CHAIR’S OPENING REMARKS : THE THIRTY-NINE MEETING OF THE ASEAN FREE TRADE AREA COUNCIL MEETING (39thAFTA Council Meeting)
23 September 2025
(TUESDAY)
0900 – 1030
Malaysia International Trade and Exhibition Centre (MITEC),
Kuala Lumpur, Malaysia
OPENING REMARKS
Excellencies and members of the meeting,
● First and foremost, please allow me to extend my warmest welcome to all of you to Kuala Lumpur, Malaysia and to the 39th ASEAN Free Trade Area (AFTA) Council Meeting.
● As we approach the final leg of Malaysia’s ASEAN Chairmanship, I wish to take this opportunity to express my appreciation to all AFTA Ministers, officials and ASEAN Secretariat for your steadfast support and collaboration throughout this Chairmanship year. Your encouragement and commitment have been instrumental in enabling Malaysia to achieve many of its key goals and deliverables under our Chairmanship.
● The 39th AFTA Council is the first in the series of meetings to be held over the next few days. As stated in the agenda, our discussions will focus on matters related to the implementation of the ASEAN Trade in Goods Agreement (ATIGA) and ways of strengthening ASEAN’s economic integration agenda.
Excellencies and members of the meeting,
● While ASEAN continues to grow and strengthen its position as a preferred destination for global investment, the increasingly volatile and uncertain global trading environment demands ASEAN to double down efforts to deepen regional economic integration. With nearly 700 million people that forms one of the world’s largest and most dynamic consumer base, ASEAN indeed holds immense untapped potential. Yet, the intra-ASEAN trade has remained stagnant at around 20 to 22 percent — a figure that falls well short of the region’s true potential.
● Strengthening intra-ASEAN trade is not merely an economic aspiration; it has now become a strategic imperative act to build a more resilient, self-reliant, and globally competitive ASEAN. To achieve this, we must heighten our efforts to overcome persistent implementation challenges, accelerate trade facilitation, and enhance physical, digital, and regulatory connectivity across the region.
● We must also respond swiftly to the concerns raised by the business community — particularly on trade barriers that continue to hinder growth, despite attaining liberalisation of more than 98.6% of total products under ATIGA. These barriers weigh most heavily on our MSMEs, the backbone of ASEAN’s economy and the largest employers of our workforce.
Excellencies and members of the meeting,
● In light of the increasingly complex and unpredictable global environment, supporting MSMEs must remain at the core of ASEAN’s economic agenda. We must not burden them with unnecessary barriers but rather in turn empower them to innovate, grow, and integrate seamlessly into regional and global value chains.
● In this regard, I urge all ASEAN officials to take swift action to resolve outstanding issues, increase transparency and fast-track the implementation of critical trade facilitation measures. Flagship initiatives such as the ASEAN Single Window (ASW), ASEAN Customs Transit System (ACTS), ASEAN Mutual Recognition Arrangements, and the ASEAN Authorised Economic Operator Mutual Recognition Arrangement (AAMRA) must be fully operationalised as these initiatives serve as strategic enablers that will lower transaction costs, enhance operational efficiency, and strengthen business confidence in ASEAN’s commitment to deeper regional economic integration.
● Speaking on ASEAN’s economic integration and resilience, I am especially pleased that ASEAN has embarked on the ATIGA Upgrade in 2022, successfully concluded negotiations, and is now on track to sign the agreement at the upcoming Summit. The upgraded ATIGA which is listed as one of key Priority Economic Deliverables (PED) under Malaysia’s Chairmanship, is expected to modernise and future-proof our trade rules, close long-standing implementation gaps, and unlock new opportunities for businesses of all sizes across our region. On that note, once the agreement is signed, our collective priority must be to ensure its timely ratification — without delay. This is not merely a procedural step; it signals ASEAN’s commitment to deeper integration and to delivering tangible outcomes for our businesses and our people. With that, I wish to conclude my remarks and thank you for your kind attention.
Excellencies and members of the meeting,
Before we move to agenda 1, I would like to invite all Ministers for a photo session. Please join me at the stage for the session.
--BERNAMA