WORLD TRADE
ORGANIZATIONWT/L/375/Add.1
6 December 2000
(00-5298)
Original:  English
APEC 2000 LEADERS’ DECLARATION
Bandar Seri Begawan, 16 November 2000
Communication from Brunei Darussalam
Addendum
The following communication, containing the Joint Statement of the Twelfth APEC
Ministerial Meeting, has been received from the Permanent Mission of Brunei Darussalam with the
request that it be circulated to the General Council as an addendum to the document WT/L/375.
_______________
TWELFTH APEC MINISTERIAL MEETING
Bandar Seri Begawan, 12-13 November 2000
Joint Statement
I. INTRODUCTION
1. Ministers from Australia; Brunei Darussalam; Canada; Chile; the People's Republic of China;
Hong Kong, China; Indonesia; Japan; the Republic of Korea; Malaysia; Mexico; New Zealand; Peru;the Republic of the Philippines; Russia; Singapore; Chinese Taipei; Thailand; the United States of
America; and Viet Nam participated in the Twelfth Asia-Pacific Economic Cooperation (APEC)
Ministerial Meeting in Bandar Seri Begawan on 12-13 November 2000. The APEC Secretariat was
present. The Association of South-East Asian Nations (ASEAN) Secretariat, the Pacific Economic
Cooperation Council and the Pacific Island Forum attended as observers.
2. The meeting was chaired by the Honourable Abdul Rahman Taib, Minister of Industry and
Primary Resources, of Brunei Darussalam, and Her Royal Highness Princess Masna, Acting Minister
of Foreign Affairs, of Brunei Darussalam. The main theme for APEC 2000, Delivering to the
Community , signified the need for sustaining economic growth to raise incomes and reduce poverty in
the region. Thus, the agenda of the meeting was organised in accordance with the three themes:
- Theme 1:  Building Stronger Foundations;
- Theme 2:  Creating New Opportunities;  and- Theme 3:  Making APEC Matter More.
3. Global and regional macroeconomic conditions have boosted the confidence for better
prospects and economic outlook for the APEC region. However, economies should continue to reform
and restructure in enhancing the sustainability of growth. The full realization of the potential ofWT/L/375/Add.1
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economic growth depends on close cooperation between government and business, as well as among
economies in harnessing vast opportunities presented by globalization and APEC's commitment
towards the open trading system. This potential for a huge increase in prosperity would require
continuous efforts in strengthening the APEC c ooperation agenda that would enable developing
economies to participate more meaningfully in the globalized economy. In spite of the manyachievements by APEC, much remains to be done. Against this backdrop of new opportunities and
challenges, APEC Ministers met to discuss and advance regional economic cooperation for common
prosperity in the APEC region.
II. BUILDING STRONGER FOUNDATIONS
4. Ministers reaffirmed their commitments to the Bogor goal of free and open trade and
investment. After a decade of progress, Ministers considered that the years ahead offered APEC
economies wide ranging opportunities for further grow th that must be seized. However, there would
be many challenges and APEC needed to explore more creative and efficient ways to prepare each of
its members as they move towards the Bogor goal. APEC’s shared goal of economic prosperity and
social improvement would be made possible through building upon the solid foundations which
APEC economies had laid over the last decade and through continued cooperation in building
capacity. Such efforts would help economies realiz e their growth potential and transform that into
higher living standards. It would also enhance APEC’s ability to play a stronger leadership role in
international fora and act as a force for growth in international markets.
1. Trade and Investment Liberalization and Facilitation (TILF)
(a) Individual Action Plans
5. Ministers reaffirmed APEC’s unique approach in advancing liberalization and facilitation
goals through the process of individual and collective actions.
6. Ministers commended the e-IAP initiative as an effective response to calls by business to
make Individual Action Plans (IAPs) more transparent, specific and comprehensive. Ministers
welcomed the work undertaken to improve the IAP mechanism through its transformation into an
electronic medium to improve their usefulness and accessibility for the business community andpolicy makers. Ministers endorsed these landmark developments including the proposed 2000 IAP
Format Guidelines for the new e-IAPs and concluded that the new format made the IAP system a
more effective mechanism to reflect and encourage progress towards the Bogor Goals. Ministers
expressed their appreciation for Microsoft Corporation’s sponsorship of and contribution to the e-IAP
system. This development together with the streamlining of the reporting requirements would enable
the business community to plan with more certainty and benefit more quickly from the liberalization,
facilitation and deregulation processes which APEC economies were undertaking to improve thebusiness environment. Ministers recognized that the e-IAP system could be further refined based on
experience with using the system and requested officials to report its progress to the Ministers
Responsible for Trade (MRT) Meeting in 2001.
7. Ministers were encouraged by the improvements in IAPs submitted by economies in 2000 and
by the firm commitment demonstrated by economies to progressively and continuously improve theirindividual plans to reach Bogor goals. Ministers commended those economies that had made use of
the new electronic format this year and agreed for all members to use the new e-IAP system for their
2001 IAP submissions.
8. Ministers reiterated their support for the ongoing process of peer reviews by which economies
demonstrate their commitments to further improve their individual plans and provided an additionalopportunity for members to conduct close consultations on how this would be done. Guided by theWT/L/375/Add.1
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Osaka Action Agenda (OAA) principles, Ministers endorsed a set of recommendations to improve the
rigour and profile of the peer review process which called for regular, focused and manageable peer
reviews without compromising their voluntary nature. Ministers commended China, Indonesia,
Mexico, Peru, Singapore, Chinese Taipei and Thailand for submitting their IAPs for peer reviews this
year and welcomed the offer from Canada and Russia to do so in 2001. Ministers also took note of theparticipation of business in some of these peer reviews and welcomed this invitation on a voluntary
basis in the peer review process.
9. Ministers acknowledged the importance of st rengthening the foundation of APEC and of
forging closer relationships with business and th e community at large in their effort to achieve
economic growth and equitable development through trade and economic cooperation. They agreed it
was imperative for APEC to continually build upon its successes and ensure that its work remained
relevant in order to face the emerging global challenges and take up new opportunities in the comingcentury. Ministers reaffirmed the decision made  at the MRT Meeting in Darwin to adopt a
comprehensive approach in reviewing and building upon the OAA guidelines. Ministers
acknowledged the initial work undertaken thus far and instructed officials to finalise the work, taking
into account the views of ABAC, and submit thei r recommendations to the MRT Meeting in 2001.
(b) Collective Action Plans, including Early Voluntary Sectoral Liberalization and Trade
Facilitation
10. Ministers approved and endorsed the annual report of the Committee on Trade and
Investment (CTI) and its recommendations. They noted the enhancement of Collective Action Plans
(CAPs) and considered that the increased transparen cy of trade and investment policies would provide
greater certainty and predictability for the business community and would result in lower transactioncosts for business. Ministers endorsed and highlighted some key outcomes in 2000 which include:
- Expansion of the CAPs to intensify work on non-tariff measures (NTMs);
- Principles and Features of Good Practice for Technical Regulations and Information
Notes;
- Broadening of the CAPs to include “paperless trading” for customs procedures;  and- Completion of the APEC Policy Framework for work on services.
11. Ministers approved the priority areas proposed by the CTI for 2001 and called on officials to
explore new ways of enhancing the effectiveness of the work programmes. Ministers stressed theimportance of working closely with the business community, including ABAC, in this process to
ensure that APEC’s work remained dynamic and relevant.
12. Taking into account the importance of ensuring  stable investment flows into APEC region,
Ministers welcomed Russia’s offer to host the Third Investment Mart and Seventh Investment
Symposium in Vladivostok in 2002.
(c) Early Voluntary Sectoral Liberalization
13. Ministers noted the many activities under the EVSL initiative, including a wide-range of
surveys and sectoral seminars/workshops to progress the work on non-tariff measures (NTMs),
facilitation and ECOTECH. In particular, Ministers welcomed the consolidation of the NTMs work
programme and tasked the CTI to further develop additional collective actions on NTMs by the nextMinisterial Meeting. Ministers also called on the relevant APEC fora to consider appropriate
ECOTECH programmes to assist in this process.WT/L/375/Add.1
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14. Ministers also welcomed progress made in 2000 in the APEC Auto Dialogue, and encouraged
further such progress at the next Dialogue in Thailand. Ministers welcomed the initiative to establish a
Chemical Dialogue comprising go vernment and industry representatives. Such public-private sector
dialogues were important for improving the mutual understanding of key imperatives for the
development of future policy and for enhancing the competitiveness of the industry.
(d) Trade Facilitation
15. Ministers reviewed recent APEC advances in improving trade and investment facilitation and
agreed that this had immediate benefits for busi ness and was taking APEC economies toward the goal
of free and open trade and investment. Ministers noted the accomplishments in the work on the rapid
exchange of information and increased transparency in testing and certification requirements in the
region, APEC Business Travel Card, launch of the BizAPEC.com  website, APEC: Getting Results for
Business and the 2000 SCCP Blueprint: Meeting the Challenges of Modern Business Environment .
Ministers requested APEC fora to continue this work and explore new areas and ways of taking it
forward because of the direct benefit it has in reducing transactions costs for business and consumers.
16. Ministers agreed that trade facilitation must remain a priority issue. They welcomed initial
work on developing a set of non-binding principles on trade facilitation and instructed officials to
complete this work and report it for the consideration of Ministers Responsible for Trade inJune 2001. Ministers noted that the work on the non-binding principles on trade facilitation could also
be a useful contribution to the WTO. Ministers recognized the outcome of an APEC Workshop on
Trade Facilitation in the Asia-Pacific and instructed officials to consider Canada’s proposals on trade
facilitation in the next year’s process.
2. Strengthening the Multilateral Trading System
17. Ministers expressed their firm commitment to open regionalism and strong support for the
primacy of the multilateral trading system. They agreed that the system should respond to the needs of
the globalized economy of the 21
st Century and that trade liberalization under WTO rules is a dynamic
force for accelerating growth and development. Ministers also agreed that better communication of
the importance of the WTO in fostering growth in the global economy would broaden support forfurther trade liberalization.
18. Ministers reiterated their commitment to building the capacity of developing economies to
implement WTO agreements and to more fully participate in the multilateral trading system. They
endorsed the strategic APEC plan as a basis fo r concerted action to enhance capacity for full
participation in the WTO and agreed on the importance of implementation as early as possible. They
welcomed the fact that this strategic plan was tailored to offer specific programmes to respond to
individual needs. They also decided that both de veloped and developing members would prioritize as
appropriate the plan in the developmental programmes, and that priority should be given in allocating
the APEC TILF fund to finance possible programmes in accordance with the established TILF
approval process. Ministers also decided that members would pursue collaboration with relevant
international organizations such as the World Bank and the Asian Development Bank in
implementing this plan.
19. Ministers reaffirmed their strong commitment to the launch of a new round of multilateral
trade negotiations at the earliest opportunity. They agreed that the successful and expeditious launch
of a new round requires an agenda that is balanced and sufficiently broad-based to respond to the
interests and concerns of all WTO Members. With this in mind, they called on delegations in Geneva
to agree on an agenda in 2001 and urged all WTO Members to muster the political will and exerciseflexibility. Ministers also commended the confidence-building measures adopted in the WTO,
including those on market access for least-developed countries and those addressing concerns overWT/L/375/Add.1
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aspects of the implementation of WTO agreements. They committed to seriously address all issues
relating to implementation.
20. Ministers reaffirmed that the concerns of developing economies should be addressed through
enhanced attention to the effective implementation of special and differential treatment and ongoing
support for capacity building and technical assistance, so as to facilitate their ability to participatefully in the WTO.
21. Ministers welcomed the commencement in Geneva of the mandated negotiations on
agriculture and services. Acknowledging the agreement reached by Ministers in Auckland last year
concerning the negotiations on agriculture and services, they encouraged meaningful progress in these
areas.
22. Ministers noted APEC’s expertise in the areas of services and supported efforts to use that
expertise to add impetus to the negotiations. They agreed on the importance to business of continuingto advance trade facilitation measures, including through the work of WTO services bodies. Ministers
also recognized the contribution economic and technical cooperation could make to the WTO services
negotiations.
23. Ministers urged all WTO Members to contribute positively to the WTO preparatory work on
industrial tariffs and other related areas, as part of the preparation for a new round, without prejudiceto the overall agenda for negotiations.
24. Ministers reaffirmed their commitment to the APEC-wide moratorium on the imposition of
customs duties on electronic transmissions until the next WTO Ministerial Conference. They
acknowledged the importance of avoiding unnecessary measures restricting the use and development
of electronic commerce and called for the establishment of an ad hoc  analytical taskforce in the WTO
that would examine how WTO rules are relevant to the evolution of electronic commerce.
25. Ministers noted the outcomes of the seminar that has been held in Peru to aid mutual
understanding of investment and competition policy and welcomed the seminar to be held in the
Philippines in November. They also noted APEC’s existing analytical work on these issues.
26. Ministers also welcomed the offer by China to host a seminar on the implementation of
TRIMs in September 2001.
27. Ministers welcomed the substantial progress that had been made in the WTO accession
negotiations for China and urged the rapid completion of its accession negotiations. They also
reiterated support for rapid accession to the WTO by Chinese Taipei and the advancement of the
accession processes for Russia and Vietnam. Ministers supported an agreement that all acceding
economies will participate in some capacity in a new round of WTO negotiations.
28. Ministers noted the progress that has been made in compiling a database on existing
subregional trade agreements and bilateral investment treaties.
29. Ministers agreed that subregional and bilateral trade agreements should serve as building
blocks for multilateral liberalization in the WTO. They considered it essential that the existing and
emerging subregional and bilateral trade agreements be consistent with WTO rules and disciplines.
They believed that these agreements should be in line with APEC architecture and supportive ofAPEC goals and principles.WT/L/375/Add.1
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(a) Open Economies Delivering to People: APEC’s Decade of Progress
30. Ministers endorsed the report Open Economies Delivering to People: APEC’s Decade of
Progress  prepared by Australia for the APEC Economic Leaders Meeting. The report concluded that
by adopting open economic policies, combined with measures to improve international
competitiveness and strengthen economic governance, APEC economies had achieved not only strongeconomic growth, but also substantial improvements in the lives of the people of the region. Ministers
took particular note of the substantial inroads in alleviating poverty and creating large number of jobs
during the past decade of open economic policies in the APEC region. Ministers also acknowledged
that managing economic change required structural adjustment strategies including, where
appropriate, the development of social safety nets.
31. Ministers concluded that the continued pursuit of open economic policies was essential to
meet the aspirations of the people of the region and that APEC was well placed to help its memberspursue open economic policies. Ministers therefore instructed officials to intensify work in relevant
fora to assist economies pursue open economic policies, including with respect to institutional
capacity-building and adopting strategies to manage change.
3. Strengthening the Functioning of Markets
32. Ministers welcomed the significant contribution that APEC was making towards
strengthening the functioning of markets in the region. They recognized that strong markets were a
necessary complement to trade and investment liberalization and facilitation in the pursuit of
sustained economic growth. They also noted that the advent of the new economy had only served to
underscore the importance of efficient, competitive and dynamic markets.
33. Ministers commended the progress report on the APEC Road Map on Strengthening Markets .
The report was able to bring into focus APEC's substantial collective and individual efforts in
addressing important market fundamentals. Further to these efforts and the elements of the Road Map
that were identified in Auckland, Ministers endorsed:
- The Cooperative Initiative on Regulatory Reform  being organized jointly with the
OECD and aimed at building the capacities of economies to implement the APEC
Principles to Enhance Competition and Regulatory Reform .
- The Cooperation Framework for Strengthen ing Economic Legal Infrastructure ,
which will initially focus on the areas of corporate law, competition policy as well as
capacity and institutional building to develop good regulatory systems. The APEC
Symposium on Strengthening Economic Legal Infrastructure  held in Jakarta in
July 2000 and co-organized by Indonesia, Japan and Australia provided the genesisfor the Framework.
- The Cooperation Programme  in the area of SME and New Business Support  based on
the Evolving Cooperation Initiative, following two workshops held in Tokyo and
Taipei in September 2000.
- The proposal to invite the Pacific Econom ic Cooperation Council (PECC) to develop
ideas which APEC may consider furthering its work on improving economic and
corporate governance in the region. In doing so Ministers commended the progress in
the APEC Finance Ministers' Initiative on Corporate Governance  and noted that
future proposals should take into account the ongoing work in that forum.WT/L/375/Add.1
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34. Ministers also commended the progress APEC had made in implementing specific elements
of the Road Map. Of particular note were the efforts being made to develop seamless and safe
transportation systems, which were of importance for trade and the provision of basic services in the
region. As such, Ministers welcomed the progress in implementing the recommendations for more
competitive air services on a voluntary basis, including the proposals on widening and deepening themeasures within APEC as well as a plurilateral arrangement among five like-minded economies to
liberalize air services.  Other initiatives included the seminar on Strengthening Human Resources
Development for Structural Reform  held in September 2000, hosted jointly by Japan and Brunei
Darussalam on the issue of Aligning Human Resources Development with Advancing Industrial
Structure  and the APEC Workshop on Public Sector Management , organized by New Zealand and
held in Singapore in May 2000, which provided a useful forum to exchange views and experiences on
improving public sector effectiveness.
35. Ministers noted that increasingly APEC's work on strengthening markets needs to address the
challenges of building relevant market infrastructure and institutions as well as strengthening human
capacity. Ministers therefore instructed officials to report further progress on the Road Map in 2001,
concentrating on these challenges and taking into account the new initiatives and proposals.
4. Economic and ECOTECH issues
(a) SOM Sub-Committee on Economic and Technical Cooperation (ESC)
36. Ministers endorsed the SOM report on ECOTEC H and its recommendations and conclusions.
In advancing the APEC ECOTECH Agenda, Minist ers stressed that ECOTECH projects should be
more focused and properly prioritized. Ministers instructed the ESC in 2001 to develop further the
Joint Activities/Dialogue sections of the OAA guidelines, building upon the review of theimplementation of such guidelines. In reaffirm ing the importance of ECOTECH in achieving the
Bogor Goals, Ministers called for a more focused and intensified action agenda. In this regard,
Ministers instructed officials to consider the possibility of establishing IAPs on ECOTECH.
37. Recognizing the need to improve project coordination, Ministers welcomed the establishment
of the ECOTECH Clearing House  and endorsed the revision to the ECOTECH Weighting Matrix .
Ministers encouraged APEC fora to use the Clearing House electronic notice board facility to
coordinate ECOTECH projects. Ministers also called  for widening the participation in the ECOTECH
projects and emphasized that the ESC should assume a more important role in APEC. In this regard,
they instructed officials and APEC fora to communi cate and publicize the benefits that APEC projects
have brought to the quality of life of the people in the region, citing the publication on Making APEC
Matter More to People Through ECOTECH  as an example.
38. Ministers welcomed a report on the Regional Integration for Sustainable Economies (RISE),
and committed to seek greater private sector involvement, as it would continue in China and
Indonesia, and expand to cities in other economies.
39. Ministers welcomed the efforts to revitalise the APEC Education Foundation and urged
economies to participate actively in the Foundation.
(b) Economic Committee (EC)
40. Ministers endorsed the Economic Committee's Report to Ministers for 2000  and noted the
outcomes from the symposia organized by the EC for its research projects. They also welcomed the
EC’s report on the Impacts of Higher Oil Prices on APEC Economies  and instructed the EC to
continue to study this issue and to include the findings in the 2001 APEC Economic Outlook .WT/L/375/Add.1
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41. Ministers endorsed the 2000 APEC Economic Outlook . The report confirmed that the Asian
crisis has been contained and that economic recovery was more prevalent in the APEC region.
Ministers also endorsed the APEC Economies beyond the Asian Crisis  report, which highlighted the
major challenges of the new economy. Ministers further endorsed the Towards Knowledge-Based
Economies in APEC report and its recommendations to establish a Knowledge Clearing House , to
produce a menu of Igniting Policies  for triggering the transition to KBE, and to include KBE Status
Indicators  in the APEC Economic Outlook . Ministers instructed the EC to identify recommendations
that can be implemented through collective action and develop detailed plans of implementation in
cooperation with APEC Secretariat and report to Ministers in their next meeting.
(c) New Initiative on Human Capacity Building
42. The emergence of the new economy has created a new dimension for human capacity
building. In this regard, Ministers reaffirmed the importance of human capacity building andinstructed senior officials to prepare a human capacity building strategy that would define the
objectives, priorities and principles for APEC to respond to the challenges of the new environment.
43. To support this process Ministers agreed that a special coordinating group of HRD
representatives led by the ESC be established to share information towards improving the
coordination and efficacy of APEC’s human capacity building efforts as recommended by SOM. Inparticular, Ministers endorsed the recommendation to improve the reporting and public outreach of
APEC's efforts in human capacity building by tasking the Coordinating Group to prepare annually a
report on Human Capacity Building to Leaders and Ministers. Ministers welcome Brunei’s offer to
provide assistance for the publication of the first annual report.
44. Ministers acknowledge the significance of accelerating the adoption of information and
communication technology (ICT) across the APEC fora in order to take advantage of the new
opportunities and contributions it brings to delivery of education and training as well as in other
aspects of capacity building. The work on human capacity building in the APEC region can be
strengthened and be made more effective through the development of mechanisms to enhance
partnerships among all stakeholders including business and workers. In this regard, Ministersencouraged APEC working groups to engage releva nt non-government representatives and instructed
officials to seek appropriate ways to engage them. Ministers welcomed the efforts by Brunei
Darussalam and China to advance this initiative.
(d) APEC Forum on Shared Prosperity and Harmony
45. Ministers welcomed the successful hosting of the APEC Forum on Shared Prosperity and
Harmony  held in Korea in 31 March – 1 April 2000. Among others, the Forum discussed measures to
avoid recurrence of economic crisis and to bridge the economic and social disparity amongeconomies. Ministers also welcomed the initiatives arising from the Forum and instructed officials
and relevant fora to review them for implementation, as appropriate.
5. Sectoral Ministerial Meetings
46. Ministers welcomed the outcomes from the 2
nd APEC Education Ministers Meeting (AEM)
held in Singapore in April 2000. They agreed that economies should consider the key strategiesrecommended by the AEM in the development of education systems. Namely, the strategies identified
were:  (a) importance of IT as a core competency for learning and teaching in the future;
(b) enhancement of the quality of teaching and teacher development;  (c) cultivation of sound
education management and exchanges in education within APEC;  and (d) to promote a culture of
active engagement among APEC economies in educat ion to forge deeper understanding within the
Asia-Pacific community and energize and enrich their continuing efforts for improving education atWT/L/375/Add.1
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local and regional levels. Ministers instructed officials to develop an overall workplan in these
strategic areas and that the Education Network of the HRDWG would coordinate implementation of
the workplan. Ministers noted the decision of the AEM to meet once in every five years. Ministers
also noted the progress on the initiative by Australia and New Zealand to identify measures affecting
trade and investment in education services in the Asia Pacific region, and instructed officials tofinalise the initiative this year including identifyin g potential areas for cooperation and to report to the
MRT Meeting in 2001.
47. Ministers welcomed the outcomes from the Meeting of Ministers of Telecommunication and
Information Industry (TELMIN) held in Cancun, Mexico in May 2000, in particular the adoption of
the Cancun Declaration . Ministers noted the commitments on advancing the Asia Pacific Information
Infrastructure (APII), Asia Pacific Information Society (APIS) and on implementation of the
Reference Framework for Action in E-Commerce. Ministers also noted the role of TELMIN inpromoting pro-competitive environment and cooperation with the business sector in broad areas.
48. Ministers acknowledged that SMEs were important for sustaining economic recovery and that
APEC should respond to their needs in supportin g the foundations for growth and creating new
opportunities. They welcomed the outcomes from the SME Ministers Meeting held in Bandar Seri
Begawan, Brunei Darussalam in June 2000 and encouraged APEC fora to advance the interests ofSMEs in the areas of HRD, ICT, financing, and strategic alliances. In this context, Ministers
instructed officials and relevant fora to develop work programme in these specified areas, and joint
with private sector in enhancing SMEs developm ent. Ministers encouraged economies to consider
opening up some of their domestic training programmes to participants from APEC economies on a
voluntary basis and to include a list of trainers that are available for conducting training across theAPEC region. Ministers acknowledged the New Business Partnership Initiative that facilitates
commercial linkages between American SMEs and qualified business partners from interested APEC
economies, and requested the US further develop the programme during 2001 and report to the SME
Ministerial in Shanghai.
49. Ministers noted the outcomes from the first Tourism Ministerial Meeting in Seoul in
July 2000 including the adoption of the Seoul Declaration on APEC Tourism Charter . In this respect,
Ministers instructed officials to develop collect ive commitment for promoting tourism in the APEC
region and report progress in 2001. Ministers also welcomed the deliverables on Environmentally
Sustainable Tourism , Establishment of a Tourism Information Network , and Tourism Satellite
Account , and instructed the Tourism Working Group to take actions to implement them.
50. Ministers welcomed the message from APEC Energy Ministers in the Declaration  from their
San Diego meeting on the central importance of energy to sustainable development and welcomedtheir commitment to a new implementation strategy. Ministers also noted the risks posed by oil
market volatility to economic development and called for appropriate measures to promote greater
long-term market stability in the mutual interests of consumers and producers. In this regard Ministers
welcomed efforts by member economies this year to balance oil markets.
51. Ministers noted the report of the Senior Officials and in view of the importance of
strengthening energy security in member economies,  including achieving greater equilibrium between
supply and demand, directed the Energy Working Group to continue its programmes to improve the
functioning of energy markets; energy efficiency  and conservation; diversification of energy
resources; renewable energy development and deployment; and explore the potential for alternative
transport fuels, to alleviate pressure on the oil market. Ministers also noted the new initiative todevelop and share information, on a voluntary basis, on the role that stocks could play as an option to
respond to oil market disruptions.WT/L/375/Add.1
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52. In ensuring overall effectiveness of the APEC process, Ministers requested officials to
undertake a review on the implementation of initia tives that were endorsed in APEC Sectoral
Ministerial Meetings.
III. CREATING NEW OPPORTUNITIES
53. The revolution in ICT has transformed the ways of doing business in the region. This new
economy presents both developed and developing APEC economies with many new and exciting
opportunities for increasing economic growth. APEC  has an important and expanding role as a
catalyst for the necessary policy frameworks that would enable all APEC economies to maximize the
potential benefits of these new opportunities.
1. New Economy
54. The world economy is experiencing a trade and technological revolution with rapid growth in
the Internet, thriving e-commerce and many other changes that are transforming the way business andtrade is conducted. The efficiencies from the ICT revolution present many opportunities for both
developed and developing economies to achieve higher growth and realize better standards of living
without igniting inflation. However, as discussed in the two EC’s reports, Towards Knowledge-Based
Economies in APEC  and APEC Economies beyond the Asian Crisis , to fulfill much of these potential
benefits would require an appropriate policy framework that encourages: strengthening thefunctioning of markets; openness to trade and investment; innovation and new enterprises; sound
macroeconomic policy; education and lifelong learning; and the enabling role of information and
telecommunications infrastructure. Ministers recognized the importance to the new economy of
innovation in the software industry. In this cont ext, they agreed that APEC should promote strong
asset management practices to ensure legal and proper use of software and other IP assets by users.Ministers also requested officials to examine ways to enhance interaction among IT professionals,
using existing APEC fora.
55. Ministers acknowledged that a digital divide could further widen social and economic
disparities across the APEC region, and underlined the importance of ensuring that everyone in the
APEC region has access to the opportunities presented by ICT networks. Ministers therefore calledfor improvement in access to affordable technology. The new economy is primarily driven by the
business sector, therefore APEC needs to strengthen its relationship with the business community in
ensuring that APEC’s work remains relevant. In this regard, Ministers called for a public-private
partnership to create digital opportunities and spread the benefits of the new economy throughout all
segments of society. Ministers reaffirmed the vital linkages between education and maximisation of
the potential of the new economy, stressing that as the region moves ahead no person should be left
behind. As part of the efforts to reduce the digital divide, Ministers also reaffirmed the importance for
all children in the region to have access to basic education.
56. Ministers welcomed the conclusions reached at the two APEC symposia on venture capital,
which were the follow-ups of the endorsed proposal on Economic Revitalisation through Start-Up
Companies and Venture Capital, held in Chinese Taipei this year  and encouraged further work in this
area.  Ministers instructed officials to coordinate and package the various APEC initiatives that
concerned with the new economy for the benefit of synergy. The following initiatives were endorsed
by Ministers:
- the US proposal on Readiness Evaluation Action Partnership ;
- Chinese Taipei’s proposal on Transforming the Digital Divide into a Digital
Opportunity , of which the phase I will be implemented in 2001;WT/L/375/Add.1
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- Viet Nam’s proposal to develop an APEC Guide to Enact Legal Framework for
Electronic Commerce ;
- Korea’s proposal on Cyber Education Cooperation ;
- Brunei’s proposal on Human Capacity Building in APEC- Meeting the needs of the
21st Century ;
- Singapore’s proposal on Use of Information Technology in a Learning Society ;
- Malaysia’s proposal on a Network of Skills Development Centers ;  and
- the EC’s project on KBE.
2. Electronic Commerce (e-commerce)
57. E-commerce is an important element for creating new opportunities that would benefit the
communities in the APEC region. In welcoming the ongoing work on e-commerce, Ministersemphasized the need to make progress in various other aspects such as capacity building, consumer
protection, network security, favourable and comp atible legal framework, and in the role of
e-commerce in trade facilitation to gain full benefit from e-commerce.
58. In pursuing capacity building and helping SMEs to adopt e-commerce, Ministers endorsed a
proposal on APEC-Wide Action Plan to Support Use of Electronic Commerce by SMEs . They also
endorsed a symposium on APEC High-level Symposium on E-Commerce and Paperless Trading  by
China and Australia. Ministers commended the progress made in the APEC E-Commerce Readiness
Initiative  and acknowledged that 20 economies are participating in the initiative using the APEC
Electronic Commerce Readiness Guide . Ministers encouraged all economies to make use of the
results of Readiness Assessments to guide future policies and plan further work to enhancee-commerce readiness in their respective economies.  Ministers also commended the efforts by the
PECC in bringing together all interested parties to  develop a comprehensive approach for training and
education needs in e-commerce.
59. Recognizing the need to improve consumers’ trust and confidence in e-commerce, Ministers
endorsed a work programme leading to favourable as well as compatible legal and regulatory
frameworks for consumer protection, electronic transactions documents and signatures across APEC.
In this regard, Ministers welcomed work on legal framework for e-commerce and further workshopson e-government, authentication and network security, and current business models.
60. As e-commerce is becoming a mainstream activity across many sub-fora, Ministers urged the
need for better coordination and collaboration. In this regard, Ministers instructed officials to work
together with the Secretariat in updating the inventory on e-commerce activities and consider
widening the scope of APEC’s e-commerce work programme taking into account the relevantrecommendations by the Electronic Commerce St eering Group (ECSG). Ministers also urged
economies to promote participation of private sector in establishing interconnection and interoperation
among the existing Electronic-Data-Interchange (EDI) systems respectively in each economy.
IV. MAKING APEC MATTER MORE
61. Ministers welcomed the efforts in 2000 to provide focus on the tangible benefits that were
accruing to the people of the region. Through the overall theme, Delivering to the Community , APEC
has ensured that its work programme is more relevant and meaningful to its stakeholders.WT/L/375/Add.1
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1. Interaction with the Community
(a) APEC Public Outreach/Communicating the Benefits of Trade Liberalization
62. Communicating the role of APEC and the benefits of trade liberalization remains a key
collective and individual task. Conscious of wider public interest in the work of APEC, Ministers also
endorsed the establishment of an Ad-Hoc Study Gr oup of Officials on APEC Interaction to consider
how best to benefit from the interests, expertise and insight of our communities and requested Brunei
Darussalam to lead the group. Recognizing the importa nce of outreach activities, Ministers also noted
the SOM’s recommendations to Ministers for APEC to develop effective communication and
outreach strategy with the assistance of an independent expert.
63. Recognizing that close liaison with the private sector and other groups remains an important
tool for achieving outcomes that are meaningful to our communities, particularly to business,
Ministers instructed officials to enhance interaction of APEC with the business community and otherrelevant stakeholders, where appropriate, as exemplified by the hosting of the SME Business Forum
and E-Trade Fair  parallel to the SME Ministerial in Bandar Seri Begawan.
(b) BizAPEC.com
64. In view of the vast potential of e-commerce to promote and facilitate trade in the APEC
region, Ministers welcomed and commended the development of the bizAPEC.com  website, under the
initiative of the Improved APEC Internet Services for Business  and instructed officials and economies
to publicize, maintain and update the website.
2. Dialogue with APEC Business Advisory Council (ABAC)
65. Ministers welcomed the ABAC Report to Leaders, Facing Globalization the APEC Way , and
its two major themes stressing the need to stay on track with the Trade and Investment Liberalizationand Facilitation agenda and the importance to be placed on giving substance to capacity building.
Ministers also noted ABAC’s emphasis on building st ronger financial systems at the regional as well
as national levels and agreed on the importance of sectoral government-business dialogue, as
exemplified by the APEC Automotive Dialogue and the newly launched Chemical Dialogue.
Ministers welcomed ABAC’s overall emphasis on ou treach. Ministers appreciated ABAC’s continued
support and encouragement, and instructed offi cials to review the implementation of ABAC’s
recommendations including the submissions this year.
3. Social Impact of the Crisis
66. Ministers reiterated the importance of supporting the poor and vulnerable segments of the
communities that were affected by the crisis and by the process of economic restructuring. In this
respect, Ministers endorsed a proposal on the Revitalization of Social Safety Net Activities in APEC  by
Korea and Thailand. They also agreed to establish an Ad-Hoc Task Force on Strengthening APECSocial Safety Net for reviewing APEC's activities on social safety and forward recommendations to
Ministers in 2001.
67. Ministers noted the further work by various APEC fora to strengthen social safety nets and to
reduce the adverse impacts of the Asian crisis. This includes the establishment of the Australian-
Thailand Social Protection Facility  that focuses on providing capacity building assistance for the
development of social policy and programme delivery. Ministers also noted the successful hosting of
the Third Regional Forum on Pension Fund Reform  held in Thailand in March 2000. The forum
deliberated on the integration of social security, pension and provident funds as well as supervisoryWT/L/375/Add.1
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and regulatory matters. Ministers also welcomed the synthesis, submitted by Canada, of the report The
Poor at Risk’s Economic Crisis in Southeast Asia.
4. Framework for Integration of Women
68. Ministers also recognized the significant contribution of women to economic development in
the APEC region, particularly in the SME sector and endorsed the first SOM report onImplementation of Framework for the Integration of Women in APEC  noting the significant progress
in the implementation of the Framework. Ministers commended the Gender Information Sessions  held
in several APEC fora and instructed other APEC fora  that have not held a Session to request one. In
view of the fact that further work was needed to  enhance women’s participation in the APEC process,
Ministers tasked APEC fora and encouraged ec onomies to fully implement all the recommendations
of the SOM and more broadly to implement the Framework .
5. Youth
69. Ministers recognized the importance of youth as stakeholders in APEC and encouraged
further promotion of their involvement by networki ng and strengthening their relationship through
APEC activities. Ministers noted the Bangkok APEC Youth Statement, a key outcome from the forum
APEC Youth Networking: Youth Preparation for the APEC Society in the Next Millennium, held in
Bangkok in July 2000. Ministers noted the outcomes of the APEC Conference on Eliminating the
Worst Forms of Child Labor and Providing Educational Opportunities for Youth held in Bangkok in
October 2000, which included the recognition that child labour limited access to basic education.
Ministers also noted the success of the 2
nd APEC Youth Science Festival  and welcomed the APEC
Youth Festival  that would be held in China in mid 2001. Ministers welcomed the successful hosting of
the First APEC Youth Skills Camp in September 2000 in Ulsan, Korea. They also welcomed theTown Hall Session with APEC Young Entrepreneurs , held in Bandar Seri Begawan in June 2000 and a
similar Session that would be held during the Leaders' Meeting in November. Ministers further
welcomed the first APEC Young Artists' Exhibition  that would be held during the APEC Business
Summit and Canada's initiative to develop the APEC Site for Kids - A Youth Outreach Initiative .
6. APEC Food System (AFS)
70. Ministers welcomed and endorsed the SOM report on the implementation of the AFS. They
reaffirmed the importance of addressing the three areas of the AFS on rural infrastructure
development, promotion of trade in food products, and dissemination of technological advances in
food production and processing. Ministers encouraged economies and tasked fora to give priority to
implementing the AFS recommendations through intensified activities in their areas of responsibility,
and to provide reports annually on progress in implementation of the AFS recommendations.
7. Biotechnology
71. In recognition of the huge potential of biotechnology to contribute to food security through
increased production, and to the development of sustainable farming practices, Ministers stressed the
continuing importance of transparent and science-based approaches to risk assessments and risk
management in the introduction and use of biotechnology products. Ministers recognized the
importance of safe introduction and use of biotech nology products, and agreed that the development
and application of biotechnology should take into consideration WTO rules, as well as consumers'
interests in food safety and environmental quality. Ministers instructed the Agricultural Technical
Cooperation Experts Group (ATCEG) to implemen t further technical cooperation programmes in
biotechnology, including capacity building and exchange of information and to report on progress at
the MRT Meeting in 2001. Ministers also encouraged close cooperation with other international foraWT/L/375/Add.1
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and voluntary bodies, as appropriate, to enhance consumers’ awareness on the benefits and risks of
biotechnology products to facilitate the realization of the potential benefits of this technology.
V. OTHER ISSUES
1. Management Issues
(a) Management Review
72. Ministers endorsed the SOM Chair's Report on the Review of APEC's Management Process
and all its recommendations, particularly the  Criteria for the Establishment of New APEC Fora,  the
Mechanism for Delivering for Developing Greater Links Among APEC Fora and their work
programmes . Ministers also noted the achievement of the three-year management review process, led
by Brunei Darussalam, New Zealand and Malaysia, including implementation of measures endorsed
during the process. Ministers also noted the conclusion of the three-year management review process.
They further noted the SOM's decisions to improve the management process and requested the SOMto continue streamlining APEC process on an ongoing basis.
73. Ministers noted the renaming of the Infrastructure Workshop (IWS) as Group on Economic
Infrastructure (GEI). They also agreed to rename  the ATCEG as Agricultural Technical Cooperation
Working Group (ATCWG), and th e PLGSME as Small & Medium Enterprises Working Group
(SMEWG).
(b) 2001 Budget
74. Ministers endorsed the SOM Chair's Report on Budget Issues and approved the 2001 budget
of US$7,661,920 and contribution of US$3,338,000 from member economies to the APEC Central
Fund.
75. Ministers delegated authority to the Budget and Management Committee (BMC) to approve
for immediate implementation of, but subject to satisfying the usual criteria and bearing in mind the
need to maintain long-term budget sustainability, urgent projects that have not been submitted to
Ministers/Officials for inclusion in the annual  operational budget, and to make use of the
uncommitted reserves accrued after June/July for urgent projects under the Operational Account.
(c) APEC Secretariat
76. Ministers endorsed the report of the Executive Director of the APEC Secretariat and
welcomed the Secretariat's offer to work with th e BMC on the APEC budget cycle, and appreciated
the work and assistance of the Executive Director, Ambassador Serbini Ali and his staff.
2. Statement by Observers
77. Ministers noted the statements by the ASEAN Secretariat, PECC and Pacific Island Forum.
3. 
APEC 2001
78. Ministers thanked China for the briefing on preparations for the 13th APEC Ministerial
Meeting and the Ninth APEC Economic Leaders Meeting in China on October 2001.WT/L/375/Add.1
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4. Future Meetings
79. Ministers thanked Mexico for the update on preparations for the 14th Ministerial Meeting in
2002. Thailand will host the Ministerial Meeting in 2003, to be followed by Chile in 2004 and Korea
in 2005.
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