The free trade agreement (FTA) between Malaysia and the European Union (EU) is expected to be finalized in the first quarter of this year, said a Malaysian government official.
Second International Trade and Industry Minister Ong Ka Chuan said Malaysia is stepping up negotiations with the EU and hopes to get preferential market access to the region soon so as to spur the economic growth of both sides.
“Vietnam has concluded negotiations with the EU and will likely sign an agreement this year. Malaysia is still at the negotiation stage with the EU, and we hope to get access to new markets and export more local goods,” Ong said, as quoted by Bernama, Malaysia’s national news agency.
“If the agreement is signed, we will enjoy zero taxes on imports from the EU,” he added, noting that the EU market represents a consumer base of 500 million from 28 countries.
Ong said the FTA would boost Malaysia’s economic growth and create new jobs, while also helping local online businesses and strengthening foreign investment inflows.
Malaysia and the EU first explored the possibility of an FTA in 2010, but froze talks last year as both sides wanted to conduct further review of the terms of the proposed agreement.
Photo: View on Petronas Towers
