WORLD TRADE WT/L/248
2December 1997
ORGANIZATION(97-5269)
Original: English/French
ASIA-PACIFIC ECONOMIC COOPERATION (APEC)
Ninth Ministerial Meeting
Vancouver, 21-22 November 1997
ThefollowingjointstatementoftheNinthAsia-PacificEconomicCooperation(APEC)Ministerial
Meeting hasbeenreceived fromthePermanent Mission ofCanada withtherequest thatitbecirculated
toMembers.
_______________
JOINT STATEMENT
1. Ministers fromAustralia; Brunei Darussalam; Canada; Chile; thePeople 'sRepublic ofChina;
Hong Kong, China; Indonesia; Japan; theRepublic ofKorea; Malaysia; Mexico; NewZealand;
Papua NewGuinea; theRepublic ofthePhilippines; Singapore; Chinese Taipei; Thailand; and
theUnited States ofAmerica participated intheNinth Asia-Pacific Economic Cooperation (APEC)
Ministerial Meeting convened inVancouver, Canada on21-22 November 1997. Members oftheAPEC
Secretariat werealsopresent. TheAssociation ofSoutheast Asian Nations (ASEAN) Secretariat, the
Pacific Economic Cooperation Council (PECC), andtheSouth Pacific Forum attended asobservers.
Themeeting wasco-chaired bytheHonourable Lloyd Axworthy, Minister ofForeign Affairs ofCanada
andtheHonourable Sergio Marchi, Minister forInternational Trade forCanada. Ministers welcomed
thefirst“APEC Results Report ”which highlights theachievements ofallAPEC forain1997.
2. Inreviewing these results andachievements, Ministers underscored thevalue ofcooperation
instrengthening economic growth andprospects fortheregion. They reaffirmed theircommitment
topursue trade andinvestment liberalization, facilitation initiatives, andeconomic andtechnical
cooperation. They agreed thattherecent financial turbulence intheregion reinforced theimportance
forAPEC economies tolaythefoundation torealize theirlonger-term growth potential which remains
exceptionally strong. Tothisend,Ministers strongly endorsed aforward-looking approach toensure
thatthebenefits ofopeneconomies arefullyrealized.
Trade andInvestment Liberalization andFacilitation
3. Ministers welcomed progress made incontinuing theliberalization momentum through amix
ofindividual andcollective actions aswellasthrough identification ofsectors forearly voluntary
liberalization.
Individual Action Plans (IAPs): Ministers reaffirmed thatIndividual Action Plans (IAPs) are
keytotheimplementation ofAPEC ’strade agenda forfreeandopen trade andinvestment inthe
Asia-Pacific region bytheyear2010 fordeveloped economies and2020 fordeveloping economies.WT/L/248
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- Ministers endorsed theindividual andcollective initiatives completed bymember
economies in1997, thefirstyearofimplementation oftheManila Action Planfor
APEC;
- Ministerswelcomedtheimprovementsin1997showninmembers'IAPs,andreaffirmed
theircommitment toprogressive andcontinuous improvements totheirIAPswithdue
consideration totheviews ofthebroad business community inorder toreach theBogor
goals.
Ministers welcomed andencouraged theongoing process ofbilateral consultations toexchange
views onareas ofinterest andpossible improvements inIAPs. Ministers alsocommended and
encouraged thecontinuation ofvoluntary peerreviews in1997asanadditional opportunity formembers
todemonstrate theircommitment toadvancing theirIAPs.
Ministers commended theCommittee onTrade andInvestment (CTI) forimproving theformat
oftheIAPswhich willcontribute togreater transparency, facilitate review andassessment, andenhance
theirusefulnesstothebusinesscommunity.Ministersagreedtoadheretotheimprovedformatguidelines
inpreparing economies ’revised IAPs.
Ministers welcomed therecommendations oftheAPEC Business Advisory Council (ABAC)
onhowfuture plans could more effectively meet theneeds ofbusiness interms ofvalue-added to
commitments made elsewhere, transparency, specificity, andcommitment toaction. Ministers agreed
totakeaccount oftherecommendations inrevising theirIAPs andCollective Action Plans (CAPs)
in1998andfuture years, anddirected officials toreport totheminthisregard bytheJune1998Meeting
ofMinisters responsible fortrade.
4. Early Voluntary Sectoral Liberalization: Ministers recalled theinstructions oftheLeaders
inSubic toidentify sectors forearlyvoluntary liberalization, andwelcomed progress made byMinisters
responsible fortrade inMay1997 toaccelerate thisprocess. Ministers agreed topursue initiatives
forearly voluntary sectoral liberalization inaccordance withtheattached statement1,andwelcomed
thefactthatmany oftheproposals include measures thatwillpromote facilitation aswellaseconomic
andtechnical cooperation, illustrating again theintegrated nature ofAPEC 'swork. Ministers also
agreed thatother actions should betaken sothattheprocess remains consistent with, andpromotes,
further broad-based multilateral liberalization. Ministers underscored theimportance ofprogressing
toward theBogor goals, andindemonstrating APEC 'sleadership inliberalizing global trade.
5. Trade andInvestment Facilitation: Ministers welcomed theachievements under theCollective
Action Plans (CAPs), which willsignificantly lower costsandreduce barriers tothemovement ofgoods
andservices, capital, andbusiness people. Ministers endorsed work inthese areas, including:
- developmentoftheBlueprintforCustomsModernizationandotherinitiativesoncustoms
cooperation;
- establishment ofAPEC Internet sitesforbusiness information andassistance;
- progress onalignment withinternational standards;
- increased transparency foracquiring andusing intellectual property rights;
- development ofamenu ofoptions toenhance theenvironment forinvestment that
members canvoluntarily choose toinclude intheirIAPs;
- thedevelopment ofmodel mutual recognition arrangements;
- principles toguide work ondispute mediation;
1Reproduced asAnnex I.WT/L/248
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- improved mobility forbusiness people including through expanded participation in
theAPEC Business Travel Card;
- non-binding elements oftransparency ingovernment procurement;
- work tomake theAsia-Pacific information society areality;
- completion ofAPEC guidelines forthepreparation, adoption andreview oftechnical
regulations;
- providingpublicaccessibilitythroughtheInternettotheappliedtariffsofAPECmember
economies;
- action plans tocreate integrated andintelligent transportation systems;
- market andtrade information forfishing industries;
- development ofguidelines forstreamlining andmaking moretransparent thetendering,
approval, andregulatory processes forindependent power producers;
- initiatives intheTrade Promotion andTrade andInvestment DataReview Working
Groups.
Ministers welcomed theannual report oftheCommittee onTrade andInvestment (CTI), and
commended APEC foraboth fortheir implementation andimprovement ofCAPs, andforthe
comprehensive range ofshort-term deliverables contained inthereport. Theycalled forrenewed efforts
ontrade facilitation intheCTIandrelevant Working Groups through 1998, having particular regard
tothepriorities ofthebusiness sector. Ministers called forintensified work onsimplification and
harmonization ofcustoms procedures; standardized approaches toreduce andsimplify documentary
requirements (bothprintandelectronic) forbusinesses, particularly small andmedium-sized enterprises;
andencouraged participation byadditional members intheAsia-Pacific Laboratory Accreditation
Conference Mutual Recognition Arrangement recently signed among accreditation bodies infiveAPEC
economies. Ministers alsocalled forimplementation bymember economies ofthemutual recognition
arrangement developed bytheTelecommunications Working Group forcertification of
telecommunications equipment.
6. Contribution toWorld Trade Organization (WTO) Process: Ministers discussed thecontinuing
contribution ofAPEC tosupporting themultilateral trading system, andnoted inparticular thedynamic
andcatalytic rolethatAPEC plays byvirtue ofitsbroad membership, embracing bothdeveloped and
developing economies, anditscontinuing commitment toliberalization. Ministers agreed towork to
ensure thatregional andmultilateral tradeandinvestment initiatives complement andsupport eachother.
Ministers reaffirmed theprimacy ofanopen, rules-based multilateral trading system under theWorld
Trade Organization (WTO), andreiterated theirsupport fortheprompt accession totheWTO of
applicants inaccordance withWTO rules andbased oneffective market access commitments witha
viewtoachieving universality ofWTO membership.
Ministers reiterated theimportance ofimplementing fullyallexisting WTO commitments as
afoundation forfurther multilateral trade liberalization, particularly through fulfilment ofthebuilt-in
agenda oftheWTO according toagreed timetables. Ministers accordingly welcomed thesuccessful
conclusion oftheWTO Agreement onBasic Telecommunications. Ministers ofeconomies committed
toparticipating intheInformation Technology Agreement (ITA) agreed towork together toachieve
broaderparticipationandexpandedproductcoverageinthenextphaseoftheITAnegotiations.Ministers
agreed thatthesecond WTO Ministerial Conference, tobeheldinMay1998, provides atimely
opportunity totakestock ofprogress intheimplementation ofexisting commitments andonthebuilt-in
agenda andtoprovide instructions toWTO bodies ontheworknecessary toprepare asubstantive agenda
fortheWTO Ministerial Conference tobeheldinlate1999, withaviewtopursuing further broad-based
multilateral market access andother liberalization.WT/L/248
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Ministers endorsed theefforts ofnegotiators frommany APEC economies toreach asuccessful
conclusion tothenegotiations onfinancial services underway intheWorld Trade Organization bythe
deadline ofDecember 12,1997. Asagreed byFinance andTrade Ministers, asuccessful conclusion
would encompass anMFN agreement based onsignificantly improved commitments. Suchanoutcome
would enhance competition within financial systems, foster development ofregional capital markets,
promote financial integration, improve theregional capacity tointermediate savings andstrengthen
theglobal trading system.
TomaintainandstrengthenAPEC'sleadershipinmultilateraltradeliberalizationandfacilitation,
Ministers reaffirmed theirintention tocontinue topursue APEC initiatives thatsupport work inthe
WTO, including withrespect tocompetition policy, trade facilitation, transparency ingovernment
procurement anddispute mediation. They agreed thatthe50thanniversary ofthemultilateral trading
system inMay1998provides aunique opportunity tohighlight thebenefits thatthesystem hasprovided
during itsfirsthalf-century .Building onthisrecord, Ministers agreed tocontinue towork together
toidentifyandpursueallareaswhereAPECcancomplementandsupportthemultilateraltradingsystem.
7. Impact ofTrade Liberalization: Ministers reaffirmed theirstrong belief thatcontinued trade
andinvestment liberalization andfacilitation isessential toeconomic growth andequitable development
intheregion. They noted thatstudies undertaken within APEC 'sEconomic Committee confirm that
timely implementation ofcommitments made bymember economies under theManila Action Plan
forAPEC willsignificantly increase trade andoutput intheAPEC region andintheworld more
generally. Ministers acknowledged theneedtoexpand theassessment oftheimpact ofliberalization
andfacilitation, inorder topromote abroad-based andbalanced understanding ofthisissue within
domestic communities. Ministers requested thatfurther work beundertaken, andasked forareport
onprogress atthemeeting ofAPEC Ministers responsible fortrade inJune1998.
Economic andTechnical Cooperation
8. Ministers committed tofurther strengthen economic andtechnical cooperation byfully
implementing theFramework forStrengthening Economic Cooperation andDevelopment which was
agreed toin1996. Ministers alsoreaffirmed theimportance ofeconomic andtechnical cooperation
activities tostrengthen economic fundamentals andwelcomed theefforts made thisyearinthisregard.
Ministers endorsed theestablishment ofaSOM Subcommittee onEconomic andTechnical Cooperation.
Ministers emphasized thatprogress onallsixpriority areas (developing human resources;
developing sound, safeandefficient capital markets; strengthening economic infrastructure; harnessing
technologies forthefuture; safeguarding thequality oflifethrough environmentally sound growth;
andstrengthening thedynamism ofsmall andmedium enterprises) isessential toreduce economic
disparity among APEC economies, toimprove theeconomic andsocial well-being ofpeople, andto
achieve sustainable growth andequitable development intheAsia-Pacific region.
Theywelcomed theparticular emphasis given through 1997ontwopriority areas: strengthening
economic infrastructure andpromoting environmentally sustainable growth, which served toaccelerate
progress onmeeting thechallenges inthese twoareas.
Ministers commended APEC foraforengaging theprivate sector andother experts inthe
implementationoftheFrameworkforStrengtheningEconomicCooperationandDevelopment,including
through theconvening ofpublic/private dialogue sessions, business workshops andexpositions in1997,
andtheSymposium ontheimpact ofexpanding population andeconomic growth onfood, energy,
andtheenvironment (FEEEP) which brought together government, academic, non-government and
business experts.WT/L/248
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Thefollowing summarizes progress in1997 onthesixpriorities oftheFramework:
(i) Economic Infrastructure: Improved infrastructure isapressing needintheregion.
Ministers noted thatpublic funds alone cannot meettheenormous infrastructure needs
oftheregion, andreaffirmed theneedforgreater private/business sector involvement
tomeet theinfrastructure requirements intheregion. Ministers endorsed the
development oftheVancouver Framework forEnhanced Public-Private Partnerships
inInfrastructure Development andrecommended ittoLeaders fortheirconsideration.
Ministers commended theworkofAPEC Working Groups, theEconomic Committee ’s
Infrastructure Workshop, anditsassociated public/private dialogue process, in
contributing totheimplementation oftheFramework. Ministers alsorecognized that
infrastructure isacross-cutting issue andacknowledged thecontribution tothe
implementation oftheFramework byseveral sectoral Ministerial processes. Ministers
supported theproposal forafeasibility study onanAPEC network ofinfrastructure
facilitation centres asafocalpointforinfrastructure development. Ministers welcomed
themutual cooperation protocol signed byparticipating Export Credit Agencies and
Export Financing Institutions toenhance, onaproject byproject basis, theattractiveness
ofinfrastructureinvestmentforprivatesectorparticipants.MinisterscalledonallAPEC
foratocontinue toparticipate actively inaddressing theinfrastructure development
needs intheregion including:
Creating anAsia-Pacific Information Society: Ministers recognized that
telecommunicationsandinformationtechnologyistransformingsocietiesandeconomies,
andthattheAsia-Pacific Information Infrastructure (APII) isanessential foundation
toensure thecompetitiveness oftheAsia-Pacific region forthenewera.Ministers
called onAPEC economies, aswellastheTelecommunications Working Group to
implement actions necessary tomake theAsia-Pacific information society areality.
Ministers welcomed Singapore 'soffertohostaTelecommunications andInformation
Industry Ministerial Meeting in1998.
Creating anIntegrated Asia-Pacific Transportation System: Anefficient, safe,
andintegrated regional transportation system iscritical tosupport growth. Ministers
welcomed theresults from theAPEC Transportation Ministerial Meeting heldin
Victoria, June1997, including theDeclaration ofPrinciples affirming commitment
toharmonization ofCivil Aviation Safety Rules. Ministers encouraged the
implementation ofthese principles insupport ofcivilaviation safety andefficiency.
Ministers welcomed thecompletion ofthetransport congestion points study andthe
establishment ofanIntermodal TaskForce todevelop anintegrated transport system
intheregion.
Energy Infrastructure :Ministers noted thatenergy infrastructure iskeytothe
region 'sdevelopment needs andacknowledged thatplanned future work willcreate
aninstitutional andregulatory framework conducive tobusiness andinvestment, and
promote environmentally responsible practices. Ministers noted theresults fromthe
APEC Energy Ministerial Meeting heldinEdmonton, August 1997, andcongratulated
theircolleagues onproducing a"Manual ofBestPractice Principles forIndependent
Power Producers" which focuses onpromoting apredictable, transparent framework
fortendering, bidding, evaluation andapproval processes. Ministers welcomed
initiatives topromote environmentally sound regulatory practices, thedevelopment
ofnatural gasinfrastructure, andthemultilateral recognition ofenergy efficiency testing
facilities, methods, andresults. Ministers welcomed Japan'soffer tohostthenextWT/L/248
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Energy Ministerial inOkinawa, October 1998, which willdiscuss wideranging energy
challenges andpolicies.
Infrastructure forSustainable Cities :Ministers welcomed progress made in
1997indeveloping agreater understanding oftherolethatinfrastructure plays inthe
development ofcities thatareeconomically viable, environmentally sustainable, and
socially healthy. Inparticular, Ministers noted thePublic/Private Dialogue inLos
Cabos, June 1997, theSeminar onEnvironment andEconomic Policies towards
Sustainable Cities inBeijing, September 1997, andtheupcoming workshop ontheuse
ofEconomic Instruments towards Sustainable Cities inTaipei, December 1997.
Infrastructure forrural diversification andintegration :Ministers noted that
improving infrastructure inruralcommunities, including roads, telecommunications,
power generation, andcapacity building, iscritical totheregion 'sdevelopment and
cannot beoverlooked. Ministers directed APEC foratowork withtheprivate sector
andinclude intheir efforts infrastructure initiatives forpromoting integration and
diversification ofrural communities.
(ii) Environmentally Sustainable Growth: Ministers recalled thedecision toaddress
sustainable development across allofAPEC work programs andapplauded theAPEC
Cleaner Production Strategy, theStrategy fortheSustainability oftheMarine
Environment, andtheSustainable Cities Program ofAction asexamples ofcoordinated
approaches tointegrate economic, social, andenvironmental considerations intowork
programs. Ministers noted thatspecific action items wereidentified forimplementation
during theAPEC Environment Ministerial Meeting onSustainable Development in
Toronto, June1997, andinstructed allAPEC foratorapidly implement theseinitiatives.
Ministers alsorecognized thechallenge tosustainable growth posed byemerging
infectious diseases, andconcurred ontheneedforfurther collaboration.
Ministers endorsed thepledge byEnvironment Ministers thatAPEC economies must
dotheirparttoimplement global commitments, withfullconsideration ofdomestic
priorities andconditions. Inthiscontext, Ministers recognized theimportance of
effective action todealwithglobal emissions ofgreenhouse gases, andemphasized
their strong support forconstructive dialogue andsuccessful results attheThird
Conference oftheParties (COP 3)totheUnited Nations Framework Convention on
Climate Change (UN-FCCC) asanimportant steptowards meeting theobjectives of
theConvention. Ministers alsoshared therecognition ofEnergy Ministers that
enhancing energy efficiency iskeytoaddressing climate change.
FEEEP: Ministers commended thework oftheEconomic Committee andits
Task Force onFood, incollaboration with theEnergy Working Group, Senior
Environment/Economic Officials, andother APEC forainaddressing sustainability
through examining theimpact offast-expanding population andrapideconomic growth
onfood, energy, andtheenvironment ("FEEEP"). Ministers welcomed theresults
oftheFEEEP Symposium heldinSeptember 1997, Saskatoon, Canada which analyzed
linkages among theelements ofsustainability andcross-cutting themes. Ministers
welcomed theInterim FEEEP Report toLeaders andagreed thattheability toadapt
tochanging technological conditions andeconomic constraints along withbuilding
partnerships andcapacity building arekeyfactors forsuccess inthenewmillennium.
Ministers called forfurther workin1998tolaythefoundation fordiscussion byLeaders
ofpossible jointactions.WT/L/248
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Managing resources: Intheir1993 Statement, APEC Leaders envisioned a
community which could provide foramore secure future byprotecting thequality
ofair,water andgreen spaces. Ministers commended theTourism, Fisheries, Marine
Resource Conservation, Human Resources Development, Industrial Science and
Technology, Transportation, andEnergy Working Groups infostering technical
cooperation,andpromotingsustainablepracticeswhichfacilitateinvestmentandpromote
environmental protection. Ministers welcomed theestablishment oftheAPEC
Environmental Protection Centre inChina. Ministers alsonoted thecoordination of
workinrespect ofthemarine environment byagroup ofnetworks, including theOcean
ResearchNetworkforthePacific,theSustainableDevelopmentTrainingandInformation
Network, theOcean Model andInformation System fortheAPEC Region, theAPEC
Virtual Centre forEnvironmental Technology Exchange, andtheEducation-Network
(Edu-Net) under theAPEC Study Centres Consortium. Ministers applauded this
coordination andcalled onother APEC foratoadopt similar inclusive approaches.
Emergencypreparednessfordisasters:MinistersnotedthatAPECshoulddefine
itsvalue-added roleinformulating emergency preparedness anddisaster recovery
measures. Ministers called forstrengthening cooperative efforts toensure aneffective
andintegrated approach todealwiththiskeyissue. Ministers tasked Senior Officials
toexplore measures forjointaction, taking intoaccount theprograms ofother regional
andinternational bodies, andtoprovide aninter-sessional report byJune1,1998.
(iii) Small andMedium Sized Enterprises (SMEs): Ministers welcomed theresults ofthe
APEC Small andMedium Sized Enterprises (SMEs) Ministerial Meeting inOttawa,
September 1997, andapplauded thecommitment ofSME Ministers tomake changes
atthedomestic andAPEC leveltocreate business environments thatwilladdress the
special needs ofSMEs andencourage thecreation ofenterprises. Ministers also
welcomed theFramework andGuide forAPEC SME Activities which willhelpensure
thatAPEC isattuned toSME needs andwillkeepSMEs abreast ofmeasures and
activitiesundertakenacrossAPECforatoimproveaccesstomarkets,technology,human
resources, financing, andinformation. Ministers asked thatallAPEC foraintegrate
theFramework forAPEC SME Activities intotheirprograms. Ministers welcomed
Malaysia 'soffer tohostthenextSME Ministerial Meeting in1998.
(iv) DevelopingHumanResources:MinisterswelcomedtheresultsoftheHumanResources
Development Ministerial Meeting inSeoul, September 1997, which emphasized that
life-long learning andschool-to-work transition areessential tocreating anadaptable
workforce aswellasproviding individuals withrelevant skills; thatskills development
isoneofthemost important instruments foradjusting tothechanges inthelabour
market andeconomic environment; andthattherolesandcontributions oflabour and
management inattaining APEC ’sobjectives ofpromoting sustainable growth andthe
overall well-being ofthepeople intheregion areimportant. Ministers noted theUnited
States proposal tohostthenextHRD Ministerial Meeting bytheyear2000. Ministers
invited officials toplace special emphasis onhuman resource development in1998.
(v) HarnessingTechnologiesfortheFuture:Ministersnotedthemanyinitiativestopromote
technologicalmodernizationofAPECmembereconomies.Inparticulartheywelcomed:
- theinaugural meeting foranAPEC Science andTechnology Parks Network
heldinthePeople 'sRepublic ofChina, inSeptember 1997;
- theAPEC Symposium onTechnology Foresight heldinThailand, June1997;WT/L/248
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- thework oftheIndustrial Science andTechnology Working Group toincrease
mobility ofresearchers, andimproved flows oftechnological information and
technology aswellastheCleaner Production Strategy sector-based projects
intheelectronics andcomputer sector, textiles dying andfinishing sector, and
foodindustry sector; and
- theinitiativesoftheTransportation,Energy,andTelecommunicationsWorking
Groups toensure thatAPEC continues toadopt newtechnologies intothenew
millennium.
Ministers agreed thatelectronic commerce isanimportant technological breakthrough.
Recognizing theopportunities itpresents asatoolforeconomic andsocial growth,
Ministers called foraworkplan tostudy awiderange ofissues onelectronic commerce,
withaview todeveloping apredictable andconsistent environment thatenables all
APEC economies toreapthebenefits andfoster growth ofelectronic commerce.
Ministers recognized thattheprivate sector should taketheleadroleasinnovators and
developers ofthisimportant medium. Theworkplan should bereviewed attheJune
1998 Meeting ofMinisters responsible fortrade toconsider further steps.
Recognizing thevitalcontribution thatbiotechnology canmake toward expanding
agricultural andfoodproduction, Ministers encouraged theAgricultural Technical
Cooperation Experts Group tointensify science-based approaches totheintroduction
anduseofbio-technology products.
MinisterswelcomedMexico'soffertohostthethirdScienceandTechnologyMinisterial
inOctober 1998. Ministers directed officials toplace special emphasis onthistheme
in1998.
(vi) DevelopingCapitalMarkets:MinistersacknowledgedthecontinuingworkoftheAPEC
Finance Ministers onthecritical importance ofsound macroeconomic policies for
financial market stability andsustained growth. Ministers welcomed theFinance
Ministers ’work todevelop voluntary principles toguide financial andcapital market
development andtheircollaborative initiatives todeepen andbroaden domestic financial
andcapital markets.
Recognizing theimpact thatrecent currency andfinancial market instability hashad
ontheeconomies oftheregion, theMinisters welcomed theresults ofthe
18-19 November 1997meeting inManila ofFinance andCentral Bank Deputies from
severalAPECmembereconomiesthatdiscussedaNewFrameworkforEnhancedAsian
Regional Cooperation toPromote Financial Stability. They welcomed thecollective
efforts toaddress theproblems caused bytheregion 'scurrency turbulence. The
Ministers noted thatsimilar meetings, involving ASEAN, several Asian economies,
andG-15 member countries willbeconvened inKuala Lumpur inearly December.
Inviewoftheprevailing currency volatility, theMinisters agreed torecommend to
Leaders thattheyconsider thetiming ofthenextmeeting ofAPEC Finance Ministers
inorder toadopt mechanisms fortheenhancement offinancial stability intheregion.
Deepening thespirit ofcommunity
9. MinistersrecalledthatdeepeningthespiritofcommunityinaccordancewiththeAPECapproach
iscritical inexercising apositive influence intheregion andintheworld. Thisvision ofcommunity
requires thatallsectors ofsociety develop astake inthesuccess ofAPEC.WT/L/248
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APEC Business Advisory Council (ABAC) Report: Ministers discussed theimportance of
public/private dialogue andincreased interaction ofABAC intheoverall process, including sectoral
Ministerial Meetings. Ministers welcomed theevidence onhow APEC isresponding tothe
recommendations made inABAC ’s1996report. Ministers directed thatallAPEC foracontinue efforts
towork inrefining recommendations, defining priorities, andimplementing thenecessary actions.
10. Input from thebusiness/private sector: Understanding concerns ofbusinesses operating in
theregion iscentral toAPEC ’swork. Inthisregard, Ministers noted thatsectoral Ministerial Meetings
in1997 onFinance, Trade, Sustainable Development, Transportation, Energy, andSmall-Medium
Sized Enterprises allincluded dialogue sessions withbusiness. Ministers alsorecognized thatinitiatives
byAPEC fora,suchasthebusiness symposia oncustoms andinvestment organized bysubgroups of
theCommittee onTrade andInvestment, theEconomic Commmittee 'sinfrastructure Workshop
Public/Private Dialogue andtheFEEEP Symposium, theEnergy Working Group ’sAdHocBusiness
Forum, andtheAPEC-PECC dialogue involving theTelecommunications Working Group, were
innovative ways toobtain input from theprivate sector. Toensure APEC activities benefit business
inapractical way, Ministers commended theinvolvement oftheprivate sector todateinWorking
Group activities andencouraged APEC foratocontinue tobroaden engagement oftheprivate sector,
including young entrepreneurs andwomen leaders.
11. Youth: Ministers applauded theinvolvement ofyouth inAPEC activities throughout 1997
andnotedthatsectoralMinisterialMeetingsonTrade,SustainableDevelopment,Transportation,Energy,
andSMEs hadprovided forums formeaningful dialogue withyouth. Ministers welcomed theinitiatives
recognized bytheHRD Ministerial Meeting which commended youth delegations forcreating an
Electronic Sourcebook onwork, study andexchange opportunities intheAPEC region, andtheproposal
toinaugurate anAPEC Youth Skills Camp. Ministers encouraged member economies tosupport these
initiatives.
12. Women: Ministers noted theattention paidtogender issues inAPEC fora,including inthe
Industrial Science andTechnology, Human Resources Development, Tourism, andTransportation
Working Groups, aswellasthePolicy Level Group onSMEs andSenior Environment Officials.
Ministers welcomed theofferofthePhilippines tohostaMinisterial Meeting onWomen in1998 in
Manila, focusing onwomen andeconomic development andintegrating women intothemainstream
ofAPEC activities.
13. People-to-People linkages: Ministers noted thatinvolving allsectors ofsociety, particularly
thoseineducationandbusinessisimportantinpolicy-makingtopromotesustainablegrowthandequitable
development. Inthisregard, theywelcomed theaccomplishments in1997 including theparticipation
ofsuch stakeholders atanumber ofAPEC forameetings, theopening oftheAPEC Education
Foundation 'sGrants andProgram Secretariat inSeoul, Korea anditsadministrative office inMonterey,
USA.Ministersalsonotedthe1997contributionsoftheAPECStudyCenterstoAPEC’sworkprogram,
including theConsortium Meeting which helped focus analysis more closely onissues important to
APEC.
Ministers discussed thequestion ofAPEC ’sengagement withbroader sectors ofsociety that
areaffectedbyimpactsofeconomicgrowthandliberalization.Ministersagreedingeneralthateconomic
adjustment andgrowth canbemost effectively addressed when governments andconcerned sectors
ofsocietyworktogetherinharmony.MinistersnotedrelatedactivitiesunderwayintheHumanResource
Development (HRD) Working Group asendorsed bytherecent HRD Ministerial Meeting, andcalled
ontheWorking Group tocontinue itswork inaddressing these issues.WT/L/248
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Organizational andBudget Issues
14. Ministers endorsed:
(i) the1997 annual report oftheCommittee onTrade andInvestment andagreed with
itsrecommendations. Ministers commended theCommittee anditssub-groups for
theircomprehensive work inadvancing thetrade andinvestment liberalization and
facilitation agenda;
(ii) the1997 annual report oftheEconomic Committee andcommended thework ofthe
Committee anditssub-groups ontheEconomic Outlook, theTrade andInvestment
Liberalization andFacilitation related studies, andprogress onexamining theimpact
ofexpanding population andeconomic growth onfood, energy, andenvironment and
thecontributions totheinfrastructure initiative;
(iii) the1997annual report oftheBudget andAdministrative Committee andcommended
thecommittee foritsworkduring theyearinevaluating project proposals, streamlining
procedures, andenhancing operation andadministrative efficiency andeffectiveness,
including thede-classification ofAPEC documents forpublic access.
Ministers alsonoted theresults of1997work fromthetenAPEC Working Groups andother
APEC fora, namely theEnergy, Fisheries, Human Resources Development, Industrial Science and
Technology, Marine Resource Conservation, Telecommunications, Tourism, Trade andInvestment
DataReview, Trade Promotion, andTransportation Working Groups; aswellasthePolicy Level Group
ofSmall-Medium Enterprises, Agricultural Technical Cooperation Experts Group, andSenior
Environment/ Economic Officials, anddirected these foratocontinue theimplementation ofthe
Framework forStrengthening Economic Cooperation andDevelopment through coordinated initiatives.
15. Ministers endorsed theSOM Chair’sReport onOrganizational Issues andinstructed officials
toimplementtherecommendationscontainedinthereportandsupportingdocuments.Ministersapproved
the1998budget of$7,551,139. Ministers alsoapproved the1998contribution ofmember economies
of$US3,864,000.
16. Report oftheAPEC Secretariat: Ministers expressed appreciation forthework donebythe
Executive Director, Ambassador JackWhittleon, andstaffoftheAPEC Secretariat insupporting the
various APEC Committees andWorking Groups andtheAPEC process asawhole.
Membership andParticipation Issues
17. Membership:MinistersendorsedtheGuidelinesonAPECMembershipandundertooktoconsider
theminfuture deliberations onthismatter. Avariety ofviews wereexpressed onthenumber ofnew
members tobeincluded andthetiming. However, thefinaldecision onthismatter waslefttoLeaders.
18. Non-memberparticipationinAPECfora:Ministersnotedtheincreasednon-memberparticipation
inWorking Group activities following theadoption oftheConsolidated Guidelines onNon-member
ParticipationinWorkingGroupActivitieslastNovember.MinistersfurtherendorsedtheSOMdecisions
onapplication oftheConsolidated Guidelines.WT/L/248
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Other Matters
19. Future Meetings: Ministers thanked Malaysia forthevaluable briefing onthepreparations
fortheTenth APEC Ministerial Meeting, andlookforward totheirnextmeeting inKuala Lumpur
in1998. Ministers alsothanked NewZealand andBrunei Darussalam fortheirupdates onplans for
theEleventh andTwelfth Annual Meetings, which willbeheldintheirrespective economies. Ministers
welcomed theannouncement thatthePeople 'sRepublic ofChina willhosttheThirteenth Meeting in
theyear2001.WT/L/248
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ANNEX I
EARLY VOLUNTARY SECTORAL LIBERALIZATION
Annex totheMinisters ’Joint Statement
InMontreal, theAPEC Ministers Responsible forTrade affirmed thatAPEC should continue
toactasacatalyst forpromoting tradeandinvestment liberalization globally. Recalling theleadership
rolethatAPEC played inensuring thesuccessful conclusion oftheInformation Technology Agreement,
theyalsoreaffirmed their determination tocontinue APEC 'sleadership andcredibility intrade
liberalization inaccordance withthegeneral principles setoutintheOsaka Action Agenda.
They therefore agreed toidentify in1997 potential sectors forearly voluntary liberalization,
responding tothechallenge presented byAPEC Economic Leaders inSubic "toidentify sectors where
earlyvoluntary liberalization would haveapositive impact ontrade, investment, andeconomic growth
intheindividual APEC economies aswellasintheregion, andsubmit recommendations tousonhow
thiscanbeachieved".
They directed officials toexamine themerits ofpursuing liberalization insectors, including
those thatsupport enhanced infrastructure andsustainable development, having regard to:
- encompassing, totheextent possible, tariff andnon-tariff dimensions andelements
offacilitation andeconomic andtechnical cooperation;
- thefullest possible private sector input, consultation andsupport, including through
theAPEC Business Advisory Council (ABAC); and
- critical mass, bydeveloping initiatives supported bysignificant groups ofAPEC
members, taking intoaccount thedifferent levels ofeconomic development anddiverse
circumstances ofAPEC member economies and,where appropriate, forincorporation
totheWTO.
Thisinitiative complements theIndividual Action Plan(IAP) process, which theyagreed in
Montreal iskeytotheimplementation ofAPEC 'strade andinvestment agenda. Thelaunch ofthis
process signals APEC members ’clearcommitment topromote economic growth based onasubstantial
programme oftrade liberalization intheregion. Ministers agreed thatother actions should betaken
sothattheprocess remains consistent with,andpromotes, further broad-based multilateral liberalization.
Inresponse totheinstructions ofMinisters Responsible forTrade, 41sectors wereproposed
forourreview andconsideration. Thebreadth ofparticipation byAPEC members andthediverse
range ofsectors nominated isindicative ofthehighlevel ofsupport intheregion forfurther trade
liberalization. Wehaveclosely examined themerits oftheseproposals andhavegiven fullconsideration
tothelevels ofsupport for,theeconomic significance of,andtheinternal balance thathasbeendeveloped
within, specific proposals. Fifteen proposals havebeenidentified asenjoying themostsupport among
member economies.
These are:
- environmental goods andservices - energy sector
- fishandfishproducts - foodsector
- toys - natural andsynthetic rubber
- forest products - fertilizersWT/L/248
Page13
- gems andjewellery - automotive
- oilseeds andoilseed products - medical equipment andinstruments
- chemicals - civilaircraft
- telecommunications mutual recognition arrangement (MRA)
Weagree topursue anongoing programme ofvoluntary liberalization withrespect tothese
sectors. Weaffirm ourcommitment tocontinue developing liberalization initiatives among APEC
members, andtobuildonAPEC ’searlyvoluntary liberalization inthesesectors asabasisforextending
participation beyond ourregion and,where appropriate, forincorporation intotheWTO.
Recognizing theneedforabalanced andmutually beneficial package, andrecalling thatthe
process ofearlyliberalization isconducted onthebasisoftheAPEC principle ofvoluntarism, whereby
eacheconomy remains freetodetermine thesectoral initiatives inwhich itwillparticipate, wetherefore
callforthedevelopment ofappropriate agreements orarrangements formarket-opening andfacilitation
andeconomic andtechnical cooperation measures, based onexisting proposals inthefollowing sectors:
- environmental goods andservices - energy sector
- fishandfishproducts - toys
- forest products - gems andjewellery
- medical equipment andinstruments - chemicals
- telecommunications mutual recognition arrangement (MRA)
Werecommend thatLeaders endorse members beginning immediately tocomplete thework
onthese proposals through finalizing thescope ofcoverage, flexible phasing, measures covered and
implementation schedule, including choice ofmeasures andinstruments forimplementation based on
theexisting proposals, foreachofthese sectors. Wewould likethiswork tobeconcluded inthefirst
halfof1998withaviewtocommencing implementation wherever possible in1999. Wewillmaintain
under review ourprogress, andwilluseallappropriate opportunities todosothroughout thefirsthalf
of1998, including atthemeeting ofMinisters Responsible forTrade inKuching, Malaysia, inJune,
1998.
Wenotethatthere isbroad interest among APEC members intheremaining 6sectors.
Liberalization initiatives inthesesectors would alsoproduce economic benefits formember economies,
andcontribute toabalanced andmutually beneficial outcome, buttheyrequire further preparatory
work. Wetherefore direct Senior Officials tofurther develop proposals fromtheseremaining candidates
forourassessment andreview nextJune, andpossible recommendation toLeaders nextNovember.
Wealsoremain opentoconsidering other sectors forearly voluntary liberalization asopportunities
arise.
Wewelcome theinitiatives ofsome members tosubstantially reduce alltariffs ortoeliminate “nuisance
tariffs ”(oflessthantwopercent). Werecommend toLeaders thatmembers beencouraged tocommit
intheirIAPtoreview options forundertaking suchinitiatives.
Wealsonotethesignificant support andinterest ofanumber ofmember economies inadvancing
work relating toanumber ofhorizontal orcross-cutting issues, suchascompetition policy, government
procurement, intellectual property rights andinvestment. Wetherefore direct Senior Officials toentrust
theappropriate existing APEC foratodiscuss these proposals forpossible inclusion intheirwork
programmes.