CTI adopted a work program that is organized around five priority areas under the APEC 2014 theme “Shaping the Future through Asia-Pacific Partnership.” These priorities included:
- Support for the multilateral trading system/WTO
- Advancing regional economic integration
- Strengthening connectivity and infrastructure development
- Expanding regulatory cooperation and advancing regulatory coherence
- Contributions to APEC growth strategy and cross-cutting mandates.
An overview of the work of the Committee and its 11 working groups and dialogues and the initiatives and achievements made during year are encapsulated in the 2014 CTI Annual Report to Ministers endorsed at 26th APEC Annual Ministers Meeting in November 2014.
For 2015, the CTI will continue to advance the CTI-related action as directed by Ministers and Leaders in Beijing; as well as those actions outlined in its 2014 Annual Report to Ministers.
CTI initiatives and achievements include, amongst others:
Advancing Regional Economic Integration
Free Trade Area of the Asia-Pacific (FTAAP): CTI will support SOM in advancing Leaders’/Ministers’ commitments on the Free Trade Area of the Asia-Pacific (FTAAP) through the following initiatives:
Achieving the Bogor Goals: Bogor Goals Progress Report 2014 by APEC Policy Support Unit (PSU) evaluates the progress of economies towards achieving the Bogor Goals with key highlights on members’ main achievements and remaining areas for improvements. Updated dashboards that provide easy-to-understand figures for tracking advances in greater regional economic integration, liberalization and facilitation of trade and investment are available here.
Global Value Chains: CTI will implement the APEC Strategic Blueprint for Promoting Global Value Chains (GVCs) Development and Cooperation as a mechanism to strengthen mutual economic cooperation within the global value chain network, and shape a resilient and inclusive future for economic growth through a stronger and closer Asia-Pacific partnership. The blueprint identified 10 workstreams covering areas such as trade and investment issues, services, small and medium enterprises (SMEs), trade in value-added services (TiVA) statistics, trade facilitation and resiliency to advance GVC cooperation. CTI agreed on a Strategic Framework on Measurement of Trade in Value-added Services under GVCs and an accompanying action plan to implement it.
Next Generation Trade and Investment Issues: Progress in advancing the next generation trade and investment issues identified by Ministers and Leaders, including a new initiative on manufacturing services in supply chains/value chains. The initiative envisages a review of the current situation of trade in manufacturing related service sectors in APEC economies and best practices of APEC economies to enhance such services using a case study approach.
Environmental Goods List: Progress in implementing the 2012 APEC List of 54 Environmental Goods by the end-2015 supported by a capacity building program to assist with the implementation. A seminar on the implementation of the APEC Environmental Goods List was held on 13 August 2014 to help economies address technical issues (e.g. product coverage, application of ex outs) in relation to implementation of their commitments. See recent news release for more information.
Further progress made in implementing the action plans under the Supply-Chain Connectivity Framework Action Plan (SCFAP)
, including the finalization of diagnostic reports on regional supply chain weaknesses/chokepoints which will inform targeted capacity building and support implementation of the WTO Agreement on Trade Facilitation; agreement on a Capacity Building Plan to Improve Supply Chain Performance
and the commencement of capacity building activities in the areas of pre-arrival processing; expedited shipments, release of goods, issuing advance rulings and electronic payments.
Regulatory Cooperation and Regulatory Coherence
Progress was made in implementing the APEC Regulatory Cooperation Advancement Mechanism on Trade Related Standards and Technical Regulations (ARCAM). The 3rd ARCAM Dialogue on International Electric Vehicles, held on 7 May 2014, produced a set of APEC Actions to Promote Widespread Usage of Electric Vehicles which included a call to draft an APEC Roadmap for Electric Vehicles to carry forward these actions. Building on the outcomes of the 2nd ARCAM Dialogue on self-regulation in advertising held in November 2012 and the findings of a completed PSU study undertaken in response to its recommendations, an APEC Advertising Standards Forum and Mentoring Workshop was held on 8-9 August to discuss the general principles of advertising self-regulation and to build capacity for the effective establishment and/or improved operation of a self-regulatory organization. The workshop produced an APEC Action Agenda on Advertising Standards and Practice Development.
Collaboration with the Private Sector/APEC Business Advisory Council (ABAC)
Continued close collaboration with ABAC and other business stakeholders to advance its work program, including:
- The establishment of the APEC Alliance for Supply Chain Connectivity (A2C2) to advise and assist in the capacity building. The A2C2, open to participation to interested stakeholders, experts from APEC economies, companies, industry associations, multilateral institutions and non-governmental organizations, held its augural meeting on 15 August in Beijing.
- Held the inaugural APEC Public-Private Partnership on Environmental Goods and Services (EGS) on the topic of trade and investment in renewable and clean energy which adopted an APEC Statement on Promoting Renewable and Clean Energy (RCE) Trade and Investment.
- Advancing work on Global Data Standards (GDS) through developing pilot projects to demonstrate the tangible benefits and challenges of greater use of GDS to APEC economies, conducting a study to assess the overall outcomes of the pilot projects, and establishing a set of policy-based principles or recommendations for future GDS initiatives.
Average applied tariffs in APEC economies have been reduced from 16.9 percent in 1989, when APEC was established, to around 5.7 percent in 2011. APEC's total trade (goods and services) has increased from US$3.1 trillion in 1989 to over US$ 20 trillion in 2012. Intra-APEC merchandise trade (exports and imports) has grown from US$3.5 trillion in 1996 to US$11.8 trillion in 2012, accounting for 67 percent of APEC's total merchandise trade.
Average Tariffs in the APEC Region have Fallen from 1989 to 2012
Average applied tariffs in APEC economies have been reduced from 16.9 percent in 1989, when APEC was established, to around 5.2 percent in 2012. APEC's total trade (goods and services) has increased from US$3.1 trillion in 1989 to US$20 trillion in 2012. Intra-APEC merchandise trade (exports and imports) has grown from US$3.5 trillion in 1996 to US$11.8 trillion in 2012, accounting for 67 percent of APEC's total merchandise trade.
CTI 2013 Work Plan
In 2013 CTI adopted a work program organized around five priority areas that contribute to APEC 2013 Priorities under the theme of “Resilient Asia-Pacific, Engine of Global Growth.” The five areas were:
Support for the multilateral trading system
Attaining the Bogor goals, trade and investment liberalization, and regional economic integration
Expanding regulatory cooperation and advancing regulatory coherence
Contributions to APEC growth strategy and cross-cutting mandates.
The 2013 CTI Annual Report to Ministers contains an overview of CTI’s work in 2013 and its 11 sub-fora and industry dialogues and the progress they made on their respective work programs.
CTI advances and achievements in 2013 include:
Agreement on APEC Best Practices to Create Jobs and Increase Competitiveness as an indicative model for driving new and expanded job creation, enhancing competitiveness, and attracting sustainable new investment, innovative technologies and business activity.
Agreement on a List of Inventories of specific policy recommendations under the systematic approach to improving supply chain performance that will provide a platform for diagnostic work and targeted capacity-building to assist economies in implementing these policies.
Progress made on implementing the Action Plans under the Supply-Chain Connectivity Framework Action Plan (SCFAP) , including the 2013 interim assessment report of the SCFAP by the APEC Policy Support Unit which sets out progress by economies towards the target of a 10 percent improvement in supply-chain performance by 2015. The World Bank’s Logistics Performance Index (LPI) and the World Economic Forum’s Enabling Trade Index (ETI), as overall indicators, were taken to capture supply chain performance. The data below (ETI ICT Pillar) shows the progress APEC has made in terms of information and communications technology infrastructure in the supply chain context. APEC also showed significant progress in terms of the percent of shipments meeting quality criteria as reflected in the World Bank Logistics Performance Index (LPI).
APEC’s Progress on Logistics Performance Index (LPI) and Enabling Trade Index (ETI) Indicators
Establishment of the APEC Public-Private Partnership on Environmental Goods and Services (EGS) that would provide a platform for industry representatives and government officials to carry out dialogue on issues related to EGS trade and investment with a view to increasing understanding, experience-sharing, facilitating trade and investment and preventing trade frictions
Progress in advancing the next generation trade and investment issues identified by Ministers and Leaders, including the Conference on Innovation and Trade Implementation Practices; an issues paper on enhancing small and medium-sized enterprises participation in global production chains; a workshop on Facilitating Supporting Industries in APEC Member Economies; and a study on global supply chain operation in the APEC region: case study of electrical and electronic industry’s supply chain operations.
Progress on the development of the Innovation and Trade Implementation Practices to provide economies with practical guidance on implementing the commitments of promoting effective, non-discriminatory, market-driven innovation policy agreed by APEC Leaders in 2011.
Enhancing the capacity of officials to participate in the long term goal of a Free Trade Area of the Asia-Pacific through workshops on topics and issues covered in modern, comprehensive Free Trade Agreements (FTAs) and Regional Trade Agreements (RTAs).
APEC’s Bogor Goals Dashboard of Indicators. Public release of the APEC Policy Support Unit’s (PSU) updated APEC’s Bogor Goals Dashboard of Indicators to provide easy-to-understand figures to track advances in greater regional economic integration and liberalization and facilitation of trade and investment.