Free-trade the way for EU and Asia, say leaders

By Véronique Vallières

Date: 14/10/04

EUROPE and Asia should create a free-trade zone by 2025, a report discussed by leaders attending the Asia-Europe Meeting (ASEM) on 8-9 October in Hanoi has recommended.

The report, drafted by a taskforce of ASEM experts, also suggested that each side reduce its reliance on the dollar by enhancing the international role of the euro. The summit stressed the need for closer economic partnership between Europe and Asia.

The two-day forum was used as a platform for German Chancellor Gerhard Schröder and Japan Prime Minister Junichiro Koizumi to press their countries' case for a permanent seat at the UN Security Council. The UK appealed to developing countries to join the fight against climate change. British Deputy Prime Minister John Prescott said these countries should balance their need for economic growth with protection of the environment. But the summit was overshadowed by divergent opinions in the two regions with regard to political reforms in military-run Myanmar. The EU has enforced tougher sanctions on Myanmar, formerly known as Burma, two days after it had pledged to do so at the summit.

The decision was made following the Rangoon regime's failure to deliver on promises for democratic reform, including the release of Aung San Suu Kyi, the democracy leader and Nobel Prize winner who has been under house arrest for more than a year. Dutch Foreign Minister Bernard Bot said that "there has been no improvement at all" with regards to human rights in Myanmar.

Tougher sanctions include widening a visa blacklist of top leaders and a ban in investment on state-run enterprises. Japan expressed its disagreement with the EU sanctions, claiming tougher measures would not help the democratization of the country. Myanmar's controversial admission into ASEM, alongside Cambodia, Laos, and the ten new EU member states, was only agreed last week.

The sixth EU-ASEM summit will take place in Finland in 2006.

Report from the Fifth Asia-Europe Meeting (ASEM) on 8-9 October 2004 in Hanoi. A report discussed by leaders recommended that Europe and Asia should create a free-trade zone by 2025. It had been drafted by a taskforce of ASEM experts and also suggested that each side reduce its reliance on the dollar by enhancing the international role of the euro. The summit stressed the need for closer economic partnership between Europe and Asia.

• Primary Source

European External Action Service: Asia-Europe Meeting (ASEM) http://eeas.europa.eu/asem/index_en.htm

---