34

Question 34

Consider the following countries:
1. Australia
2. Canada
3. China
4. India
5. Japan
6. USA
Which of the above are among the 'free-trade partners' of ASEAN?

AOptions

A
A) 1, 2, 4 and 5
B
B) 3, 4, 5 and 6
C
C) 1, 3, 4 and 5
D
D) 2, 3, 4 and 6

BSolution

ASEAN (Association of Southeast Asian Nations) has established Free Trade Agreements (FTAs) with several key dialogue partners. These are often referred to as ASEAN Plus One FTAs, and include:

  • Australia: Part of the ASEAN-Australia-New Zealand Free Trade Area (AANZFTA).
  • Canada: While Canada has engagement with ASEAN, it is not currently one of ASEAN's established 'free-trade partners' in the same comprehensive way as the others listed, though discussions for an FTA are ongoing.
  • China: Part of the ASEAN-China Free Trade Area (ACFTA).
  • India: Part of the ASEAN-India Free Trade Area (AIFTA).
  • Japan: Part of the ASEAN-Japan Comprehensive Economic Partnership (AJCEP).
  • USA: The United States does not have a comprehensive free trade agreement with ASEAN as a bloc, although it has bilateral trade agreements with individual ASEAN member states.

Therefore, among the given options, Australia, China, India, and Japan are among the 'free-trade partners' of ASEAN.

Diagram for Q34

CStrategy

For questions on international economic groupings and trade agreements, it is essential to be aware of the key members and significant trade partners of major blocs like ASEAN. Memorizing the major 'Plus One' FTA partners for such blocs is a common requirement.

DSyllabus Analysis

This question falls under International Relations (International Economic Organizations) and Indian Economy (International Trade and Agreements).

EQuestion Analysis

Difficult. Requires specific knowledge of ASEAN's established FTA partners.