorism, arms smuggling, money laundering and international economic crime. In August 2005, the two sides held the second ministerial meeting on drugs control to further implement the Plan of Action of ASEAN and China Cooperative Operations in Response to Dangerous Drugs (ACCORD). They participated in the Security Policy Conference at the level of vice-defence minister within the framework of the ARF.

In other fields, ASEAN and China have signed MOUs and concluded plans for cooperation in ICT, transportation, culture and the Greater Mekong Sub-region Cooperation. The two sides are now discussing the possibility of signing MOUs on marine and quality supervision cooperation. The ASEAN Member Countries are now tourist destinations of Chinese citizens and in 2004, the tourism exchanges between the two sides surpassed 5 million person times. Non-governmental exchanges will be further enhanced by the establishment of the China-ASEAN Association. At the Eighth ASEAN-China Summit in 2004, the Chinese Premier proposed the establishment of an ASEAN-China energy ministerial meeting mechanism to make full use of the ASEAN Plus Three energy cooperation platform.

In response to natural disasters and serious emergency events, ASEAN and China assisted each other in addressing difficulties together and formulated a strategy to handle crises. In April 2003, ASEAN and China convened the Special China-ASEAN Leaders’ Meeting on SARS, making significant contributions to the prevention and control of this epidemic. In early 2004, when avian influenza broke out in some ASEAN Member Countries, ASEAN and China immediately held meetings to address the issues and find solutions. China offered ASEAN Member Countries relevant technical training programmes. Following the devastating earthquake and tsunami in the Indian Ocean on 26 December 2004, Chinese Premier attended the Special ASEAN Leaders’ Meeting


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on Aftermath of Earthquake and Tsunami and announced China’s humanitarian assistance to affected ASEAN Member Countries. China is also taking an active part in the post-disaster reconstruction.ASEAN and China have strengthened consultation and coordination on regional and international issues. The two sides have worked together to promote the healthy development of the ASEAN Plus Three cooperation, ARF, Asia Cooperation Dialogue, APEC, ASEM, Forum for East Asia and Latin America Cooperation (FEALAC) and other regional and trans-regional cooperation mechanisms. China supports ASEAN as the driving force in East Asia cooperation. With mutual understanding, ASEAN and China should continue to have dialogue and consultation with each other for promoting their common interest at the United Nations, WTO and other international organisations. ASEAN has acknowledged China as a full market economy, and China supports Lao PDR and Viet Nam in their bid for early accession to the WTO.

The positive aspects of ASEAN-China relations in the last 15 years include the following:

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At the same time, there are outstanding issues that need to be addressed in the relationship in order to further enhance the strategic partnership:

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Recognising equality and showing mutual respect: Equality among all countries of different sizes, non-interference in each other’s internal affairs, and mutual respect for each other’s choice of development path.

Seeking common ground and enhancing mutual trust while addressing issues: Find answers to problems and friction through frank dialogue and consultation based on a step-by-step process taking into account each other’s comfort level.

Securing mutual benefit and win-win outcomes: Accommodating each other’s needs, avoiding unwanted competition, and working for win-win results based on the “prosper thy neighbour” approach, thereby sharing the benefits of cooperation to the fullest extent.

Establishing appropriate mechanisms for cooperation: Mechanisms have been established at various levels for promoting regular dialogue, communication, coordination and cooperation based on agreed priorities and with a view to promoting the long-term interest of the partnership.

Mutual political trust needs to be enhanced: There is still a gap to be bridged by ASEAN and China in terms of understanding each other’s strategic intentions. In this respect, the South China Sea issue will continue to be a sensitive problem in the relations even though great strides have been made by ASEAN and China in reducing tensions in the disputed area.

The depth and breadth of cooperation have yet to match the defined strategic partnership: Greater interaction, consultation and coordination are necessary in implementing initiatives, plans and strategies, so that there is a sense of joint action and ownership of cooperation. Most cooperation activities tend to focus on information exchange, experience sharing and training. ASEAN and China need to move to the next stage of implementing activities to strengthen the partnership, identifying niches for cooperation and implementing priority flagship projects. An area that would require greater effort from both sides is cooperation on major regional and international issues.

Progress of cooperation in different fields: While ASEAN-China cooperation is planned to be comprehensive and substantive, implementation of strategies, plans and cooperation has to be further accelerated in the identified priority areas.


4. FUTURE DIRECTION

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4.2

Regional and International Environment

Key Challenges and Opportunities

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Political and Security

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The regional and international situations have changed significantly since 1991, when ASEAN-China relations entered a new phase. Although the Cold War has ended, the international situation remains fluid and uncertain. However, the vigorous pursuit of peace, development and cooperation by the people of all countries has formed a tide of history. For the countries in the region, a stable environment is essential for their continued growth and prosperity.

As the region develops, it witnesses dialogue, engagement and cooperation among the countries, especially in the Asia-Pacific region. However, it will have to manage the consequence of two forces driving the world -- globalisation and regionalisation. These trends pose challenges as well as opportunities for both ASEAN and China. Globalisation has led to a more integrated and interdependent world. It has also increased economic disparities within and between nations. At the same time, regionalisation has spread to all parts of the world. Within the region, ASEAN’s integration is proceeding steadily. It is seeking to integrate further and become an ASEAN Community by 2020. The rapid development of China helps to promote the integration and development of the region.

While globalisation and regionalisation have brought about benefits for the region and the world, they also present a number of challenges that have to be addressed collectively as a region and globally. This includes the threat of terrorism and transnational crime; the new and re-emerging infectious diseases; the HIV/AIDS problem; poverty; and the shifting of economic opportunities, advantages and competitiveness.

Regional peace and prosperity cannot be taken for granted despite the prevailing peace and stability, since there are several latent flashpoints in the region.

ASEAN can and will continue to play an important role in managing the evolving regional configuration with the support of its partners, including China. ASEAN’s relations with its Dialogue Partners, the ASEAN Plus Three process, and ongoing cooperation under other regional processes will help to strengthen these overlapping and complimentary linkages, which will ensure that the regional configuration is robust, open and inclusive.

The political and security relationship between ASEAN and China is relatively new and developing. It is marked by frequent high-level and other exchanges and dialogue at all levels, intensifying cooperation in non-traditional security issues, building confidence, and further easing tensions in the South China Sea. However, even as ASEAN and China move towards closer cooperation in these fields, they should remember that progress should be made at a pace comfortable to both sides, with confidence-building measures playing a key role in fostering a climate conducive to engagement and cooperation.

ASEAN views China as a key player in the Asia-Pacific region and attaches great importance to its relationship with China. The relationship between ASEAN and China should be considered in the broader strategic context of the Asia-Pacific region in which there are other stakeholders who have contributed and can continue to contribute to regional peace, stability and prosperity. ASEAN and China should continue to strengthen cooperation with each other and with other key players.


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Economic and Financial

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Socio-Cultural

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Emerging from the Asian financial crisis of 1997, ASEAN has made bold restructuring moves. The growth of China has fuelled the ASEAN economies’ recovery. As East Asia emerges as a core of economic activity, the pressing challenge facing ASEAN and China remains the improvement of their peoples’ livelihoods and the sharpening of the region’s competitiveness.

Guided by the ASEAN Vision 2020 and the Declaration of ASEAN Concord II of 2003, ASEAN is working towards an ASEAN Community by 2020 consisting of the security, economic and socio-cultural communities. The ASEAN Community is meant to further strengthen regional stability, prosperity and progress by ensuring peace; an integrated ASEAN economy characterised by the free flow of goods, services, and people and freer flow of capital; a vibrant and open ASEAN societies interacting with one another, where human development is given top priority; and an outward-looking ASEAN which will play a pivotal role in the international arena and in building the regional architecture.

China, too, is at an important juncture in its modernisation drive. It is pressing ahead with economic reform and opening-up which will benefit the region. Just as China’s development is closely linked with ASEAN’s prosperity, ASEAN is an important regional partner for China. It is thus imperative that ASEAN and China build a strong foundation of mutual interests, based on economic cooperation and political solidarity that allows both sides to harness their strengths and consolidate their resources to increase the dynamism and resilience of their individual economies while enhancing the region’s overall economic attractiveness and competitiveness.

To this end, ASEAN and China should focus on enhancing the economic linkages that will support the web of inter-connected trading systems that they are weaving. This would allow both sides to take advantage of opportunities generated by the region’s growth and deal with trans-boundary challenges such as environmental protection, sustainable development, conservation of energy resources and human resource development. ASEAN and China should involve more levels and sectors of society in the economic growth of the region and the further development of the ASEAN-China relationship.

Financial cooperation is an area that both sides should focus on as they build a comprehensive partnership. The Asian financial crisis has shown the importance of cooperation among the countries in the region to ensure that such a crisis does not recur in the region. The CMI and the Asian Bond Market Initiatives (ABMI) need to be further strengthened to ensure regional financial stability. The CMI should become a more effective and disciplined framework for self-help and support in addressing short-term liquidity difficulties and to supplement existing international financial arrangements. The ABMI should move towards the development of deeper and more liquid regional bond markets for the efficient allocation of the large pool of savings in Asia to finance productive investment in the region, including infrastructure development, a key to integration and economic development.

Even as ASEAN and China strive for closer cooperation in the political/security and economic spheres, they must not lose sight of the fact that their endeavours are ultimately for the benefit of their collective population of 1.8 billion people. There is therefore a need to promote greater awareness of the benefits of the ASEAN-China relationship amongst their peoples.

Historically, ASEAN has received influences from both the Eastern and the Western civilisations. People-to-people ties between ASEAN and China go back a long way. Likewise, ASEAN Member Countries’ contacts with the West have also left an enduring legacy in administration, education and ideas. The unique blend


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Human Resources and Development Cooperation

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Institutional Framework

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of the diverse cultures and peoples has given this region one of the most culturally colourful legacies in the world. The unique cultural traits of ASEAN as well as China’s long history and culture should be harnessed to reinvigorate the Asian cultural landscape. The diversity between ASEAN and China should be a force that drives them towards greater interaction and mutual understanding and appreciation. To encourage their peoples to live in harmony and respect each other’s differences, they should promote greater exchanges between youth, media, parliamentarians, cultural and art groups, social organisations, and educational institutions. This would help to create a more vibrant and well-rounded relationship between ASEAN and China.

The ASEAN Member Countries and China are developing countries. They have abundant natural resources as well as human resources. Over the years, ASEAN and China have placed emphasis on developing human resources, both in the public and private sectors, to stay competitive in the global economy.

Human resource development has been given priority in ASEAN-China dialogue relations with special focus on science and technology and information technology, which are the keys to the further development and progress of both economies as the world economy becomes more competitive and economies become more interdependent.

ASEAN and China are actively involved in the development of the Mekong sub-region. China is committed to assisting ASEAN in constructing part of the Lao PDR section of the Bangkok-Kunming Highway. China had contributed US$5 million for dredging the Mekong River within the territories of Lao PDR and Myanmar for navigation, and this was completed in April 2003. China has also provided US$1 million for the feasibility study for a new pan-Asia rail link section in Cambodia. China is committed to promoting industrial, tourism and other cooperation in the Mekong region. China is also ready to help the downstream countries in flood management, disaster reduction and the use and conservation of water resources. ASEAN and China should continue their cooperation so that the economic development of the Mekong sub-region is shared by all.

At the same time, the development of ASEAN and China will be dependent on the availability of energy. In this regard, energy cooperation will be critical for both sides’ further growth and development. ASEAN and China should continue to work closely together in energy security within the ASEAN Plus Three cooperation framework and under the ASEAN-China dialogue relations.

ASEAN-China relations have been transformed from a consultative partnership to a strategic partnership in just 12 years. While this shows the importance of relations to both sides and the high level of commitment to further strengthen relations, there is a need to look at the existing institutional framework and “working methods” to ensure that the current mechanisms will be able to propel the strategic partnership in a balanced and comprehensive manner, with both sides equally driving the process.

While the ASEAN-China Summit has become the key decision-making and direction-setting mechanism for the strategic partnership, the ASEAN-China Foreign Ministers Meeting continues to play the role of providing policy guidance and overall coordination of ASEAN-China relations. Similarly, the ASEAN-China SOC facilitates and contributes to strengthening strategic and political and security cooperation, including building confidence on the issue of the South China Sea. The ASEAN-China JCC, assisted by its Working Group, coordinates the overall implementation of ASEAN-China cooperation, including the monitoring of the implementation of the ASEAN-China Plan of Action and the utilisation of the ASEAN-China Cooperation Fund.


4.3 Vision of Future ASEAN-China Relations

68.

69.

70.

71.

72.

73.

74.

The sectoral dialogue mechanisms have assumed an increasingly important role in promoting cooperation in the priority areas identified for the dialogue relations, since cooperation is much broader and substantive now. Each of these sectors is formulating specific plans and programmes to promote cooperation and funds are being provided separately by China for such activities in most instances.

While there have been preliminary discussions between ASEAN and China on streamlining the mechanisms of the dialogue, especially with regard to the ASEAN-China SOC and ASEAN-China JCC, it has been agreed that the current structure, as it is, would be adequate to meet the needs of the strategic partnership. Attempts have been made to ensure that the scope and agenda of the SOC and JCC do not duplicate and that both mechanisms perform distinct roles. So far, there have been no real problems encountered.

As the cooperation expands and intensifies, there may be a need to develop new mechanisms. What is more urgent however, is to look at improving the “working methods”, especially in coordinating the expanding and intensifying cooperation and project implementation. This is especially so since the sectoral bodies in the dialogue framework operate independently of one another even though the ASEAN Departments in the Ministries of Foreign Affairs of ASEAN Member Countries and the Asian Affairs Department of the Ministry of Foreign Affairs of China are mandated to coordinate the overall cooperation. The primary responsibility for coordinating the dialogue partnership rests on the Country Coordinator, currently Cambodia, for the ASEAN side, and China. The country coordinatorship is on a three-year cycle. The current cycle will end in July 2006. The ASEAN Secretariat which attends all the sectoral meetings under the dialogue as well as the dialogue meetings involving the Foreign Ministries, serves as an informal interlocutor across these mechanisms and their meetings. More coordination between ASEAN and China is necessary as cooperation intensifies. ASEAN and China need to understand each other’s project approval processes to ensure that projects are approved expeditiously.

One issue that would require the urgent attention of ASEAN and China as they carry out the Plan of Action to implement the Strategic Partnership and consolidate the cooperation will be that of resource mobilisation. While China’s financial contribution to the ASEAN-China Cooperation Fund and ASEAN’s in-kind contribution to project implementation are highly appreciated, more resources will be required to implement the strategic partnership. This is especially so if ASEAN and China want to move to the next stage of implementing concrete activities and flagship projects.

The growth of China-ASEAN relations in the past 15 years has laid a solid foundation for future cooperation. In the next 15 years and beyond, China and ASEAN, with their highly similar development goals, have a good prospect of strengthening cooperation and building and giving substance to their partnership. However, confronted with both opportunities and challenges, both sides should keep the relationship in tune with the changing times.

The strategic partnership should be deepened on all fronts with focus on economic, political and security, social and cultural cooperation. Building on the ACFTA, the two sides should exert efforts to facilitate the free flow of goods, services, capital and labour to enhance the linkages between their economies. Security cooperation needs to be enhanced to ensure and further promote harmonious relations among neighbouring countries.

ASEAN and China should contribute to the building of peace and prosperity in the region and beyond, through the ASEAN Plus Three process, EAS, the East Asia community, APEC, the ARF and other regional processes and forums to realise lasting peace, stability, prosperity and development in the region and beyond. They should also strengthen cooperation to promote common interest in regional and international fora.


4.4

4.5

Guiding Principles

Recommendations

Strategic/Political and Security Cooperation

75.

76.

77.

78.

79.

80.

The relationship between ASEAN and China is a strong, comprehensive and mutually beneficial one. It is the one of the most substantive and dynamic of ASEAN’s relations with its Dialogue Partners. In order to keep the momentum and realise the above-mentioned vision through the efforts of both sides in the next 15 years, the following principles should continue to be observed.

a.

b.

c.

d.

e.

In the light of the above, we, the ASEAN-China Eminent Persons, underscore the equal importance of the ASEAN-China partnership in ASEAN’s external relations and the belief that a comprehensive approach will be needed to propel the strategic partnership in the next 15 years. The focus should not only be on enhancing and consolidating existing cooperation, but also on identifying specific niches for new cooperation in the face of the dynamic developments in the region and new and emerging challenges. We believe that cooperation should take a balanced form and be driven jointly by both sides. We also believe that the institutional framework needs to be agile and responsive to the changing needs of the partnership as it evolves.

In formulating the recommendations, we have taken into account the need to be forward-looking and bold, thereby complementing and adding value to, but not duplicating the measures in the ASEAN-China Plan of Action and ongoing cooperation. The recommendations focus on key areas and issues where relations and cooperation need to be enhanced, using an open, inclusive and win-win approach.

We have classified the recommendations into short-term, and medium and long-term measures in the key sectors of cooperation so as to prioritise their implementation and not tax the limited resources available in ASEAN and China. The short-term measures are those that could be implemented in the next 1-5 years, while the medium-term and long-term measures could be implemented anytime within the next 6-15 years.

Since ASEAN-China relations and regional economics and politics are dynamic, we propose that both sides periodically review the implementation of the measures to ensure that these continue to be relevant to the strategic partnership and to modify them to suit the changing needs.

Peace and stability in the region are an important prerequisite for the continued economic growth of

The development of relations between ASEAN and China should continue to be based on the purposes and principles of the UN Charter, the Treaty of Amity and Cooperation in Southeast Asia, the Five Principles of Peaceful Coexistence, and the Ten Principles of the Bandung Asian-African Conference.

Each ASEAN Member Country conducts its relations with China along two tracks: the bilateral and the multi-lateral, which are complementary and mutually reinforcing.

ASEAN and China, in expanding the areas of cooperation, need to follow the principle of consensus and move at a pace that is comfortable to both sides.

It is important to avoid an overlap of mechanisms. ASEAN and China should, in introducing new initiatives, try as much as possible to build upon the existing processes, procedures and institutions.

In promoting regional peace and security, it is important to adopt an open and inclusive approach, and to continue to strengthen linkages that have been developed between ASEAN and all its Dialogue Partners.


Short-Term Measures

High-Level Interactions

•

Addressing Transnational Issues

•

Cooperation in Addressing Natural Disasters

•

Energy Cooperation

•

ASEAN and China. There can be no peace without security, and no security without peace. The strong ties between ASEAN and its Dialogue Partners, including China, form an important component of regional cooperation. Through bilateral cooperation between ASEAN and China, and the multilateral fora and regional mechanisms such as the ARF, both sides will endeavour to promote greater interaction among the political, defence and security establishments in the region, as well as support confidence-building measures and enhanced dialogue. In this regard, we recommend the following measures:

High-level interactions and contacts should be further enhanced so that there will be greater comfort levels among leaders, ministers, top policy makers, officials and technical experts to discuss, respond, address and resolve urgent and other issues in the relations in a timely manner. In this regard, mutual briefings and clarifications on issues and developments in ASEAN and China as well as the regional and international outlook should become a consistent practice in ASEAN-China fora. Workshops at various levels for each side to illuminate for the other its strategic outlook and military posture could be held. Both sides could look at the establishment of a track 1.5 mechanism involving government officials, think- tanks and scholars to discuss issues that may impact the dialogue relations and to look at ways and means to strengthen the relations.

Cooperation in addressing transnational issues should continue to be an important aspect of cooperation between ASEAN and China. These issues could affect the economic dynamism of the region, have a pronounced negative social impact on their people, and affect the cordial bilateral relations. In this regard, cooperation in addressing terrorism and other transnational crimes should move forward from sharing of information and expertise to the next stage of concrete cooperation. Some of the areas that require urgent action are trafficking in persons and drug trafficking. ASEAN and China should also work on other areas such as maritime security, to contribute to the safety of the sea lanes which are crucial to the livelihood of the regional economies.

The 26 December 2004 Tsunami disaster drove home the message of the importance of regional cooperation in the field of disaster management and humanitarian relief. Natural disasters have a serious impact on the economic and social development of countries and this is compounded by the fact that many countries in the region may not have adequate capability to provide relief in calamities of major magnitude. This will require mutual assistance in mitigating the effects of disasters and for speedy relief action. ASEAN and China should develop a framework for cooperation taking into consideration ASEAN’s Regional Programme on Disaster Management, and go beyond strengthening early warning capacities. It should include a response action plan, a disaster information and communication network, research and capacity building, and public awareness and education. Premium must be placed on pre-disaster investment strategies to reduce risks through hazard management.

The continued development of the region will require a steady supply of energy resources. China is the second largest consumer as well as the second largest producer of energy in the world. The energy consumption of ASEAN is also expected to increase as the region becomes more industrialised. This


Cooperation in Multilateral Fora

•

Cooperation with the UN

•

Medium-Term and Long-Term Measures

ASEAN-China Commemorative Summit

•

Cooperation in Disarmament and Non-Proliferation

•

South China Sea Issue

•

will require ASEAN and China to work within the ASEAN Plus Three process and the dialogue process to promote energy stability, security and sustainability. ASEAN and China should coordinate efforts to integrate alternative and renewable energy sources, including biofuels, into the regional energy supply chain, undertake feasibility studies on oil stockpiles, cooperate closely in maintaining the stability of the energy market, and prepare for supply disruptions. Public discussions on the energy outlook, prospects and strategies of ASEAN Member Countries and China could be promoted to provide inputs to ASEAN-China policy makers on energy cooperation.

Cooperation in multilateral fora needs to be further enhanced. ASEAN and China are participants of many regional and international fora, processes and organisations. Therefore, there are opportunities for them to cooperate on issues of common concern and interest. By working together, ASEAN and China can make an important contribution to the interests of Asia and developing countries in an increasingly globalised world.

The UN continues to be the most important organisation for multilateralism and for meeting the challenges of the millennium. The UN, as the core of the collective security mechanism, plays an irreplaceable role in international cooperation to ensure global peace. It promotes and supports mutually beneficial cooperation to achieve common prosperity and the spirit of inclusiveness to build a harmonious world together. ASEAN and China should make concerted efforts to support and promote the role of the UN and its specialised agencies, and work with them to ensure peace, prosperity and development in the region and the world. Both should work closely with other stakeholders in promoting the UN reform agenda.

ASEAN and China should look at the possibility of convening a Commemorative Summit in China at an appropriate time to profile the strategic partnership and chart the course for the long-term relationship.

Establishing a nuclear weapons-free zone in Southeast Asia is a key commitment of the ASEAN Member Countries under the Treaty on SEANWFZ. ASEAN is an active proponent of disarmament and non-proliferation. China has announced its support for the establishment of a nuclear weapons-free zone in Southeast Asia and is committed to nuclear non-proliferation. Both sides should work closely together in regional and international fora to promote disarmament and non-proliferation. Seminars and workshops could be convened to better understand each other’s positions on these issues.

The South China Sea disputes need to be resolved even though efforts of ASEAN and China have reduced tensions in the disputed area. In this regard, discussions on United Nations Convention on the Law of the Sea (UNCLOS) and how it applies to the South China Sea could be promoted. In the longer term, ASEAN and China should work towards the conclusion of a code of conduct in the South China Sea, on the basis of consensus, to secure peace and stability in the disputed area and implement the cooperative measures in the DOC to propel the growth and development of the claimant States and the region in the future.


Economic Cooperation

Resolving Border Issues

•

Defence Cooperation

•

81.

Short-Term Measures


•

Investment and Business Cooperation

•

Moving towards resolving bilateral and maritime border disputes between ASEAN Member Countries and China will help to enhance the mutual trust and good neighbourliness between ASEAN and China. This will be clear evidence of the commitment of both sides to the partnership and will accelerate the pace of building a substantive and comprehensive partnership.

ASEAN and China should institute defence cooperation starting with holding workshops and seminars on security issues of common concern and strengthening bilateral military personnel exchanges and training. ASEAN Member Countries and China could observe each other’s military exercises and hold joint military exercises in the non-traditional security field as well as in other areas as outlined in the ASEAN-China Plan of Action.

The thrust of economic cooperation between ASEAN and China should be to identify areas of synergy from which both sides can mutually benefit. China’s growth presents new opportunities for ASEAN just as closer economic integration within ASEAN will benefit China. ASEAN and China can work together to promote closer economic linkages between their economies in the areas of trade, investment, finance, transport and communications, energy cooperation, tourism, and infrastructural development. The economic opportunities presented by ASEAN’s integration and China’s rapid development, and the closer linkages being established between ASEAN and China through the strategic partnership will enable both sides to contribute to the Doha Development Agenda. In this regard, we recommend the following measures:

Both sides should maximise the gains from the ACFTA by promoting and ensuring that the synergies from China’s economic growth and ASEAN economic integration are tapped. This will require an interlocking network of economic linkages among production bases, supply chains, services to support economic activities, and mutual investments. ASEAN and China should commission joint studies on subjects such as the promotion of two-way investments, as well as opportunities and obstacles to trade and investment. Studies should be conducted, involving regional and international financial institutions, to look into the impact of ACFTA on SMEs and farmers, and how the least developed ASEAN Member Countries could benefit from the EHP. Customs cooperation should be stepped up and harmonisation of product standards should be pursued with China taking into consideration ASEAN’s relevant agreement, including mutual recognition arrangements. Discussion on intellectual property rights (IPR) protection and enforcement should be promoted. These actions will contribute to the effective implementation of the various agreements that are already concluded or will be concluded under the FTA. Meanwhile, negotiations on the trade in services and on investment between ASEAN and China should be accelerated.

In order to strengthen cooperation in two-way investment, ASEAN and China will require enhancing the investment climate in the region. As the two economies come together, there will be a need to promote dialogue on investment policy and environment and to set up common information exchange platforms, such as linking up China’s one-stop centres with counterpart institutions in ASEAN Member Countries.


Cross Border Trade and Investment

•

Small and Medium Enterprises

•

Infrastructure and Transport Cooperation

•

Finance and Monetary Cooperation

•


•

There should be a mechanism for the business sector of ASEAN and China to inform the policy-makers on impediments to and constraints on doing business in ASEAN and China. Regular seminars on doing business in ASEAN and China should be convened.

As the economic linkages strengthen and physical interconnectivity improves between ASEAN and China, both sides should look into enhancing cross-border trade and investment and movement of people. ASEAN and China should set up specific programmes and projects to promote and facilitate border trade and investments so that these regions will also benefit from the comprehensive and substantive partnership that both sides are forging. This will also help narrow the development gap in the less developed regions of ASEAN and China.

SMEs play an important role in promoting economic growth and development in ASEAN Member Countries and China, and in ensuring that development is sustainable. ASEAN and China should cooperate in creating an environment for the SMEs to operate and grow. Both sides should promote investment, trade, technological transfer and information exchanges between SMEs in ASEAN and China so that more business partnerships and ventures will take place. In this regard, ASEAN and China should set up information web sites and organise seminars, workshops and trade fairs to promote SME cooperation. In this regard, the Nanning Expo should be recognised as a regular event for promoting trade and investment.

Good physical interconnectivity to promote economic cooperation and people-to-people contacts is indispensable for building the strategic partnership. Infrastructure and transport projects will require huge financial investment. In this respect, ASEAN and China should establish investment schemes with the assistance of their private sectors, in addition to those provided by ADB and other international financial institutions, to fund important transport and infrastructure projects of importance to ASEAN-China economic cooperation.

Financial cooperation between ASEAN and China should be given more emphasis. Cooperation needs to be intensified in the issuance of bonds to raise private capital for investments in the region. ASEAN and China could enhance cooperation on swap arrangements under the CMI to reduce the impact of liquidity shortfalls and financial instability.

Agriculture continues to be an important sector for cooperation in the light of its contribution to economic and social development in ASEAN and China, especially in addressing poverty, increasing incomes of farmers and providing better standards of living for the people. Apart from focusing on exchanging information and expertise in the field of agriculture, both sides should promote education in and awareness of the use of modern methods of farming, management of livestock, trade with small farm holders, the use of advanced science and technology to improve agricultural production, and the exchange of meteorological data. The private sectors of ASEAN and China should also explore business opportunities for joint ventures and investment in this sector in third countries.


Science and Technology

•

Narrowing the Development Gap

•



•


•

Finance and Monetary Cooperation

•

Tourism Cooperation

•

ASEAN-China Centre for Trade, Investment and Tourism Promotion

•

Science and technology is an important element and catalyst for national and regional economic advancement. ASEAN and China should continue to strengthen cooperation in science and technology, as laid out in the ASEAN-China Plan of Action, such as in the areas of ICT, biotechnology and food science.

ASEAN and China should work on narrowing the development gaps in the region as they strengthen their economic linkages. China should actively contribute and assist in the implementation of the VAP. China and ASEAN should continue their assistance to CLMV countries and other sub-regions in ASEAN under various programmes.

The ACFTA will continue to be a centre-piece of the strategic partnership. ASEAN and China should further strengthen the FTA through freer movement of skilled labour, capital, and transfer of technology. New protocols should be drawn up to promote cooperation in these areas. In order to assist relevant industries, especially the SMEs, to mitigate the impact of FTA, ASEAN and China should look at setting up a mechanism to assist the affected industries.

In order to sustain the momentum in agriculture cooperation, both sides should consider establishing a committee made up of government, academic and private representatives to coordinate projects for enhancing agricultural cooperation. The committee could identify joint efforts in promoting research activities on policies and products, networking with various agricultural institutions and agencies, and dispensing consultative services in agriculture. A research and information exchange centre in common areas of interest such as agriculture, fisheries and livestock should be established to further promote cooperation in this field.

In the longer-term, capital market linkages and listing (e.g. shares market) and greater financial market integra-tion should be promoted. ASEAN and China should pursue cooperation in liberalisation of financial services.

ASEAN and China should seize the opportunity to strengthen tourism cooperation in this area as outlined in the ASEAN-China Plan of Action. In addition, ASEAN and China could look at further promotion of open skies policy, visa-free travel and the setting up of tourism cultural centres to promote and strengthen tourism cooperation.

In order to promote trade, investment and tourism cooperation in a more integrated manner, ASEAN and China could establish an ASEAN-China Centre in Beijing. This could act as a one-stop centre for the dissemination of information; explain economic policies, rules and regulations in doing business in ASEAN


Socio-Cultural Cooperation

82.

83.

Short-Term Measures

Cooperation in Education

•

Health Cooperation

•

Arts and Culture

•

and China; and provide assistance to potential investors from ASEAN and China. Such a centre could also provide advisory services, facilitate investment decisions and promote entrepreneurial opportunities.

People-to-people ties are vital in bringing the region closer together, serving as an important bedrock for the cooperation amongst the governments. Located in a region with diverse cultures and religions, ASEAN and China can work together in building bridges across the communities in the region, through exchanges at various levels and in different fields.

Promoting greater cultural awareness and preserving the rich and diverse heritage is part and parcel of creating a harmonious community of nations where people can live in peace and prosperity. ASEAN-China socio-cultural cooperation will be an important channel through which both sides can work towards the realization of the UN Millennium Development Goals. In this regard, we recommend the following measures:

ASEAN and China should further strengthen cooperation in the field of education to create better under-standing and appreciation about the history and contemporary developments in ASEAN and China. This could include: enhanced cooperation between the ASEAN University Network and Chinese universities; more undergraduate exchange programmes and post graduate studies; setting up a university forum for ASEAN and Chinese students to exchange views and ideas; and language training to better understand the psyche of ASEAN Member Countries and China and to facilitate business connections. An ASEAN-China prestigious scholarship to promote exchanges of students and other student exchange programmes should be developed as a flagship project.

Health cooperation between ASEAN and China will increasingly be a key aspect of the ASEAN-China strategic partnership in view of the emergence of infectious diseases such as SARS and avian influenza, and the re-emergence of old infectious diseases such as malaria and dengue. ASEAN and China should place priority on implementing the actions outlined in the ASEAN-China Plan of Action in this respect. The ASEAN-China Special Fund to support bilateral efforts on SARS should be augmented and its scope should be widened to include other emerging infectious diseases such as avian influenza. Both sides could share experiences and capabilities in developing a quality generic pharmaceuticals industry to make medicines more affordable to their people and to cooperate in joint production of vaccines, traditional medicines and herbal medicines. In order to better direct and coordinate the cooperation in this important field, ASEAN and China should immediately set up an ASEAN-China Health Ministers Meeting.

Promoting arts and culture will serve to bring the societies of ASEAN and China together. ASEAN and China should better promote and market arts and culture in the region, and create educational, training and internship opportunities in the arts, culture and creative industries in the region. It should build upon the existing linkages between the libraries in ASEAN and China and extend these linkages to include museums and cultural centres. Both sides can celebrate common traditional festivals and could use these occasions to jointly organise celebrations.


People-to-People Contact

•

Youth

•


Environmental Cooperation

•

Health Cooperation

•

Arts and Culture

•

ASEAN-China Foundation

•

Contact should be further encouraged among the youth, media personnel, parliamentarians, tourists, and students, as should cultural and educational programmes. In this regard, a flagship project on people-to-people contact should be developed and launched with each year focusing on specific themes and groups. Cultural and sports activities among universities and various organisations in ASEAN and China could be organised on a regular basis to deepen understanding, and cooperation. Urban, rural and sub-regional linkages between the local governments and businesses in ASEAN and China could be promoted as well as sister cities programmes and direct partnership between provinces of ASEAN and China.

Specifically to promoting dialogue, cooperation and sharing of ideas among young entrepreneurs, both sides could look at the establishment of an ASEAN-China Youth Entrepreneurs Association. The China Youth Volunteers Programme for ASEAN Member Countries should be expanded to give the youth first-hand knowledge of working, living and contributing to the communities in the region. Likewise, more youth from ASEAN should be encouraged to undertake volunteer work in China. Cultural and sports festivals should be held regularly to promote comradeship among youth from ASEAN and China.

Environment cooperation in the ASEAN-China strategic partnership needs to be bolstered. A high-level seminar on environment policy and cooperation is needed to identify policy issues and potential areas for cooperation. Both sides undertake environment management training as they pursue economic development in a sustainable manner. In this regard, ASEAN and China could establish a Green ASEAN-China Region Agency to provide practical information and coordinate activities related to promoting public and corporate knowledge on the environment; promoting the participation of companies and communities to achieve environmental standards; and networking with the international community. At the same time, ASEAN and China should underpin their cooperation in environment by establishing a strategic framework to preserve biodiversity and improve management of natural resources.

ASEAN and China could consider setting up an information, research and development centre for infectious diseases and a promotion centre for traditional medicine.

Arts and cultural cooperation could be further enhanced with the establishment of cultural centres to promote cooperation and awareness. Both sides could also work towards a regional institute for design through a network among design schools in the region.

ASEAN and China, in promoting HRD, should consider establishing an ASEAN-China Foundation to promote scholarly exchanges, and research and training on social, cultural, educational and technical areas.


5. CONCLUSION

Institutional Framework

Poverty Alleviation

•

84.

Short-Term Measures

Review of ASEAN-China Mechanisms

•

Prioritisation of Cooperation

•

Resource Allocation

•

85.

ASEAN and China should look at ways to raise the standard of living of the marginalised groups by accelerating the goal of poverty reduction within the framework of the UN Millennium Development Goals, promoting rural development, facilitating universal access to education for increased employability, providing micro-credit for promoting entrepreneurship among the poor, strengthening social safety nets, promoting health and nutrition, and enhancing food security and safety.

The institutional framework of ASEAN and China should support the implementation of the strategic partnership, including the ASEAN-China Plan of Action. Adjustments to the various mechanisms will have to be made, if necessary, as the strategic partnership evolves. In the immediate term, ASEAN and China should look into improving the coordination mechanisms and processes so that there will be no major obstacles to the smooth implementation of the ASEAN-China Plan of Action and other ongoing and future cooperation. In this regard, we propose the following measures:

ASEAN and China should periodically review the mechanisms in the ASEAN-China dialogue relations to ensure that they continue to support the dynamic relation and take into account the ongoing developments in ASEAN and China as well as the region.

ASEAN and China should focus and prioritise the areas of cooperation in its 5-year Plan of Action so that all priority activities can be implemented as soon as possible and the limited resources could be allocated for the most important aspects of cooperation. Besides, ASEAN and China should augment the ASEAN-China Cooperation Fund so that cooperation can move from the stage of information and experience sharing to more concrete projects befitting the strategic partnership.

ASEAN and China should improve their consultation and coordination in the implementation of activities and projects. The Working Group of the ASEAN-China JCC should be convened more regularly to monitor the implementation of the cooperation projects and the ASEAN Secretariat should be provided with sufficient resources to assist in coordinating the implementation of the cooperation in all the sectors under the ASEAN-China dialogue relations.

ASEAN and China have established a fruitful partnership in the last 15 years, which has contributed to the peace and stability as well the prosperity of the region. Relations have gone from strength to strength with multi-faceted cooperation. However cooperation has yet to reach a level commensurate with the strategic partnership. This will take time as the partnership is still young. ASEAN and China will have to continue the dynamic pace of cooperation to ensure that the next 15 years will offer much more benefits for both sides. One essential element for this partnership is to ensure a healthy and open environment where ASEAN is able to continue its dynamic external relations while strengthening its partnership with China.


86.

87.

88.

89.

While there is a need to strike a balance in the key areas of cooperation, economic cooperation should continue to drive the relations, since this area will continue to act as the catalyst for putting in place a firm foundation for ASEAN-China cooperation and relations. At the same time, social and cultural cooperation, especially people-to-people contacts, will have to be enhanced and consolidated to bring about a “we” feeling among the peoples of ASEAN and China.

The institutional framework and working methods should keep in pace with the cooperation. As far as possible, existing mechanisms should be used to promote cooperation and relations so that the institutional framework continues to be nimble and simple. A practical approach should be adopted when looking at new mechanisms since resources are scarce on both sides to coordinate expanding cooperation. ASEAN and China should keep in mind the need to avoid duplication in establishing mechanisms and to avoid creating mechanisms for single issues. Multitasking existing mechanism, if feasible, should be studied.

While there are plans and programmes drawn up for enhancing cooperation, the success factor will very much depend on how these initiatives are implemented and the level of commitment from both sides as well as the resource constraints. ASEAN and China will have to factor these considerations in implementing its ongoing and future cooperation.

Since ASEAN-China relations are dynamic and continue to evolve with the changing times and situation in the region and beyond, it will be necessary for both sides to conduct regular reviews of their relations and cooperation to ensure that the measures proposed by the ASEAN-China EPG remains relevant, and to modify them to suit the need of their evolving strategic partnership.

...............................................


Background

1.

Purpose

2.

Scope of Work

3.

Composition

4.

5.

6.

At the 8th ASEAN-China Summit on 29 November 2004 in Vientiane, Lao PDR, Chinese Premier Wen Jiabao proposed to designate the year 2006 as the Year of Friendship and Cooperation between ASEAN and China to commemorate the 15th Anniversary of ASEAN-China dialogue relations. With a view to strengthening ASEAN-China cooperation, the Premier also proposed to establish an Eminent Persons Group (EPG) to take stock of ASEAN-China relations in the past 15 years and to come up with recommendations for advancing future ASEAN-China relations.

The EPG will take stock of ASEAN-China relations in the past 15 years and explore ways and means to deepen and widen the existing cooperation between ASEAN and China as well as to recommend concrete measures for deepening ASEAN-China relations in the next 15 years, taking into account existing mechanisms and documents already adopted by both sides.

The functions of the EPG will be as follows:

3.1

3.2

3.3

3.4

3.5

Each Government of the ASEAN Member Countries and China will appoint one eminent person from the political, academic, cultural, economic or business circle of their respective country to be members of the EPG, and one assistant for each EPG member;

The ASEAN Secretary-General will assign one of his senior staff members to act as a resource person and one assistant to assist in keeping records of the EPG meetings. The ASEAN Secretariat shall assist the EPG members in drafting the final report.

EPG members will participate in all activities in their personal capacity and not as representatives of their countries.

Assess ASEAN-China dialogue relations in the past 15 years;

Recommend concrete and practical measures to deepen and widen existing and future ASEAN-China strategicpartnership into comprehensive cooperation that will enhance mutual understanding and trust;

Recommend a strategy for the effective implementation of the ASEAN-China Plan of Action to Implement the Joint Declaration of the Heads of State/Government of ASEAN and China on Strategic Partnership for Peace and Prosperity;

Study the institutional framework of ASEAN-China dialogue relations and recommend measures to enhance and streamline its processes; and

Recommend strategies for ASEAN and China to constructively engage within a wider context, including moving forward the East Asia Cooperation process.

TERMS OF REFERENCE OF THE ASEAN-CHINA EMINENT PERSONS GROUP


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Chairmanship

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Reporting

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Agenda

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Funding

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Amendment

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Final Provision

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The EPG will meet at least two times, once in China and another in ASEAN, prior to the 9th ASEAN-China Summit to be held in December 2005 in Malaysia. Additional meetings could be convened, if and when necessary, as determined by the Group.

All decisions will be based on consultation and consensus.

The meeting shall be co-chaired by one EPG member from an ASEAN Member Country and one from China. The EPG will elect the Co-chairs at its first meeting. The ASEAN Co-chair will be the same person for all EPG meetings.

When the meeting is held in an ASEAN country, the Government of the country of the elected ASEAN Co-chair will host the EPG meeting.

The host country will provide secretarial services and administrative assistance for the meeting such as the arrangement of facilities and documentation.

The EPG final report recommending concrete measures for strengthening and advancing ASEAN-China partnership based on key ASEAN-China documents will be submitted to the Leaders of ASEAN and China at the 9th ASEAN-China Summit to be held in December 2005 in Malaysia, through the ASEAN-China Ministerial Meeting.

The agenda of the meeting will be prepared by the Co-chairs in consultation with all members of the Group.

Funding support for the participation of EPG members and their assistants as well as the two representatives from the ASEAN Secretariat will come from the Asian Special Cooperation Fund and/or the ASEAN-China Cooperation Fund.

This Terms of Reference can be amended by mutual agreement of the ASEAN Member Countries and China. The EPG members may also recommend amendments to the TOR through their respective countries.

This Terms of Reference shall take effect when the endorsement of the ASEAN Member Countries and China has been obtained.


BRIEF BIOGRAPHIES OF ASEAN-CHINA EMINENT PERSONS

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H.E. Tan Sri Musa Hitam (Co-chairman, Malaysia) H.E. Tan Sri Musa Hitam received his Bachelor of Arts Degree at the University of Malaya, his Masters Degree at the University of Sussex and was a Fellow at the CFIA Harvard University. He also holds Honorary Doctorates from Sussex University and University Malaysia Sabah. He is a Fellow of the Malaysia Institute of Management, and Member of the Advisory Board of the Malaysian “Journal of Diplomacy and Foreign Relations”. H. E. Tan Sri Musa Hitam held various posts at the international level at various times. These included different posts at different times with the Commonwealth and the United Nations. Before becoming Malaysia’s fifth Deputy Prime Minister and Minister of Home Affairs in 1981-1986, H.E. Tan Sri Musa Hitam held a number of key government ministerial posts, Trade & Industry, Primary Industries and Education. At National Level, H.E. Tan Sri Musa Bin Hitam was the Chairman of the Malaysia National Commission on Human Rights from 2000-2002. For his services, he was given awards by various State governments in Malaysia and the Yang DiPertuan Agong (King) awarded him a title which made him a “Tan Sri”. He is currently Chairman of two public listed companies i.e. Lion Industries Berhad and Kumpulan Guthrie Berhad and a Joint Chairman of Malaysia-China Business Council.

H.E. Qian Qichen (Co-chairman, People’s Republic of China) H.E. Qian Qichen, born in Tianjin in 1928, is a native of Shanghai. In 1954, he studied in the former Soviet Union. From 1955 onward, he served as Second Secretary in the Chinese Embassy in the former Soviet Union, Division` Director and Deputy Director-General of the Ministry of Higher Education of the People’s Republic of China. In 1972, he served as Counselor in the Chinese Embassy in the former Soviet Union. In 1974, he was Ambassador to Guinea and concurrently to Guinea-Bissau. In 1977, he was Director-General of the Information Department of the Ministry of Foreign Affairs. He became Vice Minister of Foreign Affairs in 1982 and Minister of Foreign Affairs in 1988. He served as State Councilor and Minister of Foreign Affairs from 1991 and was appointed Vice Premier of the State Council of the People’s Republic of China and Minister of Foreign Affairs in 1993. From March 1998 to March 2003, he was Vice Premier of the State Council. From 2003 to 2004, he served as a member of the UN High-level Panel on Challenges, Threats and Change.

H.E. Pehin Dato Lim Jock Seng (Brunei Darussalam) H.E. Pehin Dato Lim Jock Seng received his Degree in Social Anthropology at the University of Swansea and his Masters Degree in Philosophy and Social Anthropology from the London School of Economic and Political Science, United Kingdom. He started his career at the Brunei Museum as Deputy Director and Director and subsequently was transferred to the Ministry of Foreign Affairs of Brunei Darussalam as Director-General of ASEAN-Brunei Darussalam. He was Brunei Darussalam’s High Commissioner for New Zealand. In May 1986, he became the Director of Politics at the Ministry of Foreign Affairs and was promoted to the post of Permanent Secretary at the Ministry of Foreign Affairs in the same year. He was appointed by His Majesty Sultan Haji Hassanal Bolkiah as a member of the Privy Council in 2003 and as an official member of the Legislative Council in 2004. For his services, he was conferred the title of Pehin Menteri and Dato Seri Paduka as well as other meritorious awards by His Majesty. At present, he is the Minister of Foreign Affairs and Trade II.

H.E. Dr. Aun Porn Moniroth (Kingdom of Cambodia) H.E. Dr. Aun Porn Moniroth holds many senior and highly responsible positions in the Kingdom of Cambodia. He is the Chairman of the Supreme National Economic Council (SNEC), the think tank for all Socio-Economic matters; Adviser to the Prime Minister; and Secretary of State of the Ministry of Economy and Finance. In addition, he is a member (representing the Prime Minister) of the Board of Governors of the National (Central) Bank of Cambodia and serves as an Alternate Governor for Cambodia on the Boards of Governors for the World Bank Group and the Asian Development Bank (ADB). Dr. Aun Porn Moniroth is the author of various publications on democracy and economic development of Cambodia as well as on globalization and economic integration in the region. He holds an MA and a PhD in Political Science from Moscow State University and a Diploma in International Business from Moscow School of Business.


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H.E. Jusuf Wanandi (Republic of Indonesia) H.E. Jusuf Wanandi has long been Indonesia’s best known analyst of Southeast Asian regionalism and the politics and foreign policies of Indonesia and the United States. He holds leadership positions in the Council for Security Cooperation in the Asia Pacific, the Pacific Economic Cooperation Council, the Prasetya Mulya Graduate School of Management in Jakarta, and the Foundation of Panca Bhakti University in Pontianak (West Kalimantan). He heads the company that publishes Indonesia’s leading English-language daily, The Jakarta Post. He co-founded Indonesia’s most successful foreign-affairs think tank, the Centre for Strategic and International Studies. He has co-authored or co-edited more than a dozen books, including Europe and the Asia Pacific (1998), Security Cooperation in the Asia Pacific Region (1993), and Asia and the Major Powers (1988).

H.E. Khamphan Simmalavong (Lao People’s Democratic Republic) H.E. Khamphan Simmalavong was born in 1935. He graduated from the University of Montpellier in France majoring Economic and Trade in 1962. He started his career at the Ministry of National Economy in 1963 and then became a member of the National, Political and Consultative Council of Lao PDR in 1973 to 1975. After joining the Ministry of Foreign Affairs in 1976, he held several positions at the Foreign Service as Counselor of Economic and Trade at the Lao Embassy in Bangkok in 1977; Ambassador Extraordinary and Plenipotentiary of the Lao PDR to Thailand and concurrently covering Indonesia, Malaysia and the Philippines and also Permanent Representative of the Lao PDR to ESCAP from 1980-1990. He was appointed as Vice Minister of Commerce and Tourism in 1990. He became Ambassador Extraordinary and Plenipotentiary to the Kingdom of Cambodia in 1991 and Ambassador Extraordinary and Plenipotentiary to France, and concurrently covering Great Britain, Italy, Spain and Portugal from 1995-2002. Before his retirement, he was Vice Chairman of the External Relations Committee of the Lao People’s Revolutionary Party.

H.E. U Aung Thaung (Union of Myanmar) H.E. U Aung Thaung is currently the Minister of Ministry of Industry (1) of Myanmar. He was appointed as the Minister for Industry I in 1997. He served for thirty years in the Army starting from Second Lieutenant to Colonel. He became Tactical Commander from 1964 to 1993. He was appointed as Deputy Minister of Trade in 1993 and afterward he became Minister of Livestock and Fisheries from 1996 to 1997. For his services, he has received various awards including General Service Medal, People’s War Medal, State Peace and Tranquility Medal, Military Meritorious Service Medal, Service to the State Medal and others.

H.E. Ambassador Rodolfo C. Severino (Republic of the Philippines) H.E. Rodolfo C. Severino is a Visiting Senior Research Fellow at the Institute of Southeast Asian Studies in Singapore. Having been Secretary-General of the Association of Southeast Asian Nations from 1998 to 2002, he is working on a book on issues facing ASEAN. As a member of the faculty at the Asian Institute of Management in the Philippines in the school year 2003-2004, he lectured on regional economic cooperation, the elements of competitiveness, and leadership in the management of change. Before assuming the position of ASEAN Secretary-General, Severino was Undersecretary of Foreign Affairs of the Philippines. In the Philippine Foreign Service, Severino was Ambassador to Malaysia from 1989 to 1992 after serving in several other posts, including Washington, D. C., and Beijing, as well as in Manila. He has a Bachelor of Arts degree in the humanities from the Ateneo de Manila and a Master of Arts degree in international relations from the Johns Hopkins University School of Advanced International Studies.

H.E. Professor Tommy Koh (Republic of Singapore) Professor Tommy Koh is Ambassador-At-Large, Ministry of Foreign Affairs; Chairman of the Institute of Policy Studies, National Heritage Board and Chinese Heritage Centre. He was Dean of the Law Faculty of the National University of Singapore from 1971 to 1974. He served as Singapore’s Permanent Representative to the U.N. (New York) from 1968 to 1971 and from 1974 to 1984. He was Ambassador to the U.S. from 1984 to 1990. Profosser Koh was President of the Third U.N. Conference on the Law of the Sea from 1981 to 1982. He was Chairman of the Preparatory Committee and the Main Committee of the Earth Summit from 1990 to 1992. He served as the U.N. Secretary-General’s Special Envoy to Russia, Estonia, Latvia and Lithuania in 1993. He has been a Member of three WTO dispute panels, twice as Chairman. He was the founding Chairman of the National Arts Council and founding Executive Director of the Asia-Europe Foundation.


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H.E. Kasem S. Kasemsri (Kingdom of Thailand) H.E. Kasem S. Kasemsri is presently Chairman of the Natural Park Public Company Ltd. He is also the Honorary Chairman of the Thailand-U.S. Business Council, being the Founder and the first Chairman of the Council. Formerly a career diplomat, he rose through the ranks to become twice the Permanent Secretary for Foreign Affairs, the highest career position in 1980-1982 and 1986-1991. He was the Thai Ambassador to the Republic of Indonesia (1972-1975), the first Thai Ambassador to the People’s Republic of China (1975-1979), and the Thai Ambassador to the United States of America (1982-1986). In national politics, he was a Member of Parliament, House of Representatives in 2001-2005. He served as a Senator in 1981-1982, 1986-1989 and 1989-1991. In Government, his appointments included Minister of the Prime Minister’s Office in 1991-1992, Minister of Foreign Affairs in 1995-1996, and Deputy Prime Minister in 1996.

H.E. Nguyen Manh Cam (Socialist Republic of Viet Nam) H.E. Nguyen Manh Cam joined the Ministry of Foreign Affairs in 1952. He served as Ambassador of Viet Nam to Hungary, concurrently accredited to the Republic of Austria and the Islamic Republic of Iran in 1973. He subsequently served as Ambassador of Viet Nam to the Federal Republic of Germany, concurrently accredited to the Republic of Austria, the Islamic Republic of Iran and Swiss Confederation. In 1981, he was appointed as Vice Minister of Foreign Trade. Then he became Ambassador of Viet Nam to the Soviet Union. He was elected as Minister of Foreign Affairs at the 9th Session of the 8th National Assembly of the Socialist Republic of Viet Nam in 1991. He was member of the Defense and Security Council in 1992-2002. He was elected as Deputy Prime Minister and Minister of Foreign Affairs in 1997. After his retirement in 2002, he continued to do research on international relations.

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The Ninth ASEAN-China Summit was successfully convened on 12 December 2005 chaired by the Honourable Dato’ Seri Abdullah Ahmad Badawi, the Prime Minister of Malaysia. The Leaders of ASEAN held a productive meeting with His Excellency Wen Jiabao, Premier of the People’s Republic of China.

We reviewed the developments in ASEAN-China relations during the past year. We noted that the close ASEAN-China relations have much to offer for regional peace and prosperity. We also noted the satisfactory progress achieved in the implementation of the Plan of Action to Implement the Joint Declaration of the Heads of State/ Government of ASEAN and China on Strategic Partnership for Peace and Prosperity.

We endorsed five new priority areas of cooperation, namely energy, transport, culture, public health and tourism, in addition to the existing five priority areas of agriculture, information technology, two-way investment, human resources development and Mekong River Basin Development.

The ASEAN Leaders welcomed China’s initiative to provide another USD 5 billion of preferential loans to support projects invested by Chinese companies in ASEAN Member Countries. In the past 5 years, China has provided nearly USD 3 billion of economic assistance and concessional credit to ASEAN Member Countries. The ASEAN Leaders noted the announcement by China that it would offer USD 10 billion of concessional loans and preferential export buyer’s credit to developing countries. We also noted, with appreciation, that about one third of the loan will be provided to the ASEAN Member Countries.

We agreed on the need to strengthen cooperation on energy security, particularly on large-scale development of alternative and renewable energy sources, intensifying oil and gas exploration, and promotion of energy conservation and energy efficiency.

We agreed to commemorate the 15th Anniversary of ASEAN-China Dialogue Relations next year and call 2006 as the “Year of Friendship and Cooperation between ASEAN and China”. In this regard, we endorsed a list of commemorative activities to celebrate the 15th Anniversary of our dialogue relations. We strongly encouraged public participation in the commemorative activities. We agreed to convene the ASEAN-China Commemorative Summit next year to reaffirm our commitment to further enhance the strategic partnership and substantive cooperation.

We underscored the value of tourism to our economies and agreed to examine ways to promote tourism such as through mutual visa exemptions and open skies policy. In this regard, we tasked our Ministers and Senior Officials to study the matter.

We noted, with appreciation, the Report of the ASEAN-China Eminent Persons Group (ACEPG) on the review of the ASEAN-China dialogue relations in the past 15 years and the short and medium and long-term measures proposed to consolidate the partnership in the next 15 years and beyond. We tasked our Ministers and Senior Officials to study the measures and make appropriate recommendations for the implementation of these measures through the ASEAN-China cooperation framework.

We also exchanged views on regional and international political and economic issues of common interest and concern. In this regard, the Leaders of ASEAN commended China’s active and important role in promoting the Six-Party Talks on

Chairman’s Statement of the Ninth ASEAN-China Summit



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the nuclear issue on the Korean Peninsula. We noted that the Six-Party Talks had significantly contributed to the quest for a peaceful and comprehensive solution to the nuclear issue on the Korean Peninsula.

We welcomed the progress made by ASEAN and China towards the full implementation of the Declaration on the Conduct of Parties in the South China Sea (DoC) as we look forward to the eventual conclusion of a regional code of conduct in the South China Sea. We noted that the ASEAN-China Senior Officials’ Meeting on the Implementation of the DoC in Kuala Lumpur, Malaysia in December 2004 had established the ASEAN-China Joint Working Group on the Implementation of the DoC (ACJWG). We welcomed the convening of the First ACJWG in August 2005 in Manila, the Philippines and look forward to the convening of the Second ACJWG in Sanya, China in February 2006.

We noted with satisfaction the progress of the implementation of the ASEAN-China Joint Declaration in the Field of Non-Traditional Security Issues adopted in 2002. We welcomed the convening of the Informal ASEAN-China Ministerial Meeting on Transnational Crime on 30 November 2005 in Ha Noi, which will contribute to the strengthening of cooperation to fight against terrorism and other transnational crimes. In this light, we agreed to consider establishing linkages between ASEAN and other international organisations including the Shanghai Cooperation Organisation in the global effort against terrorism.

We also noted the progress in the ongoing negotiations towards the establishment of an ASEAN-China Free Trade Area (ACFTA). We noted with satisfaction that the Agreement on Trade in Goods under the ASEAN-China FTA has been implemented since July 2005. We urged ASEAN and China to complete their negotiations on services and investment as soon as possible. The ASEAN Leaders urged China to strongly encourage its business sector to invest in ASEAN.

We agreed to deepen our cooperation to combat avian influenza and request the Health Ministers of ASEAN and China to convene their first meeting at the soonest and to take necessary actions to prevent and combat the avian influenza, including through the setting up of a regional network of anti-viral drugs stockpile, and other emerging and re-emerging infectious diseases.

The Leaders of ASEAN congratulated China for the successful holding of the second China-ASEAN EXPO and the second ASEAN-China Business and Investment Summit in Nanning in October 2005 which have facilitated contacts among the business sectors and promoted trade and investment between ASEAN and China.

We noted the ASEAN-China ICT Week held in May 2005 in China. We noted that the digital gap remained wide and that a possible mean to narrow this gap was through making available of low cost personal computers. We welcomed the proposal to establish a China-ASEAN information superhighway. The ASEAN Leaders also welcomed China’s offer to host a technology exhibition next year and to conduct an exhibition tour of applied scientific technologies in ASEAN Member Countries.

We welcomed the adoption of the Action Plan to Formulate a Technology Platform for Earthquake-Generated Tsunami Warning System at the China-ASEAN Workshop on Earthquake-Generated Tsunami Warning in January 2005 in Beijing.

We also welcomed the establishment of the Centre for ASEAN and China Studies (CACS) in Ha Noi, Viet Nam, which will promote the exchange of ideas, and research and studies among the academics and think-tanks in ASEAN and China. The Leaders of ASEAN appreciated China’s support for the implementation of the Vientiane Action Programme (VAP) and welcomed China’s consideration to contribute to the ASEAN Development Fund (ADF).

The Leaders of ASEAN welcomed China’s intention to become the development partner of the Brunei Darussalam-Indonesia-Malaysia-Philippines-East ASEAN Growth Area (BIMP-EAGA) and also commended China’s support to ASEAN’s integration efforts through various development initiatives and schemes such as the Initiative for ASEAN Integration (IAI), ASEAN-Mekong Basin Development Cooperation (AMBDC), Greater Mekong Sub-Region (GMS) and Ayeyawady-Chao Phraya-Mekong Economic Cooperation Strategy (ACMECS).


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We supported Asia’s candidacy for the position of the United Nations Secretary-General (UNSG). In this regard, China expressed understanding to ASEAN’s candidate from Thailand, which is a positive contribution in ensuring Asia has a strong and a well qualified candidate for this important position.

We welcomed the convening of the First East Asia Summit (EAS) on 14 December 2005 in Kuala Lumpur, Malaysia. We shared the views that the EAS will be convened annually and that the EAS will play a significant role in this region to promote strategic dialogue and cooperation among the participating countries.

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