OFFICIAL MAY CHINA TRADE DATA. Analysis by John W. Miller, Chief Economic Analyst, Trade Data Monitor: Asia is really humming. Chinese exports of goods to top Asian trading partners boomed in May, suggesting that the continent is blowing past Europe and the U.S. in 2021 in the speed and scale of its recovery from the Covid-19 pandemic. Chinese exports to the 10 members of the Association of Southeast Nations, or ASEAN, a trading bloc of over 650 million people, increased to $39.2 billion, up 41.3% in May compared to the same month a year before. Asian countries managed their response to Covid better than governments in the U.S. and Europe. VIEW FULL ARTICLE
The Japanese government has approved the world’s largest trade deal.
The Regional Comprehensive Economic Partnership (RCEP) could come into force next January.
Deborah Elms, Executive Director of the Asian Trade Centre in Singapore, explains what it is, how it differs from other trade deals and what has to happen next.
RCEP is a big deal, literally and metaphorically. When it’s signed off, the Regional Comprehensive Economic Partnership will create a free trade zone covering about 30% of the world’s gross domestic product, trade and population. VIEW ARTICLE
INTERVIEW: THE ROLE OF CUSTOMS IN GLOBAL TRADE TODAY, Kunio Mikuriya, Secretary General, WCO: Interview with Kunio Mikuriya, Secretary General of the World Customs Organization. VIEW INTERVIEW
THE FDI REPORT 2021: The 2021 FDI Report from FDI Intelligence outlines key regional factors driving FDI through the current turbulent times. Key foreign direct investment trends spotted include:
Renewable energy replaces coal, oil & gas as the top sector by capital investment for the first time ever
The US retains its spot as the top destination country, attracting $61bn of FDI
China is the largest recipient of capital investment in Asia-Pacific, attracting $29.7bn
Western Europe is the leading source region, accounting for 49% of FDI projects globally
The UK is the top destination country for FDI in Europe
The communications sector increases capital investment by 41%, adding $56bn
TECH FDI: WILL THERE EVER BE ANOTHER SILICON VALLEY? Asia-Pacific now plays home to 30% of top tech ecosystems: Silicon Valley sets the gold standard as a tech hub, so there is little wonder that so many locations around the world are attempting to emulate its success. Investment Monitor assesses the challengers. VIEW ARTICLE UNCTAD RESOURCE: Trade Facilitation Committees Around the World Excellent updated resource by UNCTAD which allows you to explore National Trade Facilitation Committees on a global basis VIEW PAGE
REIMAGINING EMERGING ASEAN: 5 levers to boost economic recovery: McKinsey highlights five growth levers for emerging ASEAN and show how they could boost recovery in countries such as Vietnam and Indonesia. Emerging ASEAN (Indonesia, Malaysia, Philippines, Thailand, and Vietnam) began the crisis at a disadvantage, and COVID-19 exposed and often heightened their challenges. Larger, developed nations generally have the resources and infrastructure to weather the pandemic’s impact. Some emerging ASEAN countries were unable to mount stimulus programs of the same magnitude to cushion the pandemic’s blow. Forecasts suggest that these countries could take a bigger hit to growth and face greater uncertainty in the coming years. VIEW ARTICLE
LOW-RISK COUNTRIES REAP THE FDI REWARDS: Switzerland tops the GlobalData Country Risk Index as the world's least risky country, while Venezuela ranks bottom, but what does the risk factor mean for a location's FDI inflows? Key findings from assessing the relationships between a country's risk score and FDI and GDP per capita: - Switzerland tops the ranking as the least risky country. - Venezuela is the riskiest country. - FDI and GDP per capita are negatively correlated against country risk. - More successful FDI countries have lower country risk scores. - Rich countries are generally deemed less risky compared with poorer countries. - Western European and Asian countries dominate the top of the index (less risky). - Poorer Middle East and sub-Saharan Africa countries are deemed the most risky. - Country risk seen as a more longlisting site-selection factor (than shortlisting). VIEW ARTICLE UNCTAD RESOURCE: Evolution of the world's 25 top trading nations: Discover in less than one minute the evolution of the world's main trading nations over the last 22 years! Trade has significantly expanded in the last four decades. In 1979, trade represented 36% of global GDP and by 2019 the figure had grown to 60%. This expansion came with changes in the competitive landscape of global trade, and the concomitant rise of the south. The above graphic tells part of this story. For instance, it captures the meteoric rise of China, from the periphery of global trade to the export powerhouse of the world. VIEW ARTICLE
CREDENTIALS - KW Group Asia: FDI, Trade Innovation & Digitalisation Consulting & Events Since 2010: KW Group Consulting & Events is a trusted partner for Asia FDI, Trade Innovation & Digitalisation. We work closely with Donors, Governments, Associations & Enterprise Clients across the region on FDI, Trade & Economic Development Strategy, Anti Illicit Trade, Customs, Tax & Government Supply Chain Digitalisation projects through Consulting, Events & Intelligence. VIEW CREDENTIALS