Singapore substantially concludes the ASEAN-China Free Trade Area 3.0 Upgrade negotiations
29 October 2024
On 10 October 2024, the Ministry of Trade and Industry (“MTI”) announced that Singapore and ASEAN have substantially concluded the ASEAN-China Free Trade Area (“ACFTA”) 3.0 Upgrade (“Upgrade”) negotiations. The full conclusion of negotiations is targeted for 2025. This would be ACFTA’s second upgrade since its inception in 2010.
The Upgrade is intended to ensure ACFTA remains relevant, future-ready, and responsive to global challenges. It covers new and enhanced rules on:
- customs procedures;
- non-tariff barriers including standards and technical regulations covering food, agriculture, and industrial products;
- digital economy;
- green economy;
- supply chain connectivity;
- competition and consumer protection;
- micro, small, and medium-sized enterprises; and
- economic and technical cooperation.
Once implemented, the upgraded ACFTA will create a more business-friendly and future-oriented environment for companies to tap into opportunities between ASEAN and China. Singapore-based companies will benefit from improved facilitation of trade flows, greater transparency and certainty especially during supply chain disruptions, better protection for consumers, and the opportunity to explore new synergies in emerging areas such as the digital and green economies.
MTI had in August 2023 sought feedback on the ACFTA 3.0 upgrade negotiations. For more information about the consultation, please see our article “MTI consults on ASEAN-China Free Trade Area 3.0 upgrade negotiations”.
Reference materials
The MTI announcement is available on the MTI website www.mti.gov.sg.