Preferential Tariff
(Tiada terjemahan di dalam Bahasa Malaysia)
The creation of the ASEAN Free Trade Area (AFTA) was agreed at the 1992 ASEAN Summit in Singapore. The main objectives of the AFTA are to:
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create a single market and an international production base;
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attract foreign direct investments; and
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expand intra-ASEAN trade and investments.
The liberalisation of trade in the region through elimination of both intra-regional tariffs and non-tariff barriers had contributed towards making ASEAN's manufacturing sectors more efficient and competitive in the global market. As a result, consumers are able to source goods from the more efficient producers in ASEAN, thus creating a robust intra-ASEAN trade.
Effective 1 January 2010, Malaysia with five other ASEAN Member States (which are Brunei Darussalam, Indonesia, the Philippines, Singapore and Thailand) is a complete free trade area. These countries have eliminated import duties on 99 per cent of products in the Inclusion List and AFTA is almost completely realised among the ASEAN-6. On average, today ASEAN 6 has 99.20% of tariff lines in the Inclusion List at 0%. Only 0.35% or less than 1% of the Tariff Lines in the Inclusion list has import duties.
For Cambodia, Laos, Myanmar and Vietnam, collectively referred to as CLMV, 90.85% of the Tariff Lines in the Inclusion List are already at 0%.
On the average, ASEAN member states have 95.99% Tariff Lines at 0% according to the ATIGA Tariff Schedule of 2015.