Original title: APEC Ministerial Meeting reiterated its opposition to vaccine nationalism and agreed to update the list of environmental products
On November 8-9, the 32nd Ministerial Conference of the Asia-Pacific Economic Cooperation (APEC) was held in video format. The meeting discussed issues such as accelerating economic recovery through trade and economic and technological cooperation, and made preparations for the 28th APEC informal leaders’ meeting to be held on November 12.
The meeting was co-chaired by New Zealand Minister of Foreign Affairs Mahuta and Minister of Trade and Export Growth O’Connor. The meeting pointed out that at present, the new crown epidemic has caused continuous uncertainty in the Asia-Pacific region. The new crown epidemic threatens people’s health and well-being, as well as economic development. Due to border and travel restrictions, unrealized economic activities have caused losses of approximately US$1.2 trillion.
According to a briefing by the APEC Policy Support Department, after the Asia-Pacific economy shrank by 3.7% in the first half of 2020, although it grew by 8% in the first half of 2021, the growth of the member economies continued to diverge, and uncertainty remained high. The Asia-Pacific economy is expected to grow by 6% in 2021 and stabilize at 4.9% in 2022. It is expected that fiscal and monetary support measures will be lifted.
O’Connor said that he was relieved that APEC members rejected protectionism during the epidemic and reiterated their tough stance against vaccine nationalism. “Since the Minister of Trade discussed the vaccine supply chain in June, 17 APEC economies have made vaccines more accessible by lowering tariffs, rejecting export restrictions and passing them faster.”
Mahuta pointed out that it is equally important that APEC reaffirmed its strong support for the global climate commitment and the region’s low-emission, climate-resilient future. “I am very happy that we can agree to a plan to stop increasing subsidies for harmful fossil fuels, which will lead to environmental degradation and climate change.”
The above briefing pointed out that APEC accounts for 60% of global GDP, and so does its emission ratio. In the past 30 years, APEC’s per capita emissions have been on the rise, while the rest of the world has remained stable on this indicator. Even under the best circumstances when climate change remains at 2.0°C or below, APEC’s GDP loss could be as high as 11.3% by 2050.
In a statement issued after the meeting, the parties pledged to support efforts to expand the 2012 APEC environmental product list, and welcome all economies to discuss how to increase the environment and trade in services related to the environment.
O’Connor pointed out to the 21st Century Business Herald reporter, “What APEC economies are proud of is that they formulated a list of 54 environmental goods in 2012. Since then, the world has continued to move forward with regard to environmental goods and services. Concern about trade value is increasing day by day.”
“We use APEC as the starting point for discussions on this issue on a global scale. We are aware of the importance of this list and the need for it to include more goods and services. This has been reflected in the APEC Ministerial Conference’s statement. In.” O’Connor told the 21st Century Business Herald reporter.
The APEC Ministerial Meeting has made preparations for the 28th APEC Informal Leaders’ Meeting to be held on November 12. At the invitation of Prime Minister Ardern of New Zealand, Chinese leaders will attend the APEC Informal Leaders’ Meeting in Beijing on November 12 by video and deliver important speeches. On November 11, they will attend APEC Business Leaders in pre-recorded video. People summit and delivered a keynote speech.
APEC parties commit to update the list of environmental products
Environmental product and service cooperation is one of the earliest cooperation areas of the Asia-Pacific Economic Cooperation (APEC). The 2012 APEC summit reached a list of 54 environmental products with 6-digit customs tariff numbers, covering air pollution control, solid waste and hazardous waste disposal, renewable energy, wastewater and drinking water treatment, natural risk management, environmental monitoring and analysis equipment , Environmentally friendly products and other fields. The parties promised to reduce tariffs on these products to 5% or less by 2015.
“All economies have promised to further expand this list, but the final list has not yet been released.” O’Connor told the 21st Century Business Herald reporter, “but we believe that the goods and services in environmental trade will really help us. , Especially in the field of climate change where progress is urgently needed.”
Vangelis Vitalis, Chairman of APEC Senior Officials’ Meeting in 2021 and Deputy Secretary-General for Economic and Trade Affairs of the New Zealand Ministry of Foreign Affairs and Trade, Vangelis Vitalis previously introduced to 21st Century Business Herald reporters that APEC is not only considering further expanding the environment in which tariff reductions and exemptions can be enjoyed. A list of products, and efforts are being made to extend this treatment to environmental services.
“If we can do this, we will be the first and only intergovernmental organization that not only agrees to a list of environmental products (such as solar panels), but also agrees to provide tariff relief for the services of installing, maintaining and repairing these devices. “Vitalis said.
According to a policy brief by the APEC Policy Support Department, from 2012 to 2019, the trade of listed products increased by 6.4% and 7% globally and 7% respectively. In contrast, overall global trade (all products) grew by only 1.9%. From 2012 to 2019, APEC’s exports and imports of these 54 products increased by 5.7% and 13.5% respectively.
The briefing stated that most APEC economies have fulfilled their commitments to the list, reducing tariffs to 5% or less. At the same time, it pointed out that most of the non-tariff measures affecting environmental products are related to exports, including subsidies, licenses and quotas, discriminatory preferential loans and grants to local exporters, and export tax rebates.
Vice Foreign Minister Ma Zhaoxu stated at the ministerial meeting that the Asia-Pacific must follow the path of green development and achieve inclusive and sustainable growth. He pointed out that China will unswervingly follow the path of green development and strive to achieve carbon peaks by 2030 and carbon neutrality by 2060. China will successively release implementation plans and supporting measures for carbon peaking in key areas and industries, and build a carbon peaking and carbon neutral “1+N” policy system. China will also vigorously support the development of green and low-carbon energy in developing countries, and will no longer build new overseas coal-fired power projects.
China is willing to jointly advance the process of regional economic integration
O’Connor pointed out that the new crown epidemic has lost 81 million jobs in the region and has also had a serious impact on the supply chain. “APEC accounts for 47% of global trade. We need to use trade to drive global growth because trade can provide solutions to the challenges we face.”
Wang Shouwen, Vice Minister of Commerce and Deputy Representative of International Trade Negotiations, pointed out at the meeting that to achieve trade-driven economic recovery, it is necessary to enhance the level of trade and investment liberalization and facilitation. China is deeply open in the field of goods, and the average tariff level of all commodities is 7.4%, which is lower than that of other developing members.
“China has done everything possible to implement trade facilitation measures, and has made great efforts to maintain smooth trade in goods under the epidemic. China has relaxed market access in investment and services, and has reduced the negative list of foreign investment access for four consecutive years since 2017. The nation promotes the implementation of a negative list of cross-border service trade.” Wang Shouwen said.
He said that China is willing to work with all members to implement the implementation plan of the “APEC Putrajaya Vision 2040” after approval by the leaders to help regional economic recovery.
Looking forward to the future, Wang Shouwen pointed out that it is necessary to fully understand the importance of regional trade arrangements in promoting economic recovery. China has applied to join the “Comprehensive and Progressive Trans-Pacific Partnership Agreement” (CPTPP) and the “Digital Economy Partnership Agreement” (DEPA), and is willing to work with all members to advance the process of regional economic integration, and accumulate benefits for the ultimate realization of the Asia-Pacific Free Trade Area. condition.
As a member of CPTPP and DEPA, how does New Zealand view the prospect of new members applying to join these agreements? In response, O’Connor replied that New Zealand has always been open to other economies applying to join the CPTPP. Since not all APEC members have joined the CPTPP, this is not the core content of the discussion at this ministerial meeting. But whether it is CPTPP or DEPA, applicants need to consider how to meet the standards set by these agreements.
“I am particularly pleased that the ministers emphasized the importance of the World Trade Organization (WTO) and called for consultations on restricting harmful subsidies to fisheries and agriculture.” O’Connor said that the WTO Ministerial Conference will be held in December. At this time, APEC ministers are committed to supporting the conference to achieve positive results with practical actions.
(Author: Zheng Qingting, Editor: Bao Fangming)
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