Apec – Economy Coorporation
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Asia-Pacific Economic Cooperation, or APEC, is the premier forum for facilitating economic growth, cooperation, trade and investment in the Asia-Pacific region. APEC was established in 1989 to further enhance economic growth and prosperity for the region and to strengthen the Asia- Pacific community.
Introduction to APEC
The vision of free trade policies and unrestricted growth is its defining feature. Each of the APEC’s summits has produced a more articulation of its free trade policies. APEC is the only inter governmental grouping in the world operating based on non-binding commitments, open dialogue and equal respect for the views of all participants. Unlike the WTO or other multilateral trade bodies, APEC has no treaty obligations required of its participants. Decisions made within APEC are reached by consensus and commitments are undertaken on a voluntary basis.( APEC website 2005)
Member Economies that make up Apec at this moment, are 21 members – which account for more than a third of the worlds population (2.6 billion people), approximately 60% of world GDP (US$19, 254 billion) and about 47% of world trade. In its first 10 years, it generated nearly 70% of global economic growth.(Website 2005)
APECs 21 Member Economies are Australia; Brunei Darussalam; Canada; Chile; Peoples Republic of China; Hong Kong, China; Indonesia; Japan; Republic of Korea; Malaysia; Mexico; New Zealand; Papua New Guinea; Peru; The Republic of the Philippines; The Russian Federation; Singapore; Chinese Taipei; Thailand; United States of America; Viet Nam.
The major cities are increasingly linked to one another through important channels such as trade and financial flows, exchange of information and knowledge, labor migration, tourism and cultural interactions. In cities such as Tokyo, Hong Kong, Singapore, Sydney, San Francisco and Vancouver, service industries are already the dominant sector of the economy.
The APEC works in three broad areas to meet the Bogor Goals of free and open trade and investment in the Asia- Pacific by 2010 for develop economies and 2020 for developing economies.
Know as the APEC’s Three Pillars, APEC focuses on three key areas:
Trade and Investment Liberalization
Business Facilitation
Economic and Technical Cooperation
Historical Impact
The attack to the World Trade Center in New York made an impact on the security issues of the APEC countries. A terrorist attack on sea-borne trade in the APEC region is high. All APEC economies need to strengthen their seaport security to protect against terrorist activities and threats. However, stringent port processing procedures that are not operating at full efficiency could incur additional transaction expenses for exporters through delays and lost opportunities. Issues such as the provision of cargo details prior to embarkation are important to continuing growth of trade but need to be addressed. There is no shortage of potential targets for terrorists at sea. These might include offshore oil and gas installations, energy pipelines and undersea cables, as well as ships and port facilities.5
At the 2001 Shanghai APEC Leaders Meeting, the leaders agreed, to a Statement on Counter-Terrorism, which called on all member economies to enhance port security, to achieve effective outcomes as soon as possible and to meet all relevant international requirements for the security of maritime transport. It was also agreed to ensure that international terrorism did not disrupt markets. In 2002, APEC economies and other members of the IMO agreed to a new, comprehensive security regime for international shipping set to enter into force in July 2004. 6
Apec’s Transportation
Transportation is a vital part for the APEC to work successfully. The Secure Trade in the APEC Region (STAR) initiative, APEC economies are building a transport and trade system in our Region that strengthens security while facilitating the movement of people and goods. Recognizing the rapid increase of road traffic fatalities and injuries worldwide, especially in the APEC Region, this accounts for over 40 percent of the 1.2 million global fatalities.7 An open dialogue with the leaders of the Regions transportation industry is imperative. This dialogue will promote economic prosperity and a secure, safe, efficient and integrated transportation system for all member economies. (Apec Fmm website 2006)
As stated in the:
4th APEC TRANSPORTATION MINISTERIAL MEETING