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ASEAN Six to Abolish Most Electronics Tariffs:
Officials
KUALA LUMPUR, Aug 17, 2006 (AFP) - Six ASEAN
countries will abolish tariffs on 85 percent of electronic products
traded among each other by January next year, some three years ahead
of schedule, officials said Thursday. Ramon Vicente Kabigting, a
director at the Philippines' department of trade and industry said
the six countries to accelerate the program were Brunei, Indonesia,
Malaysia, the Philippines, Singapore and Thailand. "Because it is a
priority sector, 85 percent of the products will have zero tariff
next year," he told AFP. "Eighty-five percent of the products will
cross the borders freely. This will lower costs and make the
products more competitive," he added. An Association of Southeast
Asian Nations (ASEAN) official confirmed the move. "Duties covered
under the priority sector integration will be eliminated by January
2007," he told AFP on condition of anonymity. ASEAN economic
officials are meeting here ahead of next week's ministerial talks to
chart the region's ambitious move to advance economic integration by
five years to 2015. The senior officials are preparing to brief the
ministers on the status of preparations to abolish the tariffs.
Electronics is among 12 priority sectors that ASEAN plans to
liberalise in its quest to form a regional economic community aimed
at wooing back foreign investment that in recent years has been
heading to China and India. Kabigting said each country has a list
of electronic goods that will enjoy zero tariffs but some have
excluded finished consumer items like washing machines and air
conditioners. "It means these items will only enjoy zero tariff
rates come 2010," he said. Electronic products make up some 50
percent of total intra-ASEAN trade. Other priority sectors for
liberalisation include: automotive, garments and textiles,
e-commerce, healthcare, air travel, hospitality and tourism,
wood-based products, rubber and agro-based products and logistics.
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