APEC leaders pledge fair trade flexibility

PACIFIC Rim leaders yesterday pledged to bring political will and flexibility to the faltering global trade talks, wrapping up their annual summit which also struck an agreement on global warming.

"There has never been a more urgent need to make progress" in world trade negotiations, according to a final statement released by leaders from the 21-member Asia-Pacific Economic Cooperation forum.

Negotiations in the so-called Doha Round resumed in Geneva last week on the basis of two new proposals intended to break a deadlock between rich and poor nations over how much to cut barriers in agricultural and industrial trade.

APEC leaders said the overall success of the World Trade Organization negotiations depends on early progress in bridging gaps in those two critical areas.

"We pledge the political will, flexibility and ambition to ensure the Doha Round negotiations enter their final phase this year," the leaders' statement said. "We call on our WTO partners to join in this vital effort."

A successful global trade deal would "deliver new trade flows for the benefit of all, including developing countries," it said, adding that APEC members, which collectively account for half of the world's trade, have a major stake in helping create a regulation-based, global trading system.

Speaking at the second-day session of the APEC meeting yesterday, Chinese President Hu Jintao said that an open, equitable and non-discriminatory multilateral trading regime was of vital importance to all countries, developing countries in particular, to invigorate their economies.

"China is ready to work with other members to play a constructive role and move the Doha Round negotiations toward a comprehensive and balanced outcome at an early date," Hu said.
 
Australian Prime Minister John Howard, in announcing the conclusion of the summit in Sydney, also highlighted steps announced by the leaders on Saturday to curb global warming. These included two non-binding goals on improving energy efficiency and increasing forest cover.

The APEC program does not set targets on the greenhouse gas emissions that cause global warming, unlike the UN-backed Kyoto Protocol.

Instead, APEC members will reduce "energy intensity" - the amount of energy needed to produce a dollar of gross domestic product - by 25 percent by 2030. They pledged to increase forest cover in the region by at least 20 million hectares by 2020.

The APEC leaders also said they would continue to examine a proposal to create a Pacific-wide free-trade zone that would include all 21 APEC members.

President Hu said the proposed establishment of the Asia-Pacific Free Trade Area should be a long-term and gradual process as many issues need closer study.

China is ready to work with other APEC members to continue to push forward regional economic integration in the Asia-Pacific region, and conduct further study of the prospects of the Asia-Pacific Free Trade Area, Hu added.