The European Union-ASEAN relations refers to bilateral foreign relations between the two

organizations, the European Union (EU) and the Association of Southeast Asian Nations
(ASEAN) (was formed on 8 August 1967 by Indonesia, Malaysia, the Philippines,

Singapore, and Thailand, membership has expanded to include Brunei,

Cambodia, Laos, Myanmar (Burma), and Vietnam. population of approximately 617
million people, or 8.8% of the world's population. If ASEAN were a single entity, it would rank as
the seventh largest economy in the world.
Collectively, ASEAN represents a market of some 600 million people, with a combined GDP of
about US$2.5 trillion and upwards of US$1.5 trillion in trade flowing throughout the region
The EU is ASEAN 3rd largest trading partner after China and Japan, accounting for around
13% ofASEAN trade.

the EU is ASEANs biggest foreign investor, constituting approximately one-third of ASEANs

foreign direct investment. EU companies have invested an average 13.6 billion annually in the region (2005-2012).
ASEAN as a whole represents the EU's 3rd largest trading partner outside Europe (after the
US and China) with more than 235 billion of trade in goods and services in 2012.
The EU's main exports to ASEAN are chemical products, machinery and transport
equipment. The main imports from ASEAN to the EU are machinery and transport
equipment, agricultural products as well as textiles and clothing.

Negotiations began in May 2007 on a Free Trade Agreement (FTA) between the European
Union (EU) and the Association of South East Asian Nations (ASEAN). ASEAN members are
the Philippines, Indonesia, Malaysia, Singapore, Thailand, Brunei, Laos, Vietnam, Burma and
Cambodia.
Progress on the FTA has been very slow because ASEAN has found it difficult to agree a
common negotiating position. In addition, the UK does not wish Burma to benefit from the FTA.
Cooperation has stalled whenever the EU tried to play the human rights and democracy card
because the ASEAN member states consider this an unacceptable intervention in their domestic
affairs.

In comparison to the EUs progress with other major Asian partners like India and China, the
relations with ASEAN are lagging behind.
ASEAN has rejected EU attempts to formally press for domestic reforms and challenge the
Asian doctrine of non-intervention. Most notably, this was the case in the EUs reaction to
human rights violations in Myanmar, which is said to have contributed to the deadlock in EUASEAN free trade negotiations. Most of the success stories of EU influence can be attributed to
closed-door diplomacy and project-based engagement with ASEAN governments and civil
society. Direct pressure has not worked so well.

During the previous negotiations for an ASEAN-EU FTA, it was proposed that the agreement
would cut or eliminate existing tariff and non-tariff barriers in order to increase trade and
investment between the two sides. According to some estimates, ASEAN exports to the

EU would have increased by more than 18.5 percent as a result,

representing a two percent boost to ASEANs GDP by 2020. EU exports would
also benefit, albeit not so dramatically, with an expected two percent
increase.
From ASEANs point of view, an EU-ASEAN FTA could entice the investment that is drastically
needed to upgrade its member countries infrastructure. The FTA would also bring economic
benefits to European countries by making it easier for them to seize the opportunities brought
about by rapid Asian growth, as well as being a good move for prestige by increasing the EUs
role within the region.
Singapore became the first ASEAN country to conclude FTA negotiations with the EU in
December 2012. The FTA, which is yet to be ratified, will allow duty-free access on all EU
imports into Singapore as well as gradually abolishing tariffs on all Singaporean products
imported into the EU over the next five years.
welfare gains of goods/ services asean 2.16 in 2020
eu - 0.10
now trade in goods 2013 eu imports 96.8 bn eu exports 81.8

trade in services eu imports 25 eu exports 29.6