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    Home ยป European Union and Malaysia Sign Partnership and Cooperation Agreement
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    European Union and Malaysia Sign Partnership and Cooperation Agreement

    paydayloansallonline_110na0By paydayloansallonline_110na0January 30, 2023No Comments5 Mins Read
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    Signed by the European Union (EU) and Malaysia Partnership and Cooperation Agreement (EU-MY PCA) of December 2022. The PCA provides a comprehensive framework aimed at enhancing bilateral cooperation, especially in the areas of trade and investment, finance and energy. In addition, the EU-MY PCA will help restart discussions on the EU-Malaysia free trade agreement, which reached a deadlock in 2012.


    On December 14, 2022, the European Union and Malaysia signed the Partnership and Cooperation Agreement (EU-MY PCA) at the 1st ASEAN-EU Memorial Summit in Brussels, Belgium.

    The PCA provides a comprehensive framework aimed at strengthening bilateral cooperation between the EU and Malaysia. The agreement contains over 60 articles in areas such as trade and investment, energy, finance and politics. Malaysia is her sixth country from ASEAN to sign a PCA with the EU, after Indonesia, the Philippines, Vietnam, Singapore and Thailand.

    In particular, the EU-MY PCA will help lay the groundwork for resuming discussions on the EU-Malaysia Free Trade Agreement (MEUFTA), which has been stalled since 2012.

    Total trade between the two countries will reach an estimated US$48 billion in 2021, with Malaysia enjoying a surplus of US$20 billion. This was dominated by electrical and electrical products (US$16.3 billion), rubber products (US$3.89 billion), and palm oil products (US$2.49 billion).

    Highlights of the EU-MY PCA

    Reduce technical barriers to trading

    Both sides will promote the use of international standards and exchange information on technical regulations within the framework of the WTO Agreement on Technical Barriers to Trade.

    Customs

    Malaysia and the EU hope to increase international trade security while offering a balanced approach between facilitating trade and fighting fraud. To achieve this goal, both parties will share their experiences on:

    • Simplification of import and export procedures;
    • Ensure transparency of customs and trade regulations.
    • Establishment of mutual administrative support mechanisms.When
    • Development of other areas of customs cooperation.

    investment

    The parties aim to enhance cooperation on investment issues and promote greater investment flows by promoting open and non-discriminatory rules for investors.

    trade-in service

    The parties shall facilitate trade in services between the parties, including electronic commerce, and facilitate access to capital and technology.

    Intellectual property right

    Under the PCA, Malaysia and the EU will establish appropriate measures to ensure effective protection of intellectual property rights. Strengthening the protection of intellectual property rights contributes to the promotion of innovation and diffusion of such technologies, leading to mutual benefits for both users and producers.

    financial operations

    The parties will intensify their cooperation to achieve closer common rules and standards for other parts of the financial sector, including banking, insurance and Islamic financial services.

    organized crime and corruption

    Both parties work together to fight organized crime, financial crime, and corruption. Both parties will implement the standards set by the United Nations Convention against Transnational Organized Crime and its Implementing Protocol.

    Small and medium-sized enterprises

    Malaysia and the EU will promote industrial cooperation to improve the competitiveness of small and medium enterprises (SMEs). This includes providing information on good practice in accessing finance, transferring soft and hard technologies, joint research and innovation projects, and promoting sustainable consumption and corporate social responsibility.

    cyber security

    Malaysia and the EU will cooperate on cybersecurity through information exchange in the areas of education and training, research and development, new policies and best strategies.

    science, technology and innovation

    PCA encourages cooperation in the fields of science, technology and innovation, including ICT, cybersecurity, nanotechnology, biotechnology, space technology and renewable energy.

    Other forms of cooperation include developing partnerships between scientific communities, universities, and research centers, and training and exchanging researchers.

    energy

    Under the PCA, the parties aim to work together to diversify energy supplies, channels and sources to enhance energy security. In addition, the EU and Malaysia will cooperate in developing renewable energy such as biomass, biogas and biofuels.

    sightseeing

    Both parties shall develop cooperation to enhance the positive contribution of the tourism sector and mitigate the negative impacts of tourism. This is done through developing ecotourism, improving training and respecting the interests of local communities.

    EU-MY PCA opens promising path to free trade agreement

    The EU-MY PCA will help restart discussions towards an EU-Malaysia free trade agreement. Negotiations stalled in 2012.

    Once the FTA is concluded, it is expected to cover many areas of market access, such as goods, services, investment and intellectual property rights. Importantly, the EU will gain access to the world’s largest free trade bloc with Malaysia’s accession to the Regional Comprehensive Economic Partnership (RCEP) and the Comprehensive and Progressive Agreement on the Trans-Pacific Partnership (CPTPP). increase. This means access to her market of over 2.3 billion people, covering over 15 countries.


    about us

    The ASEAN briefing was produced by Shiradeyama Law Office. The company supports foreign investors across Asia and maintains offices across ASEAN, including Singapore, Hanoi, Ho Chi Minh City and Da Nang in Vietnam; Munich, Essen and Boston in Germany; Salt Lake City and Milan in the United States. . In addition to Conegliano in Italy, Udine, Jakarta and Batam in Indonesia. He also has partner farms in Malaysia, Bangladesh, Philippines and Thailand, and has operations in China and India. Please contact us at asia@dezshira.com or visit our website www.dezshira.com.



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