Oleh/By : DATO' SERI DR. MAHATHIR BIN MOHAMAD
Tempat/Venue : THE PUTRA WORLD TRADE CENTRE,
KUALA LUMPUR
Tarikh/Date : 19/07/91
Tajuk/Title : THE OPENING CEREMONY OF THE 24TH
ASEAN MINISTERIAL MEETING
On behalf of the Government and the people of Malaysia
I bid you 'Selamat Datang' to Kuala Lumpur for the 24th
ASEAN Ministerial Meeting. Malaysia is indeed honoured to
host this annual event again after six years. I hope your
deliberations will result in new consensus and achievements
that will further strengthen our association.
2. I would also like to extend a warm welcome to their
Excellencies the Deputy Prime Minister of the Soviet Union
and the Foreign Minister of the People's Republic of China
who are attending the ASEAN Ministerial Meeting for the
first time. We are indeed delighted to have both of you as
Malaysia's honoured guests. Your presence at this meeting
is indeed a clear reflection of the importance you attach to
ASEAN as a regional association. Now that ASEAN and the
Soviet Union as well as ASEAN and China have decided to sit
together in conference, the ideological barriers between us
have been overcome. There is, however, the psychological
barrier to cross, so let us work together towards more
fruitful relations between us in the interest of peace and
security in the Asia-Pacific region.
3. We meet here at a momentous time in the history of the
world in which events at the closing years of this century
will rewrite the equation of political and economic balance
in the emerging new world order. No other period during
this century holds such promise of reconciliation and coop-
eration, for with the end of the Cold War the age of East-
West division has ended. Unfortunately new uncertainties
have arisen which threaten to erode the open global trading
system.
4. While we applaud the reduction in East-West tensions
and the dramatic speed at which the socialist countries have
opted for democracy and the free enterprise system, we view
with disquiet and growing concern the trade disputes between
the economic super-powers -- the United States, Japan and
the European Community. Another political and economic re-
ality of the world today is the trend towards closed
regionalism. Managed trade, bilateralism and trading based
on reciprocity endanger the open multilateral trading sys-
tem, and consequently the growth of world trade.
5. The stalemate of the Uruguay Round, the growing compe-
tition for market access and new adverse trade practices are
ominous signs that discriminative economics and exclusionary
trading policies will characterise the relations between the
groupings of the developed world as well as between the de-
veloped and the developing world.
6. The economies of ASEAN and the many developing nations
which are so dependent upon the open trading system are
threatened by the new waves of protectionism. It is to de-
fend the open multilateral trading system that the formation
of an East Asia Economic Group (EAEG) has been proposed.
The EAEG mirrors our basic belief in close consultation and
cooperation between regional countries for the common good.
It also reflects ASEAN's concern over the spread of regional
trading blocs and constitutes a realistic approach to
counter the adversarial and protectionistic stance adopted
by some countries and economic groups which is putting the
multilateral trading system in jeopardy.
7. Let me stress that the EAEG is not a trade bloc but the
concept is that of a loose consultative forum comprising
countries in East Asia. The EAEG will provide ASEAN and
other East Asian countries the leverage and a platform to
act in concert and speak with one voice with regard to any
trade problems or trade-related issues that affect us di-
rectly or indirectly. It will not work to restrict or con-
strict trade. On the contrary, its imperatives will be the
defence and maintenance of free trade and expansion of eco-
nomic relations between regional countries as well as with
those outside the region.
8. The ASEAN experiences have shown that when countries in
a region consult and cooperate, their chances of stability
and success are greater. It is no accident that the ASEAN
countries have such good records of economic growth and pol-
itical stability. Clearly an extension of such consultation
and cooperation to encompass the countries of East Asia will
have the same effect. Not only will the Zone of Peace,
Freedom and Neutrality (ZOPFAN) be served but by helping the
weaker economies of East Asia to grow, intra-regional trade
will grow and the problems of economic migration resolved.
9. ASEAN and the other East Asian countries, whether eco-
nomically strong or weak, need an anchor to weather and
withstand the adverse trade winds which are blowing. A
strong and united ASEAN, politically as well as econom-
ically, can bring the EAEG into shape and make it work for
the positive benefit of all. The EAEG would be ASEAN's con-
tribution to the maintenance of an open global trading sys-
tem.
10. The West tells us that democratic freedom and human
rights are fundamental for the achievement of economic and
social development. We in ASEAN never disputed that democ-
racy for the people and opportunity for the individual to
develop his or her own greatest potentials are indeed impor-
tant principles. We disagree, however, that democracy has
only one definition or that political systems qualify as
democratic only when they measure up to certain particular
yard-sticks. Similarly, the norms and precepts for the
observance of human rights vary from society to society and
from one period to another within the same society.
11. Therefore, when the issue of human rights are linked to
trade, investment and finance we cannot but view them as
added conditionalities and protectionism by other means. We
question whether the motivations have not in fact been poli-
tical and self-serving. Malaysia now faces a petition by
the International Labour Rights, Education and Research
Funds (ILRERF) to withdraw our trade privileges under the
United States GSP. They say Malaysia has violated workers'
rights and freedoms. This is not the first of such pe-
titions and will not be the last. The American Federation
of Labour -- Congress of Industrial Organisation (AFL-CIO)
mounted similar petitions before. These labour
organisations may seem to be concerned with the welfare of
our workers but should their petitions result in the with-
drawal of GSP privileges, the net result will be to reduce
investments in our country and create unemployment among the
workers. We should recognise their actions for what they
really are.
12. Governments in developing countries constantly face the
problem of securing a fine balance between the need to en-
sure national economic development and the kind of individ-
ual and group disruptive activities which tend to
destabilise society and inhibit growth. Nobody can claim to
have the monopoly of wisdom to determine what is right and
proper for all countries and peoples. It would be
condescending, to say the least, and suspect for the West to
preach human rights to us in the East.
13. In the ASEAN experience, we have learnt that both at
the national and regional levels, peace and security, democ-
racy and freedom as well as stability are possible and
sustainable only when the people are free from economic de-
privation and have a stake in the national life. Rightly,
ASEAN countries have placed a high premium on political sta-
bility by managing a balance between the rights of the indi-
vidual and the needs of the society as a whole. This has
enabled the ASEAN countries to make great strides in the
socio-economic advancement of their peoples. It has also
enhanced the resilience of individual countries and the
ASEAN region as a whole. However, ASEAN needs to do more.
14. ASEAN is 24 years old this year. It is cohesive,
united by shared geography, common goals and economic
dynamism. It is today much envied by many. Its success in
providing a climate of peace and stability has enabled its
member states to concentrate on economic development, re-
sulting in our economies being among the fastest growing in
the Asia- Pacific region. We achieved a growth rate of
about 8 per cent in 1990, a record that we are all proud of
and must strive to maintain, if not to improve.
15. However, we cannot be content with the present level of
ASEAN cooperation: ASEAN has a greater role to play in
international relations and in promoting intra-ASEAN eco-
nomic cooperation. ASEAN must proceed to a higher plane of
cooperation, collective action and self-reliance in order to
have an effective voice in international, inter-regional and
multilateral fora.
16. It is only a strong and united ASEAN which can exert
its collective weight and voice to ensure that justice,
fair-play and even-handedness continue to be the guiding
principles in the construction of the new international pol-
itical and economic order. It is only a strong and united
ASEAN which can contribute towards shaping that new order.
17. While regional peace and security are essential precon-
ditions for our economic growth, the new world order which
we should strive for is not only one that is free from the
threat of war but it should also be a world free from pov-
erty, hunger and diseases as well as an order which promotes
equal economic opportunity and easy access to modern tech-
nology for all countries and peoples. And, most important
of all, it should be a world order which recognises that
countries and peoples can and must be allowed to maximise
their national political, economic and social potentials in
ways compatible with their historical, cultural and national
circumstances.
18. It is from a strong ASEAN base that we should approach
the question of peace and security of our immediate wider
environment in the Asia-Pacific region. ASEAN has already
made its mark in terms of geo-politics. The relevance of
ASEAN for our regional existence as well as in international
affairs has been proven beyond doubt. It is equally impor-
tant that we should make ASEAN relevant in terms of geo-
strategy. A new strategic environment is clearly developing
in the Asia-Pacific region following the effective ending of
super-power rivalry in the area, but the shape of new things
to come is yet unclear. This is for the ASEAN countries to
study and assess together so that an effective and positive
ASEAN contribution to peace and security in the Asia Pacific
region can be made.
19. In Southeast Asia itself, it is time for ASEAN to con-
sider how the non-ASEAN states of the region can now be
brought into the regional mainstream. The ZOPFAN Declara-
tion of 1971 was an acceptance on the part of all member
states of ASEAN of certain basic principles of intra-
regional relations. The Declaration also provided the guid-
ing principles for extra-regional interstate relations. The
Treaty of Amity and Cooperation of 1976 elaborated on these
principles and invited acceptance of them by others in the
region. Regionalism in Southeast Asia has to be brought to
a higher plane from the process of communication and consul-
tation to that of conscious and organised interdependence
between all the regional states. Just as ASEAN provides for
politico-economic interdependence, I believe the relevant
elements of ZOPFAN and the Treaty of Amity and Cooperation
can provide the structured politico-security framework for
that organised interdependence between all Southeast Asian
states.
20. A rapid pace of economic development requires an envi-
ronment of peace and security. For so long as the Cambodian
problem remains unresolved, it will continue to affect the
peace and security of the region. Much honest efforts have
been made to find a durable solution. Urgent matters on the
international economic agenda requires our full attention.
A Cambodia continuing to be at war will not only mean unend-
ing misery and suffering for its people but also affect the
progress of the region.
21. At a time when regionalism is beginning to assume new
importance in international economic affairs, we cannot af-
ford to have the continuing division and the separation of
the Indochina countries from the rest of South East Asia. A
Cambodia mired in perpetual turmoil while the other parts of
the region and the rest of the world passes them by is a
possible scenario, but we wish to prevent that from happen-
ing. However, in order to enable them to integrate into the
regional life, Cambodians must first find peace among them-
selves. We are therefore much encouraged by the unanimous
election of His Royal Highness Prince Sihanouk as the Presi-
dent of the Supreme National Council. We are confident un-
der his wise leadership, the Cambodian parties would be able
to achieve national reconciliation and reach agreement of a
comprehensive political settlement.
22. There is no doubt that in the area of political and
diplomatic cooperation ASEAN has made an international im-
pact. But our performance on the economic front requires
substantial upgrading. For more than ten years now, ASEAN's
collective energy has been concentrated on finding a sol-
ution to the Cambodian problem. While we should continue to
persevere until a solution is found, it is timely to give
proper attention to economic matters. We need to refocus
our economic cooperation, both internal and external, on
those crucial areas that really matter. There must be new
initiatives and ideas to step up economic cooperation, to
give our economic front sufficient leverage, as well as to
consolidate and upgrade our present cooperation.
23. While ASEAN should not be a trading bloc and each ASEAN
country must remain free to trade with other nations, in-
creasing steps should be taken to increase regional inte-
gration. We should be bold enough to examine specific areas
where there can be greater regional integration, as for in-
stance intra-regional trade.
24. ASEAN's experience in the last world-wide economic
slowdown of 1985-1987 period was a painful one. But it was
a lesson well learnt. It is imperative that ASEAN pools its
resources and collectively create a conducive economic cli-
mate in the region for renewed and enhanced growth. An
ASEAN supported by economic strength will have a stronger
voice in international negotiations for fairer trade terms
with the developed countries.
25. To-date our volume of intra-regional trade and invest-
ments remains small. The volume of intra-ASEAN trade re-
mains at a low 20 per cent of ASEAN's total trade despite an
increase in the number of products under the ASEAN Preferen-
tial Trading Arrangement. We cannot continue with the
piece-meal approach to trade liberalisation among ourselves.
I support, therefore, the recent proposal made by Prime
Minister Anand of Thailand that we work towards the estab-
lishment of an ASEAN Free Trade Area sometime by the turn of
the century.
26. I see merit in establishing an ASEAN Free Trade Area
although there are many structural factors that inhibit our
economic integration, such as our different levels of eco-
nomic development, our competing economies, our lack of in-
dustrial complementation and our frequently divergent
perceptions of short and long-term benefits both for the in-
dividual nation and the region. I appreciate that these are
hard issues and harder still to make the choices. But make
them we must if ASEAN wishes to be counted as an economic
force in her own right.
27. Our economies, having registered some of the fastest
growth rates in the Asia-Pacific region, will continue to
grow, perhaps at a slower rate in view of the poor interna-
tional economic climate. The future of the international
trading system may be uncertain, but we are quite certain
that the ASEAN economies will grow from strength to
strength. Therefore, the factors which inhibit integration
will no longer be so formidable or even relevant by the
first quarter of the 21st century. By then, the economic
disparity between ASEAN member states will have narrowed
considerably, external and internal markets for ASEAN pro-
ducts would have expanded thus making the problem of compet-
ing economies less relevant.
28. Much as we need vision and foresight to chart the di-
rection for ASEAN's future growth, we need more the courage
and collective will of all to set our objectives on course
and the achievement of these objectives within a time frame.
We should set our minds to achieve what is, after all, quite
possible.
29. As a start and for which we are already doing, albeit
not in the pace that we should, there is the urgent need to
liberalise our trade substantially within the grouping.
Trade liberalisation will not only bring our economic coop-
eration to a higher plane, it will also reinforce our trade
links with other countries and regions. We should
strengthen our political cooperation by economic means.
There is much room to increase trade flows, to create a
larger market for complementary industrial ventures, to en-
courage greater private sector participation and to widen as
well as give more impetus to ASEAN industrial joint ven-
tures.
30. Just as we ask our trading partners to heed our call
for a fairer and equitable trade terms, we have to demon-
strate positive efforts of our own. I am quite certain that
a liberalised ASEAN trading area will be a source of
strength for us in the wider multilateral trading environ-
ment.
31. When we advocate a more economically integrated ASEAN,
no one should mistake it as an idea to make ASEAN a trading
bloc. Far from it. The outward dependence and orientation
of our economies make it impossible for us to be self-
contained or inward-looking. It would be illogical for us
to abandon the multilateral trading system under which ASEAN
economies have prospered. Consistent with our dependence on
the open international trading system and multilateralism,
ASEAN cannot but defend and seek to preserve them.
32. Much has been said about the need to revamp the ASEAN
Secretariat. There is now consensus to restructure and
strengthen the Secretariat to enable it to step up
programmes for intra-regional as well as extra-regional eco-
nomic cooperation. But consensus must readily be turned
into reality. It is in ASEAN's interest to be innovative,
to improve its coordination and to accelerate the process of
decision-making in the light of rapid changes in global eco-
nomic conditions. A strong and effective Secretariat is a
necessity to bring about changes in the methods and increase
in the substance of ASEAN economic cooperation. Your task
is to determine how best the ASEAN institutional machinery
and in particular the ASEAN Secretariat is to be improved
bearing in mind the requirements of the Association in the
future.
33. A strong and effective ASEAN Secretariat will pave the
way towards making ASEAN more economically integrated. It
is therefore essential that we work towards making ASEAN
more viable and relevant in the next century. It will
engender self-reliance and resilience, enabling ASEAN econo-
mies to sustain economic dynamism and to withstand economic
crises.
34. With the conviction that we are setting out on the
right course and with hope that you will conclude your de-
liberations on these pressing issues with speed and consen-
sus, I now have great pleasure to declare open the 24th
ASEAN Ministerial Meeting.
Thank you.
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