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On August 21, the ASEAN Economic Ministers and the United States Trade Representative (USTR) met in Semarang, Indonesia, with Indonesian Trade Minister H.E. Zulkifli Hasan and US Trade Representative Katherine Tai co-chairing the meeting.

The meeting noted that ASEAN-US economic relations are growing steadily. According to ASEAN statistics, bilateral trade in goods will reach US $420.4 billion in 2022, up 15% year-on-year. Foreign direct investment (FDI) from the United States to ASEAN has reached $36.5 billion, up 3.1 percent year-on-year. The United States is ASEAN's second largest trading partner and ASEAN's largest source of foreign direct investment.

The meeting exchanged views on global and regional challenges such as the multifaceted impact of the COVID-19 pandemic, climate change, increased volatility in global financial markets, inflationary pressures, and geopolitical tensions affecting global food and energy security, all of which could affect economic and trade relations between ASEAN and the United States. The meeting highlighted the need for stronger and more impactful cooperation in order to lead the way in a challenging global environment. In this regard, the meeting discussed possible areas of cooperation between ASEAN and the United States to mitigate the impact of these global challenges on ASEAN-United States economic relations, and tasked relevant officials from both sides to explore concrete and practical actions.

Participants acknowledged that the United States has made significant contributions to the ASEAN Comprehensive Recovery Framework (ACRF) through the US-ASEAN Connect program, particularly in strengthening health systems, developing human capital, maximizing economic integration, and advancing the digital economy and sustainable recovery.

The meeting welcomed concrete cooperative actions by both sides to further consolidate the ASEAN-US comprehensive strategic partnership. The partnership was established at the ASEAN-US Leaders' Special Summit in November 2022. These are reflected in the progress made in the implementation of the ASEAN-US Trade and Investment Framework Arrangement (TIFA) for 2022-2023, the Expanded Economic Participation (E3) Initiative Work Plan, particularly in the digital economy, trade facilitation, and support for Msmes.

The meeting noted that despite the efforts made by both sides to recover from the impact of COVID-19, the two sides will still face adverse global and regional disruptions to achieve full recovery and economic resilience. To this end, the meeting reaffirmed its commitment to strengthen cooperation and endorsed the ASEAN-US Trade and Investment Framework Arrangement (TIFA) for 2023-2024, the Expanded Economic Participation (E3) Initiative Work Plan, and the ASEAN-US Trade and Investment Framework Arrangement (TIFA). Activities include topics such as digital economy, Msmes development, trade facilitation, intellectual property, sustainability, good regulatory practices, Labour and agriculture.

The meeting affirmed active cooperation between the United States and ASEAN on priority standards for cybersecurity, medical devices, pharmaceuticals, automotive products, construction and building materials, conformity assessment topics, and new initiatives in the area of sustainable development.

The meeting expressed appreciation for the United States' continued support for ASEAN through the renewal of the Regional Development Cooperation Agreement (RDCA). The agreement covers the implementation of the US technical Assistance programme for Inclusive Growth in ASEAN through Innovation, Trade and E-commerce (IGNITE) through the first quarter of 2024. The two sides are welcome to work out the next steps of the project to strengthen and sustain ASEAN-US cooperation in the future and to achieve the exchange of best practices.

The meeting reaffirmed its support for ASEAN Centrality and the evolving role of solidarity in the regional architecture, for an open, transparent, inclusive and rules-based regional architecture with ASEAN at its centre, based on ASEAN-led mechanisms, and for the ASEAN Indo-Pacific Vision (AOIP). The meeting said it looks forward to further advancing cooperation between ASEAN and the United States, including in areas identified in the ASEAN Indo-Pacific Vision, to promote peace, stability and prosperity in the region.

The meeting exchanged views and shared updates on trade development policies between ASEAN and the United States. The meeting reaffirmed their commitment to work together to address issues that may affect bilateral trade and investment, as well as global economic recovery and supply chain resilience.

The meeting reaffirmed its commitment to building a rules-based, non-discriminatory, open, free, inclusive, fair and transparent multilateral trading system with the World Trade Organization (WTO) at its core. The meeting also stressed support for strengthening the WTO and supporting members to improve the functions of the WTO through reform, so as to better achieve the basic objectives of the WTO. The meeting recalled the commitments made by WTO members at the 12th WTO Ministerial Conference with a view to establishing a well-functioning dispute settlement mechanism for all WTO members by 2024. The meeting also resolved to collaborate on areas of common interest to contribute to the success of the 13th WTO Ministerial Conference (MC13), which is scheduled to be held in ABU Dhabi, United Arab Emirates, in 2024.

The meeting expressed support for the United States to host the Asia-Pacific Economic Cooperation (APEC) in 2023 under the theme "Together for an Inclusive, Sustainable and Resilient Future," with a policy focus on "connectivity, innovation and inclusion," which will support sustainable recovery and shared prosperity in the region.

The Meeting affirmed its support for Timor-Leste's membership in ASEAN and would provide it with technical assistance, capacity building and other support to facilitate Timor-Leste's integration into ASEAN. The meeting also encouraged the Government of Timor-Leste to intensify its efforts to prepare for ASEAN membership.

The meeting affirmed the recommendations of the US-ASEAN Business Council (USABC) on enhancing intra-ASEAN trade and appreciated its active engagement with ASEAN agencies to strengthen the US-ASEAN trade partnership. The meeting also welcomed USABC's commitment to provide capacity building programs for Msmes through the expanding ASEAN SME Academy and the US-ASEAN Internship Program. In addition, the conference highlighted the value of fostering dialogue among the business community to help accelerate the region's transition to a digital and sustainable economy. The meeting encouraged USABC to coordinate with relevant sector agencies to further promote an inclusive digital ecosystem and green economy ecosystem.