File

No. ISSN: 2180-0448
PERUTUSAN RAYA 1435H YB MENTERI MITI
Assalamualaikum Warahmatullahi Wabarakatuh, Salam Sejahtera dan
Salam 1Malaysia,
Allahu Akbar, Allahu Akbar, Allahu Akbar Walillah Hil Hamd.
Setinggi-tinggi kesyukuran dipanjatkan ke hadrat Ilahi kerana berkat keizinan
dan rahmatNya kita dipertemukan lagi dengan bulan suci Ramadhan dan
diberi kesempatan untuk menyambut Hari Raya Aidilftiri 1435.
Berlatar-belakangkan keharmonian dan ketenteramaan hasil usaha dan visi kepimpinan, kita sewajarnya
mensyukuri nikmat Tuhan ini bahawa tahun ini sambutan Aidilfitri dapat diraikan dalam kesederhanaan.
Sewajarnya kesempatan ini diambil untuk mengukuhkan perpaduan dengan meluangkan masa untuk
berkongsi kemeriahan aidilfitri bersama rakan, jiran dan masyarakat berbilang bangsa. Perpaduan
merupakan asas kepada keamanan dan keharmonian. Kita berbangga kerana keamanan yang kita kecapi
telah membolehkan negara mencatatkan kadar pertumbuhan ekonomi yang positif. Pada suku pertama
tahun ini, Keluaran Dalam Negara Kasar telah bertumbuh 6.2% berbanding 4.2% pada suku pertama
2013. Sementara itu, bagi tempoh Januari-Mei 2014, perdagangan negara telah juga mencatatkan
pertumbuhan sebanyak 10.2% berbanding tahun 2013. Nilai eksport negara telah melonjak naik ke
RM319.0 billion. Jumlah pelaburan yang diluluskan pada tahun 2013 telah meningkat sebanyak 29.0%,
mencapai RM70.8 billion berbanding RM54.9 billion pada tahun 2012. Daripada jumlah pelaburan ini,
92,988 bilangan pekerjaan akan diwujudkan. Pada suku pertama tahun 2014, pelaburan yang diluluskan
bagi sektor pembuatan mencatatkan peningkatan 45.7% kepada RM17.1 billion berbanding RM11.7
billion pada suku pertama 2013. Pertumbuhan ekonomi negara akan memastikan kesejahteraan dan
kemakmuran rakyat terus terjamin dan akan membolehkan Malaysia mencapai status negara maju
pada 2020.
Oleh itu, di kesempatan hari yang mulia ini, marilah kita bersama-sama bertekad memperbaiki dan
memantapkan lagi hubungan kita, bergerak bergandingan sebagai satu pasukan yang padu dengan
penuh keikhlasan dalam menjalankan tugas. Semoga Allah S.W.T menganugerahkan natijah yang lebih
baik dan kita semua mendapat keberkatan dari-Nya. Kita mempunyai tugasan yang mencabar dan
perlu dilaksanakan dengan penuh tanggungjawab dan amanah bagi merealisasikan harapan rakyat
dan menjadikan Malaysia sebuah negara yang hebat.
Akhir kata, saya dan keluarga MITI mengucapkan Selamat Hari Raya Aidil Fitri, Maaf Zahir dan Batin
kepada seluruh rakyat Malaysia.
Dato’ Sri Mustapa Mohamed
Menteri Perdagangan Antarabangsa & Industri (MITI)
MITI Weekly Bulletin/ www.miti.gov.my
“DRIVING Transformation, POWERING Growth”
Hari Raya Aidilfitri atau Hari Raya Puasa adalah hari kemenangan bagi umat
Islam yang telah berjaya menyempurnakan rukun Islam iaitu berpuasa
sebulan melawan hawa nafsu. Perjuangan melawan hawa nafsu ini lebih
besar dari sekadar menahan lapar dan dahaga, bahkan merupakan satu
manifestasi pendidikan kepada jiwa dan raga dalam menahan diri daripada
kelakuan dan percakapan yang dekat dengan sifat-sifat Mazmumah. Pada Syawal yang mulia ini, kita
meraikan kemenangan dalam mengharungi cabaran dan dugaan sepanjang Ramadhan.
MITI in the news
Malaysia-Guinea Bilateral Trade To See Double-Digit Growth This Year
Bilateral trade between Malaysia and Guinea is
expected to see double-digit growth this year, says
International Trade and Industry Minister Dato’ Sri
Mustapa Mohamed.
The Minister said Malaysia viewed Guinea as
a growing market with a lot of potential to be
exploited by Malaysian investors. Last year, trade
between the two countries increased 11 per cent to
US$44.95 million (RM139.34 million) with exports
in favor of Malaysia at US$42.32 million (RM131.19
million). Palm oil was Malaysia’s main export.
Speaking to media after a closed door meeting
with his counterpart, Marc Yombouno in Putrajaya,
Monday, Mustapa said it was a follow-up to the visit
by Guinea’s President, Alpha Conde to Malaysia
two years ago.
“The country is rich in agriculture with more than
six million hectares of land, a variety of mineral
resources like iron and diamonds and also some
petroleum,” he added.
Meanwhile, Yombouno said Guinea recognised
Malaysia as an advanced country and was keen
to attract more entrepreneurs from this country.
“We need Malaysia’s experience and expertise on
Islamic finance while using Guinea as a staging
point for investments in Africa,” he added
Exclusive Interview with YB Menteri by China News Service
Minister of International Trade and Industry Dato’ Sri Mustapa Mohamed said in KL on 7 July that this year
is the 40th anniversary of China-Malaysia diplomatic relations. He believed the relations between the two
countries will move forward along the right track and hoped the two countries will achieve breakthrough in
investment cooperation.
Minister Mustapa accepted an interview by China News Service team for the “New Century Silk RoadChinese media’s journey of ten thousand miles” program at his office. Mustapa gave his opinion about the
current and future development of China-Malaysia economic and trade relations as well as new opportunities
that could be derived from the establishment of 21st Century Maritime Silk.
Mustapa said that Malaysia and China enjoy close relationship. Both countries are not only close neighbors
but also have good cooperation in the areas of politics, economics, social, and cultural. This year is the 40th
anniversary of Malaysia-China diplomatic relations and we have enjoyed close relations for the past 40 years.
Most importantly, our trade relations have been upgraded in recent years. China has been Malaysia’s biggest
trading partner since 2009. Last year, our trade reached US$106 billion and broke the 100 billion mark. At
present, we have “marvelous” relationship in politics, economics, and social. “We believe our good relations
will move forward along the right track and seek breakthrough in many areas”. “I believe the great relationship
between China and Malaysia will pass on from generation to generation”.
Mustapa hoped that the bilateral investment could achieve breakthrough in two areas. First, he hoped for
more Chinese investment in Malaysia. Currently, the direct investment from China to Malaysia was only 1
billion US$, while Malaysia’s investment to China already exceeded US$6 billion. Second, in terms of sectors,
Malaysia wants to see more Chinese investment in high value-added, knowledge intensive projects and
services. “As the bilateral economic and trade cooperation expands, I believe the bilateral trade target of
US$160 billion can be achieved successfully by 2017.
Sources : China News Service and MITI Beijing
MITI Weekly Bulletin/ www.miti.gov.my
“DRIVING Transformation, POWERING Growth”
Source : Bernama,14 July 2014
MALAYSIA
Exports to FTA Partners, 2000-2014 (January-May)
120
97.0
100
RM billion
80
79.8
60
48.8
39.1
40
20
11.5
29.2
36.2
25.7
14.4
9.2
11.9
Japan
2013
2012
2011
2010
2009
2008
Australia
2014 (JanMay)
India
2007
2006
2005
2004
2003
2002
2000
2001
7.3
0
PRC
Imports from FTA Partners, 2000-2014 (January-May)
106.3
100
RM billion
80
65.5
56.4
60
44.5
40
12.3
6.1
8.6
16.4
6.1
Australia
2012
2011
2010
2009
2008
2007
Japan
India
2014 (Jan-May)
PRC
2006
2005
2004
2003
2002
2001
2.7
2000
0
23.1
16.5
2013
20
Total Trade with FTA Partners, 2000-2014 (January-May)
250
150
114.3
100
50
83.6
59.3
23.8
22.9
15.3
PRC
Source : Department of Statistics, Malaysia
MITI Weekly Bulletin/www.miti.gov.my
Japan
Australia
India
2013
2012
2011
2010
2009
2008
2007
2006
2005
2004
2003
2002
17.9
2001
2000
0 10.1
2014 (JanMay)
RM billion
200
“DRIVING Transformation, POWERING Growth”
120
Major Export Products with FTA Partners, January-May 2014
RM bil.
18.8
E&E
16.9
Chemicals
& Chemical
Products
3.8
RM bil.
E&E
Palm
Oil
Crude
Petroleum
8
LNG
6.8
3.4
Crude
Petroleum
RM bil.
6
6.0
Palm Oil
2.8
Petroleum
Products
Wood
4
Products
1.6
2
RM bil.
1.7
2.3
E&E
1.7
E&E
1.6
0
PRC
Japan
Australia
India
Source : Department of Statistics, Malaysia
SMEs in Malaysia
Category
Micro
Small
Medium
Manufacturing
Sales turnover of less
than RM300,000 or
employees of less
than 5
Sales turnover of less
than RM300,000 to
less than RM1.5 mil
or employees from 5
to less than 75
Sales turnover from
RM15 mil to not
exceeding RM50 mil
or employees from 75
to not exceeding 200
Services and
other sectors
Sales turnover of less
than RM300,000 or
employees of less
than 5
Sales turnover from
RM300,000 to less
than RM3 mil or
employees from 5 to
less than 30
Sales turnover from
RM3 mil to not
exceeding RM20 mil
or employees from 30
to not exceeding 75
Comparison of SME definition criteria
used across countries
Source : Various sources from SME agencies and authorities
MITI Weekly Bulletin/www.miti.gov.my
“DRIVING Transformation, POWERING Growth”
New SME definition based on size
SME Operating Cost Structure
Overall
45.7
Construction
17.6
49.7
8.7
19.7
7.5
6.4
7.3
6.3
Manufacturing
46.5
18.0
9.4
7.1
Agriculture
45.9
18.9
8.0
10.1
Services
44.9
0
17.0
20
40
8.7
7.7
60
(%)
3.9
6.2
4.8
8.2
6.2
7.1
6.5
7.6
5.5
7.3
6.2
6.5
6.2
6.9
80
100
Raw material and other input cost
Labour/Staff cost
Utilities cost
Transport cost
Rental cost
Financing/Borrowing cost
Other cost
Source : SME Corporation Malaysia
SME growth
(Year-on-year growth %)
12
10.0
10
8
Overall GDP growth
8.3
6.4
7.0
6.5
6.3
6
4
6.0
7.4
5.6
4.8
5.6
5.1
5.0~6.0
4.5~5.0
0.2
2
0
-2
-4
-1.5
2006
2007
2008
2009
2010
2011
2012p
2013f
Sources: Department of Statistics, Malaysia and SME Corporation Malaysia
International Report
Ease of Passage
The most powerful passports in the world
Malaysia is among the Top 10
countries whose passports enable
visa-free entry to the highest number
of destinations (163 countries).
Source : Movehub.com
MITI Weekly Bulletin/www.miti.gov.my
“DRIVING Transformation, POWERING Growth”
SME GDP growth and overall GDP
Indonesia’s Trade Performance, January-May 2014
5.8%
3.8%
US$ billion
75
73.4
70
74.2
Main export destinations for non-oil &
gas products:ASEAN (Malaysia 2nd destination)
PRC
EU and
USA
65
Main import sources for non-oil &
gas products:ASEAN (Malaysia 3rd main source)
Japan
EU and
USA
60
55
50
Exports
Imports
“DRIVING Transformation, POWERING Growth”
Bilateral Trade Indonesia - Malaysia (Jan-May 2014)
Exports = US$3.5 bil.
Imports = US$4.3 bil.
Total Trade = US$7.8 bil
Sources: Indonesia’s National Statistics Bureau and MITI Jakarta
Top Ten Countries with the highest Inflation Rate, 2014*
Belarus
29.8
Venezuela
28.5
Iran
18.3
Eritrea
12.3
Egypt
12.1
Uzbekistan
11.0
Pakistan
11.0
Sudan
10.8
Yemen
10.5
Argentina
9.8
0
5
10
15
(%)
Note: e=Estimate figure
Source : www.statista.com
MITI Weekly Bulletin/www.miti.gov.my
20
25
30
Malaysian Ringgit Exchange Rate with Japanese Yen and
Korean Won January 2013-June 2014
Korean Won (KRW100)
Japanese Yen (JPY100)
3.50
0.32
100 KRW = RM0.32
3.40
0.31
3.30
0.30
3.20
0.29
3.10
0.28
100 JPY = RM 3.15
3.00
0.27
2.90
0.26
2.80
0.25
2.70
Jan Feb Mar Apr May June July Aug Sep Oct Nov Dec Jan Feb Mar Apr May June
2013
0.24
2014
Gold and Silver Prices, 17 January 2013-18 July 2014
US$/gramme
US$/oz
Gold
45
44
30
Silver
43
28
42
26
41
40
24
39
22
38
37
20
36
35
18
17 24 30 7 14 21 28 7 14 21 28 4 11 18 25 2
9 16 23 30 6 13 20 27 4
Jan Jan Jan Feb Feb Feb Feb Mar Mar Mar Mar Apr Apr Apr Apr May May May May May Jun Jun Jun Jun Jul
11 18
Jul Jul
Source : http://www.gold.org/investments/statistics/gold_price_chart/
Aluminium, Nickel and Cooper Prices, January 2013-June 2014
US$/MT
25000
Aluminum
Copper
Nickel
US$18,629
20000
15000
10000
US$6,821
5000
0
US$1,839
Jan 13 Feb 13 Mar 13 Apr 13 May 13 Jun 13 Jul 13 Aug 13 Sep 13 Oct 13 Nov 13 Dec 13 Jan 14 Feb 14 Mar 14 Apr 14 May 14 Jun 14
Source : http://econ.worldbank.orgMITI Weekly Bulletin/www.miti.gov.my
“DRIVING Transformation, POWERING Growth”
Source : Bank Negara, Malaysia
Number and Value of Preferential Certificates of Origin (PCOs)
Value of Preferential Certificates of Origin
Number of Certificates
1,400
AANZFTA
AIFTA
AJCEP
ATIGA
ACFTA
AKFTA
1,000
25 May 2014
845
647
217
4,319
1,563
815
800
02 Jun 2014
815
590
203
4,854
1,235
800
600
08 Jun 2014
785
539
236
3,870
1358
746
400
15 Jun 2014
787
505
243
4,068
1,266
840
200
22 Jun 2014
871
650
196
4,585
1,293
906
29 Jun 2014
683
476
220
4,344
1,127
713
06 Jul 2014
392
276
104
2,135
733
318
13 Jul 2014
780
552
199
4,444
1,089
806
RM million
1,200
0
25 May
2 Jun
8 Jun
15 Jun
22 Jun
29 Jun
6 Jul
13 Jul
AANZFTA
86
78
74
69
83
57
48
74
AIFTA
723
162
1,144
300
494
80
62
142
AJCEP
75
99
78
77
59
69
48
81
AANZFTA: ASEAN-Australia-New Zealand Free Trade Agreement
(Implemented since 1 January 2010)
Value of Preferential Certificates of Origin
12,000
AIFTA: ASEAN-India Free Trade Agreement
(Implemented since 1 January 2010)
AJCEP: ASEAN-Japan Comprehensive Economic Partnership
(Implemented since 1 February 2009)
10,000
ATIGA: ASEAN Trade in Goods Agreement
(Implemented since 1 May 2010)
ACFTA: ASEAN-China Free Trade Agreement
(Implemented since 1 July 2003)
6,000
4,000
2,000
AKFTA: ASEAN-Korea Free Trade Agreement
(Implemented since 1 July 2006)
0
25 May
2 Jun
8 Jun
15 Jun
22 Jun
29 Jun
6 Jul
13 Jul
ATIGA
628
1,081
1,380
9,322
9,219
9,259
302
796
ACFTA
768
357
625
272
649
520
437
406
AKFTA
344
175
104
1,017
522
151
58
143
MICECA
MNZFTA
MCFTA
MAFTA
25 May 2014
262
13
89
344
02 Jun 2014
276
2
49
371
08 Jun 2014
279
11
76
372
15 Jun 2014
252
0
35
297
60
22 Jun 2014
243
6
321
321
50
29 Jun 2014
296
3
60
292
40
06 Jul 2014
133
3
32
158
30
13 Jul 2014
281
6
65
376
Value of Preferential Certificates of Origin
80
70
RM million
Number of Certificates
20
MICECA: Malaysia-India Comprehensive Economic
Cooperation Agreement (Implemented since 1 July 2011)
MNZFTA: Malaysia-New Zealand Free Trade Agreement
(Implemented since 1 August 2010)
MCFTA: Malaysia-Chile Free Trade Agreement
(Implemented since 25 February 2012)
MAFTA: Malaysia-Australia Free Trade Agreement
(Implemented since 1 January 2013)
10
25 May
2 Jun
8 Jun
15 Jun
22 Jun
29 Jun
6 Jul
13 Jul
MICECA
67.40
45.95
35.47
50.72
30.03
49.21
22.05
45.95
MNZFTA
0.20
0.07
0.16
0.00
0.40
0.14
0.06
0.11
MCFTA
13.42
7.97
8.24
5.64
22.17
7.23
7.80
12.76
MAFTA
25.80
29.93
25.01
28.40
22.17
27.34
11.60
24.25
Number of Certificates
MJEPA
MPCEPA
GSP
25 May 2014
772
207
136
2 Jun 2014
1,003
144
169
8 Jun 2014
800
167
132
15 Jun 2014
837
125
109
22 Jun 2014
791
136
144
29 Jun 2014
752
154
159
06 Jul 2014
409
54
55
13 Jul 2014
843
133
130
Notes: The preference giving countries under the GSP scheme Norway,Switzerland, Belarus, the Russian Federation ,
Kazakhstan and Liechtenstein.
Source: Ministry of International Trade and Industry, Malaysia
MITI Weekly Bulletin/ www.miti.gov.my
Value of Preferential Certificates of Origin
250
200
RM million
0
150
100
50
0
25 May
2 Jun
8 Jun
15 Jun
22 Jun
29 Jun
6 Jul
13 Jul
MJEPA
133
132
170
109
136
123
79
127
MPCEPA
74
46
67
21
28
50
8
21
GSP
28
19
17
17
19
27
14
25
MPCEPA: Malaysia-Pakistan Closer Economic Partnership
Agreement (Implemented since 1 January 2008)
MJEPA: Malaysia-Japan Economic Partnership
Agreement (Implemented since 13 July 2006)
“DRIVING Transformation, POWERING Growth”
RM miliion
8,000
Commodity Price Trends, 18 April-18 July 2014
110
Cocoa SMC 2
108
3,000
2,500
106
1,500
102
Crude Petroleum
US$/MT
US$/bbl
2,000
Rubber SMR 20
104
1,000
100
Crude Palm Oil
Scrap Iron
98
96
Crude Petroleum/bbl
Rubber SMR 20/MT
Cocoa SMC 2/MT
Crude Palm Oil/MT
Scrap Iron/MT
Raw Sugar/MT
Iron Ore/MT
Coal/MT
18 Apr
104.2
1,808.0
2,586.0
900.5
395.0
368.5
150.0
67.8
25 Apr
101.9
1,715.0
2,608.6
915.8
395.0
385.3
150.0
67.2
2 May
100.2
1,739.0
2,517.9
913.6
395.0
382.3
150.0
67.2
9 May
100.3
1,674.0
2,516.3
913.6
395.0
368.8
150.0
70.2
16 May
101.6
1,723.5
2,517.9
898.5
395.0
394.5
150.0
69.3
23 May
103.8
1,725.0
2,643.1
906.0
380.0
384.0
140.0
69.3
30 May
103.4
1,695.0
2,629.9
893.0
380.0
364.8
140.0
62.0
6 Jun
102.4
1,660.5
2,690.6
856.3
380.0
364.5
140.0
60.9
13 Jun
107.6
1,685.0
2,675.4
848.8
380.0
365.3
140.0
60.4
20 Jun
106.6
1,736.0
2,690.6
849.5
380.0
381.0
140.0
59.5
27 Jun
106.7
1,792.5
2,736.1
868.0
380.0
390.5
140.0
61.5
4 Jul
104.6
1,747.0
2,720.9
867.0
380.0
371.5
140.0
61.5
500
Raw Sugar
Iron Ore
Coal 0
11 Jul
18 Jul
102.8
101.6
1,687.0
1,671.5
2,705.7
2,736.1
863.7
863.7
380.0
380.0
367.5
366.0
140.0
140.0
60.2
60.5
Highest & Lowest Prices, 2013/2014
Highest
(US$ per bbl)
13 Jun 2014: 107.6
Sep 2013: 110.2
Crude Palm Oil
(18 July 2014)
US$863.7 per MT
Highest
(US$ per MT)
14 Mar 2014: 982.5
15 Nov 2013: 925.0
Lowest
(US$ per bbl)
10 Jan 2014: 92.3
19 Apr 2013: 88.1
Weekly Commodity Prices
Lowest
(US$ per MT)
13 Jun 2014: 848.8
4 Jan 2013: 800.0
18 July 2014
(US$)
%
Change*
2013i
2012i
2011i
Crude Petroleum (per bbl)
101.6
1.2
88.1-108.6
77.7-109.5
80.3-112.7
Crude Palm Oil (per MT)
863.7
unchanged
805.5
1,000.4
1,124.0
Raw Sugar (per MT)
366.0
0.4
361.6
473.8
647.0
Rubber SMR 20 (per MT)
1,671.5
0.9
2,390.8
952.5
1,348.3
Cocoa SMC 2 (per MT)
2,736.1
1.1
1,933.1
2,128.9
2,644.8
60.5
0.5
380.0 (High)
370.0 (Low)
unchanged
unchanged
485.6
444.7
491.0
Commodity
Coal (per MT)
Scrap Iron HMS (per MT)
Notes: All figures have been rounded to the nearest decimal point
* Refer to % change from the previous week’s price
i Average price in the year except otherwise indicated
MITI Weekly Bulletin/ www.miti.gov.my
18 July 2014 domestic prices for :
1.Billets (per MT)
: RM1,700 – RM1,750
2.Steel bars (per MT) : RM1,970 - RM2,120
“DRIVING Transformation, POWERING Growth”
Crude Petroleum
(18 July 2014)
US$101.6 per bbl
ASEAN
Economic Community
‘Thinking Globally, Prospering Regionally’
PART 3
“SHARED MARKET, SHARED BENEFITS”
“FROM TEN to ONE”
With reduced barriers to trade and investment, investors can move more freely in the region, have greater
access to capital and benefit from moving goods easily across borders.
EXAMPLE: Jollibee, one of the region’s most successful and fastest-growing fast-food chains, has benefitted
greatly from integration, allowing it to build an efficient supply chain that helps keep prices down. It sources
both processed and basic ingredients from suppliers in its home country and around the region, enabling the
company “to share its good food to more ASEAN people at very affordable prices.”
EXAMPLE: The liberalisation of air services within the ASEAN region and outside the region with Dialogue
Partners will enable greater air connectivity, which will in turn lower fares for the carriage of goods and
passengers, and provide businessmen and the travelling public with more options. ASEAN signed its first air
services agreement with China in 2011 and expanded the agreement in 2012. ASEAN will embark on greater
engagement with its Dialogue Partners to conclude more liberal air services agreements.
EXAMPLE: The establishment of the ASEAN Community- Based Tourism Standard will empower local
communities to enjoy the benefits of their tourism potential by improving the quality of visitor experiences
through partnerships with the private sector, which ultimately will provide more opportunities for youth
employment and entrepreneurship.
“SIMPLIFIED RULES, GREATER ACCESS”
“TRADING ON A BIGGER STAGE”
Trade in the region will be facilitated through simple, harmonised and streamlined trade and customs
documentation as well as rules and procedures.
EXAMPLE: Denso Corporation, a manufacturing company with operations in five ASEAN countries, has
benefited from the trade facilitation provisions of ATIGA and the pilot self-certification system. Employing more
than 22,000 people and with US$2.9 billion of investments in ASEAN, the company has seen a reduction in
document processing time and costs for its trade-related activities, contributing to the increase of its exports
to the ASEAN market.
MITI Weekly Bulletin | www.miti.gov.my
“DRIVING Transformation, POWERING Growth”
EXAMPLE: Four years before ASEAN was established, the Jebsen & Jessen Group of Companies started
small in the region. Today, it is a US$866 million operation and a model of regional integration with entities in
nine out of the ten ASEAN nations, thanks to greater liberalisation of markets. As ASEAN grew, the company
expanded from trading into chemical manufacturing and other operations, taking advantage of ASEAN
as a platform for growth. Benefitting from regional integration, the company has moved into technology,
communications and other pursuits and is one of the first industrial companies in Southeast Asia to be carbon
neutral, offsetting its emissions for all operations.
EXAMPLE: Sony EMCS (Malaysia), a manufacturer of audio and video products as well as household
appliances, uses the listed testing laboratory in Malaysia. Television sets are tested prior to export, and the
test results are accepted by regulatory authorities in importing ASEAN countries. For ASEAN consumers, this
arrangement ensures that imported electronic goods are safe and comply with all relevant standards.
EXAMPLE: Simplified rules, greater transparency and enhanced regulatory coherence for trading and
investment provide incentives for young entrepreneurs to launch businesses that take advantage of a unified
market to expand and target regional consumers. With the “buzz” increasing around the AEC, young people,
especially from the SME sector, can also be expected to reach out to partners in neighbouring states to build
synergies.
“ASEAN: HOME FOR YOUR INVESTMENT”
“PARTNERS IN BUSINESS”
A more conducive business environment will encourage investors who are not yet in ASEAN to do business
in the region, provide greater confidence among current investors to expand their investments and increase
intra- ASEAN investment.
EXAMPLE: Caterpillar, an international heavy equipment company, has made a major commitment to ASEAN
as it sees the labour force expanding and a growing commitment to building modern infrastructure. From the
company’s vantage point, “ASEAN provides many opportunities. At the same time, each country is highly
distinct. Each country in the region offers its unique challenges and opportunities. The future is bright for
ASEAN.”
EXAMPLE: India’s Fortis and the Bangkok Hospital Group have built up considerable expertise and experience
in Singapore, Malaysia and Thailand. Similar partnerships provide better healthcare for the general public.
EXAMPLE: For young people, lowered barriers to foreign investment and greater integration are providing
better educational services in the context of the AEC. Student mobility, the transfer of academic credits and
the creation of research clusters will help improve ASEAN’s higher education system and provide support to
the estimated 6,500 higher education institutions and 12 million students in the ten Member States.
“MAKING CAPITAL WORK FOR YOU”
“EXPANDING ACCESS TO FINANCE”
A more robust ASEAN financial sector translates into stronger financial intermediation, capacity and risk
management to support national and regional growth, and stronger cooperation to reduce vulnerabilities to
external shocks and market volatility.
EXAMPLE: The seven ASEAN Exchanges have a combined market capitalisation of approximately US$2.9
trillion with more than 3,600 companies listed on their exchanges. Since the launch of ASEAN Exchanges
in April 2011, a number of key initiatives have been rolled out. Some of these include the ASEAN Trading
Link, the ASEAN Stars and the Invest ASEAN Retail Roadshow. These initiatives have created significant
awareness of ASEAN as an attractive location for retail and institutional investors. The collaboration will
jointly promote the development of ASEAN as an asset class and increase liquidity by streamlining access to
ASEAN capital markets.
EXAMPLE: CIMB, a strong advocate of regional financial integration, thinks of itself as an ASEAN bank. Now
operating in nine out of the ten ASEAN countries, the bank has what it calls a “multi-local” business model that
strongly relies on local expertise to deepen its involvement and branch network into rural and urban areas in
many countries at once.
EXAMPLE: With a more developed banking sector, small and medium enterprises and entrepreneurs will
have better access to financial services. In addition, initiatives on financial inclusion and financial literacy will
support individuals in their own financial planning.
MITI Weekly Bulletin/ www.miti.gov.my
“DRIVING Transformation, POWERING Growth”
EXAMPLE: Prudential Insurance has been in the region for 80 years, expanding rapidly in the ASEAN era.
The company calls itself “as much an Asian company as a British one.” Active in seven ASEAN countries and
still expanding, the company “sees its future as intertwined with the future of ASEAN.”
“ASEAN PROFESSIONALS ON THE MOVE”
“BEST PEOPLE AND BEST PRACTICES”
The diversity of talent found in the ten Member States is a major benefit for ASEAN employers as they build
regional companies.
EXAMPLE: ASEAN has come up with an information and communications technology (ICT) skill standards
and certification framework in order to develop human capital and enable the free flow of ICT professionals
within the region. The framework focuses on five key ICT areas: software development, ICT project
management, enterprise architecture design, network and system administration and information system
and network security.
EXAMPLE: Mutual Recognition Arrangements (MRAs) such as ASEAN’s MRA in engineering and
architectural services provide for recognition and registration of certified professionals to practice in other
ASEAN countries. The MRAs will also change the way ASEAN professionals think about their careers as the
prospect of marketing and utilising their skills across the ASEAN region becomes more attainable.
EXAMPLE: Under the MRA on Tourism Professionals signed in 2012, training and education institutions
using the Common ASEAN Tourism Curriculum will help improve their graduates’ eligibility to work in other
Member States. This opens up great opportunities to enhance the quality of services and human resources
in the tourism industry.
What comes next?
ASEAN is committed to fulfill the 2007 pledge to implement the ASEAN Economic Community by the end of
2015. That said, many of the AEC deliverables have already been realised between 2007 and now, and our
businesses are already enjoying the fruits of greater ASEAN integration as a result. ASEAN has now focused
its attention on the implementation of remaining deliverables under the AEC. While there are challenges that
we will face in completing the task, ASEAN’s commitment to implementing the AEC remains undiminished.
AEC 2015 will also not be the end of ASEAN integration efforts. At their annual summit meeting in Brunei
Darussalam in 2013, the ASEAN heads of state committed to creating a “Post-2015 Vision” that builds on
the blueprint for an ASEAN Community and the Master Plan on ASEAN Connectivity. The leaders’ goal is
to realise a community that is “politically cohesive, economically integrated, socially responsible and a truly
people-oriented, people-centred and rules-based ASEAN.”
The heads of state, leaders in the private sector and other experts know that regional integration and the
building of a single market for the AEC is a process that is just beginning. It will continue past 2015 as
barriers are lowered, connectivity is enhanced, infrastructure is built and legal frameworks are refined to
fit the community. New situations will emerge, fears must be overcome, unforeseen consequences will be
encountered and solutions will be found.
Our ASEAN people, in all their diversity and creativity, are the most crucial factor on our journey. We need to
continually engage the private sector as the key partner in making the AEC a success. We encourage ASEAN
businesses in particular to think of ASEAN as a whole and develop their own ASEAN strategies, leveraging
on the AEC initiatives and the opportunities they present. This is a golden opportunity for the region’s growing
business community. Seize the moment. Get involved!
“2015: JUST THE BEGINNING”
Source: Excerp from ‘Thinking Globally, Prospering Regionally’, ASEAN Economic Community 2015, published by ASEAN Secretariat.
MITI Weekly Bulletin/ www.miti.gov.my
“DRIVING Transformation, POWERING Growth”
EXAMPLE: AirAsia, the regional low-cost air carrier, has expanded its network greatly ahead of the open
skies policy under the AEC. But as important as hardware and landing rights are, the company’s employees
are the key to success. “People are our greatest asset,” the company says. Its mechanics, pilots, cabin crew
and others come from many different ASEAN countries, allowing the airline to benefit from ASEAN’s diversity.
“Our deepest condolences to families
and friends of passengers and crew
members of flight MH17. May their
souls rest in peace...“
REMEMBERING
MH17
2013
GDP Growth
0.1% (US$177.8 bil.)
GDP Per capita
US$3,919.4
Inflation rate
-0.3%
Population
45.4 mil. persons
Ethnic Composition
Ukrainian : 77.8%
Russian : 17.3%
Others : 4.9%
Ukraine’s Trade Performance (2013)
Export to the world
Import from the world
Major export products:
: US$63.3 bil.
: US$77.0 bil.
i) Semi-finished Products Of Iron Or Non-alloy Steel;
ii) Corn (Maize) and
iii) Iron Ores And Concentrates
Major import products:
i) Petroleum Gases And Other Gaseous
Hydrocarbons;
ii) Petroleum Oils& Oils From Bituminous and
iii) Motor Cars And Other Motor Vehicles
Sources : CIA World Factbook, International Monetary Fund (IMF), World Trade Atlas (WTA) and Department of Statistics, Malaysia
MITI Weekly Bulletin/ www.miti.gov.my
“DRIVING Transformation, POWERING Growth”
Ukraine Macroeconomic Indicators
WTO & YOU
WTO 4 ALL
JARGON MADE EASIER
Glossary of Terms:
AGRICULTURE
BLUE BOX
GREEN BOX
Refer to domestic support measures
for
agriculture
that
distort
production and trade, including
price support and subsidies directly
related to production quantities.
They may have to be reduced
through the Total Aggregate
Measurement of Support.
Agriculture
supports
linked
to
production, but subject to production
limits and therefore minimally tradedistorting. The specific rules are: (a)
payments are based on fixed area and
yields; or (b) payments are made on
85% or less of the base level of
production; or (c) livestock payments
are made on a fixed number of head.
These supports are exempt from the
reduction commitments under the
WTO Agreement on Agriculture.
Domestic support policies for
agriculture products exempt
from
the
Uruguay
Round
reduction commitments and
permitted without limits. Green
box policies include genuine
relief to farmers through a wide
range of assiatance measures
which have a minimal impact on
trade, such as disaster relief,
research,
disease
control,
infrastructure,
environmental
protection and food security.
For inquiries, kindly email: allwto@miti.gov.my
Name
Designation
Regional Office
Email
Contact Details
: Nur Ayunni Arif
: Administrative Assistant
: Kelantan
: ayunni.arif
: 09-7483457
allmtpn@miti.gov.my
Name
Designation
Regional Office
Email
alltps@miti.gov.my
: Shaifudin Omar
: Driver
: Johor
: saifudin.omar
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“DRIVING Transformation, POWERING Growth”
AMBER BOX