Unit 1 Assignment ASEAN

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Assignment AUM

The international trade agreement is an agreement between two or more countries on trade-related issues such as tariff, nontariff trade barriers, etc. History of trade agreements could be traced back to the medieval period. It was common between two states to do trade-related agreements to gain bilateral trade or to get allowances for travelling trade purpose. The single most important trade agreement in ancient time was, diplomatic travel of Hun dynasty Chinese envoy Zhang Qian to central Asia with Chinese goods which enabled trade of Chinese goods with India, Persia and roman empire and vice versa. Agreement between Chinese dynasty with Indian, Persian and Roman rulers established the silk road. In the middle age, the most
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After the publication of "The wealth of the nations" where Adam Smith stated open economy as beneficial, a debate on free trade started and lots papers have been published on the topics, as a result, trade-related agreement increased day by day and trade barriers is…show more content…
ASEAN established a less integrated common market based on the four freedoms at the end of 2015. AEC was introduced from the ASEAN Free Trade Area AFTA established on 28th January 1992. AFTA had a common effective preferential tariff to promote the free flow of goods. AFTA was signed by six founding members Brunei, Indonesia, Malaysia, Philippines, Singapore, and Thailand. Vietnam joined 1995, Laos and Burma on 1997 and Cambodia in 1999. New members have not fully met AFTA'sobligationss, but officially considered part of the AFTA. ASEAN has a target to obtain zero import duties by the end of 2016. ASEAN framework agreement on trade in services (AFAS) Was adopted in December 1995. ASEAN has concluded seven packages of commitments under AFAS to liberalise trade in services. Mutual recognition agreements (MRAS) Have been agreed upon by ASEAN for eight professions, physicians, Dentists, Nurses, Architectures, Engineers, Accountants, Surveyors, and Tourism Professionals will be free to work any ASEAN country from 31 December 2015. ASEAN capital market forum (ACMF) Is an initiative to integrate ASEAN stock exchange so ad to compete with international exchanges. ASEAN has concluded a free trade agreement with China, Japan, Korea, Australia, New Zealand and India by signing bilateral agreements. In addition, ASEAN is currently negotiating a free-trade agreement with the European Union. Sean also has a single
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