‘World’s Biggest Trade Deal’ Signed by Asean, China, Other Partner Countries

The world’s largest free trade agreement is signed by fifteen nations in the Asia-Pacific region on Sunday as the Regional Comprehensive Economic Partnership Agreement (RCEP) was signed during the Association of Southeast Asian Nations (Asean) annual summit, bringing more imported products to every Asean country.

The agreement was signed by the Asean member states comprising of Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, the Philippines, Singapore, Thailand, and Vietnam.

Australia, China, Japan, New Zealand and South Korea also signed the agreement. India was initially included in the trade pack, but withdrew last year.

Indonesia’s Trade Ministry said RCEP is the largest regional trade agreement in the world as the agreement covers 29.6 percent of the world’s population, around 27.4 percent of total world trade, 30.2 percent of all the world’s gross domestic product (GDP), and 29.8 percent of the world’s Foreign Direct Investment (FDI), according to Indonesian Trade Ministry data.

The ministry added that Indonesia conceived the idea of RCEP in 2011.

The trade agreement was signed Sunday after the negotiation process was completed and will take effect once participating countries ratify the agreement domestically within the next two years. (GFB)