March 2022

Review of ASEAN Commitments in
Telecommunication Services
under AFAS 10 and RCEP

Notes
The terms country and/or economy as used in this study also refer, as appropriate, to territories
or areas; the designations employed and the presentation of the material do not express any
opinion whatsoever on the part of the ASEAN-Japan Centre concerning the legal status of any
country, territory, city or area, or of its authorities, or concerning the delimitation of its frontiers orboundaries.
The tables use the following symbols:• Two dots (..) indicate that data are not available or are not separately reported.
• A dash (-) indicates that the item equals zero or its value is negligible.
• Use of an en-dash (–) between dates representing years, e.g. , 2015–2016, signifies the fullperiod involved, including the beginning and end years.
• Reference to “dollars” ($) means United States dollars, unless otherwise indicated.

Prepared by Hikari Ishido (Chiba University, Japan), Mateus Silva Chang (Keio University, Japan)and ASEAN-Japan Centre. The manuscript was edited by Tora Estep. Errors and omissions are
only those of the authors and should not be attributed to their respective organizations.

Contents
I. Introduction······························································································································································1
II. Telecommunication Infrastructure········································································································3III. A scendancy of Telecommunication Services Trade··································································7
1. Cross-border supply (Mode 1)··············································································································8
2. Supply through commercial presence (Mode 3)··································································· 13
3. Consumption abroad (Mode 2) and movement of natural persons (Mode 4)······ 16
IV. T rade Agreements and Regulations among and in ASEAN Member States········· 18
V. I mpacts of Further Liberalization of Telecommunication Services on
the Economy······················································································································································· 25
VI. P olicy Recommendations and Promotion Measures for Trade in
Telecommunication Services················································································································ 29
1. General policy suggestions················································································································· 29
2. Workable policy suggestions············································································································· 31
Annex A.
Fifty Large Foreign Affiliates Engaged in Telecommunication Services
in ASEAN, 2015······················································································································································· 36
Annex B.
Fifty Large ASEAN Affiliates Abroad Engaged in Telecommunication
Services, 2015························································································································································· 37
Annex C.
Specific Schedule of Commitments for Telecommunication Services
under AFAS (10th package, adopted in November 2018) by ASEAN Members·········· 38
Annex D.
Commitments/Reservations under RCEP for Telecommunication
Services (by ASEAN Member Country)·································································································· 951

I. Introduction
Like professional services, telecommunication services are necessary for any industry and thus
also an indispensable input into the economic activities of ASEAN. The General Agreement on
Trade in Services administered by the World Trade Organization (WTO) lists1 the following 15 job
categories under “telecommunication services”:2
1. Voice telephone services
2. Packet-switched data transmission services
3. Circuit-switched data transmission services
4. Telex services
5. Telegraph services
6. Facsimile services
7. Private leased-circuit services
8. Electronic mail9. Voicemail
10. Online information and database retrieval
11. Electronic data interchange (EDI)
12. Enhanced or value-added facsimile services, including store and forward and store andretrieve
13. Code and protocol conversion
14. Online information and/or data processing (including transaction processing)
15. Other.

Progress in communication technologies and telecommunication services, together with progressin logistics and transport services, has made globalization possible by reducing communication
costs and improving service quality (e.g. , speed of operation). Playing an important role inglobalization and company growth, telecommunication services improve efficiency and allow
digitization of the economy. In terms of trade, these services make non-tradable products tradable,
thus enhancing cross-border supply (Mode 1).
As with professional services, the position and role of telecommunication services in valuecreating economic activities can be similarly displayed on the value chain curve (figure 1).
The coverage (the shaded square in this figure) of these telecommunication services is wide,
encompassing the whole production chain. Telecommunication services ensure smoother (inthe horizontal direction, known as the “value chain”) and more efficient (in the vertical direction,

1
2“Services Sectoral Classification List” (MTN.GNS/W/120, 10 July 1991).
World Bank and ITU (2011) point out the merger of computer services and telecommunication services at thecore of recent technological trends. As UNCTAD (2004, p. 150) notes, Internet-related services (or informationand communication technology services) include the supply of the telecommunication service itself and the
supply of content: a mix of business services, audiovisual services, and computer and related services. This paper
addresses mainly the narrowly defined telecommunication services, i.e. , telephone-related services.

2

chain. Telecommunication services ensure smoother (in the horizontal direction,
known as the “value chain”) and more efficient (in the vertical direction, referredreferred
to as “value
added”)
operation
country’s entire
activities
for whole
to as “value
added”)
operation
ofofaacountry’s
entirevalue-creating
value-creating
activitiesforindustries.
whole industries.
Figue 1 . Value chains and telecommunication services

II. Telecommunication Infrastructure
Availability and affordability of telecommunication infrastructure in each
ASEAN country largely dictate telecommunication service activities, including
their supply (Modes 1–4). Telecommunication infrastructure is typicallymeasured by the number of users of fixed and mobile phones and of the Internet.
The spread and density of information networks depend on the existence of
telecommunication companies, national and foreign and private and public, thatprovide such infrastructure. Today the presence of foreign telecommunication
43

II. Telecommunication Infrastructure
Availability and affordability of telecommunication infrastructure in each ASEAN country
largely dictate telecommunication service activities, including their supply (Modes 1–4).
Telecommunication infrastructure is typically measured by the number of users of fixed andmobile phones and of the Internet. The spread and density of information networks depend on
the existence of telecommunication companies, national and foreign and private and public,that provide such infrastructure. Today the presence of foreign telecommunication companies
largely determine such spread and density (see later). Table 1 shows numbers of fixed telephone
subscriptions. Singapore is at the top of these statistics; Myanmar is at the bottom. A salientfeature of this category (fixed telephone) is an overall reduction in fixed telephone lines (especiallyin Singapore, Indonesia and Viet Nam) and their replacement with mobile phones, although these
are also general trends worldwide. Seen from this perspective, the rather low ASEAN average of
6 per cent in 2019 (a decrease from 10 per cent from the 2005–2010 average) is not necessarily anegative observation. Interestingly, Lao People’s Democratic Republic and Malaysia data indicate
an opposite movement, with an increase in fixed telephone lines.

Table 1. Fixed-line telephone subscriptions, 2005–2019 (per 100 people)
Country

Average, 2005–2010

Average, 2011–2015

2016

2017

2018

2019

Brunei Darussalam

21.4

18.5

17.7

19.7

19.3

20.0

Cambodia

0.7

2.9

1.4

0.8

0.5

0.3

Indonesia

11.0

11.4

4.1

4.2

3.1

3.6

Lao PDR

1.7

9.6

18.5

16.2

21.0

20.8

Malaysia

16.5

15.3

15.8

21.2

23.6

23.3

Myanmar

1.0

1.0

1.0

1.0

1.0

..

Philippines

4.2

3.3

3.6

4.0

3.9

3.9

Singapore

40.4

36.7

35.3

34.9

34.8

32.9

Thailand

10.7

8.8

6.8

14.4

8.7

7.8

Viet Nam

15.4

8.9

6.0

4.6

4.5

3.8

ASEAN Average

9.7

8.8

5.3

6.2

5.3

5.6

Memorandum
China

25.1

18.8

14.6

13.6

13.5

13.3

India

3.4

2.3

1.8

1.7

1.6

1.5

Japan

44.9

49.9

50.2

50.2

49.9

49.5

Korea, Rep. of

50.6

58.9

55.0

52.5

50.6

48.3

United States

53.3

42.3

37.6

35.8

33.8

32.7

Source: World Bank, World Bank Open Data (http://data.worldbank.org/indicator/).

Table 2 shows numbers of mobile cellular subscriptions. As compared with fixed telephone
subscriptions, the trend is increasing overall in all ASEAN member states. This is clearly becauseof a substitution effect between fixed telephone lines and mobile telephones. Indeed, this “mobile
revolution” is drastically changing the landscape of how to supply telecommunication services.
As the initial fixed cost (at the societal level) of mobile phone subscription is considered to besignificantly lower than the installment of fixed telephone lines, ASEAN member states could lookto this mobile-based supply of telecommunication services as the main pillar.

4

Table 2. Mobile cellular subscriptions, 2005–2019 (per 100 people)
Country

Average, 2005–2010

Average, 2011–2015

2016

2017

2018

2019

Brunei Darussalam

94.9

113.6

124.7

128.3

131.9

132.7

Cambodia

29.0

125.7

126.3

116.0

119.5

129.9

Indonesia

51.3

119.9

147.4

164.4

119.3

126.1

Lao PDR

34.5

69.5

57.8

53.4

51.9

60.8

Malaysia

95.2

142.6

141.6

136.1

134.5

139.6

Myanmar

0.7

31.6

95.4

89.8

113.8

..

Philippines

66.9

106.9

115.9

114.1

126.2

154.8

Singapore

127.2

149.4

149.7

146.8

148.8

155.6

Thailand

81.2

134.0

173.5

175.6

180.2

186.2

Viet Nam

69.5

140.8

128.8

126.9

147.2

141.2

ASEAN Average

58.9

116.0

136.3

141.9

130.8

140.8

China

45.0

84.9

96.5

103.4

115.5

121.8

India

29.6

71.7

85.1

87.3

86.9

84.3

Japan

84.8

115.4

130.6

135.5

141.4

147.0

Korea, Rep. of

90.7

110.1

120.2

124.6

129.7

134.5

United States

83.0

104.4

122.6

123.0

129.0

134.5

Memorandum

Source: World Bank, World Bank Open Data (http://data.worldbank.org/indicator/).

Table 3 shows the numbers of Internet users in ASEAN member states. All recorded aconsiderable increase throughout the period, and the ASEAN average in 2019 stands at 55.0 per
100 people, which is a bit higher than that of China (54.3) in 2017, the last year with available data.
Observing data from 2017, the Lao People’s Democratic Republic and Myanmar recorded thelowest figures, 25.5 and 23.6, respectively, while Brunei Darussalam’s figure is the highest, at
94.9—higher than that of Japan (91.7) and close to the level of Republic of Korea (95.1).

5Table 3. Internet users (per 100 people)
Country

Average, 2005–2010

Average, 2011–2015

2016

2017

2018

2019

Brunei Darussalam

45.3

64.3

90.0

94.9

95.0

95.0

Cambodia

0.6

7.1

32.4

32.9

40.5

..

Indonesia

6.7

16.2

25.4

32.3

39.9

47.7

Lao PDR

3.4

13.0

21.9

25.5

..

..

Malaysia

54.1

63.8

78.8

80.1

81.2

84.2

Myanmar

0.2

9.3

25.1

23.6

..

..

Philippines

9.7

39.9

55.5

60.1

..

43.0

Singapore

66.7

76.5

84.5

84.5

88.2

88.9

Thailand

18.8

30.7

47.5

52.9

56.8

66.7

Viet Nam

22.1

39.3

53.0

58.1

69.8

68.7

ASEAN Average

13.1

27.0

39.9

44.8

51.5

55.0

China

20.2

44.9

53.2

54.3

..

..

India

4.4

15.2

22.0

32.0

20.1

..

Japan

73.6

85.4

93.2

91.7

91.3

..

Korea, Rep. of

79.5

86.0

92.8

95.1

96.0

96.2

United States

71.5

72.7

85.5

87.3

88.5

..

Memorandum

Source: World Bank, World Bank Open Data (http://data.worldbank.org/indicator/).

Table 4 shows the numbers of fixed broadband subscriptions. Figures in 2019 for ASEAN member
states are considerably lower than those for China, Republic of Korea, Japan and United States.
The lowest figures are recorded by Myanmar (0.2), the Lao People’s Democratic Republic (1.1) andCambodia (1.1), while the highest is recorded by Singapore (25.9). The ASEAN average in 2019 is 7.6.
The table clearly indicates heterogeneity in the level of broadband access inside ASEAN and thenecessity of improvements.

6

Table 4. Fixed broadband subscriptions, 2005–2019 (per 100 people)
Country

Average, 2005–2010

Average, 2011–2015

2016

2017

2018

2019

Brunei Darussalam

3.9

6.7

8.6

9.7

11.5

12.5

Cambodia

0.1

0.3

0.6

0.8

1.0

1.1

Indonesia

0.4

1.3

2.0

2.3

3.3

3.8

Lao PDR

0.0

0.2

0.4

0.4

0.6

1.1

Malaysia

4.5

9.8

8.9

8.6

8.6

9.3

Myanmar

0.0

0.1

0.2

0.2

0.2

..

Philippines

0.8

2.5

2.9

3.2

3.6

5.5

Singapore

21.4

26.8

28.2

25.9

25.9

25.9

Thailand

2.7

7.4

10.5

11.9

13.2

14.5

Viet Nam

2.1

6.0

9.7

11.9

13.6

15.3

ASEAN Average

1.4

3.5

4.5

5.2

6.0

7.6

China

5.8

14.3

22.8

27.7

28.5

31.3

India

0.4

1.2

1.4

1.3

1.3

1.4

Japan

22.7

28.9

31.2

31.8

32.6

33.5

Korea, Rep. of

30.5

37.4

40.3

41.5

41.6

42.8

United States

23.4

30.2

32.7

33.3

33.9

34.7

Memorandum

Source: World Bank, World Bank Open Data (http://data.worldbank.org/indicator/).

7

III. Ascendancy of Telecommunication Services
Trade
Data from 2015 indicate that the total supply of telecommunication services from ASEAN throughall four modes accounted for 6 per cent of the total services supply to the world (table 5). Supply
through commercial presence (Mode 3) is the largest. The dominance of this mode indicates that
foreign direct investment (FDI) plays an important role in providing this service. Similarly, foreign
firms operating in ASEAN provide the largest amount of services. The nature of the productenables telecommunication services to be supplied directly to users. Services supplied throughcross-border trade (Mode 1), consumption abroad (Mode 2) and movement of natural persons(Mode 4) account for minor shares and are limited to, for example, international telephone, fax
and online operations, maintenance and repair of infrastructure and person-to-person provision oftechnical services.
The fact that ASEAN’s receipt of telecommunication services from the world is larger than its
supply shows that in this subsector foreign countries have greater comparative advantages than
ASEAN countries. The large presence of foreign firms in ASEAN means that member states may
harness the technology and networks of such firms for their own development of this subsector.

8

Table 5. Estimated value and share of telecommunication services supply in ASEAN, bymode o f supply, 2015

1. Cross-border supply (Mode 1)
Tables 6 and 7 display the export and import statistics for telecommunication
1.
Cross-border
supply(Mode
1)
services,
respectively,
revealingsignificant
differences. Whereas total exports
from ASEAN (supply of telecommunication services to the world) have not
Tables
6 and
7 displayexport analyzed,
and import total
statistics
for telecommunication
services,changedmuchin thetheperiod
imports
to ASEAN (receiptsofrespectively, revealing significant differences. Whereas total exports from ASEAN (supply of
telecommunication services from the world) have increased considerably. By
telecommunication services to the world) have not changed much in the period analyzed, total
2020, imports had almost doubled from the level in 2005–2010 (box 1). In terms
imports to ASEAN (receipts of telecommunication services from the world) have increasedof total trade,ishad
the almost
largestdoubled
trader,fromfollowed
byinMalaysia
considerably.
By Singapore
2020, imports
the level
2005–2010and(boxIndonesia,1). In terms
while
Darussalam
Laotrader,People’s
Democratic
Republic
are thesmallestof
total Brunei
trade, Singapore
is theandlargestfollowedby Malaysia
and Indonesia,
while
Brunei
Darussalam
and
Lao
People’s
Democratic
Republic
arethesmallest
traders.
For
analyticaltraders. For analytical purposes, table 8 shows past export trends and a possible
purposes,
table 8 path,shows past
and a possible
future export
path, and tableindex
9 provides
future export
and exporttable trends
9 provides
the export
competitivenesstothe export competitiveness index to measure the degree of a country’s strength in trade in thismeasure the degree of a country’s strength in trade in this particular services
particular services subsector. Some observations for individual member states:
subsector. Some observations for individual member states:• In Brunei Darussalam, export and import values remain low and the export competitivenessindex is negative. The export slope is also negative, despite an increase in export values in• In Brunei Darussalam, export and import values remain low and the2020.

export competitiveness index is negative. The export slope is also
negative, despite an increase in export values in 2020.

• Cambodian exports increased until the first half of the 2010s, followed
by a period of decrease. However, imports increased during the period.

9• Cambodian exports increased until the first half of the 2010s, followed by a period of decrease.
However, imports increased during the period. The contraction in exports combined withincreases in imports resulted in a negative export competitiveness index.
• The export figure of Indonesia is the third largest (after Singapore and Malaysia), yet the export
trend (in terms of slope) is negative. Its export competitiveness index oscillated throughout theperiod. As the country transitions from fixed to mobile telecommunication service, Indonesia
may need time to gain export momentum.
• In Lao People’s Democratic Republic, the export figure is the second lowest among ASEAN
member states; its export slope, however, is positive and higher than the ASEAN average. Its
export competitiveness index is one of the highest among ASEAN member states because thecountry is rapidly embracing a high-level mobile telecommunication framework.
• In Malaysia, the export volume is one of the largest in ASEAN, while the export slope isslightly negative. It is also the second largest in import volumes, resulting in a negative export
competitiveness index. This is mainly because the country is in the middle of the transition
from a conventional fixed-line network to a mobile-oriented network.
• As for Myanmar, its export performance gained a remarkable momentum until the mid-2010sand then oscillated in the second half of the decade. Its export competitiveness index value isnegative, reflecting the decrease in exports in the second half of the 2010s.

10

Table 6. Exports of telecommunication services and their share in total exports ofservices and in total exports of goods and services, 2005–2020 (millions ofdollars and per cent)Country

Annual average
2005–2010

Annual average
2011–2015

2016

2017

2018

2019

2020

0

0

0

0

0

2

Telecommunication service export
Brunei Darussalam*

6

Cambodia

47

66

62

56

52

51

50

Indonesia

1,167

929

676

703

767

799

661

Lao PDR

19

34

27

21

23

28

-

Malaysia

630

587

580

511

585

589

717

Myanmar

-

157

192

85

37

110

25

Philippines

467

382

282

397

549

405

317

Singapore+

586

1,305

1,384

1,234

1,364

1,558

1,373

Thailand

350

453

437

360

471

412

265

Viet Nam

115

92

55

55

54

54

-

ASEAN total

3,388

3,973

3,695

3,423

3,901

4,006

3,408

Share in total exports of services
Brunei Darussalam

0.8

0.0

0.0

0.0

0.0

0.0

0.6

Cambodia

3.0

2.0

1.7

1.4

1.1

1.0

3.0

Indonesia

8.1

4.3

3.2

3.1

2.8

3.0

5.3

Lao PDR

5.6

5.0

3.6

3.1

2.6

2.8

-

Malaysia

2.2

1.6

1.8

1.5

1.7

1.7

3.9

Myanmar

-

6.3

5.6

2.5

0.9

1.9

0.7

Philippines

3.5

1.7

1.0

1.3

1.6

1.1

1.2

Singapore

0.8

1.0

1.0

0.8

0.8

0.8

0.9

Thailand

1.2

1.0

0.8

0.6

0.7

0.6

1.0

Viet Nam

1.8

1.0

0.3

0.3

0.3

0.2

-

ASEAN total

2.0

1.4

1.2

1.0

1.0

1.0

1.3

Share in total exports of goods and services
Brunei Darussalam

0.1

0.0

0.0

0.0

0.0

0.0

0.0

Cambodia

0.8

0.7

0.5

0.4

0.3

0.3

0.3

Indonesia

0.8

0.5

0.4

0.4

0.4

0.5

0.4

Lao PDR

1.4

1.1

0.6

0.4

0.4

0.5

-

Malaysia

0.3

0.2

0.3

0.2

0.2

0.2

0.3

Myanmar

-

1.3

1.4

0.5

0.2

0.5

0.1

Philippines

0.8

0.5

0.3

0.4

0.6

0.4

0.4

Singapore

0.2

0.3

0.3

0.3

0.3

0.3

0.3

Thailand

0.2

0.2

0.2

0.1

0.2

0.1

0.1

Viet Nam

0.2

0.1

0.0

0.0

0.0

0.0

-

ASEAN total

0.3

0.3

0.3

0.2

0.2

0.3

0.2

Source: AJC based on own data from UNCTAD and ASEANstats.
* Data are available only for telecommunications, computer and information services. Therefore, the ratio of telecommunication
services to this sector from Malaysia is applied to estimate the telecommunication services sector only.
+ For the years 2005–2010 data are available only for telecommunications, computer and information services. Therefore,
Singapore’s ratio of telecommunication services to this sector from the year 2011 is applied to estimate the telecommunication
services sector only.

11

Table 7. I mports of telecommunication services and their share in total imports ofservices and in total imports of goods and services, 2005–2020 (millions ofdollars and per cent)Country

Annual average
2005–2010

Annual average
2011–2015

2016

2017

2018

2019

2020

29

19

13

17

26

45

Telecommunication service import
Brunei Darussalam*

8

Cambodia

38

51

55

55

100

83

101

Indonesia

606

672

655

629

623

560

676

Lao PDR

4

12

15

15

17

14

-

Malaysia

806

1,124

1,166

981

872

963

1,137

Myanmar

-

59

131

90

106

115

74

Philippines

119

255

248

379

320

519

681

Singapore+

587

1,390

1,346

1,319

1,306

1,422

1,536

Thailand

235

458

397

386

436

631

471

Viet Nam

51

42

34

33

35

36

-

ASEAN total

2,454

4,080

4,066

3,900

3,832

4,368

4,720

Share in total imports of services
Brunei Darussalam

0.6

1.4

1.3

1.2

1.3

1.7

4.4

Cambodia

4.4

3.0

2.5

2.3

3.8

3.0

5.8

Indonesia

2.4

2.2

2.4

2.2

1.9

1.7

3.3

Lao PDR

4.0

1.5

1.6

1.5

1.6

1.3

-

Malaysia

2.8

2.8

3.2

2.6

2.3

2.6

4.1

Myanmar

-

3.1

5.7

3.5

3.5

3.7

2.5

Philippines

1.3

1.6

1.1

1.6

1.4

2.2

4.4

Singapore

0.7

1.0

0.9

0.8

0.8

0.8

1.1

Thailand

0.6

1.1

1.0

0.9

0.9

1.3

1.2

Viet Nam

0.7

0.3

0.2

0.2

0.2

0.2

-

ASEAN total

1.3

1.4

1.4

1.2

1.1

1.3

1.8

Share in total imports of goods and services
Brunei Darussalam

0.2

0.5

0.5

0.3

0.3

0.4

0.9

Cambodia

0.6

0.4

0.4

0.4

0.6

0.4

0.6

Indonesia

0.5

0.3

0.4

0.4

0.3

0.3

0.5

Lao PDR

0.3

0.3

0.3

0.2

0.3

0.2

-

Malaysia

0.5

0.5

0.6

0.5

0.4

0.5

0.6

Myanmar

-

0.4

0.8

0.5

0.5

0.6

0.4

Philippines

0.2

0.3

0.2

0.3

0.3

0.4

0.7

Singapore

0.2

0.3

0.3

0.3

0.3

0.3

0.4

Thailand

0.1

0.2

0.2

0.2

0.2

0.3

0.2

Viet Nam

0.1

0.0

0.0

0.0

0.0

0.0

-

ASEAN total

0.2

0.3

0.3

0.3

0.2

0.3

0.4

Source: AJC based on own data from UNCTAD and ASEANstats.
* Data are available only for telecommunications, computer and information services. Therefore, the ratio of telecommunication
services to this sector from Malaysia is applied to estimate the telecommunication services sector only.
+ For the years 2005–2010 data are available only for telecommunications, computer and information services. Therefore,
Singapore’s ratio of telecommunication services to this sector from the year 2011 is applied to estimate the telecommunication
services sector only.

12

Table 8. Export trend line for telecommunication services
Country

Slope (in log)

Brunei Darussalam-0.377

Cambodia

0.023

Indonesia-0.047

Lao PDR

0.069

Malaysia-0.006

Myanmar-0.123

Philippines-0.025Singapore

0.092

Thailand

0.015

Viet Nam-0.072ASEAN average-0.045

Source: Calculated from tables 6 and 7

Table 9. Export competitiveness index of telecommunication services, 2005–2020
Country

Annual average
2005–2010

Annual average
2011–2015

2016

2017

2018

2019

2020

Brunei Darussalam

-0.15

-1.00

-1.00

-1.00

-0.98

-0.99

-0.93

Cambodia

0.10

0.13

0.07

0.01

-0.32

-0.23

-0.34

Indonesia

0.32

0.16

0.02

0.06

0.10

0.18

-0.01

Lao PDR

0.64

0.46

0.28

0.18

0.15

0.33

-

Malaysia

-0.12

-0.31

-0.34

-0.32

-0.20

-0.24

-0.23

Myanmar

-

0.46

0.19

-0.03

-0.48

-0.02

-0.49

Philippines

0.59

0.20

0.06

0.02

0.26

-0.12

-0.37

Singapore

0.00

-0.03

0.01

-0.03

0.02

0.05

-0.06

Thailand

0.20

-0.01

0.05

-0.03

0.04

-0.21

-0.28

Vietnam

0.39

0.38

0.24

0.25

0.22

0.20

-

ASEAN average

0.22

0.04

-0.04

-0.09

-0.12

-0.11

-0.34

Source: Calculated from tables 6 and 7
Note: The export competitiveness index is defined as (Exports - Imports) / (Exports + Imports).

• Philippines’ export performance is rather flat or even declining a bit; the export slope isnegative, and the export competitiveness index is entering negative territory. This is presumably
because of the country’s prolonged transition away from a monopolistic condition toward amore competition-based telecommunication sector.
• Singapore’s export value is the largest among ASEAN member states; its export trend ispositive and higher than the ASEAN average. Its export competitiveness index, however,fluctuates between positive and negative values, due partly to the fact that the Singaporean
economy is rather mature and has limited market size.
• As for Thailand, the export competitiveness index oscillated from between negative and positive
values, starting at 0.2 and ending at -0.2, while the export slope is positive. The country’s
export-oriented policy (which started in the 1980s) has not affected services, as it targeted
mainly the goods sector.
• In Viet Nam, export and import values decreased to but stabilized in the last half of the 2010s13

to around $55 million and $35 million, respectively. Its export competitiveness index value isdeclining but still significantly positive. This is because Viet Nam has been actively embracing amarket-based economy, which attracts inward FDI.
These trade-related statistics provide some basic information on growth and typical characteristicsof trade for individual member states. Mode 1 trade is dwarfed by supply through commercial
presence (Mode 3), though still considerably higher than Mode 2 (consumption abroad) and close
to Mode 4 (movement of natural persons) levels (table 1).

Box 1. The impact of COVID-19 on telecommunication services trade
In December 2019, the first case of a new infectious disease caused by the novel coronavirus(COVID-19) was identified. The high transmission rate resulted in the rapid spread of thevirus around the world and the declaration of a pandemic in March 2020. The pandemic
affected most countries around the globe, decreasing the movement of people and products.
This unprecedented event generated disruptions in daily lives and countries’ economies,
requiring totally new measures from governments. Although this problem is still not solved,
the countries of the world struggle to recover their economies, while dealing with the healthproblems.
In such times of social distancing policies, the telecommunications infrastructure and theuse of new technologies became vital for keeping the economy running and avoiding a greatcollapse of the world economy.
Observing the data for the year 2020, when available, provides insight into how and if
telecommunication services were affected in ASEAN member states.
Given the initial negative shock on the world economy, the export numbers of Indonesia,
Myanmar, Philippines, Singapore and Thailand indicate a negative impact. Myanmar andThailand were the most affected countries, with the former’s export values decreasing to lessthan one-quarter of the export values in 2019, while the latter lost almost half of the value
exported in 2019. Interestingly, Cambodian export values changed little, while Malaysia was
the only country with an increase in exports, despite the effects of COVID-19.
In terms of imports, an opposite pattern was observed, with increases in imports oftelecommunication services in all countries except for Myanmar and Thailand. This increasein telecommunication services may relate to the introduction of home office policies.

2. Supply through commercial presence (Mode 3)
Table 10 shows the estimated sales of telecommunication services through foreign presence (Mode
3 in terms of service trade categorization as done by the ASEAN Japan-Centre, or AJC; see box 2).3
Except for Brunei Darussalam, Lao People’s Democratic Republic and Myanmar, receipts (imports)from abroad and sales by foreign telecommunication services affiliates are relatively large,
indicating that the ASEAN region is benefiting from foreign supply of telecommunication services.

3

This is an underestimation of trade volume, as only companies that provide telecommunication services are
considered absent data on companies engaged only partly in telecommunication services. Tables 6 and 7 remain
useful for a first approximation.

People’s Democratic Republic and Myanmar, receipts (imports) from abroad andsales by foreign telecommunication services affiliates are relatively large,
indicating that the ASEAN region is benefiting from foreign supply of
telecommunication services.

14

Table 10. Estimated sales of telecommunication services through fureign presence, 2015services are considered absent data on companies engaged only partly in telecommunication
services. Tables 6 and 7 remain useful for a first approximation.
14

15

Box 2. How to estimate Mode 3 services supply
Almost no developing countries compile foreign affiliate statistics. ASEAN member states are
no exception. The supply of telecommunication services through commercial presence must
therefore be estimated from the sales of foreign affiliates engaged in such services. The AJC
estimated this supply using the following steps:(1) Identify foreign affiliates in each country by examining the lists of foreign companies
compiled from various sources, including Toyo Keizai’s database for Japanese affiliates
in ASEAN, Orbis and Who Owns Who databases for non-Japanese foreign affiliates in
ASEAN, and individual foreign investment cases from Thomson One and the Financial
Times ’ fDi Markets databases.
(2) Because many of these identified foreign affiliates do not provide sales data, calculate theratio of sales to firm size based on the affiliates with information on both sales and firm
size (i.e. , capital size, asset size or investment size). To estimate sales, apply this ratio toaffiliates with at least data on firm size.
(3) D o not include affiliates for which estimates of sales were not possible, effectively
assuming that they are small and do not affect the total.
For sales by ASEAN affiliates abroad, the same estimation procedure is applied. In both
estimates (supply of services by foreign affiliates in ASEAN and supply of services by ASEAN
affiliates abroad), the AJC’s estimates tend to be underestimated because they include only
identified affiliates and only those whose main business is telecommunication services.
Companies whose main business is not telecommunication services can also provide suchservices. However, in the calculations for Mode 3, supply by this type of firms is not covered.
Annexes A and B provide some of the identified telecommunication foreign firms establishedthrough FDI.

In terms of the number of investments, Brunei Darussalam hosts the smallest number of foreign
affiliates and has no identifiable affiliates abroad. Singapore hosts the largest number at home(170) and sends the largest number abroad (111). All in all, ASEAN member states are receiving
investment in telecommunication services rather than investing elsewhere.
Unlike trade under Mode 1 (cross-border supply), under Mode 3, Singapore, Indonesia, Malaysia
and Philippines show almost the same level of foreign presence in terms of sales. Singapore has
by far the largest sales abroad of all the ASEAN member states, seven to 10 times larger than thenext largest countries (Malaysia and Indonesia).
Table 11 shows foreign affiliates in ASEAN and ASEAN affiliates abroad in telecommunication
services by source and destination country. Investments in ASEAN from other ASEAN countries
constitute the dominant share. Outside the ASEAN region, Europe makes the largest number ofinvestments, followed by United States and Japan.
In terms of the volume of inward investment, or trade in services in Mode 3, the relevant
companies’ total sales figures have been added together. The result of the estimation shows that
other ASEAN countries combined make up the largest share of inward investors. Then comesJapan, which implies that the average Japanese investment is larger than those of United Statesand Europe. The large investment values from Qatar (Qatar Telecom) and Hong Kong, China (TrueCorp.) (Annex A) are impressive, considering their rather small numbers of investments.

16

As for ASEAN companies’ investment abroad, the largest number of affiliates is hosted by other
ASEAN countries, followed by India. Bermuda and Pakistan also rank high. In contrast, Europe
and United States, together with Japan, are not investment destinations, presumably becauseof the high costs and the dominance of large telecommunication companies in these advanced
economies.

Table 11. Foreign affiliates in ASEAN and ASEAN affiliates abroad in telecommunication
services, by source / destination country

3. Consumption abroad (Mode 2) and movement of natural persons (Mode4)
3. Cessence
onsumption
abroad (Mode2) andismovement
naturalnetworks
Theof telecommunication
services
embodied in ofequipment,(Mode4)provide such services, rather than in natural persons.
andpersons
infrastructure
that
Therefore, supply of services through Mode 2 and Mode 4 is very limited, as
The essence of telecommunication services is embodied in equipment, networks andmovement
to the places of consumption or production does not accompany suchinfrastructure that provide such services, rather than in natural persons. Therefore, supply of
infrastructure.
Supplythrough
two modes
is estimatedto beofonly
one tenthservices through Mode
2 andMode 4 isthesevery limited,as movement
to the places
consumption
orof
total supply
this subsector.
As no Supply
systematic
is isavailable,
production
does not of
accompany
such infrastructure.
throughinformationthese two modes
estimatedinternational roaming could be seen as supply of telecommunication services inMode 2, because consumers in suppliers’ countries use foreign suppliers’ service
facilities. Meanwhile, Mode 4 is not technically feasible because17

to be only one tenth of total supply of this subsector. As no systematic information is available,international roaming could be seen as supply of telecommunication services in Mode 2, because
consumers in suppliers’ countries use foreign suppliers’ service facilities. Meanwhile, Mode 4 is
not technically feasible because telecommunication services are oriented to facilities rather thannatural persons. Put differently, the lack of relevant trade statistics in Mode 2 and Mode 4 reflectsthat these two modes are not in full use.
Nonetheless, using and recording trade flows in both of these underutilized modes is required.
Foreign visitors’ rental of mobile phones would be considered trade in Mode 2, and expansion ofthis trade is much needed, with the increase in foreign visitors (including tourists and businessmen
and -women). Although the nature of this services trade is telecommunication, for statistical
purposes, it is recorded as tourism expenditure. Regarding Mode 4, as the industry stands now,
self-employed telecommunication experts remain inconceivable. In the not-too-distant future,
however, this type of professional might appear, using mobile (not large-scale) facilities to supply
telecommunication services abroad. Business development along this line should thus be kept
open by not restricting such trade flows without sound discretionary reasons.

18

IV. Trade Agreements and Regulations among andin ASEAN Member States
The ASEAN Framework Agreement on Services (AFAS) is the most extensive ASEAN-related free
trade agreement on services. Because of potential spillovers to non-AFAS countries (including
ASEAN’s dialogue partners), AFAS merits a particular focus. It is important to first make anoverall assessment of the degree of trade liberalization in telecommunication services. One useful
method is indexation of trade liberalization through, for example, the Hoekman index.4 Table 12shows Hoekman index values for ASEAN member states under AFAS (10th package, signed in
November 2018); see Annex C. Judging from the ASEAN average value, which is close to one in all
three modes,5 most ASEAN member states are highly committed in telecommunication services
under the AFAS 10th package.
Following are some noteworthy observations by country.
Brunei Darussalam: Highly committed and well above the ASEAN average in all three modes.
Mode 2 reveals the highest commitment, followed by Mode 1 and then Mode 3; this is a typical
pattern, considering the sensitivity of Mode 3, which directly relates to domestic regulation andemployment.
Cambodia: Highly committed and well above the ASEAN average in all three modes; Mode 3
records the lowest commitment.
Indonesia: Commitment in Mode 3 is a bit below the ASEAN average; the other modes’commitments are among the highest. In 2016, the country introduced a regulation that imposesa 20 per cent limit on foreign ownership in companies that offer electronic payment services. 6
Indonesia launched a 5G network, but frequency limitation exists.7
Lao People’s Democratic Republic: Fully committed in all three modes together with Viet Nam;
this is presumably because telecommunication services are an essential part of the country’svalue chains with the rest of ASEAN.
Malaysia: The level of commitment is below the ASEAN average; Malaysia seems to have adomestically oriented policy strategy for telecommunication services, especially in Mode 3(commercial presence).
Myanmar: The level of commitment in Mode 3 is below the ASEAN average; the other modes are

4

5

6

7

Hoekman (1995) proposes an indexation method for measuring the General Agreement on Trade in Services–style degree of commitment in the services sector. The index takes a value between 0 and 1, with 0 referring to
the most restricted situation and 1 being the most open. The method assigns values to each of eight cells (fourmodes and two aspects—market access or national treatment) as follows: Assign the value 1 for a sector that is“fully liberalized”, 0.5 for one that is “limited (but bound)” and 0 for one that is “unbound” (government has notcommitted to liberalize) by subsector, by mode and by aspect (market access or national treatment); take thesimple average for aggregation and then calculate the average value by services sector and by country. The higher
the figure, the more liberal the country’s service trade commitments are to members of a free trade agreement.
Using the database constructed for this paper series, the Hoekman index is derived for 155 subsectors. Then thesimple average for the 11 main sectors is calculated.
As Mode 4 (movement of natural persons) is administered by a separate ASEAN-wide agreement (ASEAN
Agreement on the Movement of Natural Persons) and Mode 4 is less relevant in telecommunication services,table 12 lists only Modes 1–3.
Bank Indonesia, “Peraturan Bank Indonesia No. 18/40/PBI/2016 tentang Penyelenggaraan Pemrosesan Transaksi
Pembayaran”, 14 November 2016.
Jakarta Globe , “Indonesia Launches 5G Network, but Frequency Limitation Leaves Many in Blank Spots”, May
28, 2021 (https://jakartaglobe.id/tech/indonesia-launches-5g-network-but-frequency-limitation-leaves-many-inblank-spots).

19well committed.
Philippines: The level of commitment s below the ASEAN average in Modes 1 and 3 (Mode 2 isfully committed); Philippines, like Malaysia, seems to have a domestically oriented policy strategy
for telecommunication services, especially in Mode 3 (commercial presence).
Singapore: The level of commitment in Mode 1 is just around the ASEAN average; Mode 2 is fullycommitted, and Mode 3 commitment is higher than the ASEAN average.
Thailand: Commitments are lower than the ASEAN average; the telecommunication sector seems
to be sensitive and domestically oriented.
Viet Nam: All the modes are fully committed (the index value is 1.0) like Lao People’s Democratic
Republic; the country has an open economy policy for this sector.

Table 12. H oekman index of AFAS (10th package, signed in November 2018) commitments
for telecommunication services
Country

Mode 1Mode 2Mode 3

Brunei Darussalam

0.97

0.98

0.92

Cambodia

0.97

1.00

1.00

Indonesia

1.00

1.00

0.75

Lao PDR

1.00

1.00

1.00

Malaysia

0.73

0.73

0.55

Myanmar

0.93

0.93

0.55

Philippines

0.65

1.00

0.57

Singapore

0.88

1.00

0.88

Thailand

0.75

0.75

0.75

Viet Nam

1.00

1.00

1.00

ASEAN average

0.89

0.94

0.81

Source: AJC, calculated from the specific commitment tables of AFAS (10th package). For each ASEAN member state’s specificcommitment table, see Annex C.

Table 13 lists the Hoekman index of the positive list commitments (i.e. , listing those services
sectors that will be liberalized rather than negative list commitments that list sectors that will
not be liberalized) by ASEAN members under the Regional Comprehensive Economic Partnership(RCEP, signed in November 2020). Note that some ASEAN members use the negative list approach
under RCEP.

20

Table 13. Hoekman index of the positive list commitments by ASEAN members fortelecommunication services under RCEP (signed in November 2020)
Country

Mode 1Mode 2Mode 3

Brunei Darussalam

-

-

-

Cambodia

1.00

1.00

0.88

Indonesia---

Lao PDR

0.73

1.00

0.73

Malaysia---

Myanmar

0.68

0.93

0.70

Philippines

0.53

1.00

0.38

Singapore---

Thailand

0.60

0.60

0.60

Viet Nam

0.75

1.00

0.75

ASEAN average

0.72

0.92

0.67

Note: - indicates negative list commitments (indexation not applicable).
Source: AJC, calculated from the RCEP commitment tables (Annex D).

As for RCEP, following are some country-level observations.
Brunei Darussalam: Indexation method is not applicable because negative listing is used.
Cambodia: All the modes are fully committed, and the degree of commitment is almost the sameas that under AFAS 10th package.
Indonesia: Indexation method is not applicable because negative listing is used.
Lao People’s Democratic Republic: The commitment under RCEP is a bit lower than that under
AFAS in Modes 1 and 3; a concern seems to exist regarding the ASEAN dialogue partners’
potentially unbridled presence in the telecommunication sector.
Malaysia: Indexation method is not applicable because negative listing is used.
Myanmar: Commitment in Mode 1 is lower than that under AFAS, commitment in Mode 2 is thesame as for AFAS and commitment in Mode 3 is higher than for AFAS.
Philippines: Commitments in Modes 1 and 3 are a bit lower than those for AFAS, while Mode 2 isfully committed for both AFAS and RCEP.
Singapore: Indexation method is not applicable because negative listing is used.
Thailand: Commitments in Modes 1–3 are all below those for AFAS, possibly reflecting thesensitive nature of this sector (as a social infrastructure) because of security considerations.
Viet Nam: Commitments in Modes 1 and 3 are lower than for AFAS, which might imply that the
telecommunication services sector is rather sensitive.
A smaller presence of foreign firms in the telecommunication services sector in the domestic
market could lead to less liberalization in those countries at issue. However, as discussed laterin the context of policy formulation, an open trade policy would be desirable because not only
existing physical assets (e.g. , fibre and submarine cables) but also future evolving technologies(e.g. , 5G and even 6G telecommunication devices) must be developed in the ASEAN region inan ever-evolving manner. Collaboration with foreign-technology-bearing firms would therefore
be indispensable to make this happen in ASEAN’s domestic economies. Given this, the types ofpolicy restrictions to apply in telecommunication services are an important consideration when21

inviting technologically advanced foreign firms, with domestic security and therefore some sort ofprudential regulations also in mind.
Table 14 shows the status of restrictions in the telecommunication sector by country under AFAS
(10th package). Following are some observations by country.
Brunei Darussalam: Among the restrictions used, the frequency of E (measures that restrict or
require specific types of legal entity) is higher than that of F (limitations on the participation offoreign capital); a 70 per cent upper limit is dominant.
Cambodia: Restriction is less used; only one unbound (no commitment) is observed.
Indonesia: Among the restrictions used, the uses of E (measures that restrict or require specifictypes of legal entity) and F (limitations on the participation of foreign capital) are dominant; as for F,
a 49 per cent upper limit on foreign equity participation is more frequently used than a 70 per centlimitation.
Lao People’s Democratic Republic: Now that the sector is fully open, no restriction is used.
Malaysia: The use of F (limitations on the participation of foreign capital) is dominant; a 70 per
cent foreign equity limit (majority foreign capital) is used.
Myanmar: The use of E (measures that restrict or require specific types of legal entity) and G(government approval requirement) are dominant; F (limitations on the participation of foreign
capital) is not used.
Philippines: E (measures that restrict or require specific types of legal entity) is the mostdominant; F (limitations on the participation of foreign capital) is also dominant, and a 40 per centforeign equity limit is more frequently used than a 70 per cent limit. The use of D (limitations on
the total number of natural persons) is unique among ASEAN member states.
Singapore: The use of E (measures that restrict or require specific types of legal entity) is themost frequently used measure, followed by F (limitations on the participation of foreign capital); a
foreign equity limit of 73.99 per cent is dominant.
Thailand: The use of E (measures that restrict or require specific types of legal entity) is dominant;F (limitations on the participation of foreign capital) comes next; a 70 per cent foreign equity limit
is the most frequently used figure.
Viet Nam: As full liberalization has been achieved, there is no use of policy restrictions.
As for RCEP, Table 15 shows the use of restrictions by type; following are the observations at thecountry level.
Brunei Darussalam: Indexation method is not applicable because negative listing is used.
Cambodia: F (limitations on the participation of foreign capital) is the only policy restriction used,with 49 per cent being the upper limit.
Indonesia: Indexation method is not applicable because negative listing is used.
Lao People’s Democratic Republic: E (measures that restrict or require specific types oflegal entity), F (limitations on the participation of foreign capital) and G (government approvalrequirement) are used with the same frequency; as for F, a 60 per cent upper limit of foreign equity
participation is used.
Malaysia: Indexation method is not applicable because negative listing is used.
Myanmar: E (measures that restrict or require specific types of legal entity) and G (government
approval requirement) are used most frequently, followed by U (unbound, no commitment) and22then by F (limitations on the participation of foreign capital), with an upper equity participation limitof 70 per cent.
Philippines: E (measures that restrict or require specific types of legal entity) is the mostfrequently used restrictive measure, followed by G (government approval requirement), then U(unbound, no commitment) and F (limitations on the participation of foreign capital), with which an
upper equity participation limit of 40 per cent alone is used.
Singapore: Indexation method is not applicable because negative listing is used.
Thailand: E (measures that restrict or require specific types of legal entity) is the most frequently
used restrictive measure, followed by U (unbound, no commitment) and then by F (limitations on
the participation of foreign capital), with which a 70 per cent upper equity participation limit is mostfrequently observed.
Viet Nam: E (measures that restrict or require specific types of legal entity) is the most frequently
used restrictive measure, followed by F (limitations on the participation of foreign capital), withwhich 49 per cent and 50 per cent upper limits are used. These lower limits (less than 70 per cent)imply the country’s rather cautious commitment under RCEP.

Table 14. Status of restrictions in the telecommunication sector under AFAS (10thpackage)
E = measures
D = limitations
that restrict or
N = none/no on the totalrequire specificlimitation
number oftype of legal
natural persons
entityF = limitations
on theparticipation offoreign capitalG = government U =approval
Unbound (norequirement
commitment)

Brunei Darussalam

82

1

8

4(70%:4)00

Cambodia

89

0

0

0

0

1

Indonesia

75

0

15

15(49%:12; 70%:3)00

Lao PDR

90

0

0

0

0

0

Malaysia55

0

1

11(70%:11)024

Myanmar

68

0

14

0

14

6

Philippines

47

4

39

18(40%:17; 70%:1)

18

4

Singapore

76

0

14

7(73.99%:7)00Thailand

45

0

45

15(49%:2; 70%:13)00Viet Nam

90

0

0

0

0

0

Source: Calculated from each country’s specific commitment table under AFAS (10th package).
Note: Only those commitments with CPC (Central Product Classification) codes clearly indicated (for specifying service sectors)
are counted.

23

Table 15. Status of restrictions in telecommunication sector under RCEP
E = measures
D = limitations
that restrict or
N = none/no on the totalrequire specificlimitation
number oftype of legal
natural persons
entityF = limitations
on theparticipation offoreign capitalG = government U =approval
Unbound (norequirement
commitment)

Brunei Darussalam

-

-

-

-

-

-

Cambodia83007(49%:7)00Indonesia

-

-

-

-

-

-

Lao PDR58

0

16

16(60%:16)

160Malaysia

-

-

-

-

-

-

Myanmar60

0136(70%:6)

13

11

Philippines

42

8

31

15(40%:15)

23

17Singapore

-

-

-

-

-

-

Thailand

36

0

32

12(49%:1; 51%:2; 70%:9)1

18Viet Nam

60

0

29

15(49%:8; 50%:7)00

Source: Calculated from each country’s specific commitment table under RCEP.
Note: O nly those with CPC codes clearly indicated is counted.
- not applicable because of negative listing.				

Overall, AFAS (10th package) has opened up ASEAN members’ domestic markets toward freer
trade (albeit not completely), while RCEP with ASEAN members’ five dialogue partners (Australia,
China, Japan, Republic of Korea and New Zealand) remain rather restrictive in terms of market
access and national treatment.
An important aspect of AFAS is its expected positive spillover effect when combined with theconcluded RCEP involving ASEAN member states and their dialogue partners (Australia, China,
Japan, Republic of Korea and New Zealand). As ASEAN members’ commitments under RCEP
remain relatively lower than under AFAS (10th package), AFAS could still be seen as a usefulreference point for future upgrading of RCEP, and in this sense, the specific measures intelecommunication services under AFAS (see Annex C) provide useful information for considering
the ASEAN region’s liberalization of trade in telecommunication services.8
Another service-related agreement, ASEAN Trade in Services Agreement (ATISA), is said
to contribute to further liberalization of the services sector for ASEAN members. As of thiswriting (March 2022), country-by-country commitments/reservations under ATISA remain
under preparation. That said, existing trade agreements (namely, AFAS and RCEP) will serve asimportant reference points. Also, a “spillover effect of liberalization” is expected in which free
trade agreements, whether bilateral or plurilateral, will intentionally or unintentionally benefit
non-members, especially in the telecommunication services sector, which has a “network feature”
involving members and non-members of trade agreements.
Although AFAS addresses trade liberalization measures, measures specific to telecommunication
service trade are also administered through other means. ASEAN and the World Bank (2015, p.
130) point out that telecommunication ministers “do not address liberalization measures in theform of restrictions on market access and national treatment, which are understood to be coveredby the AFAS negotiations … These ASEAN bodies and their efforts may, however, address the8

ASEAN members’ and their dialogue partners’ commitments under RCEP (the hybrid of positive listing andnegative listing depending on the country) are available at https://rcepsec.org/legal-text/.

24

domestic regulation measures that may act as barriers to trade and investment in these services
sectors”. The most important and updated policy measures are provided under the ASEAN Digital
Masterplan 2025 (ADM 2025) released in 2020, which covers the period of 2021–2025 (box 3).

Box 3. ASEAN Digital Masterplan 2025 (ADM 2025)
ADM 2025 envisions ASEAN as a leading digital community and economic bloc, powered by
secure and transformative digital services, technologies and ecosystem. ADM 2025 focuses on
enabling economy-wide digital transformation through the following eight desired outcomes(Ds): (1) Actions of ADM 2025 prioritised to speed ASEAN’s recovery from COVID-19, (2)increase in the quality and coverage of fixed and mobile broadband infrastructure, (3) the
delivery of trusted digital services and the prevention of consumer harm, (4) a sustainable
competitive market for the supply of digital services, (5) increase in the quality and useof e-government services, (6) digital services to connect business and to facilitate crossborder trade (7) increased capability for business and people to participate in the digital
economy and (8) a digitally inclusive society in ASEAN. Among these Dos, items (2) and (6)relate directly to telecommunication services (as the following main text discusses in thecontext of workable policy suggestions). ADM 2025 covers wide-ranging policy agendas
not just for telecommunication services but also for computer services, as both of these
subsectors are now an integral and inseparable part of overall digital services. With themerging of telecommunication services and computer services under the overarching nameof digital services, a unified treatment becomes possible. ASEAN has also responded to this
digitalization trend and currently holds related ministerial meetings in a unified fashion. (Aseparate AJC paper on computer and related services addresses the digital services sector in
an integrated manner.)25

V. Impacts of Further Liberalization of
Telecommunication Services on the Economy
Table 16 shows the value added and output of telecommunication services for some ASEAN
member states. The average ratio of value added to output (0.50) is significantly higher than the allindustry average (0.43), which indicates that expansion of the telecommunication services sector
has a significant value-creation impact. In terms of the absolute level of value added, Indonesia
has the largest figure, followed by Philippines, Malaysia, Singapore and Thailand. This order isroughly positively related to both the size and the level of economic development of the countries.
Indeed, the telecommunication sector is the base of a country’s physical infrastructure. Trade
expansion in this sector therefore is expected to rapidly increase the level of basic infrastructure.

Table
16. V
addedandandoutput
outputof telecommunications*compared
all industries
Table 16.
Valuealue addedof telecommunications*compared
withwith
all industries(millions of(millions
dollars andratio) and ratio)of dollars

As for the impact of the diffusion of telecommunication services, figure 2 shows the multiplierAs for the impact of the diffusion of telecommunication services, figure 2 shows
effects of telecommunication services in ASEAN (in 2015). As in the table, Malaysia displays thethe multiplier effects of telecommunication services in ASEAN (in 2015). As in
highest level of multiplier effect—more than 1.8—presumably reflecting the fact that the country
the beentable,
Malaysia ondisplays
the highest level ofmultiplierovereffect—more
thanhas
concentrating
information-technology-related
infrastructure
the past decades.
1.8—presumablyreflecting
factthat Viet
the Nam,country
hasthird,
beenis concentratingon
Singapore
follows Malaysia
for thethesamereason.
rankedalso considered tohavea high multiplier effect. Therefore, infrastructure
the presence of foreign
telecommunicationthat
information-technology-related
over thepast decades.services
Singaporeareconsidered
more
competitive
maychangetheproductivityofthetelecommunication
services
follows Malaysia for the same reason. Viet Nam, ranked third, is also considered
sector.
Cambodia,in contrast,
ranks atthe bottom
because ofthe
the relatively
to havea highmultipliereffect.
Therefore,
presenceweakof domestic
foreignindustrial linkage between telecommunication services and other sectors. The coefficienttelecommunication services that are considered more competitive may change
multiplier of the telecommunication sector has declined generally. For example, in Indonesia,
the productivity of the telecommunication services sector. Cambodia, in contrast,
it was approximately 1.8 during the 1980s and decreased to 1.3 by the end of 2008 (Rohman
ranks
at thebottomof thephones
relatively
weakdomestic
industrial(aslinkage
andBohlin,2014).
This isbecause
because mobile
are used
more
for communicationa finalbetweentelecommunication
servicesand
othersectors.
The
coefficientdemand) than for industrial input and because the mobile era that started in the early 2000s
createdchangesin telecommunication
output:althoughfinal demandremains For
dominant,themultiplierof thetelecommunication
sectorhas declined
generally.
example,technologicalcoefficienteffecthasdiminishedasthesourceofthat
output.
This
study
indicatesin Indonesia, it was approximately 1.8 during the 1980s and decreased to 1.3 bythat in ASEAN at large, the telecommunication services sector has a limited capacity to strengthen
the end of 2008 (Rohman and Bohlin, 2014). This is because mobile phones are
its input-output linkage with other sectors.

used more for communication (as a final demand) than for industrial input andThemain impact
of telecommunication
services,inhowever,comes2000s
preciselycreatedfrom the changes
transition toinbecausethe mobile
era that started
the early
final-demand-oriented use of mobile phones. Although a quantitative assessment of this channel

telecommunication output: although final demand remains dominant, thetechnological coefficient effect has diminished as the source of that output. This
study indicates that in ASEAN at large, the telecommunication services sector
has a limited capacity to strengthen its input-output linkage with other sectors.

26

of impact is difficult, smoother communication through mobile phones surely contributes to the
upward shifting of ASEAN’s smile curve for value creation.

Figure 2. Multiplier effects of telecommunication services in A SEAN' , 2015

Toassess the impacts of telecommunication services, introducing the concept of
To assess the impacts of telecommunication services, introducing the concept of network
network
is alsoFigure externality.
3 illustrates
network externality.
externality externality
is also important.
Figureimportant.
3 illustrates network
Telecommunication
networks
Telecommunication
networks
are andmanagedby twocharges
respective
operators,
are managed by two respective
operators,
interconnection
are required
betweenandthetwo operators. The charges
retail partareof theoperators
handles transactions
with usersThe(e.g. ,retailbilling partandinterconnection
required
betweenthe two operators.
customer services). Network externality signifies the increased value of a network arising fromof the operators handles transactions with users (e.g., billing and customer
new users joining the network. For instance, when new users start to use network 1 in figure 3
services).
Network externality signifies the increased value of a network arising(represented by the bigger, solid oval), the network now has more users, and existing users can
from
new users
network.
For instance,
when than
newinusers
start
to newuse
also contact
the newjoining
users at the
low cost.
This situation
is more valuable
the case
where
network
1 thein figure3 (represented
by 1thebigger,2)solidoval),
now
users selectother network(either networkor network
separately(thethetwo networkgroups of users
being
representedbythesmallerovals
withdashedlines).
Put
differently,
the
total
value
of
the
has more users, and existing users can also contact the new users at low cost.
new users joining network 1 includes the value for the new users and the value for existing users
This situation is more valuable than in the case where new users select the otherof network 1. This means that the existing users benefit without paying extra connection fees; thisnetwork(either network 1 or network 2) separately (the two groups of users
is precisely the network externality effect.
being represented by the smaller ovals with dashed lines). Put differently, theIn the extreme case of only one user of the network would produce no benefit for the network
total
value of the new users joining network 1 includes the value for the newuser, so the cost of using the network is higher than the benefit (zero). When the number of users
users
andbecomesthe value
usersof network
This
means
that
the existingsomehow
two,forthe existing
second user’s
entry
affects the 1.
first(existing)user
becausethe first
users
benefitpaying theextraconnection
fees;
this isThus,
precisely
the network
user canbenefitwithoutfrom contacting
seconduser of the
network.
the network
has thefeatureof“externality”
of
new
users
affectingexisting
users.
externality effect.
However, market competition requires that the cost should equal the price. In the extreme case ofzero
users,
there would
be only
no oneone
to start
the network
network, because
benefit for
first userIntheextremecase ofuserusingof thewouldtheproducenothebenefitforofthe
networkis,asmentioned
previously,
zero(notelecommunicationispossiblewithothers).
the network user, so the cost of using the network is higher than the benefit (zero).

When the number of users somehow becomes two, the second user’s entry affects
the first (existing) user because the first user can benefit from contacting thesecond user of the network. Thus, the network has the feature of “externality” of
new users affecting existing users.

However, market competition requires that the cost should equal the price. In the27extreme case of zero users, there would be no one to start using the network,
because the benefit for the first user of the network is, as mentioned previously,
zero (no telecommunication is possible with others).
Figure 3. Dlustration of netv.ork externality

UNCTAD (2021) points to the positive effects on supply and costs in host

UNCTAD (2021) points to the positive effects on supply and costs in host economies and reports
economies and reports that the availability and performance ofthat the availability and performance of telecommunication (together with other digital) services
telecommunication(together
withto otherdigital)services
after large-scale
afterlarge-scale foreign
entry leads
improved
and more
competitive
provision offoreign
services.
entry
leads
to
improvedandmorecompetitive
provisionofservices.
Indeed,an
Indeed, an enhanced degree of trade in telecommunication services will improve service
provision
enhanceddegreein telecommunication
serviceswillasimprovenot
only within
ASEANofbuttradealso within
the broader region (suchas RCEP)a spilloverserviceof market
externality.
Althoughconcretecost
calculationmaybedifficult,
a
need
for
government
intervention,
provision not only within ASEAN but also within the broader region (such as
inthe form
exists externality.
to encourageAlthoughpotential users
to usecost
the networkand toRCEP)
as ofa subsidies,spillover surelyof market
concrete
calculation
merge existing smaller-scale networks so as to capture a larger degree of network externally.

may be difficult, a need for government intervention, in the form of subsidies,

Highercharges
capturing
this externality
surely pricing
exists oftointernational
encourageroaming
potentialusersmakes
to usethe networkand to difficult
merge inpractice.
of foreign telecommunication
oftena haveto payone month’s
fee plus
existingUsers
smaller-scale
networks so as services
to capture
largerdegreeof network
other usage charges to be able to roam; the combination of these fees can be quite expensive.9

externally.

929

For roaming to be possible, the user’s handset must be compatible with the host’s network. It is also worth
pointing out that if the home operator and host operator use different technologies, roaming can be accomplishedonly by using a different handset when in the host operator’s coverage area. This can be expensive andcumbersome. And even when network technologies are compatible, international roaming cannot occur until theoperators have agreed on the terms and conditions for accepting each other’s roaming traffic (World Bank and
ITU, 2011).

28

ASEAN has a goal of reducing international roaming charges by 2025 (under the ASEAN Digital
Masterplan 2025). Concrete policy measures should be honed to make this happen. ASEAN-wide
collaboration efforts are especially important for capturing ASEAN-wide network externalities.
In the context of growing market potential and network externality across the ASEAN region,
integrating the telecommunication services sector into the economy by promoting relevant trade
in services would be beneficial for ASEAN.
ASEAN member states are in the middle of a transition from a monopolistic to a competitionbased market in the telecommunication sector, with rather domestically oriented reform (i.e. ,not focused on attracting international service suppliers). To capture the ASEAN-wide network
externality, therefore, each needs to allow market penetration by suppliers from other ASEAN
member states.
Considering the issue of why and when regulation is needed in the first place is worthwhile. Figure
4 depicts the transition in the need for regulation. Stage 1 (public monopoly) is usually the starting
point, as the supply of telecommunication services requires large-scale facilities (i.e. , cables, lines,
satellites and so forth) that are beyond the capacity of private companies. At this stage, regulation
could be limited because the government itself is the operator of telecommunication services.
Stage 2 (private monopoly) requires regulation because the private sector, while seeking efficiency
and profit, needs guidelines for operation. Stage 3 (partial competition) needs an enhanced levelof regulation to ensure private sector contestability. Stage 4 (full competition) needs deregulation
to ensure “self-regulation” of market forces (or efficient price formation without market failure);trade liberalization should be implemented at this stage. Then, the impact of liberalizing trade in
telecommunication services could be addressed in this context.

Figure 4. Transition of need for regulation

VI.

Policy Recommendations and Promotion Measures for Trade in
Telecommunication Services

This section provides general policy recommendations (suggestions) first (in29VI. Policy Recommendations and Promotion
Measures for Trade in Telecommunication
Services
This section provides general policy recommendations (suggestions) first (in section 1) and thenlists more concrete policy measures (in section 2) for promoting trade in telecommunication
services by ASEAN member states.

1. General policy suggestions
As the first section mentions, telecommunication services have a wide-ranging impact on thevalue added along the value chain curve (figure 1), in the sense of facilitating domestic andinternational communications. In many cases, service regulations aim at redressing market
failures and achieving legitimate non-trade policy objectives such as national security. As long as
those objectives are attainable, regulators should consider deregulating the telecommunication
service market internationally to secure market contestability.
The ASEAN Telecommunications Regulators’ Council identified the following three major themes
as priority areas for their work program: (1) competition management and interconnection, (2)convergence and licensing of existing and new services and (3) tackling of the digital divide throughcapacity building and universal service and/or access schemes (Shogren et al., 2005).
These emerging issues stemmed from the same origins: market liberalization andtechnology advancement. Removing regulations created under the state-monopoly era andsimultaneously evolving into an open market is important. A general policy for promoting tradein telecommunication services in ASEAN could be suggested in these three areas (Shogren et al.,2005).
Competition management and interconnection. Making the regulatory institutions at theASEAN Secretariat robust will be essential to capture additional network externalities. As thetelecommunication market is being liberalized for trade, ASEAN member states should ensure theexistence of an independent, well-functioning regulatory body. Singapore, Malaysia and Philippines
are faring rather well in this respect. However, a tendency exists toward effectively preventing
small telecommunication operators from competing for trade, and market accessibility for new
operators is sometimes quite difficult. This situation needs to be remedied by technology-neutral
and size-neutral telecommunication policy.
Convergence and licensing of existing and new services. Continuing liberalization of
telecommunication service markets will be indispensable. Of course, AFAS-based regulations in
ASEAN member states will never converge perfectly. Nonetheless, ASEAN member states shouldmake continual efforts to reduce market access barriers while maintaining a technology-neutral
and pro-competitive market condition ready to embrace new services by promoting inward FDI andthrough non-equity mode technological alliances with their dialogue partners (with RCEP as animportant policy framework).
Tackling of the digital divide through capacity building and universal service and/or access
schemes. Exposure to telecommunication services is an important policy priority. Public-private
partnerships would be a feasible option given the network externality of telecommunication
services, as this paper emphasizes. And a successful universal telecommunication service is30closely related to the choice of industry-wide funding mechanism (Shogren et al., 2005).
As mentioned in section III, ASEAN collaborates with other dialogue and development partners
through ADM 2025 as the current flagship policy framework.10 ASEAN and its partners must joincollaborative efforts to capture network externality. ASEAN and the World Bank (2015, p. 130)
indicate that these sectoral initiatives go outside the coverage of AFAS insofar as they do notseek to liberalize services per se, but rather focus on cooperation measures that may assist theprocess of integration. Cooperation initiatives have focused largely on infrastructure issues suchas promoting connectivity, enhancing dialogue and increasing domestic capacity.
From the perspective of network externality, the ASEAN-wide coordinating body should manage
the supply of telecommunication services in ASEAN. Thus, the ASEAN Telecommunications
and Information Technology Ministers Meeting (TELMIN) and the ASEAN Telecommunications
Senior Officials Meeting (TELSOM11) are surely the central organs for implementing promotional
measures for telecommunication services.
ASEAN efforts at the regional and international levels should be complemented by the efforts ofindividual member states. Country efforts should aim at strengthening the legal and regulatory
framework and providing affordable digital/information and communication technology (ICT)
infrastructure and services. The latter includes access to reliable and affordable services, which
requires constant improvements in infrastructure accompanied by competent and effective
regulation of telecommunication markets. In the former, implementing and enforcing relevantlaws and regulations related to digital/ICT is of utmost importance to encourage transparency andeventually reduce transaction costs. For example, in terms of e-commerce, UNCTAD (2015, p. 65)
indicates that in the four areas of e-transaction laws, consumer protection laws, data protection

10

11

For instance, paragraph 15 of the declaration of the ASEAN Telecommunications Ministers Meeting states:“The Ministers acknowledged the Republic of Korea for having successfully implemented a series of cooperative
activities in 2016, among others: expansion of new technology and services, capacity building and knowledge
sharing, ICT infrastructure enhancement, as well as cooperation with international organizations on AP-IS
broadband development, women empowerment through ICT, and development of mobile applications”. As forcollaboration with the European Union (EU), paragraph 17 states: “The Ministers welcomed the endorsementof the 2017 ASEAN-EU ICT Work during the 9th TELSOM+EU meeting, to further extend cooperation on sectorsof mutual interest that are targeted in both the ASEAN ICT Masterplan 2020 and the EU Digital Single Market
initiative. The Ministers further welcomed the Enhanced Regional EU-ASEAN Dialogue Instrument (E-READI)
starting early 2017 that will support cooperation, including in ICT”. And with the United States, paragraph 18
says: “The Ministers noted the convening of the 2nd TELSOM+U.S. meeting and appreciated the United States’
assistance in the successful conclusion of ICT-related activities on spectrum management, cybersecurity, ande-commerce and telecommunication commitments in high-standards trade agreements”. All these collaborative
activities should be coordinated with one another to enhance their effectiveness.
In more detail, TELSOM has the following functions: achieving the interoperability and interconnectivity ofnational information infrastructures of member states by 2010, developing and implementing an ASEAN Planof Action on Regional Broadband Interconnectivity and intensifying cooperation in ensuring seamless roamingof telecommunication services (i.e. , wireless communications) within the region and in facilitating intraASEAN trade in telecommunication equipment and services. The plan aims for TELSOM, with the help of theASEAN Secretariat, to act as an executive body to supervise, coordinate and implement policies, programs
and activities for telecommunication and information technology (IT) cooperation in ASEAN, in line with thedirections and priorities set by TELMIN. TELSOM’s mandate is to identify, implement and monitor cooperation
programs and activities to meet the telecommunication and IT requirements of the ASEAN region; to serve asa forum for exchange of information, discussion and consultation on major regional or international issues anddevelopments in telecommunication and IT of common interest to member states; to provide the mechanism topromote participation of the private sector, regional and/or international organizations and non-governmentalorganizations in the development and implementation of its programs and activities; to establish, as andwhen necessary, working groups and/or expert groups to assist in the development and implementation of its
cooperative programs and activities; to report progress to TELMIN and to carry out other activities that may be
mandated by TELMIN or requested by other relevant ASEAN bodies. To this end, TELSOM coordinates with theASEAN Telecommunication Regulators’ Council, the e-ASEAN Business Council and ASEAN Dialogue Partners(http://nitc.kkmm.gov.my/index.php/international-linkages/asean-telecommunications-senior-officialsmeeting-telsom).

31

and privacy laws and cybercrime laws, ASEAN countries lag behind developed countries,
particularly on data protection and privacy laws.12
Digital dividends, or developmental benefits from using digital technologies, are enormous but
unevenly distributed. This is not due to any lack of greater digital adoption but to the remaining
digital divide. Countries need to work on the “analogue complements” by strengthening
regulations that ensure competition, adapting workers’ skills to the demands of the new economy
and ensuring that institutions are accountable (World Bank, 2016).

2. Workable policy suggestions
As for workable policy suggestions, trade in telecommunication services per se might not be theright focus because the sector necessarily involves large-scale physical facilities. Indeed, lack of
capital investment remains a persistent problem in most ASEAN member states. In formulating
workable promotional measures, combining telecommunication services (larger scale) andcomputer services (smaller scale, addressed in a separate paper) under the umbrella of digitaltechnologies would be better. (For workable promotional measures for digital services, refer tothe separately prepared AJC paper on computer and related services.)
For the telecommunication services sector, be it alone in its business or an integral part of otherbusinesses, not only should further liberalization continue, but also further effort for market
regulations is required to ensure network externality. Telecommunication services are required foreveryone not only to communicate but also for use as a basic service for any personal or businesspurposes. All countries have their strategic policies on this service in addition to their overallcommitment to the regional initiatives (e.g. , AFAS, ADM 2025).
Table 17 lists the desired outcomes and enabling actions relevant to telecommunication services.
The table highlights that desired outcome 2 (increase in the quality and coverage of fixed andmobile broadband infrastructure) and desired outcome 6 (digital services to connect businessand to facilitate cross-border trade) are especially relevant to telecommunication services among
digitally oriented services. As for enabling actions (also in the table), legal and institutionalarrangements, including through free trade agreements, are important. In this context, ADM 2025
points out that lack of common regulation makes intra-region operation complex and expensive
and that developing consistent regulation across the ASEAN region would both encourage inward
investment and enable countries to understand and adopt best practices.

12

The share of countries with legislation related to privacy and data protection is 55 per cent for ASEAN, comparedwith 98 per cent for developed countries (UNCTAD, 2015, p. 65).

32

Table 17. Excerpt from the desired outcomes and enabling actions on telecommunication
services under ADM 2025
Desired Outcome/Enabling Action

Content

Desired outcome 2: Increase in the quality and coverageof fixed and mobile broadband infrastructure

An excellent telecommunication infrastructure is at theheart of any digital transformation. Achieving this outcome
ensures that telecommunication infrastructure in ASEAN
is upgraded to higher data rates capabilities and resiliencein a timely and cost-effective manner and that coverage is
extended into rural areas.

Enabling action 2.1: Encourage inward investment indigital and ICT

Encourage inward investment in digital and ICT

Enabling action 2.2: Move towards best practicepermission and access rights for local and national
infrastructure including submarine cable repair

Move towards best practice permission and access rights
for local and national infrastructure including submarine
cable repair

Enabling action 2.3: Facilitate adoption of region-wide
telecommunications regulation best practices by market
players to provide regulatory certainty

Facilitate adoption of region-wide telecommunications
regulation best practices by market players to provide
regulatory certainty

Enabling action 2.5: Reduce the carbon footprint oftelecommunication operators in ASEAN

Reduce the carbon footprint of telecommunication
operators in ASEAN

Enabling action 2.6: Ensure increased and harmonised
spectrum allocation across the region

Ensure increased and harmonised spectrum allocation
across the region

Enabling action 2.7: Adopt regional policy to deliver bestpractice guidance on artificial intelligence governance andethics, Internet of things spectrum and technology

Adopt regional policy to deliver best practice guidance on
artificial intelligence governance and ethics, Internet ofthings spectrum and technology

Desired outcome 6: Digital services to connect businessand to facilitate cross-border trade

Digital services that support international trade in goods
and services and e-commerce; both intra-ASEAN andexternal to ASEAN are critical to the economic successof the region and is the focus of this desired outcome.
Key focus areas that are consistent with regional policies
are securing the benefits of IR4.0 technologies, securing
the benefits of ASEAN’s trade agreements supporting
e-commerce and cross-border trade and enhancing lastmile fulfilment cooperation

Enabling action 6.1: Facilitate compliance and secure thebenefits of telecommunications services and electroniccommerce in line with relevant ASEAN trade agreements

Facilitate compliance and secure the benefits oftelecommunications services and electronic commerce inline with relevant ASEAN trade agreements

Enabling action 6.4: Reduce regional business travel
costs by lowering common roaming rates for mobile dataservices across ASEAN

Reduce regional business travel costs by lowering roaming
rates for mobile data services across ASEAN

Source: Adapted from ADM 2025 (https://asean.org/storage/ASEAN-Digital-Masterplan-2025.pdf), Figure 1.1.

More specifically, fixed telecommunication service operators are regulated in various forms
including obligations for dominant operators to supply wholesale products to enable retailcompetition; price regulation at wholesale and retail levels; coverage/connectivity obligations andperformance obligations covering reliability, time to connect a premise, speed of connection andlatency (i.e. , waiting time).13 Mobile telecommunication operators are also regulated in multiple
policy measures: price regulation at the wholesale level; coverage/connectivity obligations;performance obligations covering reliability, speed of connection and latency and security andsimilar obligations, such as liability, especially in terms of the Internet of things as the nontelecommunication use of dynamically changing telecommunication technologies.

13

High speed, large capacity/low latency (i.e. , short waiting time or quick response) and massive connectivity are
the main features of 5G and 6G telecommunication technologies.

33

ADM 2025 therefore states that the following is especially needed: ASEAN needs to empower the
existing ASEAN Telecommunication Regulators Council to (1) detail current telecoms regulationin each ASEAN country, (2) determine best practice and (3) gain agreement to a pan-ASEAN set of
regulations. From the perspective of the linkage between telecommunication services and trade
agreements, pro-trade regulatory and institutional harmonization through AFAS (10th package),
RCEP and ATISA would be particularly important for ASEAN to recover from the negative economic
impact of COVID-19 and pursue longer-term technological advancement in telecommunication
services.14 Judging from the fact that in the ASEAN region basic telecommunication services aresupplied by domestic telecommunication companies (table 18), aiming for “5G and beyond” (i.e. ,6G) through equity and non-equity alliances with ASEAN’s dialogue partners (especially through
RCEP) would be all the more important in the face of COVID-19, which has increased the demand
for telecommunication-based remote work both domestically and internationally.

Table 18. Provision of basic telecommunication services
Individuals owning a mobile
phone (2019, per cent)Population covered by atleast a 4G mobile network(2019, per cent)

Mobile cellular basket as a
per cent of gross national
income per capita (2020, per
cent)Brunei Darussalam

94

95

0.3

Cambodia

33

80

5.0

Indonesia

64

98

1.8

Lao PDR

n.a.

43

3.5

Malaysia

96

87

0.6

Myanmar

62a

75

0.8

Philippines

79

80

3.0

Singapore

88

100

0.4

Thailand

88

98

0.6

Viet Nam

n.a.

97

1.0

ASEAN member state

Source: I T U , D i g i t a l D e v e l o p m e n t D a s h b o a r d , ( h t t p s : / / p u b l i c . t a b l e a u . c o m / a p p / p r o f i l e / i t u i n t / v i z /DigitalDevelopmentDashboard-NoMap2/Online)
Notes: n.a., not available; a 2017 figure.

Some concrete recommendations for the telecommunication services sector only would be to holdcapacity-building and information-sharing seminars on expanding telecommunication services
and addressing the issue areas discussed in the previous section on general policy suggestions
and with due consideration to the issue areas covered in ADM 2025 (table 17).

14

WTO has sector-specific policy issues on trade in telecommunication services. At the Hong Kong Ministerial
Conference (December 2005), the trade ministers mandated a new sector-specific negotiating mechanism.
Negotiating objectives outlined by WTO members in the Chairman’s note to the Trade Negotiations Committee
include• Achieving broad coverage in a technology-neutral manner and significant commitments in all modes of supply• Working with least-developed countries and developing countries to find ways to encourage new and improved
offers and to provide technical assistance to support this process• Reducing or eliminating exclusive rights, economic needs tests (i.e. , a test using economic criteria to decide
whether the entry into the market of a new foreign firm is warranted), restrictions on the types of legal entity
permitted and limitations on foreign equity•C ommitting to all provisions of the telecommunications reference paper• E liminating exemptions for most-favoured-nation treatment (i.e. , non-discrimination) (Annex on
telecommunications, WTO website, https://www.wto.org/english/tratop_e/serv_e/12-tel_e.htm).

34

Because no systematic statistical data are collected, particularly in Mode 3, which is alreadymuch used, a definition of trade in telecommunication services in this mode and relevant datacollection should also be undertaken. This should first take the form of holding seminars andlater the form of implementing related projects. Interconnection fees are the barriers to capturing
network externalities. In concrete terms, rental of mobile phones abroad would be considered
Mode 2 trade, as mentioned earlier. This mode of trade could be undertaken while retaining thecountry-specific telephone numbers originally assigned to users; then lower international roaming
charges should be charged to those users. Some sort of mutual agreement to reduce roaming
charges could therefore be discussed. Mode 4, as mentioned earlier, is not technically feasible.
Nonetheless, holding seminars about technology that might become available for self-employedprofessional suppliers of telecommunication-related services in the forthcoming “ubiquitous
society” would still be worthwhile.
Regional organizations such as AJC could organize such seminars as a follow-up project, because
ASEAN’s telecommunication network, given its network externalities, should involve the region
beyond ASEAN and spill over to ASEAN’s dialogue partners (including Japan) through pan-ASEAN(AFAS and ATISA) and larger groups including RCEP.

35

References
ASEAN and the World Bank. (2015). ASEAN Services Integration Report: A Joint Report by the
ASEAN Secretariat and the World Bank . Washington, DC: World Bank.

Frontier Economics. (2005). Network Externalities in Telecommunications: Theory and Application .
Available at https://www.itu.int/ITU-D/finance/work-cost-tariffs/events/tariff-seminars/southafrica-05/presentation-mark_william-en.pdf.

Hoekman, B. (1995). “Assessing the General Agreement on Trade in Services”. World Bank
Discussion Paper No. 307, World Bank, Washington, DC.

Rohman, I. K., and E. Bohlin. (2014). “Decomposition Analysis of the Telecommunications Sector
in Indonesia: What Does the Cellular Era Shed Light On?” Telecommunications Policy 38(3):248–263.

Shogren, R., R. C. Lee, A. Lancy, J. Fountain, and J. K. Lee. (2005). Regulatory Models for ASEAN
Telecommunications , REPSF Project No. 04/006. Available at http://aadcp2.org/file/04-006ExecutiveSummary.pdf.

UNCTAD (United Nations Conference on Trade and Development). (2021). Digital Economy Report
2021: Cross-Border Data Flows and Development: For Whom the Data Flow . Available athttps://unctad.org/system/files/official-document/der2021_en.pdf.

World Bank. (2016). World Development Report 2016: Digital Dividends . Available at http://
worldbank.org/en/publications/wdr2016.

World Bank and ITU (International Telecommunication Union). (2011). Telecommunications
Regulation Handbook, Tenth Anniversary Edition . Available at https://www.infodev.org/infodevfiles/resource/InfodevDocuments_1057.pdf.

36Annex A.
Fifty Large Foreign Affiliates Engaged in
Annex A. Fifty Large Foreign
Affiliates
Engaged in2015
Telecommunication
Telecommunication
Servicesin ASEAN,
Services in ASEAN, 2015

37

Annex B.
Fifty Large ASEAN Affiliates Abroad Engaged in
Telecommunication
2015 Abroad Engaged
Annex B. Fifty LargeServices,
ASEAN Affiliates
Telecommunication Services, 2015

in

38

Annex C.
Specific Schedule of Commitments for
Telecommunication Services under AFAS (10thpackage, adopted in November 2018) by ASEAN
Members
Legend for this Annex:(1) means Mode 1 (cross-border supply of services), (2) means Mode 2 (consumption abroad),(3) means Mode 3 (commercial presence), (4) means Mode 4 (movement of natural persons).
CPC means Central Product Classification (the major industry classification for defining
services sectors), MA means market access and NT means national treatment.
“Horizontal section” means across-industry (hence the word “horizontal”) commitments
common to all the sectors, the text of which is separate from specific commitments (uniqueto the sector at issue).
The meaning of the alphabetical classification in the right-hand column of each specificcommitment table is as follows:
N: none (no restriction)
A: limitations on the number of service suppliers whether in the form of numerical quotas,
monopolies, exclusive service suppliers or the requirements of an economic needs test
B: limitations on the total value of service transactions or assets in the form of numericalquotas or the requirement of an economic needs test
C: limitations on the total number of service operations or on the total quantity of service
output expressed in terms of designated numerical units in the form of quotas or therequirement of an economic needs test
D: limitations on the total number of natural persons who may be employed in a particularservice sector or that a service supplier may employ and who are necessary for, anddirectly related to, the supply of a specific service in the form of numerical quotas or therequirement of an economic needs test
E: measures that restrict or require specific types of legal entity or joint venture throughwhich a service supplier may supply a service
F: limitations on the participation of foreign capital in terms of maximum per centage limit on
foreign shareholding or the total value of individual or aggregate foreign investment; thenumber after F (where applicable) indicates the upper bound of foreign equity participation.
Under AFAS, the restriction types A, B and C are actually not used by the ASEAN member
states in the telecommunication services sector. In addition to these six types of marketaccess restrictions, the following two restrictions are observed:
G: Government approval requirement
H: Tax or fee payment requirement.

39

Note on * and **: * after a CPC code means the sector is part of the wider service sector
elsewhere indicated. ** after a CPC code means the sector is part of the wider service sector
indicated by the CPC code.

Brunei DarussalamNote: * For the subsectors of (a) public non-fixed and (b) public payphone services, this is inaccordance with the new licensing regime under Telecommunications Order 2001, which
requires new entrants/players wishing to provide such service domestically to apply for alicence from the relevant authority (i.e. , the Authority for Info-Communication Technology
and Industry, or AITI) and if further required may also be subject to terms and conditions set
by the authority including among others the need to have commercial arrangements withlicensed operator(s).
Limitation on Market
AccessA–H Classification of Limitation on National A–H Classification ofMA
TreatmentNT(1) Subject tocommercial
arrangementswith licensed
operator(s)(1) E(1) None(1) N(2) Subject tocommercial
arrangementswith licensed
operator(s)(2) E(2) None(2) N(3) None(3) N(3) None(3) N

Circuit-switched data (1) Nonetransmission services(2) None(CPC 7523**)(3) None(1) N(1) None

(1) N

(2) N

(2) None

(2) N

(3) N

(3) None(3) N

Sector or Subsector
Voice telephoneservices (CPC 7521)

Sector or Subsector

Limitation on Market
AccessA–H Classification of Limitation on National A–H Classification ofMA
Treatment
NT

Packet-switched data (1) None.
(1) N
transmission services(2) None.
(2) N(CPC 7523**)(3) Only through locally (3) EF70
incorporated jointventure corporation
with Bruneianindividuals
or Bruneiancontrolled
corporations;foreign equity
participation should
not exceed 70%.

(1) None(1) N(2) None(2) N(3) None(3) N

Telex services (CPC7523**)(1) None(1) N(1) None(1) N

Telegraph services(CPC 7522**)(2) None(2) N(2) None(2) N(3) None(3) N(3) None

(3) N

40

Sector or Subsector
Facsimile services(CPC 7521**, CPC
7529**)

Limitation on Market
AccessA–H Classification of Limitation on National A–H Classification ofMA
TreatmentNT(1) None(1) N(1) None(1) N(2) None(2) N(2) None(2) N(3) None(3) N(3) None(3) N

Private leased circuit (1) None.
(1) N
services (CPC 7522**,(2) None.
(2) N
CPC 7523**)(3) Foreign equity(3) F70
participation should
not exceed 70%.

(1) None(1) N(2) None(2) N(3) None(3) N

Electronic mail (CPC7523**)

Voicemail (CPC7523**)

Sector or Subsector(1) None(1) N(1) None(1) N(2) None(2) N(2) None(2) N(3) None(3) N(3) None(3) N(1) Subject tocommercial
arrangementswith licensed
operator(s)(1) E(1) None(1) N(2) None(2) N(2) None(2) N(3) None(3) N(3) None(3) N

Limitation on Market
AccessA–H Classification of Limitation on National A–H Classification ofMA
Treatment
NT

Online information and (1) None
database Retrieval(2) None(CPC 7523**)(3) None(1) N(1) None

(1) N

(1) N

(2) None

(1) N

(3) N

(3) None(3) N

Electronic datainterchange(CPC 7523**)(1) None(1) N(1) None(1) N(2) None(2) N(2) None(2) N(3) None(3) N(3) None(3) N

Enhanced/valueadded facsimile
services, including
store and forward
and retrieve(CPC 7523**)(1) None(1) N(1) None(1) N(2) None(2) N(2) None(2) N(3) None(3) N(3) None

(3) N

41

Sector or Subsector
Code and protocol
conversion

Limitation on Market
AccessA–H Classification of Limitation on National A–H Classification ofMA
TreatmentNT(1) None.

(1) N(1) None(1) N(2) None.

(2) N(2) None(2) N(3) None(3) N(1) None(1) N(2) None(2) N(3) None(3) N(3) EF70(3) Only throughlocally incorporated
JV corporation
with Bruneianindividuals or
Bruneiancontrolled
corporations.
Foreign equity
participation should
not exceed 70%.
Online information and (1) None
(1) N
data processing(2) None(2) N(including transaction(3) DE(3) Only throughprocessing) (CPC
locally incorporated843*)
JV corporation
with Bruneianindividuals
or Bruneiancontrolled
corporations

Limitation
on National
Treatment

A–H Classificationof NT

Additional
Commitments

Sector or
Subsector

Limitation onMarket Access

A–H Classificationof MA

Public non-fixed*(1) None, except
subject tocommercial
arrangementswith licensed
operator(s)*(1) E(1) None(1) N

This offer isbased on the
new licensing
regime under
Telecommunications
Order 2001.

(2) None, except
subject tocommercial
arrangementswith licensed
operator(s)(2) N(2) None(2) N(3) None(3) N(3) None(3) N(1) Subject tocommercial
arrangementswith licensed
operator(s)(1) E(1) None(1) N

This offer isfor reselling ofservices using
infrastructure
owned by an AITI
licensee as per
the new licensing
framework of
the regulatory
authority under
Telecommunications
Order 2001.

(2) None(2) N(2) None(2) N(3) None(3) N(3) None(3) N

Local services
Public switchedvoice telephoneservices

42

Limitation
on National
Treatment

A–H Classificationof NT

Sector or
Subsector

Limitation onMarket Access

A–H Classificationof MA

Public payphoneservices*(1) None, except
subject tocommercial
arrangementswith licensed
operator(s)*(1) E(1) None(1) N(2) None, except
subject tocommercial
arrangementswith licensed
operator(s)(2) E(2) None(2) N(3) None(3) N(3) None(3) N(1) Subject tocommercial
arrangementswith licensed
operator(s)(1) N(1) None(1) N(2) Subject tocommercial
arrangementswith licensed
operator(s)(2) N(2) None(2) N(3) None(3) N(3) None(3) N

International
servicePublic switchedvoice telephoneservices

Sector or Subsector

Limitation on Market
AccessMobile services

Additional
Commitments
This offer isbased on the
new licensing
regime under
Telecommunications
Order 2001.

A–H Classification of Limitation on National A–H Classification ofMA
TreatmentNT(1) Subject tocommercial
Public cellular mobile
arrangements
telephone service
with licensed
operator(s)(1) E(1) None(1) N(2) Subject tocommercial
arrangementswith licensed
operator(s)(2) E(2) None(2) N(3) None(3) N(3) None(3) N(1) None, except
subject tocommercial
arrangementswith licensed
operator(s)(1) E(1) None(1) N(2) None, except
subject tocommercial
arrangementswith licensed
operator(s)(2) E(2) None(2) N(3) None(3) N(3) None(3) N

Prepaid
telecommunications
services43

Sector or Subsector
Paging services (CPC
75291)

Trunked radio service

Video text (CPC
75299*)

Limitation on Market
AccessA–H Classification of Limitation on National A–H Classification ofMA
TreatmentNT(1) None.

(1) N(1) None(1) N(2) None.

(2) N(2) None(2) N(3) Only through locally (3) EF70
incorporated jointventure corporation
with Bruneianindividuals
or Bruneiancontrolled
corporations;foreign equity
participation should
not exceed 70%.

(3) None(3) N(1) Subject tocommercial
arrangementswith licensed
operator(s)(1) E(1) None(1) N(2) Subject tocommercial
arrangementswith licensed
operator(s)(2) E(2) None(2) N(3) None(3) N(3) None(3) N(1) Subject tocommercial
arrangementswith licensed
operator(s)(1) N(1) None(1) N(2) Subject tocommercial
arrangementswith licensed
operator(s)(2) E(2) None(2) N(3) None(3) N(3) None

(3) N

44

Cambodia
Sector or Subsector
Voice telephoneservices (CPC 7521)

Limitation on Market
AccessA–H Classification of Limitation on National A–H Classification ofMA
TreatmentNT(1) None(1) N(1) None(1) N(2) None(2) N(2) None

(2) N

(3) N

(3) None(3) N

Packet-switched data (3) Nonetransmission services(CPC 7523**)
Circuit-switched datatransmission services(CPC 7523**)
Telex services (CPC7523**)
Telegraph services(CPC 7522)
Facsimile services(CPC 7521**, CPC
7529**)
Private leased circuit
services (CPC 7522**,
CPC 7523**)
Sector or Subsector

Limitation on Market
AccessElectronic mail(1) None
services (CPC 7523**)(2) None
Voicemail (CPC
(3) None7523**)
Online informationand database retrieval(CPC 7523**)
Electronic datainterchange (CPC7523**)
Enhanced/valueadded facsimile
services, including
store and forward andstore and retrieve(CPC 7523**)
Code and protocol
conversion
Online information
and/or data processing(including transaction
processing) (CPC
843**)

A–H Classification of Limitation on National A–H Classification ofMA
TreatmentNT(1) None(1) N(2) None(2) N(3) None

(3) N

45

Sector or Subsector

Limitation on Market
AccessA–H Classification of Limitation on National A–H Classification ofMA
Treatment
NT

Paging services (CPC (1) None75291)(2) None(1) N(1) None

(1) N

(2) N

(2) None(2) N(3) None(3) N(3) None(3) N

Internet services
provision, excluding
voice telephony andfacsimile(1) Unbound(1) U(1) None(1) N(2) None(2) N(2) None(2) N(3) None(3) N(3) None(3) N

Mobile services(1) None(1) N(1) None(1) N(2) None(2) N(2) None(2) N(3) None(3) N(3) None(3) N

Limitation on Market
AccessA–H Classification of Limitation on National A–H Classification ofMA
TreatmentNT(1) None(1) N(1) None(1) N(2) None(2) N(2) None(2) N(3) Joint venture withforeign equity
participation up to49%(3) EF49(3) None(3) N

Public local telephone (1) None.
(1) N
services (CPC 75211)(2) None.
(2) N
Fixed wireline access (3) Aggregate foreign (3) EF49
technology only
equity participation(1) None.

(1) N(2) None.

(2) N(3) Services shall be
provided in certain
provinces and ornecessary areas.

(3) E

Indonesia
Sector or Subsector
Voice telephoneservices (CPC 7521)

is permitted up
to 70% provided
that up to 49% isthrough foreign
direct investment
and the remaining
per centage
through othermechanisms.

46

Sector or Subsector

Limitation on Market
AccessA–H Classification of Limitation on National A–H Classification ofMA
Treatment
NT

Packet-switched data (1) Nonetransmission services(2) None(CPC 7523**)(3) Joint venture withforeign equity
participation up to
49%

(1) N

(1) None

(1) N

(2) N

(2) None(2) N(3) EF49(3) None(3) N

Packet-switched data (1) Nonetransmission services(2) None(CPC 7523**)(3) Joint venture with
Only in underserved
foreign equity
area as specified inparticipation up to
domestic regulations
70%

(1) N

(1) None

(1) N

(2) N

(2) None(2) N(3) EF70(3) Only in underserved (3) E
area as specified
in domestic
regulations

Circuit-switched data (1) None.
(1) N
transmission services(2) None.
(2) N(CPC 7523**)(3) Aggregate foreign (3) EF49
equity participationis permitted up
to 70% provided
that up to 49% isthrough foreign
direct investment
and the remaining
per centage
through othermechanisms.

(1) None(1) N(2) None(2) N(3) None(3) N

Sector or Subsector

Limitation on Market
AccessA–H Classification of Limitation on National A–H Classification ofMA
Treatment
NT

Telex services(1) None(1) N(1) None(1) N

Telegraph services(2) None(2) N(2) None(2) N

Facsimile(CPC 7521**, CPC
7529**)(3) Joint venture withforeign equity
participation up to70%(3) EF70(3) None

(3) N

(1) N

(1) None

(1) N

(2) N

(2) None(2) N(3) EF49(3) None(3) N

Private leased circuit (1) None
services (CPC 7522**,(2) None
CPC 7523**)(3) Joint venture withforeign equity
participation up to
49%

47

Limitation on Market
AccessA–H Classification of Limitation on National A–H Classification ofMA
TreatmentNT(1) None.

(1) N(1) None.

(1) N(2) None.

(2) N(2) None.

(2) N(3) Aggregate foreign (3) EF49
equity participationis permitted up
to 70% provided
that up to 49% isthrough foreign
direct investment
and the remaining
per centage
through othermechanisms.

(3) Services shall be
provided in certain
provinces and/or
necessary areas.

(3) E

Electronic mailservices (CPC 75232)(1) None.

(1) N(1) None(1) N

Electronic mailbox(CPC 75232)(2) None.

(2) N(2) None(2) N(3) Aggregate foreign (3) EF49
equity participationis permitted up
to 70% provided
that up to 49% isthrough foreign
direct investment
and the remaining
per centage
through othermechanisms.

(3) None(3) N

Sector or Subsector
Dedicated network
services (CPC 75222)

Limitation on Market
AccessA–H Classification of Limitation on National A–H Classification ofMA
TreatmentNT(1) None.

(1) N(1) None(1) N(2) None.

(2) N(2) None(2) N(3) Aggregate foreign (3) EF49
equity participationis permitted up
to 70% provided
that up to 49% isthrough foreign
direct investment
and the remaining
per centage
through othermechanisms.

(3) None(3) N

Online information(1) None(1) Nand database retrieval(2) None(2) N(CPC 7523**)(3) Joint venture with (3) EF51
aggregate foreign
equity participation
up to 70% provided
that up to 51% isthrough foreign
direct investment
and the remaining
per centage
through othermechanisms(1) None(1) N(2) None(2) N(3) None(3) N

Sector or Subsector
Voicemail services(CPC 7523)

48

Limitation on Market
AccessA–H Classification of Limitation on National A–H Classification ofMA
TreatmentNT(1) None.

(1) N(1) None(1) N(2) None.

(2) N(2) None(2) N(3) Aggregate foreign (3) EF49
equity participationis permitted up
to 70% provided
that up to 49% isthrough foreign
direct investment
and the remaining
per centage
through othermechanisms.

(3) None(3) N(1) None.
(1) N
Enhanced/valueadded facsimile(2) None.
(2) N
services, including
store and forward and (3) Aggregate foreign (3) EF49
equity participation
store and retrieve
is permitted up(CPC 7523**)
to70% provided
that up to 49% isthrough foreign
direct investment
and the remaining
per centage
through othermechanisms.

(1) None(1) N(2) None(2) N(3) None(3) N

Sector or Subsector
Electronic datainterchange (CPC7523**)

49

Limitation on Market
AccessA–H Classification of Limitation on National A–H Classification ofMA
TreatmentNT(1) None.

(1) N(1) None(1) N(2) None.

(2) N(2) None(2) N(3) Aggregate foreign (3) EF49
equity participationis permitted up
to 70% provided
that up to 49% isthrough foreign
direct investment
and the remaining
per centage
through othermechanisms.

(3) None(3) N

Online information(1) None.
(1) N
and/or data processing(2) None.
(2) N(including transaction(3) Joint venture with (3) EF49
processing) (CPC
aggregate foreign
843**)
equity participation
up to 70% provided
that up to 49% isthrough foreign
direct investment
and the remaining
per centage
through othermechanisms.

(1) None(1) N(2) None(2) N(3) None(3) N

Local services(1) None(1) N(1) None(1) N

Teleconferencing
services (CPC 75292)(2) None(2) N(2) None(2) N(3) Joint venture withforeign equity
participation up to49%(3) EF49(3) None(3) N

Limitation on Market
AccessA–H Classification of Limitation on National A–H Classification ofMA
Treatment
NTLong distance andinternational services(1) None(1) N(1) None(1) N

Teleconferencing
services (CPC 75292)(2) None(2) N(2) None(2) N(3) Joint venture withforeign equity
participation up to49%(3) EF49(3) None(3) N

Regional and national
paging service (CPC
75291)(1) None(1) N(1) None(1) N(2) None(2) N(2) None(2) N(3) Joint venture withforeign equity
participation up to70%(3) EF70(3) None(3) N

Internet accessservices(1) None(1) N(1) None(1) N(2) None(2) N(2) None(2) N(3) Joint venture withforeign equity
participation up to49%(3) EF49(3) None(3) N

Sector or Subsector
Code and protocol
conversion

Sector or Subsector

50Sector or Subsector

Limitation on Market
AccessA–H Classification of Limitation on National A–H Classification ofMA
Treatment
NT

Computer time(1) None
sharing services (CPC
(2) None
84330)(3) Joint venture with
Video text services
foreign equity(CPC 75299)
participation up to
70%

(1) N

(1) None

(1) N

(2) N

(2) None(2) N(3) EF70(3) None(3) N

File transfer services(CPC 75299)(1) None(1) N(1) None(1) N

Home telemetering
alarm(CPC 75299)(2) None(2) N(2) None(2) N(3) Joint venture withforeign equity
participation up to70%(3) EF70(3) None(3) NEntertainment
services (CPC 75299)
Management
information services(CPC 75299)

Lao People’s Democratic Republic
Sector or Subsector

Limitation on Market
Access

The following services (1) None
can be supplied only
(2) Noneon a facilities basis,(3) Nonefor public use, withregard to local andnational long-distanceservices.
(a) V oice telephoneservice (CPC 7521)(b) Packet-switcheddata transmission
services (CPC7523**)(Electronic
message andinformation
services [CPC
75232])(c) Circuit-switcheddata transmission
services (CPC7523**)(Data and message
transmission
services [CPC7523])

A–H Classification of Limitation on National A–H Classification ofMA
TreatmentNT(1) N(1) None

(1) N

(2) N

(2) None

(2) N

(3) N

(3) None

(3) N

51

Limitation on Market
AccessA–H Classification of Limitation on National A–H Classification ofMA
TreatmentNT(1) None(1) N(1) None(1) N(2) None(2) N(2) None(2) N(3) None(3) N(3) None(3) N(e) T elegraph services (1) None
(CPC 7522)(2) None(f) Facsimile services (3) None
(CPC 7529)(1) N(1) None

(1) N

(2) N

(2) None

(2) N

(3) N

(3) None(3) N

Sector or Subsector(d) T elex services(CPC 7523**)(g) Private
leased circuit
services (CPC7522**+7523**)
Other:
Paging services (CPC
75291)
Limitation on Market
AccessA–H Classification of Limitation on National A–H Classification ofMA
TreatmentNT(h) Electronic mail
(CPC 7523**)(1) None(1) N(1) None(1) N(i) V oicemail (CPC7523**)(2) None(2) N(2) None(2) N(3) None(3) N(3) None(3) N

Limitation on Market
AccessA–H Classification of Limitation on National A–H Classification ofMA
TreatmentNT(1) None(1) N(1) None(1) N(2) None(2) N(2) None(2) N(3) None(3) N(3) None(3) N

Sector or Subsector(j) O nline informationand databaseretrieval (CPC7523**)(k) Electronic datainterchange (CPC7523**)(l) Enhanced/valueadded facsimile
services, including
store and forward
and store andretrieve (CPC7523**)(m) C ode and protocol
conversion(n) Online
information and/or data processing(includingtransaction
processing) (CPC
843**)
Sector or Subsector
Telecommunication
consulting services(CPC 75440)

52

Malaysia
Sector or
Subsector

Limitation onMarket Access

A–H Classificationof MA

Limitation
on National
Treatment

A–H Classificationof NT

Additional
Commitments

Telecommunication Services
Basic(1) None.
telecommunications(2) None.
1. Voice service(3) Foreign(wired or
shareholding
wireless) (CPCof up to70% in
7521)
these service
2. Packetswitched datatransmission
services,
includingframe-relay
services (CPC
7523)

(1) N

(1) None

(1) N

(2) N

(2) None(2) N(3) F70(3) None(3) N

providers isallowed.

Pro-competition
regulatory
principle inrespect ofinterconnection
arrangement andcompetition

3. Circuitswitched datatransmission
services (CPC7523)
4. Facsimile
service (CPC7521**, CPC
7529**)
5. Private leased
circuit service(CPC 7522**,
CPC 7523**)
Sector or Subsector
Telex services (CPC7523)

Telegraph services(CPC 7522)

Limitation on Market
AccessA–H Classification of Limitation on National A–H Classification ofMA
TreatmentNT(1) None.

(1) N(1) None(1) N(2) None.

(2) N(2) None(2) N(3) Foreign
shareholding of up
to 70% is allowed.

(3) F70(3) None(3) N(1) None.

(1) N(1) None(1) N(2) None.

(2) N(2) None(2) N(3) None(3) N(3) Only through locally (3) EF70
incorporated jointventure corporation
with Malaysian
individuals or
Malaysiancontrolled
corporations;or foreign
shareholding of up
to 70% is allowed.

53

Sector or Subsector

Limitation on Market
AccessA–H Classification of Limitation on National A–H Classification ofMA
TreatmentNT(1) None.
Data and message
transmission services(2) None.
(CPC 7523)(3) Foreign
Covering electronic
shareholding of up
mail, voicemail,to 70% is allowed.
online information anddatabase retrieval,enhanced facsimile,code and protocol
conversion(1) N(1) None

(1) N

(2) N

(2) None(2) N(3) F70(3) None

(3) N

Basic
telecommunications(1) None.

(1) N(1) None(1) N(2) None.

(2) N(2) None(2) N(3) F70(3) None(3) N

Paging services (CPC (3) Foreign
75291)
shareholding of up
to 70% is allowed.
Sector or
Subsector

Limitation onMarket Access

A–H Classificationof MA

Limitation
on National
Treatment

A–H Classificationof NT(1) None.
Other
telecommunication(2) None.
services(3) Foreign
1. Domestic/
shareholding
internationalof up to 70% is
satellite
allowed.
services andsatellite links/
capacities(inclusive ofmobile satellite)
2. Satellite earth
station3. Internationalswitchingand otherinternational
gateway
4. Mobile services
analogue/digitalcellular
5. Trunked radio
services
6. Video transport
services(1) N(1) None

(1) N

(2) N

(2) None(2) N(3) F70(3) None(3) N

Mobile telephoneservice (CPC75213)(1) None.

(1) N(1) None(1) N(2) None.

(2) N(2) None(2) N(3) Foreign
shareholdingof up to 70% isallowed.

(3) F70(3) None(3) N

Additional
Commitments
Pro-competition
regulatory
principle inrespect ofinterconnection
arrangement andcompetition

54

Sector or Subsector
Mobile data services(CPC 7523)

Interconnection
services (CPC 7525,
CPC 76250)
Integrated
telecommunication
services(CPC 7526, CPC 75260)

Limitation on Market
AccessA–H Classification of Limitation on National A–H Classification ofMA
TreatmentNT(1) None.

(1) N(1) None(1) N(2) None.

(2) N(2) None(2) N(3) Foreign
shareholding of up
to 70% is allowed.

(3) F70(3) None(3) N(1) None.

(1) N(1) None(1) N(2) None.

(2) N(2) None(2) N(3) Foreign
shareholding of up
to 70% is allowed.

(3) F70(3) None(3) N

Limitation on Market
AccessA–H Classification of Limitation on National A–H Classification ofMA
Treatment
NT

Myanmar
Sector or Subsector

I. 	Facsimile services (1) None
(CPC 7521**,(2) None7529**)(3) NoneII. 	Enhanced/valueadded facsimile
services including
store and forward
and store andretrieve (CPC7523**)
III. 	Packet-switcheddata transmission
services (CPC7523**)
IV. 	Circuit-switcheddata transmission
services (CPC7523**)
V. 	Private leased
circuit services(CPC7522**,7523**)(1) N(1) None

(1) N

(2) N

(2) None

(2) N

(3) N

(3) None

(3) N

55

Sector or Subsector
Telex services (CPC7523**)

Limitation on Market
AccessA–H Classification of Limitation on National A–H Classification ofMA
TreatmentNT(1) None.

(1) N(1) None.

(1) N(2) None.

(2) N(2) None.

(2) N(3) EG(3) Commercial
presence of foreign
service suppliers
and/or providers
are permitted inaccordance with
the Myanmar
Investment law(2016) of the
Republic of theUnion of Myanmar.
The investment
may be carriedout in any of thefollowing forms:(i)	Carrying out
an investment
by a foreignerwith 100%
foreign capitalon the businesspermitted by theCommission(ii)	Carrying out ajoint venture
between a
foreign anda citizen or
the relevant
government
department andorganization(iii)	Carrying out
by any system
contained in
the contract
approved byboth parties.

(3) a. F oreign service (3) EG
suppliers and/or providers
have to comply
with existinglaws, rules andregulations
concerninginvestment,
taxation,
immigration andlabour.
b. F oreignorganisations
and persons
are not allowed
to own land
in Myanmar.
However, land
may be acquiredon long-termlease, dependingon the individual
circumstances.

56

Sector or Subsector
Telegraph services(CPC 7522)

Limitation on Market
AccessA–H Classification of Limitation on National A–H Classification ofMA
TreatmentNT(1) None.

(1) N(1) None.

(1) N(2) None.

(2) N(2) None.

(2) N(3) EG(3) Commercial
presence of foreign
service suppliers
and/or providers
are permitted inaccordance with
the Myanmar
Investment law(2016) of the
Republic of theUnion of Myanmar.
The investment
may be carriedout in any of thefollowing forms:(i)	Carrying out
an investment
by a foreignerwith 100%
foreign capitalon the businesspermitted by theCommission(ii)	Carrying out ajoint venture
between a
foreigner anda citizen or
the relevant
government
department andorganization(iii)	Carrying out
by any system
contained in
the contract
approved byboth parties.

(3) a. F oreign service (3) EG
suppliers and/or providers
have to comply
with existinglaws, rules andregulations
concerninginvestment,
taxation,
immigration andlabour.
b. F oreignorganisations
and persons
are not allowed
to own land
in Myanmar.
However, land
may be acquiredon long-termlease, dependingon the individual
circumstances.

57

Sector or Subsector
Electronic mail (CPC7523**)

Limitation on Market
AccessA–H Classification of Limitation on National A–H Classification ofMA
TreatmentNT(1) None.

(1) N(1) None.

(1) N(2) None.

(2) N(2) None.

(2) N(3) EG(3) Commercial
presence of foreign
service suppliers
and/or providers
are permitted inaccordance with
the Myanmar
Investment law(2016) of the
Republic of theUnion of Myanmar.
The investment
may be carriedout in any of thefollowing forms:(i)	Carrying out
an investment
by a foreignerwith 100%
foreign capitalon the businesspermitted by theCommission(ii)	Carrying out ajoint venture
between a
foreigner anda citizen or
the relevant
government
department andorganization(iii)	Carrying out
by any system
contained in
the contract
approved byboth parties.

(3) a. F oreign service (3) EG
suppliers and/or providers
have to comply
with existinglaws, rules andregulations
concerninginvestment,
taxation,
immigration andlabour.
b. F oreignorganisations
and persons
are not allowed
to own land
in Myanmar.
However, land
may be acquiredon long-termlease, dependingon the individual
circumstances.

58

Sector or Subsector
Voicemail (CPC7523**)

Limitation on Market
AccessA–H Classification of Limitation on National A–H Classification ofMA
TreatmentNT(1) None.

(1) N(1) None.

(1) N(2) None.

(2) N(2) None.

(2) N(3) EG(3) Commercial
presence of foreign
service suppliers
and/or providers
are permitted inaccordance with
the Myanmar
Investment law(2016) of the
Republic of theUnion of Myanmar.
The investment
may be carriedout in any of thefollowing forms:(i)	Carrying out
an investment
by a foreignerwith 100%
foreign capitalon the businesspermitted by theCommission(ii)	Carrying out ajoint venture
between a
foreigner anda citizen or
the relevant
government
department andorganization(iii)	Carrying out
by any system
contained in
the contract
approved byboth parties.

(3) a. F oreign service (3) EG
suppliers and/or providers
have to comply
with existinglaws, rules andregulations
concerninginvestment,
taxation,
immigration andlabour.
b. F oreignorganisations
and persons
are not allowed
to own land
in Myanmar.
However, land
may be acquiredon long-termlease, dependingon the individual
circumstances.

59

Sector or Subsector

Limitation on Market
AccessA–H Classification of Limitation on National A–H Classification ofMA
Treatment
NT

Online information and (1) None.
(1) N
database retrieval(2) None.
(2) N(CPC 7523**)(3) EG(3) Commercial
presence of foreign
service suppliers
and/or providers
are permitted inaccordance with
the Myanmar
Investment law(2016) of the
Republic of theUnion of Myanmar.
The investment
may be carriedout in any of thefollowing forms:(i)	Carrying out
an investment
by a foreignerwith 100%
foreign capitalon the businesspermitted by theCommission(ii)	Carrying out ajoint venture
between a
foreign anda citizen or
the relevant
government
department andorganization(iii)	Carrying out
by any system
contained in
the contract
approved byboth parties.

(1) None.

(1) N(2) None.

(2) N(3) a. F oreign service (3) EG
suppliers and/or providers
have to comply
with existinglaws, rules andregulations
concerninginvestment,
taxation,
immigration andlabour.
b. F oreignorganisations
and persons
are not allowed
to own land
in Myanmar.
However, land
may be acquiredon long-termlease, dependingon the individual
circumstances.

60

Sector or Subsector
Electronic datainterchange (CPC7523**)

Limitation on Market
AccessA–H Classification of Limitation on National A–H Classification ofMA
TreatmentNT(1) None.

(1) N(1) None.

(1) N(2) None.

(2) N(2) None.

(2) N(3) EG(3) Commercial
presence of foreign
service suppliers
and/or providers
are permitted inaccordance with
the Myanmar
Investment law(2016) of the
Republic of theUnion of Myanmar.
The investment
may be carriedout in any of thefollowing forms:(i)	Carrying out
an investment
by a foreignerwith 100%
foreign capitalon the businesspermitted by theCommission(ii)	Carrying out ajoint venture
between a
foreigner anda citizen or
the relevant
government
department andorganization(iii)	Carrying out
by any system
contained in
the contract
approved byboth parties.

(3) a. F oreign service (3) EG
suppliers and/or providers
have to comply
with existinglaws, rules andregulations
concerninginvestment,
taxation,
immigration andlabour.
b. F oreignorganisations
and persons
are not allowed
to own land
in Myanmar.
However, land
may be acquiredon long-termlease, dependingon the individual
circumstances.

61

Sector or Subsector
Code and protocol
conversion (CPC7523**)

Limitation on Market
AccessA–H Classification of Limitation on National A–H Classification ofMA
TreatmentNT(1) None.

(1) N(1) None.

(1) N(2) None.

(2) N(2) None.

(2) N(3) EG(3) Commercial
presence of foreign
service suppliers
and/or providers
are permitted inaccordance with
the Myanmar
Investment law(2016) of the
Republic of theUnion of Myanmar.
The investment
may be carriedout in any of thefollowing forms:(i)	Carrying out
an investment
by a foreignerwith 100%
foreign capitalon the businesspermitted by theCommission(ii)	Carrying out ajoint venture
between a
foreigner anda citizen or
the relevant
government
department andorganization(iii)	Carrying out
by any system
contained in
the contract
approved byboth parties.

(3) a. F oreign service (3) EG
suppliers and/or providers
have to comply
with existinglaws, rules andregulations
concerninginvestment,
taxation,
immigration andlabour.
b. F oreignorganisations
and persons
are not allowed
to own land
in Myanmar.
However, land
may be acquiredon long-termlease, dependingon the individual
circumstances.

62

Sector or Subsector

Limitation on Market
AccessA–H Classification of Limitation on National A–H Classification ofMA
Treatment
NT

Online information(1) None.
(1) N
and/or data processing(2) None.
(2) N(including transaction(3) EG(3) Commercial
processing)presence of foreign(CPC 843**)
service suppliers
and/or providers
are permitted inaccordance with
the Myanmar
Investment law(2016) of the
Republic of theUnion of Myanmar.
The investment
may be carriedout in any of thefollowing forms:(i)	Carrying out
an investment
by a foreignerwith 100%
foreign capitalon the businesspermitted by theCommission(ii)	Carrying out ajoint venture
between a
foreigner anda citizen or
the relevant
government
department andorganization(iii)	Carrying out
by any system
contained in
the contract
approved byboth parties.

(1) None.

(1) N(2) None.

(2) N

Public telephoneservices (CPC 7521)(3) a. F oreign service (3) EG
suppliers and/or providers
have to comply
with existinglaws, rules andregulations
concerninginvestment,
taxation,
immigration andlabour.
b. F oreignorganisations
and persons
are not allowed
to own land
in Myanmar.
However, land
may be acquiredon long-termlease, dependingon the individual
circumstances.

(1) None(1) N(1) None(1) N(2) None(2) N(2) None(2) N(3) None(3) N(3) None

(3) N

63

Limitation on Market
AccessA–H Classification of Limitation on National A–H Classification ofMA
TreatmentNT(1) None(1) N(1) None(1) N(2) None(2) N(2) None(2) N(3) None(3) N(3) None(3) N(1) None(1) N(1) None(1) N(2) None(2) N(2) None(2) N(3) None(3) N(3) None(3) N(1) None*(1) N(1) None(1) N(2) None(2) N(2) None(2) N(3) None(3) N(3) None(3) N

Packet-switched data (1) Nonetransmission services(2) None(CPC 7523**)(e) D ata and message (3) Nonetransmission
services (CPC 7523)(1) N(1) None

(1) N

(2) N

(2) None

(2) N

(3) N

(3) None(3) N

Sector or Subsector
Mobile telephoneservice (CPC 75213)

Paging services (CPC
75291)

Private leased circuit
services (CPC7521)

Circuit-switched datatransmission services(CPC 7523**)(e) D ata and message
transmission
services (CPC 7523)

64

Sector or Subsector

Limitation on Market
AccessA–H Classification of Limitation on National A–H classification ofMA
TreatmentNT

Telecommunication(1) None.
(1) N
equipment(2) None.
(2) Nmaintenance services(3) EG(3) Commercial(CPC 75450)
presence of foreign
service suppliers
and/or providers
are permitted inaccordance with
the Myanmar
Investment law(2016) of the
Republic of theUnion of Myanmar.
The investment
may be carriedout in any of thefollowing forms:(i)	Carrying out
an investment
by a foreignerwith 100%
foreign capitalon the businesspermitted by theCommission(ii)	Carrying out ajoint venture
between a
foreigner anda citizen or
the relevant
government
department andorganization(iii)	Carrying out
by any system
contained in
the contract
approved byboth parties.

(1) None.

(1) N(2) None.

(2) N(3) a. F oreign service (3) EG
suppliers and/or providers
have to comply
with existinglaws, rules andregulations
concerninginvestment,
taxation,
immigration andlabour.
b. F oreignorganisations
and persons
are not allowed
to own land
in Myanmar.
However, land
may be acquiredon long-termlease, dependingon the individual
circumstances.

65

Philippines
Sector or
Subsector

Limitation onMarket Access

A–H Classificationof MA(1) Subject to(1) E
The following
commercial
services arearrangement
offered only on
with licensed
a facilities basis,
operators.
for public use,
using either(2) None.
(2) N
wired or wireless(3) EF40G
technology except (3) E ntry is subject
to the following
cable television.
requirements anda. Voice telephoneconditions:services (CPCa) F ranchise from
7521)
Congress of the- Local services
Philippines- Toll servicesb) C ertificate of• Domestic
Public Convenience• Internationaland Necessityb. Packetfrom the Nationalswitched data
Telecommunicationstransmission
Commission
servicesc) F oreign equity is(CPC 7523**)
permitted up to 40%
c. Circuitd) R esale of private
switched dataleased lines is nottransmission
allowed1
servicese) P rivate leased(CPC 7523**)
circuit services shalld. Telex services
not be connected to(CPC 7523**)
a public networke. Telegraphg) S ubject to theservices (CPC
availability and7522)
efficient utilisation
f. Facsimileof radio frequencies
services (CPCh) O nly duly
7521**, 7529**)
enfranchisedg. Private leased
and certificatedcircuit services
telecommunications,(CPC 7522**,
broadcast and/or
7523)
cable TV entities
h. Other
can access satellite- Cellularspace segment
mobileservice providers
telephonei) P hilippine satellite
service (CPC
operators shall be
75213)
given the preferencei. Satellite
to provide the space
servicessegment capacity
requirements ofenfranchised entity
after all factors areequally consideredS atellite spacesegment service
provisioning in thePhilippines shall be on
the basis of reciprocalarrangements.
1

Limitation
on National
Treatment

A–H Classificationof NT(1) None(1) E(2) None(2) N(3) E ntry is subject (3) EF40G
to the following
requirements
and conditions:a) T he numberof nonFilipino
citizens in
the Boardof Directorsof an entity
shall beproportionate
to theaggregate
share offoreigncapital of that
entity.
b) All executives
andmanagers
must becitizensof thePhilippines.
L imitations
listed in thehorizontal
section shallalso apply.

Enfranchised public telecommunications entities may be authorized to sell/resell private leased lines.

Additional
Commitments
The Philippine
Reference Paper
on Regulatory
Principles will
be reviewed in
the future inaccordance withthe developmentof its laws andregulations.

66

Sector or Subsectorj. Voicemail (CPC7523**)
k. Online informationand databaseretrieval (CPC7523**)
l. Electronic datainterchange
m. Videotext

Sector or Subsector

Limitation on Market
Access(1) Only through duly (1) E
enfranchised
and certificateddomestic public
telecommunications
carriers.
(2) None.

p. Code and protocol
conversion
q. Online information
and/or dataprocessing (CPC
843**)(1) None

(1) N

(2) N

(2) None(2) N(3) Operation subject (3) EG
to securing ofa) Franchise from
Congress of thePhilippinesb) Certificate
of Public
Convenience andNecessity fromthe National
Telecommunications
Commissions.

(3) None(3) N

Limitation on Market
AccessValue-added services, (1) Unbound.1
i.e. ,(2) None.
n. Electronic mail(3) Entry is subject(CPC 7523**)to the following
o. Value-added
facsimile service(CPC 7523**)

A–H Classification of Limitation on National A–H Classification ofMA
TreatmentNT

A–H Classification of Limitation on National A–H Classification ofMA
TreatmentNT(1) U(1) None.

(1) N

(2) N

(2) None.

(2) N(3) EF40(3) DE(3) Entry is subject
to the following
requirements andconditions:a) T he numberof non-Filipino
citizens on the
Board of Directorsof an entity shallbe proportionate
to the aggregate
share of foreign
capital of that
entityb) A ll executives
and managers
must be citizensof the Philippines

requirements:a) Foreign equity ispermitted up to40%b) Must registerwith thePhilippines
regulatory body
but is not allowed
to build its own
network.

L imitations listed
in the horizontal
section shall also
apply.
(1) Subject to
(1) E
Other
commercial
telecommunication
arrangement withservices:licensed operators.
Content development
services sold to(2) None.
(2) N
telecommunications(3) None, except that (3) F70
companies
only up to 70%
foreign equity
participation isallowed.
1(1) None(1) N(2) None(2) N(3) None(3) N

Shall be reviewed in the future in accordance with the development of Philippines laws and regulations.

67

Sector or Subsector

Limitation on Market
AccessData and message(1) Unbound.
transmission services(2) None.
Data network services (3) Entry is subject(CPC 75231)
to the following
Electronic message
and information
services(CPC 75232)

1

requirements andconditions:a) Franchise from
Congress of thePhilippinesb) Certificate
of Public
Convenience andNecessity fromthe National
Telecommunications
Commissionc) Foreign equity ispermitted up to40%d) Resale of private
leased lines is
not allowed1e) Private leased
circuit services
shall not be
connected to a
public networkf) Call back, dialback and othersimilar schemes,
which resultin the same
operation, are notauthorizedg) Subject to theavailability
and efficientutilisationof radiofrequencies.

A–H Classification of Limitation on National A–H Classification ofMA
TreatmentNT(1) U(1) None.

(1) N

(2) N

(2) None.

(2) N(3) EF40(3) Entry is subject
to the following
requirements andconditions:a) T he numberof non-Filipino
citizens in
the Board of
Directors of anentity shall be
proportionate to
the aggregate
share of foreign
capital of that
entityb) A ll executives
and managers
must becitizens of thePhilippines.

(3) DEL imitations listed
in the horizontal
section shall also
apply.

Enfranchised public telecommunications entities may be authorised to sell/resell private leased lines.

68

Sector or Subsector

Limitation on Market
AccessA–H Classification of Limitation on National A–H Classification ofMA
TreatmentNTh) Only duly
enfranchised
and certificatedtelecommunications,broadcast and/or
cable TV entities
can accesssatellite spacesegment service
providers.
i) Philippine
satellite
operators
shall be given
preference toprovide the spacesegment capacity
requirementsof enfranchised
entity after
all factors
are equallyconsidered.
j) Satellite spacesegment service
provisioning in
the Philippines
shall be on
the basis ofreciprocalarrangements.
L imitations listed
in the horizontal
section shall also
apply.
Paging services (CPC
75291)(1) Unbound.

(1) U(1) None.

(1) N(2) Unbound.

(2) U(2) None.

(2) N(3) EF40(3) Entry is subject
to the following
requirements andconditions:a) Franchise from
Congressb) Foreign equity islimited to 40%c) Subject to theavailability
and efficientutilisationof radiofrequencies.

(3) D(3) The numberof non-Filipino
citizens in the
Board of Directorsof an entity shall be
proportionate to theaggregate share offoreign capital ofthat entity.

69

Singapore
Sector or Subsector
Basictelecommunication
services (facilities
based)

Limitation on Market
AccessA–H Classification of Limitation on National A–H Classification ofMA
TreatmentNT(1) Subject tocommercial
arrangementswith licensed
operator(s).

(1) E(1) None(1) N(2) None(2) N(3) None

(3) N

(1) E

(1) None

(1) N

(2) N

(2) None(2) N(3) EF73.99(3) None

(3) N

a) P
 ublic switched(2) N
services1 (local and (2) None.
international)(3) A cumulative total (3) EF73.99
of 73.99% foreignb) Leased circuit
shareholding,services (local andbased on 49%
international)
direct investment
and 24.99% indirect
investment, isallowed.
Mobile services:2(1) Subject tocommerciala) Public mobile data
arrangements
servicewith licensedb) Public trunked radio
operator(s).
service(2) None.
c) Public radio paging (3) A cumulative total
serviceof 73.99% foreignd) Public cellular
mobile telephoneservice12

shareholding,
based on 49%
direct investment
and 24.99% indirect
investment, isallowed.

This includes voice, data facsimile, telex and telegraph services.
Mobile services excludes public mobile broadband multimedia services and public fixed –wireless broadband multimedia
services.

70

Sector or Subsector
Resale basis:a) P ublic switched
services (local andinternational) (notincluding the useof leased circuits
connected to the
public switched
network)

Limitation on Market
AccessA–H Classification of Limitation on National A–H Classification ofMA
TreatmentNT(1) None(1) N(1) None(1) N(2) None(2) N(2) None(2) N(3) None(3) N(3) None(3) N(1) None(1) N(1) None(1) N(2) None(2) N(2) None(2) N(3) None(3) N(3) None(3) Nb) L eased circuit
services (local
and international)(without connection
to the public
switched network)c) P ublic cellular
mobile telephoneservicesd) P ublic radio paging
services
Value-added network(VAN) services1
The services coveredare- Store-and-retrieve
VAN services- Store-and-forward
VAN services- Electronic mail- Voicemail- Online informationand databaseretrieval- Electronic datainterchange- Code and protocol
conversion- Online information
and/or dataprocessing.
Others- Telecommunications
consulting services.
1

 rovision of VAN services is subject to registration for store and retrieve VAN services from the Infocomm Development Authority
Pof Singapore. Note that for the purpose of Singapore’s commitments under AFAS, the services under CPC 7523 are included
within Singapore’s offer for VAN services.

71

Thailand
Telecommunications Services
Commitments undertaken in this offer are subject to the following general conditions:• Any person or juridical person who intends to operate a telecommunication business inThailand shall obtain a licence from the designated national authority(s).
• Licences are granted only to service suppliers duly constituted according to the Thai legislation,
which requires head office and management located in Thai territory.
• The service provider shall operate for public use through existing facilities licensed by thedesignated national authority(s).
• The designated national authority(s) may prohibit the licence application or terminate thelicence of any telecommunication businesses deemed to have any act of “business control” bya juridical person who is not a Thai national.
• Basic necessary new telecommunication acts are now in force. Commitments on public
telecommunication services will be introduced and carried out in accordance with theimplementing rules and regulations to be issued by virtue of those acts.

72

Sector or
Subsector

Limitation onMarket Access

A–H Classificationof MA

Limitation
on National
Treatment

A–H Classification
of NT

(1) E
(1) None, otherthan- Traffic shallbe routed
throughgateways(a) Fixed-line
in Thailand
voice telephone
operated byservices
suppliers duly
licensed.
(a) Mobile- The provision
telephoneof concerned
services (CPC
services shall
75213)
be agreed by
the supplier
duly licensedof both ends.

(1) None

(1) N

(2) E
(2) None, otherthan- Traffic shallbe routed
throughgatewaysin Thailand
operated bysuppliers duly
licensed.
- The provisionof concerned
services shallbe agreed by
the supplier
duly licensedof both ends.

(2) None(2) N(3) EF49(3) As indicatedin 3.3 of thehorizontal
section (a.
Foreign equity
participationmust notexceed 49% of
the registeredcapital, and b.
the numberof foreign
shareholders
must be lessthan half of thetotal number ofshareholdersof the company
concerned).

(3) None(3) N

Public local,
domestic long
distance andinternational
services

Additional
Commitments
Thailand will
introduce into
its Scheduleof SpecificCommitments
on public
telecommunication
services its
treatment on thesubjects relating
to competitive
safeguards,
interconnection,
universal
service, publicavailability oflicensing criteria,
separation ofregulatory andoperational
functions andthe allocation
and use of scarce
resources.

73

Sector or
Subsector(b) Packageswitched datatransmission
services (CPC7523**)(c) Circuitswitched datatransmission
service (CPC7523**)

Limitation onMarket Access

A–H Classificationof MA

Limitation
on National
Treatment

A–H Classification
of NT

(1) E
(1) None, otherthan- Traffic shallbe routed
throughgatewaysin Thailand
operated bysuppliers duly
licensed.
- The provisionof concerned
services shallbe agreed by
the supplier
duly licensedof both ends.

(1) None

(1) N

(2) E
(2) None, otherthan- Traffic shallbe routed
throughgatewaysin Thailand
operated bysuppliers duly
licensed.
- The provisionof concerned
services shallbe agreed by
the supplier
duly licensedof both ends.

(2) None(2) N(3) As indicatedin 3.1 of thehorizontal
section(foreign equity
participationmust notexceed 70% of
the registeredcapital andshall only
operatethrough joint
venture witha juridical
person of Thainationality).

(3) EF70

Additional
Commitments
Thailand will
introduce into
its Scheduleof SpecificCommitments
on public
telecommunication
services its
treatment on thesubjects relating
to competitive
safeguards,
interconnection,
universal
service, publicavailability oflicensing criteria,
separation ofregulatory andoperational
functions andthe allocation
and use of scarce
resources.

(3) None

(3) N

74

Sector or
Subsector

Limitation onMarket Access

A–H Classificationof MA

Limitation
on National
Treatment

A–H Classification
of NT

(1) E
(1) None, otherthan- Traffic shallbe routed(e) T elex services
through(CPC 7523**)
gatewaysin Thailand(f) Facsimile
operated byservices (CPC
suppliers duly
7521**, 7529**)
licensed.
- The provisionof concerned
services shallbe agreed by
the supplier
duly licensedof both ends.

(1) None

(1) N

(2) E
(2) None, otherthan- Traffic shallbe routed
throughgatewaysin Thailand
operated bysuppliers duly
licensed.
- The provisionof concerned
services shallbe agreed by
the supplier
duly licensedof both ends.

(2) None(2) N(3)As indicatedin 3.1 of thehorizontal
section.

(3) None(3) N(d) Telegraphservices (CPC7523**)(3) EF70

Additional
Commitments
Thailand will
introduce into
its Scheduleof SpecificCommitments
on public
telecommunication
services its
treatment on thesubjects relating
to competitive
safeguards,
interconnection,
universal
service, publicavailability oflicensing criteria,
separation ofregulatory andoperational
functions and theallocation anduse of scarce
resources.

75

Sector or
Subsector

Limitation onMarket Access

A–H Classificationof MA

Limitation
on National
Treatment

A–H Classification
of MA

(1) E
(1) None, otherthan- Traffic shall
Dedicated network
be routed
services (CPC
through
75222)
gatewaysin Thailand
operated bysuppliers duly
licensed.
- The provisionof concerned
services shallbe agreed by
the supplier
duly licensedof both ends.

(1) None

(1) N

(2) E
(2) None, otherthan- Traffic shallbe routed
throughgatewaysin Thailand
operated bysuppliers duly
licensed.
- The provisionof concerned
services shallbe agreed by
the supplier
duly licensedof both ends.

(2) None(2) N(3) As indicatedin 3.1 of thehorizontal
section.

(3) None(3) N

Private leased
circuit services:(3) EF70

Additional
Commitments
Thailand will
introduce into
its Scheduleof SpecificCommitments
on public
telecommunication
services its
treatment on thesubjects relating
to competitive
safeguards,
interconnection,
universal
service, publicavailability oflicensing criteria,
separation ofregulatory andoperational
functions and theallocation anduse of scarce
resources.

76

Sector or Subsector
Domestic leased
circuits (part of CPC
75299)

Limitation on Market
AccessA–H Classification of Limitation on National A–H Classification ofMA
TreatmentNT(1) E(1) (a) Service
providers must
use network
operated bysuppliers duly
licensed.
(b) Radio application
service issubject tofrequency
availability.

(1) None(1) N(2) None(2) None

(2) N

(2) N

(3) (a) Shall be a Thai- (3) EF40
registeredcompany withforeign equity
participation notexceeding 40%of the registeredcapital , andthe numberof foreign
shareholders
must not exceed
40% of the total
number ofshareholders of
the company.
(b) Must use public
telecommunication
network
under national
telecommunication
authorities.
(c) Selection ofservice providers
shall be basedon open tender.

(3) No limitation as(3) F40long as foreign
equity participation
does not exceed
40%

77

Sector or Subsector(h) Electronic mail
(CPC 7523**)(i) V oicemail (CPC7523**)

Limitation on Market
AccessA–H Classification of Limitation on National A–H Classification ofMA
TreatmentNT(1) E(1) None, other than- Traffic shall berouted throughgateways in
Thailand operated
by suppliers duly
licensed.
- The provisionof concerned
services shallbe agreed by the
supplier duly
licensed of bothends.

(1) None

(1) N

(2) E
(2) None, other than
- T raffic shall berouted throughgateways in
Thailand operated
by suppliers duly
licensed.
- T he provisionof concerned
services shallbe agreed by the
supplier duly
licensed of bothends.

(2) None(2) N(3) As indicated in 3.1of the horizontal
section.

(3) None(3) N(3) EF70

78

Sector or
Subsector(j) Online
informationand databaseretrieval(CPC 7523**)

Limitation onMarket Access

A–H Classificationof MA

Limitation
on National
Treatment

A–H Classification
of NT

(1) E
(1) None, otherthan- Traffic shallbe routed
throughgatewaysin Thailand
operated bysuppliers duly
licensed.
- The provisionof concerned
services shallbe agreed by
the supplier
duly licensedof both ends.

(1) None

(1) N

(2) E
(2) None, otherthan- Traffic shallbe routed
throughgatewaysin Thailand
operated bysuppliers duly
licensed.
- The provisionof concerned
services shallbe agreed by
the supplier
duly licensedof both ends.

(2) None(2) N(3) As indicatedin 3.1 of thehorizontal
section.

(3) None(3) N(3) EF70

Additional
Commitments
Thailand will
introduce into
its Scheduleof SpecificCommitments
on public
telecommunication
services its
treatment on thesubjects relating
to competitive
safeguards,
interconnection,
universal
service, publicavailability oflicensing criteria,
separation ofregulatory andoperational
functions and theallocation anduse of scarce
resources.

79

Sector or Subsector(k) Electronic datainterchange (CPC7523**)

Limitation on Market
AccessA–H Classification of Limitation on National A–H Classification ofMA
TreatmentNT(1) E(1) None, other than- Traffic shall berouted throughgateways in
Thailand operated
by suppliers duly
licensed.
- The provisionof concerned
services shallbe agreed by the
supplier duly
licensed of bothends.

(1) None

(1) N

(2) E
(2) None, other than
- T raffic shall berouted throughgateways in
Thailand operated
by suppliers duly
licensed.
- T he provisionof concerned
services shallbe agreed by the
supplier duly
licensed of bothends.

(2) None(2) N(3) As indicated in 3.1of the horizontal
section.

(3) None(3) N(3) EF70

80

Sector or Subsector

Limitation on Market
AccessA–H Classification of Limitation on National A–H Classification ofMA
TreatmentNT(1) E(1) None, other than- Traffic shall berouted throughgateways in
Thailand operated
by suppliers duly
licensed.
- The provision(m) C ode and protocolof concerned
conversion
services shallbe agreed by the
supplier duly
licensed of bothends.

(1) None

(1) N

(2) E
(2) None, other than
- T raffic shall berouted throughgateways in
Thailand operated
by suppliers duly
licensed.
- T he provisionof concerned
services shallbe agreed by the
supplier duly
licensed of bothends.

(2) None(2) N(3) As indicated in 3.1of the horizontal
section.

(3) None

(3) N

(l) E
 nhanced/valueadded facsimile
services including
store and forward
and store andretrieve (CPC7523*)(3) EF70

81

Sector or
Subsector

Limitation onMarket Access

A–H Classificationof MA

Limitation
on National
Treatment

A–H Classification
of NT

(1) E
(n) Online(1) None, otherinformation
than
and/or data
- Traffic shallprocessing
be routed
services
throughprovidedgatewaysover publicin Thailand
operated bytelecommunications
suppliers duly
network
licensed.
(part of CPC- The provision
843, excludingof concernedtransaction
services shallprocessing)be agreed by
the supplier
duly licensedof both ends.

(1) None

(1) N

(2) E
(2) None, otherthan- Traffic shallbe routed
throughgatewaysin Thailand
operated bysuppliers duly
licensed.
- The provisionof concerned
services shallbe agreed by
the supplier
duly licensedof both ends.

(2) None(2) N(3) As indicatedin 3.1 of thehorizontal
section.

(3) None(3) N(3) EF70

Additional
Commitments
Thailand will
introduce into
its Scheduleof SpecificCommitments
on public
telecommunication
services its
treatment on thesubjects relating
to competitive
safeguards,
interconnection,
universal
service, publicavailability oflicensing criteria,
separation ofregulatory andoperational
functions and theallocation anduse of scarce
resources.

82

Sector or Subsector
Database accessservices (part of CPC
7523)

Limitation on Market
AccessA–H Classification of Limitation on National A–H Classification ofMA
TreatmentNT(1) Service providers(1) E
must use networks
operated bysuppliers duly
licensed.

(1) None.

(1) N(2) None.

(2) N(2) None.

(2) N(3) a) Shall be a Thairegisteredcompany withforeign equity
participation notexceeding 25%
of registeredcapital.
b) Must use
networks
operated bysuppliers duly
licensed.

(3) EF25(3) No limitation as(3) F25long as foreign
equity participation
does not exceed
25%.

83

Sector or
Subsector(o) Other:
Paging services(CPC 75291)

Limitation onMarket Access

A–H Classificationof MA

Limitation
on National
Treatment

A–H Classification
of NT

(1) E
(1) None, otherthan- Traffic shallbe routed
throughgatewaysin Thailand
operated bysuppliers duly
licensed.
- The provisionof concerned
services shallbe agreed by
the supplier
duly licensed ofboth ends.

(1) None

(1) N

(2) E
(2) None, otherthan- Traffic shallbe routed
throughgatewaysin Thailand
operated bysuppliers duly
licensed.
- The provisionof concerned
services shallbe agreed by
the supplier
duly licensedof both ends.

(2) None(2) N(3) As indicatedin 3.3 of thehorizontal
section.

(3) None(3) N(3) EF49

Additional
Commitments
Thailand will
introduce into
its Scheduleof SpecificCommitments
on public
telecommunication
services its
treatment on
subjects relating
to competitive
safeguards,
interconnection,
universal
service, publicavailability oflicensing criteria,
separation ofregulatory andoperational
functionsand the allocation
and use of scarce
resources.

Sector or Subsector

Limitation on Market
AccessA–H Classification of Limitation on National A–H Classification ofMA
TreatmentNT

Telecommunications
terminal equipment
leasing services (CPC75410)(1) None, subject
to commercial
arrangement withlicensed operators(1) E(1) None(1) N(2) None(2) N(2) None(2) N(3) As indicated in 3.3of the horizontal
section(3) EF49(3) None

(3) N

84

Sector or Subsector
Domestic VSAT
[very small aperture
terminal]

Limitation on Market
AccessA–H Classification of Limitation on National A–H Classification ofMA
TreatmentNT(1) E(1) a) Service
providers must
use network
operated bysuppliers duly
licensed.
b) Radio application
service is subject
to frequency
availability.
(2) None.

(2) N(3) a) Shall be a Thai- (3) EF40
registeredcompany withforeign equity
participation notexceeding 40%of the registeredcapital, andthe numberof foreign
shareholders
must not exceed
40% of thetotal number ofshareholders of
the company.
b) Must use public
telecommunication
network
under national
telecommunication
authorities.

(1) None.

(1) N(2) None.

(2) N(3) No limitation as(3) F40long as foreign
equity participation
does not exceed
40%.

Limitation on Market
AccessA–H Classification of Limitation on National A–H Classification ofMA
TreatmentNT

Telecommunicationequipment sales
services(part of CPC 75420)(1) None(1) N(1) None(1) N(2) None(2) N(2) None(2) N(3) As indicated in 3.3of the horizontal
section(3) EF49(3) None(3) N

Telecommunication
consulting services(CPC 75440)(1) None(1) N(1) None(1) N(2) None(2) N(2) None(2) N(3) As indicated in 3.1of the horizontal
section(3) EF70(3) None(3) N

Sector or Subsector85Sector or Subsector
Videotext
teleconference

Limitation on Market
AccessA–H Classification of Limitation on National A–H Classification ofMA
TreatmentNT(1) E(1) (a) Service
providers must
use network
operated bysuppliers duly
licensed.
(b) Radio application
service issubject tofrequency
availability.

(1) None.

(1) N(2) None.

(2) None.

(2) N

(2) N

(3) (a) Shall be a Thai- (3) EF40
registeredcompany withforeign equity
participation notexceeding 40%of the registeredcapital, andthe numberof foreign
shareholders
must not exceed
40% of thetotal number ofshareholders of
the company.
(b) Must use public
telecommunication
network
under national
telecommunication
authorities.
(c) Selection ofservice providers
shall be basedon open tender.
Communication(1) Noneequipment(2) Nonemaintenance services(3) As indicated in 3.1
on a fee or contractof the horizontal
basis (CPC 75450)
section(3) No limitation as(3) F40long as foreign
equity participation
does not exceed
40%.

(1) N

(1) None

(1) N

(2) N

(2) None(2) N(3) EF70(3) None(3) N

Viet Nam
Telecommunication Services
Commitments hereunder are made in accordance with “Notes for Scheduling Basic Telecom
Services Commitments” (S/GBT/W/2/REV.1) and “Market Access Limitations on Spectrum
Availability” (S/GBT/W/3). For the purpose of these commitments, a “non-facilities-based service
supplier” means a service supplier that does not own transmission capacity but contracts
for such capacity including submarine cable capacity, including on a long-term basis, from afacilities-based supplier. A non-facilities-based supplier is not otherwise excluded from owning
telecommunications equipment within its premises and permitted public service provision points.

86

Sector or
Subsector

Limitation onMarket Access

A–H Classification
of MA

Basic
(1) N
 one, except(1) N
telecommunications
Wire-based
and mobilea. Voice telephoneterrestrial
services
services:
includingService must be
local, longoffered throughdistance andcommercial
internationalarrangements(CPC 7521)
with an entity
establishedb. Packetin Viet Nam
switched data
and licensed
transmission
to provide
services (CPC
international
7523**)
telecommunicationc. Circuitservices.
switched dataS atellite-basedtransmission
services: Subject
services (CPC
to commercial
7523**)
arrangementsd. Telegraphwith Vietnamese
services (CPC
international
7522)
satellite service
suppliers dulye. Telex services
licensed in Viet
(CPC 7523**)
Nam, except
f. Facsimile
satellite-based
services (CPC
services offered
7521**, 7529**)to- S ince 11
g. Private leased
January 2007,
circuit services
offshore/on(CPC 7522**,sea-based
7523**)
businesscustomers,
government
institutions,facilitiesbased service
suppliers, radio
and television
broadcasters,
official
internationalorganisations’representative
offices,
diplomatic
representatives
and consulates,
high-techand softwaredevelopment
parks that arelicensed to use
satellite -earth
stations.

Limitation
on National
Treatment(1) None

A–H Classification
of NT
(1) N

Additional
Commitments
Viet Nam
undertakes theobligations in the
Reference Paper
attached hereto.
For consortium
submarine cablelinks where Viet
Nam is member,foreign service
suppliers shallbe permitted tocontrol fully owned
submarine cabletransmission
capacity (e.g. ,indefeasible
right of use orconsortium
ownership)
terminating at alicensed cablelanding stationin Viet Nam,and to provide
such capacity
to international
facilities-based
service suppliers
licensed in Viet
Nam.
Since 11 January
2011, foreign
service suppliers
shall be permitted
to provide suchcapacity tointernational
virtual private
network (VPN) andInternet exchange
point (IXP) service
suppliers licensed
in Viet Nam.

87

Sector or Subsector(o*) Other services

Limitation on Market
AccessA–H Classification of Limitation on National A–H Classification ofMA
TreatmentNT- Since 11
January 2010,
multinational
companies3 thatare licensed touse satelliteearth stations.

- Videoconference
services (CPC 75292)- Video transmission
services, excluding
broadcasting1- Radio-based services(2) None(2) N
includes- Mobile telephone (3) None, except Non- (3) N(terrestrial andfacilities-based
satellite)
services: Since- Mobile data
11 January 2007,(terrestrial andjoint ventures withsatellite)
telecommunications- Paging
service suppliers- Personal
duly licensed incommunications
Viet Nam will beserviceallowed. Foreign- Trunking
capital contribution
2- IXP
shall not exceed(2) None(2) N(3) None(3) N

51% of legal
capital of the joint
ventures. Since
11 January 2010,
joint venture willbe allowed without
limitation on choiceof partner. Foreign
capital contribution
shall not exceed
70% of legal
capital of the joint
ventures.
Facilities-based
services: Joint
venture with
telecommunications
service suppliers
duly licensed inViet Nam will beallowed. Foreign
capital contribution
shall not exceed
49% of legal
capital of the joint
ventures; 51%
gives management
control of the joint
venture.

 roadcasting is defined as the uninterrupted chain of transmission required to distribute TV and radio programme signals to theBgeneral public but does not cover contribution links between operators.
2
Services connecting Internet access service suppliers with the international Internet backbone.
3
A multinational is a corporation that (1) has a commercial presence in Viet Nam, (2) operates in at least one other WTO member,(3) has been in operation for at least five years, (4) is publicly listed on the stock exchange of a WTO member and (5) is licensed touse satellite services in at least one WTO member.
1

88

Sector or
Subsector

Limitation onMarket Access

A–H Classificationof MA

Limitation
on National
Treatment

A–H Classificationof NT

Viet Nam
undertakes theobligations in the
Reference Paper
attached hereto.

Basictelecommunication
services

In thetelecommunications
sector, foreign
investors in(o*) Other services
a businesscooperation- VPN1
contract (BCC) will
have the possibility
to renew current
arrangements or
to convert theminto another formof establishmentwith conditions noless favourable
than those they
currently enjoy.
(1) None, except(1) N
Wire-based
and mobile
terrestrial
services :Service must
be offeredthroughcommercial
arrangementswith an entity
establishedin Viet Namand licensed
to provide
international
telecommunication
services.
S atellitebased services :Subject tocommercial
arrangements
withVietnameseinternational
satellite service
suppliers duly
licensed in Viet
Nam, except
satellite-based
services offeredto- Since 11
January 2007,
offshore/onsea-based
businesscustomers,
government
institutions,facilitiesbased service

Additional
Commitments(1) None(1) NFor consortium
submarine cablelinks where Viet
Nam is member,foreign service
suppliers shallbe permitted tocontrol fully owned
submarine cabletransmission
capacity (e.g. ,indefeasible
right of use orconsortium
ownership)
terminating at alicensed cablelanding stationin Viet Nam,and to provide
such capacity
to international
facilities-based
service suppliers
licensed in Viet
Nam.
Since 11 January
2011, foreign
service suppliers
shall be permitted
to provide suchcapacity tointernational VPN
and IXP service
suppliers licensed
in Viet Nam.

89s uppliers,
radio andtelevision
broadcasters,
official
internationalorganisations’representative
offices,
diplomatic
representatives
andconsulates
and high-techand softwaredevelopment
parks that arelicensed touse satelliteearth
stations.
- Since 11
January 2010,
multinational
companies2
that arelicensed touse satelliteearth
stations.
1

 ervices, provided on commercial terms, establishing and managing a private network over public (shared) networks for theS
purpose of carrying out, on a non-profit basis, voice and data telecommunications among members of a closed user groupdefined prior to the creation of the VPN. Such group may include a corporate group or organisation, or a group of legal entities
with an established relationship affiliated through the pursuit of a common interest.
Initial members of a closed user group using VPN service must be listed in a dialling or routing plan approved by the competentauthority and subject to its oversight. VPN service suppliers shall notify the competent authority of changes to membership at
least two working weeks prior to actually commencing commercial service and can commence commercial service provided thatno objection from the competent authority is issued during these two weeks.
 embers are not allowed to resell VPN services to unaffiliated third parties. Virtual private networks are not allowed to carry/M
transfer traffic of/among unaffiliated third parties. VPN services can be offered by licensed foreign-invested service suppliers
bundled with Internet access service and value-added services from (h) to (n).

2 multinational is a corporation that (1) has a commercial presence in Viet Nam, (2) operates in at least one other WTO member,A(3) has been in operation for at least five years, (4) is publicly listed on the stock exchange of a WTO member and (5) is licensed touse satellite services in at least one WTO member.

90

Sector or Subsector

Limitation on Market
AccessA–H Classification of Limitation on National A–H Classification ofMA
Treatment
NT- VPN (continued)(2) None(2) N(3) F49(3) None, except
Non-facilitiesbased services :Joint ventures shallbe allowed without
limitation on choiceof partner.
Foreign capital
contribution shallnot exceed 70% oflegal capital of thejoint ventures.

Facilities-based
services : joint
venture with
telecommunication
service suppliers
duly licensed inViet Nam will beallowed. Foreign
capital contribution
shall not exceed
49% of legal
capital of the joint
ventures.

(2) None(2)N(3) None

(3)N

91

Sector or Subsector

Limitation on Market
AccessA–H Classification of Limitation on National A–H Classification ofMA
TreatmentNT(1) N
Value-added services: (1) None, except
Wire-based andh. Electronic mailmobile terrestrial(CPC 7523**)
services :Service must bei. Voicemail (CPC
offered through7523**)
commercial
j. Online information
arrangements
and databasewith an entity
retrieval (CPC
established in
7523**)
Viet Nam andlicensed to provide
k. Electronic datainternational
interchange (CPC
telecommunication
7523**)
services.
l. Enhanced/valueSatellite-based
added facsimile
services : Subject
services, including
to commercial
store and forward
arrangements
and store andwith Vietnamese
retrieve (CPC7523**)
internationalm. Code and protocol
satellite service
conversion
suppliers duly
licensed in Vietn. Online information
Nam except
and data processing
satellite-based(including
services offered totransaction- S ince 11 January
processing) (CPC
2007, offshore/843)
on-sea-based
businesscustomers,
government
institutions,facilitiesbased service
suppliers, radio
and television
broadcasters,
official
internationalorganisations’representative
offices, diplomatic
representatives
and consulates
and high-techand softwaredevelopment
parks that arelicensed to use
satellite-earth
stations.
- S ince 11
January 2007,
multinational
companies thatare licensed touse satellite-earth
stations.

(1) None

(1) N

92

Sector or Subsector

Limitation on Market
AccessA–H Classification of Limitation on National A–H Classification ofMA
TreatmentNT(2) None(2) N(3) F50(3) None, except
Non-facilitiesbased services :Businesscooperation
contracts or joint
ventures will beallowed. Foreign
capital contribution
shall not exceed
70% of legal
capital of the joint
ventures.

F acilities-based
services : Businesscooperation
contracts or joint
ventures with
telecommunications
service suppliers
duly licensed inViet Nam will beallowed. Foreign
capital contribution
shall not exceed
50% of legal
capital of the joint
ventures; 51%
gives management
control of the joint
venture.
In thetelecommunications
sector, foreign
investors in BCC
will have thepossibility torenew current
arrangements or toconvert them intoanother form ofestablishment withconditions no lessfavourable thanthose they currently
enjoy.

(2) None(2) N(3) None

(3) N

93

Sector or Subsector
Value-added services(o) Other- Internet accessservices1

Limitation on Market
AccessA–H Classification of Limitation on National A–H Classification ofMA
Treatment
NT

(1) N
(1) W
 ire-based andmobile terrestrial
services : None,
except service
must be offeredthrough commercial
arrangements withan entity establishedin Viet Nam andlicensed to provide
international
telecommunication
services.

(1) None(1) N(2) None(2) NSatellite-based
services : Subject
to commercial
arrangementswith Vietnameseinternational satellite
service suppliers
duly licensed inViet Nam, except
satellite-based
services offered to- S ince 11 January
2007, offshore/
on-sea-based
businesscustomers,
government
institutions,facilities-based
services suppliers,
radio and television
broadcasters,
official
internationalorganisations’representative
offices, diplomatic
representatives
and consulates
and high-techand softwaredevelopment parks
that are licensed touse satellite-earth
stations.
- S ince 11 January
2010, multinational
companies2 thatare licensed touse satellite-earth
stations.
(2) None(2) N

Services providing internet access to the end users.
2
A multinational is a corporation that (1) has a commercial presence in Viet Nam, (2) operates in at least one other WTO member, (3)has been in operation
for at least five years, (4) is publicly listed on the stock exchange of a WTO member and (5) is licensed to use satellite services inat least one WTO Member.
1

94

Sector or Subsector

Limitation on Market
AccessA–H Classification of Limitation on National A–H Classification ofMA
TreatmentNT(3) F50(3) N on-facilitiesbased services :Since 11 January
2007, joint
ventures with
telecommunications
suppliers duly
licensed in Viet
Nam will beallowed. Foreign
capital contribution
shall not exceed
51% of legal
capital of the joint
ventures.
Since 11 January
2010, joint venture
will be allowed
without limitation
on choice ofpartner. Foreign
capital contribution
shall not exceed
65% of legal
capital of the joint
ventures.

(3) None(3) NF acilities-based
services : Joint
venture with
telecommunication
service suppliers
duly licensed inViet Nam will beallowed. Foreign
capital contribution
shall not exceed
50% of legal
capital of the joint
ventures.
Source: Downloaded (with file-type conversion) from https://cil.nus.edu.sg/databasecil/2018-protocol-to-implement-the-tenthpackage-of-commitments-under-the-asean-framework-agreement-on-services/.

95Annex D.
Commitments/Reservations under RCEP for
Telecommunication Services (by ASEAN Member
Country)
Brunei Darussalam
13. Sector: Telecommunication Services

Subsector: -Type of Obligation: National Treatment (Article 8.4 and Article 10.3) Market Access (Article 8.5)
Local Presence (Article 8.11)
Prohibition of Performance Requirements (Article 10.6)

Description of Measure : Trade in Services and Investment
a. A foreign national or enterprise may not provide telecommunication services forwhich Brunei Darussalam requires a licence15 in the territory of Brunei Darussalam,
unless(a) It maintains a physical business presence in Brunei Darussalam.
(b)	It provides such services through a commercial arrangement with a licensed
operator in Brunei Darussalam.
(c)	Through a joint venture with a Bruneian national or enterprise, in which theforeign national or enterprise does not own more than 51% equity.
(d)	Where so required, it locates its transmission equipment used for the provisionof public telecommunications networks or supply of public telecommunications
services within Brunei Darussalam.
b. A foreign national or enterprise may not undertake activities related totelecommunication services unless it complies with any performance requirementsthat may be imposed.
Source of Measure

15: Telecommunications Order, 2001
AiTi Operational Framework (2006)

Software application-based services provided over the Internet (over-the-top services) do not currently require alicence in Brunei Darussalam.

96

Cambodia
Sector or Subsector

Limitations on Market
AccessLimitations on National
Treatment

Additional Commitments

C. Telecommunication Services
These commitments are undertaken in accordance with “Notes for Scheduling Basic Telecom Services Commitments”(S/GBT/W/2/Rev.1) and “Market Access Limitations on Spectrum Availability” (S/GBT/W/3).
a) V oice telephone services(CPC 7521)b) P acket-switched datatransmission services(CPC 7523**)c) C ircuit-switched datatransmission services(CPC 7523**)d) T elex services (CPC7523**)e) T elegraph services (CPC7522)f) Facsimile services (CPC7521**, 7529**)g) P rivate leased circuit
services (CPC 7522**,7523**)
Sector or Subsector(1) None(1) None(2) None(2) None(3) Subject to requirement(3) Nonefor local share holding up
to 49%

Cambodia undertakes
additional commitments as
indicated in the Attachment(Telecommunication
Services Reference Paper).

(4) Unbound except as(4) Unbound except as
indicated in the horizontal
indicated in the horizontal
commitments
commitments

Limitations on Market
AccessLimitations on National
Treatment

Additional Commitments(1) None(1) Noneh) Electronic mail (CPC7523**)(2) None(2) Nonei) Voicemail (CPC 7523**)(3) None(3) Nonej) Online information anddatabase retrieval (CPC(4) Unbound except as(4) Unbound except as7523**)
indicated in the horizontal
indicated in the horizontalk) Electronic data
commitments
commitmentsinterchange (CPC 7523**)l) Enhanced or valueadded facsimile services,
including store andforward and store andretrieve (CPC 7523**)m) C ode and protocol
conversionn) Online information or dataprocessing (includingtransaction processing)(CPC 843**)o) Other services
Mobile services(1) None

Cambodia commits topermit licensed suppliers of(2) None(2) Nonemobile telecommunications(3) None(3) None
services choice of technology
used in the supply of such(4) Unbound except as(4) Unbound except as
indicated in the horizontal
indicated in the horizontal services.
commitments(1) None

commitments

97

Indonesia
39. Sector

1: Telecommunication Services1

Subsector: (a) Public Switched Telephone Service (CPC 7521)(b) Teleconferencing Services (CPC 75292)(c) Mobile Cellular Telephone Services (CPC 75213)(d) Internet Access Services Regional and National Paging Services (CPC 75291)(e) Public Payphone Services Voice Mail Service (CPC 7523)(f) Electronic Mail Services (CPC 75232)

Type of Obligation: National Treatment (Article 8.4) Market Access (Article 8.5)

Description: Trade in Services
Indonesia reserves the right to adopt or maintain any measure with respect to trade
in services as defined in subparagraph (r)(iii) of Article 8.1 (Definitions) that requires
supply through commercial presence to be in the form of joint venture with no morethan 35% of the equity participation in a joint venture to be owned by foreigners.

For greater certainty, the coverage of this sector does not include telecommunications tower construction services (same below).

40. Sector: Telecommunication Services

Subsector: (a) Videotext Services (CPC 75229)(b) File Transfer Services, Home Telemeter Alarm, Entertainment Services,Management Information Services (CPC 75299)(c) Computer Time Sharing Services (CPC84330)

Type of Obligation: National Treatment (Article 8.4) Market Access (Article 8.5)

Description: Trade in Services
Indonesia reserves the right to adopt or maintain any measure with respect to trade inservices as defined in subparagraph (r)(iii) of Article 8.1 (Definitions) that require supply
through commercial presence to be in the form of joint venture subject to the following
conditions:(a) No more than 35% of the equity participation in a joint venture shall be owned byforeigners.
(b) Supply of services in certain provinces or areas are subject to an economic needs
test.
(c) Services shall be provided only for closed user group.
(d) The network service supplier is prohibited from connecting to other networks for
greater certainty; cross-border supply of service is permitted.

41. Sector

1: Telecommunication Services

Subsector: Electronic Data Interchange (CPC 7523**)Type of Obligation: National Treatment (Article 8.4) Market Access (Article 8.5)

Description: Trade in Services
Indonesia reserves the right to adopt or maintain any measure with respect to trade
in services as defined in subparagraph (r)(iii) of Article 8.1 (Definitions) that requires
supply through commercial presence to be in the form of joint venture subject toaggregate foreign equity participation requirement permitted up to 70% provided thatup to 49% is through foreign direct investment and the remaining per centage throughother mechanisms.

For greater certainty, the coverage of this sector does not include telecommunications tower construction services.

98

42. Sector: Telecommunication Services

Subsector: (a) Circuit Switched Public Data Network Services (CPC 7523**)(b) Packet-Switched Public Data Network Services (CPC 7523**)(c) Private Leased Circuit Services (CPC 7522**, 7523**)(d) Telex Services (CPC 7523**)(e) Telegraph Services (CPC 7522)(f) Facsimile (CPC 7521**, 7529**)(g) Mobile Cellular Telephone Services (CPC 75213)(h) Dedicated Network Services (CPC 75222)(i) Enhanced or Value-Added Facsimile Services, Including Store and Forward andStore and Retrieve (CPC 7523**)(j) Online Information and Database Retrieval (CPC 7523**)(k) Internet Access Services Regional and National Paging Services (CPC 75291)(l) Public Payphone Services Voice Mail Service (CPC 7523)(m) Electronic Mail Services and Electronic Mail Box (CPC 75232)(n) Video Text Services (CPC 75229)(o) File Transfer Services, Home Telemeter Alarm, Entertainment Services,Management Information Services (CPC 75299)(p) Online Information and/or Data Processing (Including Transaction Processing) (CPC
843**)

Type of Obligation: National Treatment (Article 8.4) Market Access (Article 8.5)

Description: Trade in Services
Indonesia reserves the right to adopt or maintain any measure with respect to trade
in services as defined in subparagraph (r)(iii) of Article 8.1 (Definitions) that requires
supply through commercial presence to be in the form of joint venture with no morethan 51% of the equity participation in a joint venture to be owned by foreigners.

99

Lao People’s Democratic Republic
Sector or Subsector

Limitations on Market
AccessLimitations on National
Treatment

Additional Commitments

C. Telecommunication Services
Commitments are taken consistent with “Notes for Scheduling Basic Telecom Services Commitments” (S/GBT/W/2/
Rev.1) and “Market Access Limitations on Spectrum Availability” (S/GBT/W/3).
The following services (a–g, (1) Wire-based services,o) can be supplied only on aterrestrial-based
facilities basis and for public
mobile services anduse services:
satellite-based services:
Basic telecommunication
Service must be offeredservices
through commercial
arrangements witha) V oice telephone services
a juridical person(CPC 7521)
established in Lao
PDR and licensed tob) P acket-switched data
provide internationaltransmission services
telecommunication(CPC 7523**)
services.
c) C ircuit-switched data
(2) None.
transmission services(CPC 7523**)(3) Commercial presenced) T elex services (CPC7523**)e) T elegraph services (CPC7522)f) Facsimile services (CPC7521**, 7529**)g) P rivate leased circuit
services (CPC 7522**,7523**)

for new investments willbe allowed with foreign
equity participation
limited to 60%.

(1) Wire-based services,terrestrial-based
mobile services andsatellite-based services:
Service must be offeredthrough commercial
arrangements witha juridical person
established in Lao
PDR and licensed toprovide international
telecommunication
services.
(2) None.
(3) Commercial presence
for new investments willbe allowed with foreign
equity participation
limited to 60%.

(4) Unbound, except as(4) Unbound, except as
indicated in the horizontal
indicated in the horizontal
section.
section.

o) Other:
Terrestrial-based mobile
phone services** indicates that the service specified constitutes only a part of the total range of activities covered by the CPC concordance (e.g. ,voicemail is only a component of CPC item 7523).

100

Sector or Subsector

Limitations on Market
AccessLimitations on National
Treatment

Value-added(1) None(1) Nonetelecommunication services(2) None(2) Noneh) Electronic mail (CPC
(3) None(3) None7523**)(4) Unbound, except as(4) Unbound, except asi) Voicemail (CPC 7523**)indicated in the horizontal
indicated in the horizontal
sectionsectionj) Online information anddatabase retrieval (CPC7523**)k) Electronic datainterchange (CPC 7523**)l) Enhanced or valueadded facsimile services,
including store andforward and store andretrieve (CPC 7523**)m) C ode and protocol
conversionn) Online information or dataprocessing (includingtransaction processing)(CPC 843**)

Additional Commitments

101

Malaysia
7.

Sector: Communications Services

Subsector: -Level of Government: Central

Obligations Concerned: National Treatment (Article 8.4 and Article 10.3)
Most-Favoured-Nation Treatment (Article 8.6 and Article 10.4)
Local Presence (Article 8.11)
Prohibition of Performance Requirements (Article 10.6)

Description: Trade in Services and Investment
Licences for the supply of telecommunications services in Malaysia are divided into
individual licences and class licences, depending on the character of the service.
The following persons or classes of persons shall be ineligible to apply for an individual
licence:(a) A foreign company defined under the Companies Act 2016 [Act 777](b) An individual or a sole proprietorship(c) A partnership(d) Such other persons or classes of persons as may be decided by the Minister fromtime to time.
The following persons or classes of persons shall be ineligible to be registered as aclass licensee:(e) A foreign individual who is not a permanent resident(f) A foreign company as defined under the Companies Act 2016 [Act 777].
Foreigners are not permitted to apply for Content Applications Service Providers
services, a special subset of applications service providers that refers to satellite
broadcasting, subscription broadcasting, terrestrial free to air television, or terrestrial
radio broadcasting.
The Minister charged with the responsibility for communications and multimedia
may, for good cause or as the public interest may require, permit either of theaforementioned to apply to be registered as any one of the licensees mentioned
previously.

Measures: Communications and Multimedia Act 1998 [Act 588]
Communications and Multimedia (Licensing) Regulations 2000 [P.U.(A) 129/2000]

102

Myanmar
Limitations on Market
AccessSector or Subsector

Limitations on National
Treatment

2. COMMUNICATION SERVICES
C. Telecommunications Serviceso) Voice telephone services• Public telephoneservices (CPC 7521)• Mobile telephoneservices (CPC 75213)(1) None.

(1) None.

(2) None.

(2) None.

(3) Up to 70% foreign(3) None.
equity participation ispermitted (in accordancewith Notification No.
15/2017 of the Myanmar
Investment Commission
and existing rules andregulations of related
ministries).
(4) Subject to Myanmar’s(4) Subject to Myanmar’s
Schedule in Annex IV
Schedule in Annex IV(Schedules of Specific(Schedules of SpecificCommitments on
Commitments on
Temporary Movement
Temporary Movementof Natural Persons),of Natural Persons),
which complies with thewhich complies with theprovisions of existing
provisions of existing
rules and regulations.
rules and regulations
and economic needs test
(ENT), will be applied to
all categories of natural
persons, if necessary.

Additional Commitments103

Sector or Subsectorb) Packet-switched datatransmission services(CPC 7523**)- Data and message
transmission services(CPC 7523)

Limitations on Market
AccessLimitations on National
Treatment(1) None.

(1) None.

(2) None.

(2) None.

Additional Commitments(3) Up to 70% foreign(3) None.
equity participation ispermitted (in accordancewith Notification No.
15/2017 of the Myanmar
Investment Commission
and existing rules andregulations of related
ministries).
(4) Subject to Myanmar’s(4) Subject to Myanmar’s
Schedule in Annex IV
Schedule in Annex IV(Schedules of Specific(Schedules of SpecificCommitments on
Commitments on
Temporary Movement
Temporary Movementof Natural Persons) ,of Natural Persons),
which complies with thewhich complies with theprovisions of existing
provisions of existing
rules and regulations.
rules and regulations and
ENT, will be applied to
all categories of natural
persons, if necessary.

(1) None.
(1) None.
c) Circuit-switched datatransmission services(2) None.
(2) None.
(CPC 7523**)(3) None.
- Voice telephone services (3) Up to 70% foreign
equity participation is(CPC 7521)
permitted (in accordance- Data and message
with Notification No.
transmission services
15/2017 of the Myanmar(CPC 7523)
Investment Commission
and existing rules andregulations of related
ministries).
Sector or Subsector

Limitations on Market
AccessLimitations on National
Treatment(4) Subject to Myanmar’s(4) Subject to Myanmar’s
Schedule in Annex IV
Schedule in Annex IV(Schedules of Specific(Schedules of SpecificCommitments on
Commitments on
Temporary Movement
Temporary Movementof Natural Persons),of Natural Persons),
which complies with thewhich complies with theprovisions of existing
provisions of existing
rules and regulations.
rules and regulations and
ENT, will be applied to
all categories of natural
persons, if necessary.

Additional Commitments

104

Sector or Subsectord) Telex services (CPC7523**)

Limitations on Market
AccessLimitations on National
Treatment(1) None.

(1) None.

(2) None.

(2) None.

(3) Subject to compliancewith the provisionsof existing rules andregulations.

(3) None.

(4) S ubject to Myanmar’s(4) Subject to Myanmar’s
Schedule in Annex IV
Schedule in Annex IV(Schedules of Specific(Schedules of SpecificCommitments on
Commitments on
Temporary Movement
Temporary Movementof Natural Persons),of Natural Persons),
which complies with thewhich complies with theprovisions of existing
provisions of existing
rules and regulations.
rules and regulations and
ENT, will be applied to
all categories of natural
persons, if necessary.
e) Telegraph services (CPC7522)(1) None.

(1) None.

(2) None.

(2) None.

(3) Subject to compliancewith the provisionsof existing rules andregulations.

(3) None.

(4) S ubject to Myanmar’s(4) Subject to Myanmar’s
Schedule in Annex IV
Schedule in Annex IV(Schedules of Specific(Schedules of SpecificCommitments on
Commitments on
Temporary Movement
Temporary Movementof Natural Persons),of Natural Persons),
which complies with thewhich complies with theprovisions of existing
provisions of existing
rules and regulations.
rules and regulations and
ENT, will be applied to
all categories of natural
persons, if necessary.

Additional Commitments105

Sector or Subsectorf) Facsimile services (CPC7521**, 7529**)

Limitations on Market
AccessLimitations on National
Treatment(1) None.

(1) None.

(2) None.

(2) None.

Additional Commitments(3) Up to 70% foreign(3) None.
equity participation ispermitted (in accordancewith Notification No.
15/2017 of the Myanmar
Investment Commission
and existing rules andregulations of relevant
ministries).
(4) Subject to Myanmar’s(4) Subject to Myanmar’s
Schedule in Annex IV
Schedule in Annex IV(Schedules of Specific(Schedules of SpecificCommitments on
Commitments on
Temporary Movement
Temporary Movementof Natural Persons),of Natural Persons),
which complies with thewhich complies with theprovisions of existing
provisions of existing
rules and regulations.
rules and regulations and
ENT, will be applied to
all categories of natural
persons, if necessary.
g) Private leased circuit
service (CPC 7522**,7523**)- Business network
services (CPC 7522)

Sector or Subsector(1) None.

(1) None.

(2) None.

(2) None.

(3) Up to 70% foreign(3) None.
equity participation ispermitted (in accordancewith Notification No.
15/2017 of the Myanmar
Investment Commission
and existing rules andregulations of relevant
ministries).
Limitations on Market
AccessLimitations on National
Treatment(4) Subject to Myanmar’s(4) Subject to Myanmar’s
Schedule in Annex IV
Schedule in Annex IV(Schedules of Specific(Schedules of SpecificCommitments on
Commitments on
Temporary Movement
Temporary Movementof Natural Persons),of Natural Persons),
which complies with thewhich complies with theprovisions of existing
provisions of existing
rules and regulations.
rules and regulations and
ENT, will be applied to
all categories of natural
persons, if necessary.

Additional Commitments

106

Sector or Subsectorh) Electronic mail (CPC7523**)

Limitations on Market
AccessLimitations on National
Treatment(1) None, subject tocompliance with theprovisions of existing
rules and regulations.

(1) Unbound.

(2) None.

(2) None.

(3) Subject to compliancewith the provisionsof existing rules andregulations.

(3) None.

Additional Commitments(4) Subject to Myanmar’s(4) Subject to Myanmar’s
Schedule in Annex IV
Schedule in Annex IV(Schedules of Specific(Schedules of SpecificCommitments on
Commitments on
Temporary Movement
Temporary Movementof Natural Persons),of Natural Persons),
which complies with thewhich complies with theprovisions of existing
provisions of existing
rules and regulations.
rules and regulations and
ENT, will be applied to
all categories of natural
persons, if necessary.
i) Voicemail services (CPC7523**)

Sector or Subsector(1) Subject to compliancewith the provisionsof existing rules andregulations.

(1) Unbound.

(2) None.

(2) None.

(3) Subject to compliancewith the provisionsof existing rules andregulations.

(3) None.

Limitations on Market
AccessLimitations on National
Treatment(4) Subject to Myanmar’s(4) Subject to Myanmar’s
Schedule in Annex IV
Schedule in Annex IV(Schedules of Specific(Schedules of SpecificCommitments on
Commitments on
Temporary Movement
Temporary Movementof Natural Persons),of Natural Persons),
which complies with thewhich complies with theprovisions of existing
provisions of existing
rules and regulations.
rules and regulations and
ENT, will be applied to
all categories of natural
persons, if necessary.

Additional Commitments107

Sector or Subsectorj) Online information anddatabase retrieval (CPC7523**)

Limitations on Market
AccessLimitations on National
Treatment(1) Subject to compliancewith the provisionsof existing rules andregulations.

(1) Unbound.

(2) None.

(2) None.

(3) Subject to compliancewith the provisionsof existing rules andregulations.

(3) None.

(4) Subject to Myanmar’s(4) Subject to Myanmar’s
Schedule in Annex IV
Schedule in Annex IV(Schedules of Specific(Schedules of SpecificCommitments on
Commitments on
Temporary Movement
Temporary Movementof Natural Persons) ,of Natural Persons),
which complies with thewhich complies with theprovisions of existing
provisions of existing
rules and regulations.
rules and regulations and
ENT, will be applied to
all categories of natural
persons, if necessary.
k) Electronic datainterchange services(CPC 7523**)(1) Subject to compliancewith the provisionsof existing rules andregulations.

(1) Unbound.

(2) None.

(2) None.

(3) Subject to compliancewith the provisionsof existing rules andregulations.

(3) None.

Additional Commitments

108

Sector or Subsector

Limitations on Market
AccessLimitations on National
Treatment(4) Subject to Myanmar’s(4) Subject to Myanmar’s
Schedule in Annex IV
Schedule in Annex IV(Schedules of Specific(Schedules of SpecificCommitments on
Commitments on
Temporary Movement
Temporary Movementof Natural Persons),of Natural Persons),
which complies with thewhich complies with theprovisions of existing
provisions of existing
rules and regulations.
rules and regulations and
ENT, will be applied to
all categories of natural
persons, if necessary.
l) Enhanced/value-added
facsimile services
including store andforward and store andretrieve (CPC 7523**)(1) None.

(1) None.

(2) None.

(2) None.

(3) Up to 70% foreign(3) None.
equity participation ispermitted (in accordancewith Notification No.
15/2017 of the Myanmar
Investment Commission
and existing rules andregulations of relevant
ministries).
(4) Subject to Myanmar’s(4) Subject to Myanmar’s
Schedule in Annex IV
Schedule in Annex IV(Schedules of Specific(Schedules of SpecificCommitments on
Commitments on
Temporary Movement
Temporary Movementof Natural Persons),of Natural Persons),
which complies with thewhich complies with theprovisions of existing
provisions of existing
rules and regulations.
rules and regulations and
ENT, will be applied to
all categories of natural
persons, if necessary.

Additional Commitments109

Sector or Subsectorm) C ode and protocol
conversion (CPC 7523**)

Limitations on Market
AccessLimitations on National
Treatment(1) Subject to compliancewith the provisionsof existing rules andregulations.

(1) Unbound.

(2) None.

(2) None.

(3) Subject to compliancewith the provisionsof existing rules andregulations.

(3) None.

(4) Subject to Myanmar’s(4) Subject to Myanmar’s
Schedule in Annex IV
Schedule in Annex IV(Schedules of Specific(Schedules of SpecificCommitments on
Commitments on
Temporary Movement
Temporary Movementof Natural Persons),of Natural Persons),
which complies with thewhich complies with theprovisions of existing
provisions of existing
rules and regulations.
rules and regulations and
ENT, will be applied to
all categories of natural
persons, if necessary.
(1) None.
n) Other- Paging services (CPC
(2) None.
75291)(3) Subject to compliance- Telecommunication
with the provisions
equipment maintenanceof existing rules andservices (CPC 75450)
regulations.

(1) None.
(2) None.
(3) None.

(4) Subject to Myanmar’s(4) Subject to Myanmar’s
Schedule in Annex IV
Schedule in Annex IV(Schedules of Specific(Schedules of SpecificCommitments on
Commitments on
Temporary Movement
Temporary Movementof Natural Persons),of Natural Persons),
which complies with thewhich complies with theprovisions of existing
provisions of existing
rules and regulations.
rules and regulations and
ENT, will be applied to
all categories of natural
persons, if necessary.

Additional Commitments

110

Philippines
All subsectors(3) No franchise, certificate
or any other form ofauthorization for theoperation of a public
utility shall be granted
except to citizens of
the Philippines or
to corporations or
associations organizedunder Philippine laws
at least 60% of whose
capital is owned by suchcitizens.
(3)(4) Limitations listed
in the horizontal
commitments shallalso apply.

Sector or Subsector

Limitations on Market
AccessLimitations on National
Treatment

Additional Commitments

C. Telecommunication Services(1) Subject to commercial(1) None.
The following services arearrangement withoffered only on a facilities
licensed operators.
basis, for public use, using
either wired or wireless(2) None.
(2) None.
technology except cable(3) Entry is subject to the(3) Entry is subject to thetelevision.
following requirements
following requirementsa) Voice telephone services
and conditions:and conditions:(CPC 7521)a) Franchise froma) T he number of non- Local services
Congress of theFilipino citizens in the- Toll services
Philippines.
Board of Directors- Domesticb) Certificate of Publicof an entity shall be- International
Convenience andproportionate to theb) Packet-switched data
Necessity fromaggregate share oftransmission services
the National
foreign capital of that
(CPC 7523**)
Telecommunications
entity.
c) Circuit-switched data
Commission.
b) A ll executives andtransmission servicesc) Foreign equity is
managers must
(CPC 7523**)
permitted up to 40%.
be citizens of thed) Telex services (CPCd) Resale of private leased
Philippines.
7523**)
lines is not allowed.1e) Telegraph services (CPCL imitations listed in thee) Private leased circuit
7522)
horizontal commitments
services shall not bef) Facsimile services (CPC
shall also apply.
connected to a public
7521**+7529**)
network.
g) Private leased circuitf) Call back, dial back andservices (CPC
other similar schemes,
7522**+7523**)
which result in theo) Other services
same operation, are- Cellular mobile
not authorized.
telephone services (CPC75213)- Satellite services
1

Enfranchised public telecommunications entities may be authorized to sell or resell private leased lines.

111

Sector or Subsector

Limitations on Market
AccessLimitations on National
Treatmentg) Subject to theavailability and efficientutilization of radio
frequencies.
h) O nly duly enfranchised
and certificatedtelecommunications,broadcast or cable TV
entities can accesssatellite space segment
service providers.
i) Philippine satellite
operators shall be given
preference to provide
the space segment
capacity requirementsof enfranchised entity
after all factors areequally considered.
j) Satellite spacesegment service
provisioning in thePhilippines shall be on
the basis of reciprocalarrangements.
L imitations as indicatedin horizontal section forcommunication services
also apply.
(4) Service suppliers must be (4) Service suppliers must be
Filipino citizens.
Filipino citizens.
L imitations listed in thehorizontal commitments
shall also apply.

L imitations listed in thehorizontal commitments
shall also apply.

Additional Commitments

112

Sector or Subsector

Limitations on Market
AccessLimitations on National
Treatment

Additional Commitments

Value-added services, i.e. ,(1) Unbound.1(1) Noneh) Electronic mail (CPC
(2) None.
(2) None7523**)(3) Unbound(3) Entry is subject to thei) Value-added facsimile
following requirements:
service (CPC 7523**)(b) Foreign equity ism) Code and protocol
permitted up to 40%.
conversion(c) Must register with then) Online information or data
Philippines regulatory
processing (CPC 843**)
body but is not allowed
to build its own
network.
(4) Service suppliers must be (4) UnboundFilipino citizens.
Limitations listed in thehorizontal commitments
shall also apply.
Data and message
transmission services(1) Unbound.

(1) None

Data network services (CPC
75231)(2) None.

(2) None(3) Entry is subject to thefollowing requirements
and conditions:(a) Franchise from
Congress of thePhilippines.
(b) Certificate of Public
Convenience andNecessity fromthe National
Telecommunications
Commission.

(3) Entry is subject to thefollowing requirements
and conditions:(a) T he number of nonFilipino citizens in the
Board of Directorsof an entity shall be
proportionate to theaggregate share offoreign capital of that
entity.
(b) A ll executives andmanagers mustbe citizens of thePhilippines.

Electronic message andinformation services (CPC
75232)

L imitations listed in thehorizontal commitments
also apply.
1

Shall be reviewed in the future in accordance with the developments of Philippine laws and regulations.

113

Sector or Subsector

Limitations on Market
AccessLimitations on National
Treatment

Additional Commitments(c) Foreign equity ispermitted up to 40%.
(d) Resale of private leasedlines is not allowed.1(e) Private leased circuit
services shall not be
connected to a public
network.
(f) Call back, dial back andother similar schemes,
which result in thesame operation, are notauthorized.
(g) Subject to the availability
and efficient utilization ofradio frequencies.
(h) Only duly enfranchised
and certificatedtelecommunications,broadcast or cable TV
entities can accesssatellite space segment
service providers.
(i) Philippine satellite
operators shall be given
preference to provide
the space segment
capacity requirements ofenfranchised entity after
all factors are equallyconsidered.
(j) Satellite space segment
service provisioning in
the Philippines shall beon the basis of reciprocalarrangements.
1

Enfranchised public telecommunications entities may be authorized to sell or resell private leased lines.

Sector or Subsector

Limitations on Market
AccessLimitations on National
TreatmentL imitations listed in thehorizontal commitments
shall also apply.
(4) Service suppliers must be (4) Service suppliers must be
Filipino citizens.
Filipino citizens.
L imitations listed in thehorizontal commitments
shall also apply.

L imitations listed in thehorizontal commitments
shall also apply.

Additional Commitments

114

Singapore
42. Sector: All

Subsector: -Industry Classification: -Type of Reservation: Most-Favoured-Nation Treatment (Article 8.6 and Article 10.4)

Description: Trade in Services and Investment:
Singapore reserves the right to adopt or maintain any measure that accords differential
treatment to countries under any bilateral or multilateral international agreement inforce or signed prior to the date of entry into force of this agreement.*
Singapore reserves the right to adopt or maintain any measure that accords differential
treatment to member states of ASEAN under any international agreement in force orsigned after the date of entry into force of this agreement.
Singapore reserves the right to adopt or maintain any measure that accords differential
treatment to countries under any international agreement in force or signed after thedate of entry into force of this agreement involving
D. Aviation matters, including air services
E. Maritime and services auxiliary to maritime matters and port matters
F. Land transport matters
G. Postal and courier services matters
H. Telecommunications and information technology matters
I. Electronic commerce matters
J. Environmental matters.
* For greater certainty, the wording in this paragraph extends to any differential
treatment accorded to a country pursuant to a subsequent review or amendment of
the relevant bilateral or multilateral agreement mentioned in this paragraph.

16

Existing Measure: -Sector: Telecommunication Services

Subsector: Telecommunication Services

Industry Classification: -Obligations Concerned: National Treatment (Article 8.4 and Article 10.3) Market Access (Article 8.5)
Local Presence (Article 8.11)

Description: Trade in Services and Investment:
Facilities-based operators and service-based operators must be locally incorporated
under the Companies Act , Cap. 50, 2006 Revised Edition.
“Facilities-based operators” are operators who deploy any form of telecommunication
networks, systems and facilities, outside of their own property boundaries, to offer
telecommunication services to third parties, which may include other licensed
telecommunication operators, business customers or the general public.
“Service-based operators” are operators who lease telecommunication network
elements (such as transmission capacity and switching services) from any facilitiesbased operator licensed by Infocomm Media Development Authority of Singapore toprovide their own telecommunication services, or to resell the telecommunication
services of facilities-based operators to third parties.
The number of licences granted will be limited only by resource constraints, such as
the availability of radio frequency spectrum. In view of spectrum constraints, parties
interested in deploying networks based on wireless technology may be licensed to use
radio frequency spectrum via a tender or auction process.

Source of Measure: Info-communications Media Development Authority Act 2016 , Act 22 of 2016
Telecommunications Act , Cap. 323, 2000 Revised Edition

115

31

Sector: Telecommunications Services

Subsector: Telecommunications Services
Domain name allocation policies in Internet country code top level domains
corresponding to Singapore territories (.sg)

Industry Classification: -Obligations Concerned: Market Access (Article 8.5) Local Presence (Article 8.11)

Description: Trade in Services:
A registrar must be a company incorporated or a foreign company registered under theCompanies Act , Cap. 50, 2006 Revised Edition.

Source of Measure: Info-communications Media Development Authority Act , Act 22 of 2016
Telecommunications Act , Cap. 323, 2000 Revised Edition
The Internet Corporation for Assigned Names and Numbers, which recognises theultimate authority of sovereign governments over country code top level domains
corresponding to their territories.

28. Sector: Telecommunications Services1

Subsector: Telecommunications Services

Industry Classification: -Type of Reservation: National Treatment (Article 8.4 and Article 10.3) Market Access (Article 8.5)
Most-Favoured-Nation Treatment (Article 8.6 and Article 10.4)
Local Presence (Article 8.11)
Prohibition of Performance Requirements (Article 10.6)
Senior Management and Board of Directors (Article 10.7)

Description: Trade in Services and Investment:
Singapore reserves the right to adopt or maintain any measure affecting the supply of
telecommunications services, except for the following sectors and subsectors, which
are subject to the limitations, conditions and qualifications listed herein:
B. Basic telecommunication services,2 including resale (facilities based and services
based):- Public switched services3 (local and international)- Leased circuit services (local and international)
C. Mobile services,4 including resale (facilities based and services based):- Public mobile data service- Public trunked radio service- Public radio paging service- Public cellular mobile telephone Service
D. The following value-added network services:- Electronic mail- Voicemail- Online information and database retrieval- Electronic data interchange- Online information and/or data processing.

Existing Measure: -T elecommunication services exclude broadcasting services, which is defined as the transmission of signs or signals via any
technology for the reception or display of aural or visual programme signals by all or part of the public. For supply of service
from the territory of another Party into the territory of Singapore, market access is subject to commercial arrangements withlicensed operators.
2
Basic Telecommunication Services may be provided using satellite technology.
3This includes voice, data and facsimile services.
4
Mobile Services may be provided using satellite technology. For supply of service from the territory of another Party into theterritory of Singapore, market access is subject to commercial arrangements with licensed operators.
1

116

Thailand
Limitations on Market
AccessSector or Subsector

Limitations on National
Treatment

Additional Commitments

2. COMMUNICATION SERVICES
C. Telecommunications Services
Commitments undertaken in this schedule are subject to the following general conditions:- Any juridical person who intends to operate a telecommunication business in Thailand shall obtain a licence fromdesignated national authorities in accordance with section 7(1) of Telecommunication Business Act B.E. 2544 (2001) .
- Licences are granted only to service suppliers duly constituted according to Thai laws and regulations.
(1) - Traffic shall be routed (1) None
through gateways in
Thailand operated bysuppliers duly licensed.
Basic telecommunications- The provision ofservices:
concerned servicesa) Fixed-line voice telephoneshall be agreed by theservices
supplier duly licensed ofboth ends.
Public local, domestic long
distance and international
services:(2) - Traffic shall be routed (2) None
through gateways in
Thailand operated bysuppliers duly licensed.
- The provision ofconcerned services
shall be agreed by the
supplier duly licensed ofboth ends.
(3) As indicated in 3.2 of thehorizontal section.

Thailand will introduce into
this schedule with regard to
public telecommunication
services its treatment on
the subjects relating tocompetitive safeguards,
interconnection, universal
service, public availability oflicensing criteria, separationof regulatory and operational
functions and the allocation
and use of scarce resources.

(3) None(4) Unbound, except as(4) Unbound, except as
indicated in the horizontal indicated in the horizontal
section.
sectionSector or Subsectord) Telex services (CPC7523**)e) Telegraph services (CPC7522)f) Facsimile services (CPC7521**, 7529**)

Limitations on Market
AccessLimitations on National
Treatment(1) None(1)- Traffic shall be routed
through gateways in
Thailand operated bysuppliers duly licensed.
- The provision ofconcerned services
shall be agreed by the
supplier duly licensed ofboth ends.
(2) (a) Traffic shall be routed (2) None
through gateways in
Thailand operated
by suppliers duly
licensed.
(b) The provision ofconcerned services
shall be agreed by the
supplier duly licensedof both ends.
(3) As indicated in 3.3 of thehorizontal section.

(3) None(4) Unbound.

(4) Unbound

Additional Commitments
Thailand will introduce into
this schedule with regard to
public telecommunication
services its treatment on
the subjects relating tocompetitive safeguards,
interconnection, universal
service, public availability oflicensing criteria, separationof regulatory and operational
functions and the allocation
and use of scarce resources.

117

Sector or Subsectorg) Private leased circuit
services- Dedicated network
services (CPC 75222)

Limitations on Market
AccessLimitations on National
Treatment(1) (a) Traffic shall be routed (1) None
through gateways in
Thailand operated
by suppliers duly
licensed.
(b) The provision ofconcerned services
shall be agreed by the
supplier duly licensedof both ends.
(2) (a) Traffic shall be routed (2) None
through gateways in
Thailand operated
by suppliers duly
licensed.
(b) The provision ofconcerned services
shall be agreed by the
supplier duly licensedof both ends.

Additional Commitments
Thailand will introduce into
this schedule with regard to
public telecommunication
services its treatment on
the subjects relating tocompetitive safeguards,
interconnection, universal
service, public availability oflicensing criteria, separationof regulatory and operational
functions and the allocation
and use of scarce resources.

(3) (a) As indicated in 3.3 of (3) Nonethe horizontal section.
(b) Must use networks
operated by suppliers
duly licensed.
(4) U nbound, except as(4) Unbound, except as
indicated in the horizontal
indicated in the horizontal
sectionsection.
Sector or Subsector
Value-added services:(q) Electronic mail (CPC7523**)(r) Voicemail (CPC 7523**)

Limitations on Market
AccessLimitations on National
Treatment(1) (a) Traffic shall be routed (1) None
through gateways in
Thailand operated
by suppliers duly
licensed.
(b) The provision ofconcerned services
shall be agreed by the
supplier duly licensedof both ends.
(2) (a) Traffic shall be routed (2) None
through gateways in
Thailand operated
by suppliers duly
licensed.
(b) The provision ofconcerned services
shall be agreed by the
supplier duly licensedof both ends.
(3) As indicated in 3.3 of thehorizontal section.

(3) None(4) Unbound, except as(4) U nbound, except as
indicated in the horizontal
indicated in the horizontal
section.
section

Additional Commitments

118

Sector or Subsectorj) Online information anddatabase retrieval (CPC7523**)

Limitations on Market
AccessLimitations on National
Treatment(1) (a) Traffic shall be routed (1) None
through gateways in
Thailand operated
by suppliers duly
licensed.
(b) The provision ofconcerned services
shall be agreed by the
supplier duly licensedof both ends.
(2) (a) Traffic shall be routed (2) None
through gateways in
Thailand operated
by suppliers duly
licensed.
(b) The provision ofconcerned services
shall be agreed by the
supplier duly licensedof both ends.
(3) (a) As indicated in 3.3 ofthe horizontal section(b) Must use networks
operated by suppliers
duly licensed.

Additional Commitments
Thailand will introduce into
this schedule with regard to
public telecommunication
services its treatment on
the subjects relating tocompetitive safeguards,
interconnection, universal
service, public availability oflicensing criteria, separationof regulatory and operational
functions and the allocation
and use of scarce resources.

(3) None(4) Unbound, except as(4) Unbound, except as
indicated in the horizontal
indicated in the horizontal
sectionsection.
Sector or Subsectorl) Enhanced or valueadded facsimile services,
including store andforward and store andretrieve (CPC 7523**)

Limitations on Market
AccessLimitations on National
Treatment(1) (a) Traffic shall be routed (1) None
through gateways in
Thailand operated
by suppliers duly
licensed.
(b) The provision ofconcerned services
shall be agreed by the
supplier duly licensedof both ends.
(2) (a) Traffic shall be routed (2) None
through gateways in
Thailand operated
by suppliers duly
licensed.
(b) The provision ofconcerned services
shall be agreed by the
supplier duly licensedof both ends.
(3) (a) As indicated in 3.2 of (3) Nonethe horizontal section.
(b) Must use networks
operated by suppliers
duly licensed.
(4) Unbound.

(4) Unbound

Additional Commitments119Sector or Subsectorm) C ode and protocol
conversion

Limitations on Market
AccessLimitations on National
Treatment

Additional Commitments(1) - Traffic shall be routed (1) None
through gateways in
Thailand operated bysuppliers duly licensed.
- T he provision ofconcerned services
shall be agreed by the
supplier duly licensed ofboth ends.
(2) - T raffic shall be routed (2) None
through gateways in
Thailand operated bysuppliers duly licensed.
- The provision ofconcerned services
shall be agreed by the
supplier duly licensed ofboth ends.

Sector or Subsector(3) As indicated in 3.3 of thehorizontal section.

(3) None(4) Unbound.

(4) UnboundLimitations on Market
AccessLimitations on National
Treatmentn) Online information and/or (1) (a) Traffic shall be routed (1) None
through gateways indata processing services
Thailand operated
provided over publicby suppliers duly
telecommunications
licensed.
network (part of CPC 843,(b) The provision of
excluding transaction
concerned services
processing)shall be agreed by the
supplier duly licensedof both ends.
(2) (a) Traffic shall be routed (2) None
through gateways in
Thailand operated
by suppliers duly
licensed.
(b) The provision ofconcerned services
shall be agreed by the
supplier duly licensedof both ends.
(3) As indicated in 3.3 of thehorizontal section.

(3) None(4) Unbound, except as(4) Unbound, except as
indicated in the horizontal
indicated in the horizontal
section.
section

Additional Commitments
Thailand will introduce into
this schedule with regard to
public telecommunication
services its treatment on
the subjects relating tocompetitive safeguards,
interconnection, universal
service, public availability oflicensing criteria, separationof regulatory and operational
functions and the allocation
and use of scarce resources.

120

Sector or Subsectoro) Other:- Telecommunications
terminal equipment
leasing services (CPC75410)- Telecommunications
equipment sales
services (part of CPC
75420)

Limitations on Market
AccessLimitations on National
Treatment(1) Subject to commercial
arrangement withlicensed operators(1) None(2) None(2) None(3) (a) As indicated in 3.1 of
the horizontal section(b) Must use networks
operated by suppliers
duly licensed(3) None(4) (a) Unbound, except
as indicated in thehorizontal section(b) Unbound for civilengineer(4) Unbound, except as
indicated in the horizontal
section(1) Subject to commercial
arrangement withlicensed operators(1) None(2) None(2) None(3) As indicated in 3.1 of thehorizontal section(3) None(4) (a) Unbound, except
as indicated in thehorizontal section(b) Unbound for civilengineer(4) Unbound, except as
indicated in the horizontal
section

Additional Commitments121

Sector or Subsector- Telecommunication
consulting services(CPC 75440)- Videotext- Teleconference

Limitations on Market
AccessLimitations on National
Treatment(1) Commercial presence isrequired(1) None(2) None(2) None(3) As indicated in 3.3 of thehorizontal section(3) None(4) (a) Unbound, except
as indicated in thehorizontal section(b) Unbound for civilengineer(4) Unbound, except as
indicated in the horizontal
section(1) Service providers must
(1) Noneuse networks operated bysuppliers duly licensed.
(2) None.

(2) None(3) Shall be a Thai-registered (3) None
company with foreign
equity participation notexceeding 40% of theregistered capital andthe number of foreign
shareholders must notexceed 40% of the total
number of shareholdersof the company.
(4) Unbound, except as(4) Unbound, except as
indicated in the horizontal
indicated in the horizontal
sectionsection.

Additional Commitments

122

Viet Nam
Limitations on Market
AccessSector or Subsector

Limitations on National
Treatment

Additional Commitments

C. Telecommunication Services
Commitments hereunder are made in accordance with “Notes for Scheduling Basic Telecom Services Commitments”(S/GBT/W/2/REV.1) and “Market Access Limitations on Spectrum Availability” (S/GBT/W/3). For the purpose of thesecommitments, a “non-facilities-based service supplier” means a service supplier that does not own transmission
capacity but contracts for such capacity, including submarine cable capacity, including on a long-term basis,from a facilities-based supplier. A non-facilities-based service supplier is not otherwise excluded from owning
telecommunications equipment within its premises and permitted public service provision points.
Basic telecommunication
services
E. Voice telephone services(CPC 7521)
F. Packet-switched datatransmission services(CPC 7523**)
G. Circuit-switched datatransmission services(CPC 7523**)
H. Telex services (CPC7523**)
I. Telegraph services (CPC7523**)
J. Facsimile services (CPC7521**, 7529**)
K. Private leased circuit
services (CPC 7522**,7523**)(1) W ire-based and mobile
terrestrial services :Service must be offeredthrough commercial
arrangements with anentity established inViet Nam and licensed
to provide international
telecommunication
services.

S atellite-based services :Subject to commercial
arrangements with
Vietnamese international
satellite service suppliers
duly licensed in Viet Nam,
except satellite-based
services offered to-O ffshore or on-seabased businesscustomers, government
institutions, facilitiesbased service
suppliers, radio andtelevision broadcasters,
official internationalorganisations’representative
offices, diplomatic
representatives(1) None

Viet Nam undertakes theobligations in the Reference
Paper attached hereto.
For consortium submarine
cable links where Viet
Nam is member, foreign
service suppliers shall bepermitted to control fully
owned submarine cabletransmission capacity (e.g. ,indefeasible right of use
or consortium ownership)
terminating at a licensed
cable landing station in Viet
Nam and to provide suchcapacity to international
facilities-based service
suppliers licensed in Viet
Nam and international
virtual private network(VPN) and Internet exchange
point (IXP) service suppliers
licensed in Viet Nam.

123

Sector or Subsector(o*) Other services

Limitations on Market
AccessLimitations on National
Treatment

Additional Commitmentsa nd consulates andhigh-tech and softwaredevelopment parks
that are licensed to use
satellite-earth stations.
- Multinational
companies,3 which arelicensed to use satelliteearth stations.

(a)Videoconference services(CPC 75292)(b) Video transmission
services, excluding
broadcasting1(c) R adio-based services
include• Mobile telephone(2) None(terrestrial and satellite) (2) None.
• Mobile data (terrestrial (3) a. N
(3) None on-facilities-based
and satellite)
services : Joint venture• Paging
will be allowed without• Personal
limitation on choicecommunicationsof partner. Foreign
service
capital contribution s• Trunking
shall not exceed 65% of2• IXP
legal capital of the joint
ventures.
b. F acilities-based
services : Joint
venture with
telecommunications
service suppliers duly
licensed in Viet Nam
will be allowed. Foreign
capital contribution
shall not exceed 49% oflegal capital of the joint
ventures; 51% gives
management control of
the joint venture.
c. In thetelecommunications
sector, foreign
investors in a businesscooperation contract(BCC) will have thepossibility to renew
current arrangements
or to convert theminto another form ofestablishment withconditions no lessfavourable than thosethey currently enjoy.

 roadcasting is defined as the uninterrupted chain of transmission required for the distribution of television and radioB
programme signals to the general public, but does not cover contribution links between operators.
Services providing internet access service (IAS) suppliers with connection between them and to the international Internet
backbone.
3
A multinational is a corporation which: a) has a commercial presence in Viet Nam; b) operates in at least one other Party; c) has
been in operation for at least five years; d) is publicly listed on the stock exchange of a Party; and e) is licensed to use satellite
services in at least one Party.
1

2

124

Sector or Subsector(o*) Other servicesb) VPN

1

Limitations on Market
AccessLimitations on National
Treatment(4) Unbound, except as
indicated in Viet Nam’s
Schedule in Annex IV(Schedules of SpecificCommitments on
Temporary Movement of
Natural Persons).

(4) Unbound, except as
indicated in Viet Nam’s
Schedule in Annex IV(Schedules of SpecificCommitments on
Temporary Movement of
Natural Persons).

(1) W ire-based and mobile
terrestrial services :Service must be offeredthrough commercial
arrangements with anentity established inViet Nam and licensed
to provide international
telecommunication
services.

(1) None

Satellite-based services:
Subject to commercial
arrangements with
Vietnamese international
satellite service suppliers
duly licensed in Viet Nam,
except satellite-based
services offered to-O ffshore or on-seabased businesscustomers, government
institutions, facilitiesbased service
suppliers, radio andtelevision broadcasters,
official internationalorganisations’representative
offices, diplomatic
representatives andconsulates and hightech and softwaredevelopment parks
that are licensed to use
satellite-earth stations.
-M ultinational
companies,2 which arelicensed to use satelliteearth stations.

Additional Commitments

Viet Nam undertakes theobligations in the Reference
Paper attached hereto.
For consortium submarine
cable links where Viet
Nam is member, foreign
service suppliers shall bepermitted to control fully
owned submarine cabletransmission capacity (e.g. ,indefeasible right of use
or consortium ownership)
terminating at a licensed
cable landing station in Viet
Nam and to provide suchcapacity to international
facilities-based service
suppliers licensed in Viet
Nam and international VPN
and IXP service suppliers
licensed in Viet Nam.

 ervices, provided on commercial terms, that establish and manage a private network over public (shared) networks for theS
purpose of carrying out, on a non-profit basis, voice and data telecommunications among members of a closed user groupdefined prior to the creation of the VPN. Such group may include a corporate group or organisation, or a group of legal entities
with an established relationship affiliated through the pursuit of a common interest. Initial members of a closed user groupusing VPN service must be listed in a dialling or routing plan approved by the competent authority and subject to its oversight.
VPN service suppliers shall notify the competent authority of changes of membership at least two working weeks prior toactually commencing commercial service and can commence commercial service provided that no objection from the competentauthority is issued during these two weeks. Members are not allowed to resell VPN services to unaffiliated third parties. Virtualprivate networks are not allowed to carry or transfer traffic of or among unaffiliated third parties. VPN services can be offered bylicensed foreign-invested service suppliers bundled with Internet access service and value-added services (h) through (n).
2A multinational is a corporation that (1) has a commercial presence in Viet Nam, (2) operates in at least one other Party, (3) has
been in operation for at least five years, (4) is publicly listed on the stock exchange of a Party and (5) is licensed to use satellite
services in at least one Party.
1

125

Sector or Subsector

Limitations on Market
Access(2) None

Limitations on National
Treatment(2) None(3) - Non-facilities-based(3) None
services : Joint venture
will be allowed without
limitation on choice ofpartner. Foreign capital
contribution shall not
exceed 70% of legal
capital of the joint
ventures.
- Facilities-based
services : Joint
venture with
telecommunications
service suppliers duly
licensed in Viet Nam
will be allowed. Foreign
capital contribution
shall not exceed 49% oflegal capital of the joint
ventures.
(4) Unbound, except as
indicated in Viet Nam’s
Schedule in Annex IV(Schedules of SpecificCommitments on
Temporary Movement of
Natural Persons).

(4) Unbound, except as
indicated in Viet Nam’s
Schedule in Annex IV(Schedules of SpecificCommitments on
Temporary Movement of
Natural Persons).

Additional Commitments

126

Sector or Subsector

Limitations on Market
AccessLimitations on National
Treatment(1) None
Value-added services(1) W ire-based and mobile
B. Electronic mail (CPC 7523
terrestrial services :**)Service must be offeredthrough commercial
C. Voice mail (CPC 7523 **)arrangements with anentity established inD. Online information andViet Nam and licensed
database retrieval (CPC
to provide international
7523**)
telecommunication
E. Electronic dataservices.
interchange (CPC 7523**)
S atellite-based services :F. Enhanced or valueSubject to commercial
added facsimile services,arrangements withincluding store andVietnamese international
forward and store andsatellite service suppliers
retrieve (CPC 7523**)
duly licensed in Viet Nam,
except satellite-based
G. Code and protocol
services offered toconversion(a) Offshore or onH. Online information andsea based businessdata processing (including
customers,
transaction processing)government(CPC 843**)
institutions,facilities-based
service suppliers,
radio and television
broadcasters,
official internationalorganisations’representative
offices, diplomatic
representatives andconsulates and hightech and softwaredevelopment parks
that are licensed touse satellite-earth
stations.
(b) Multinational
companies,1
which are licensed
to use satellite-earth
stations.
1

Additional Commitments
Viet Nam undertakes theobligations in the Reference
Paper attached hereto.

 multinational is a corporation that (1) has a commercial presence in Viet Nam, (2) operates in at least one other Party, (3) has
Abeen in operation for at least five years, (4) is publicly listed on the stock exchange of a Party and (5) is licensed to use satellite
services in at least one Party.

127

Sector or Subsector

Limitations on Market
AccessLimitations on National
Treatment(2) None(2) None(3) N on-facilities-based
services : Businesscooperation contracts
or joint ventures willbe allowed. Foreign
capital contribution
shall not exceed 65% oflegal capital of the joint
ventures.

(3) NoneF acilities-based services :Business cooperation
contracts or joint ventureswith telecommunications
service suppliers duly
licensed in Viet Nam
will be allowed. Foreign
capital contribution
shall not exceed 50% oflegal capital of the joint
ventures; 51% gives
management control of
the joint venture.
In thetelecommunications
sector, foreign investors
in BCC will have thepossibility to renew
current arrangements
or to convert theminto another form ofestablishment withconditions no lessfavourable than thosethey currently enjoy.
(4) Unbound, except as
indicated in Viet Nam’s
Schedule in Annex IV(Schedules of SpecificCommitments on
Temporary Movement of
Natural Persons).

(4) Unbound, except as
indicated in Viet Nam’s
Schedule in Annex IV(Schedules of SpecificCommitments on
Temporary Movement of
Natural Persons).

Additional Commitments

128

Sector or Subsector
Value-added servicesh) Other- Internet accessservices1

Limitations on Market
Access(1) W ire-based and mobile
terrestrial services :Service must be offeredthrough commercial
arrangements with anentity established inViet Nam and licensed
to provide international
telecommunication
services.

Limitations on National
Treatment(1) None

Additional Commitments
Viet Nam undertakes theobligations in the Reference
Paper attached hereto.

Satellite-based services:
Subject to commercial
arrangements with
Vietnamese international
satellite service suppliers
duly licensed in Viet Nam,
except satellite-based
services offered to-O ffshore or on-seabased businesscustomers, government
institutions, facilitiesbased services
suppliers, radio andtelevision broadcasters,
official internationalorganisations’representative
offices, diplomatic
representatives andconsulates and hightech and softwaredevelopment parks
that are licensed to use
satellite-earth stations.
-M ultinational
companies,2 which arelicensed to use satelliteearth stations.
1
2

Services providing internet access to the end users.
A multinational is a corporation that (1) has a commercial presence in Viet Nam, (2) operates in at least one other Party, (3) has
been in operation for at least five years, (4) is publicly listed on the stock exchange of a Party and (5) is licensed to use satellite
services in at least one Party.

129

Sector or Subsector

Limitations on Market
Access(2) None

Limitations on National
Treatment(2) None(3) N on-facilities-based(3) None
services : Joint ventureswith telecommunications
suppliers duly licensed
in Viet Nam will beallowed. Foreign capital
contribution shall not
exceed 65% of legal
capital of the joint
ventures.
F acilities-based services :Joint venture with
telecommunications
service suppliers duly
licensed in Viet Nam
will be allowed. Foreign
capital contribution
shall not exceed 50% oflegal capital of the joint
ventures.
(4) Unbound, except as
indicated in Viet Nam’s
Schedule in Annex IV(Schedules of SpecificCommitments on
Temporary Movement of
Natural Persons).
Sources: Downloaded from https://rcepsec.org/legal-text/.

(4) Unbound, except as
indicated in Viet Nam’s
Schedule in Annex IV(Schedules of SpecificCommitments on
Temporary Movement of
Natural Persons).

Additional Commitments

ISBN 978-4-910293-46-2