Vision for a Vibrant Future

The year 2016 saw remarkable progress in the construction of the ASEAN Economic Community (AEC)， with a series of agreements reached， including the ASEAN Framework Agreement on Services， the ASEAN Trade Facilitation Framework and ASEAN Food Safety Regulations.

However， due to ASEAN member states’ different political systems， varying stages of development and ideological differences， as well as the need for improvement of the community’s existing cooperation and coordination mechanisms， the actual effects of the regional institutional arrangement have not yet been fully felt. The AEC still has a long way to go. From this writer’s perspective， further efforts should be made to achieve the following objectives:

A highly integrated and cohesive economy. Efforts should be made to establish a regional single market and promote free movement of commodities， services， investment， capital and skilled labor within the region. In terms of commodity and service trade， the community should continue implementing the ASEAN Trade in Goods Agreement， further reduce tariff barriers and streamline and implement the Rules of Origin.

In terms of investment environment， under the framework of the ASEAN Comprehensive Investment Agreement， an open， free and transparent investment system should be established， and restrictions on manufacturing， agriculture， fisheries， forestry and mining should be minimized or even abolished. In terms of regional financial integration， the three strategic goals are financial integration， financial inclusion and financial stability， which will cover three fields: capital account liberalization， payment and settlement systems and capability construction.

To facilitate free movement of skilled labor and businesspeople， efforts should be made to encourage the movement of people among ASEAN member states， improve the existing Mutual Recognition Arrangement of Professionals， and explore the feasibility of establishing new mutual recognition arrangements on professionals. To promote the participation of member states in Global Value Chains， measures should be taken to build regional brands， perform joint marketing， enhance trade facilitation， reduce tariff and non-tariff barriers and implement reforms on related domestic regulations.

A competitive， innovative and dynamic ASEAN. All ASEAN member states should formulate and implement domestic competition laws on the basis of international law and ASEAN norms， and gradually narrow the gaps with their dialogue partners and countries involved in various free trade agreements in terms of competition policy. They should formulate and improve consumer protection laws and strengthen law enforcement.

Joint efforts should be made to improve agreements intended to avoid double taxation， readjust taxation structure， and strengthen taxation monitoring and supervision， as well as enhance comprehensive management by increasing government transparency and stimulating the enthusiasm of private sectors.

Enhanced connectivity and sector cooperation. According to the Master Plan on ASEAN Connectivity， the member states share the goals of realizing regional economic connectivity and accelerating sector integration and cooperation in the fields of transportation， information technology and so on.

A resilient， inclusive and people-centered region. Continuous efforts will be made to work out plans to help small and micro businesses grow， building their competitive edge. Taking advantage of the existing industrial and commercial committees in the region， effective consultation mechanisms and channels should be established among governmental departments， industry associations and private enterprises， and small and micro businesses should be encouraged to participate in trade facilitation， services， investment and connectivity.

A global ASEAN. Through the ASEAN-China Free Trade Agreement and the Regional Comprehensive Economic Partnership (RCEP)， ASEAN will speed up its pace of integrating with the world economy， elevating its global stature.