ASEAN: Regional Trends in Economic Integration, Export ... - USITC

transactions, reinvested earnings, and inter-company debt. In general, the available
commercial databases only reflect the equity transactions component of the total. 16
Trade Facilitation, Logistics Services, and E-Commerce
Trade facilitation, logistics services, and e-commerce are specific work plan elements in
the ASEAN economic integration agenda. Improvements in these activities contribute to
increased export competitiveness by raising firm productivity and by reducing the cost
and time to export, as well as communication and information costs (table 1.3).
Enhancements in these areas involve legal and regulatory reforms; customs
modernization; improvements to roads, ports, and other infrastructure; and increased
access to the Internet. These activities are discussed in more detail in chapter 2.
TABLE 1.3 Trade facilitation, logistics services, e-commerce, and competitiveness
Factor
Effect on export competitiveness
Trade facilitation:
"The simplification, standardization, and
harmonization of procedures and associated
information flows required to move goods from
seller to buyer and to make payments." a
Logistics services:
“A range of related activities intended to ensure
the efficient movement of production inputs and
finished products.” b
E-commerce:
“The buying, selling, or exchanging of goods,
services, and information through electronic
networks.” c
Enhances productivity and efficiency, lowering trade
costs. Reduces risks associated with undue delay and
loss of goods during shipment.
More efficient transportation and freight services reduce
the cost of getting goods to markets.
High-speed connectivity and the ability to complete
transactions electronically facilitate communication and
reduce information costs.
Sources:
a United Nations Centre for Trade Facilitation and Electronic Business, cited in Asian Development Bank
(ADB), Designing and Implementing Trade Facilitation, 2009, 3.
b USITC, Logistic Services, 2005, vii.
c Acoca, Empowering E-Consumers: Strengthening Consumer Protection in the Internet Economy, 2009, 6.
Information Sources
Information on ASEAN for this report was obtained from a number of sources, including
written submissions received in response to the Commission’s Federal Register notice
announcing the investigation; 17 testimony at the public hearing held by the Commission
in connection with this investigation on February 3, 2010; 18 and interviews during
factfinding travel to certain ASEAN member countries, including Indonesia, Malaysia,
Singapore, Thailand, and Vietnam.
Key sources of published information on ASEAN were international organizations,
including the OECD, International Monetary Fund (IMF), and the World Trade
Organization (WTO); numerous scholarly and peer-reviewed academic publications;
16 As described by the OECD, “Users should be cautious when using the FDI data distinguishing M&A
type transactions, described in this Benchmark Definition, which are different to what is generally referred to
as M&A statistics produced by commercial and other sources. The former corresponds only to equity
transactions that qualify as FDI (covering 10 percent–100 percent of ownership of voting power), while the
latter represents the total capital of companies.” OECD, Benchmark Definition of Foreign Direct Investment,
2008, 32 and Annex 9.
17 A copy of the Federal Register notice is provided in app. B of this report.
18 A list of hearing participants is provided in app. C of this report. A summary of the positions of
interested parties can be found in app. D.
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