No FTA if US interferes in country’s policies
Bernama, Malaysia
No FTA If US Interferes In Country’s Policies
24 April 2006
KUALA LUMPUR, April 24 (Bernama) — The government will not finalise a Free Trade Agreement with the United States until all interests and needs of the country are taken into account.
"The agreement will not be signed if the US is found to have interfered in the country’s procurement and determining of policies," Minister of International Trade and Industry, Datuk Seri Rafidah Aziz said.
Indeed Malaysia is not obliged to ink the deal in accordance with the Trade Promotion Authority (TPA) deadline set on July 1, 2007 by the US Congress.
"Up till now, no pre-conditions have been signed with the US," she said when winding up her debate on the Ninth Malaysia Plan at the Dewan Rakyat here Monday.
The opposition today had requested the government to be cautious before signing the agreement with the US, saying that it was concerned that the deal would be in favour of the US like what had happened to Mexico under the NAFTA.
"We are not rushing to sign the agreement. If we feel that our dignity and rights are at stake, then I would like to assure that the government will not sign the deal," she said.
In her winding up speech, Rafidah said that the FTA with the US was expected to encompass the liberalisation of the industrial goods market, agriculture, and the services sector, investment and government procurement.
For these elements, Malaysia would ensure that the country’s interests are taken care of with provisions that allow for flexibility in the implementation of policies and measures to achieve the development and socio-economic goals.
Among the benefits for the country would include increased exports and they would cover textiles and clothes, rubber products, woods, ceramics, electronics and agriculture goods.
"The current duties on these products range from five to 32 percent," she said.
This agreement will also enable Malaysian companies to participate in the US government’s procurement sector, the minister said.
"Technical assistance could be also enhanced to enable the exporters to meet the technical conditions and standards set.
"It would also increase the level of investments from the US particularly in the industries that are being encouraged now, such as biotechnology," she said.
Asked on what the US was requesting, Rafidah answered that she did not know as the negotiations were expected to start only in three months time.
