Ensuring better access for EU exporters to the dynamic ASEAN market is a priority for the EU. Negotiations for an EU-ASEAN trade and investment agreement between the regions started in 2007 and were interrupted by mutual agreement in 2009 to become a bilateral negotiating format. The EU was Malaysia`s third largest trading partner in 2016, after China and Singapore. In 2016, trade with the EU increased by 0.4% to .RM 149.1 billion. She said that 1.4% of the 4.4% share of total trade in palm oil products between the EU and Malaysia was destined for biodiesel, with EU palm oil imports stable in recent years. A free trade agreement (FTA) is an international agreement between two or more countries aimed at reducing or reducing barriers to trade and bringing economic integration closer together. Merchandise trade between the EFTA states and Malaysia amounted to $1.64 billion in 2019. Exports from EFTA countries, totaling $814 million, consisted mainly of pharmaceuticals and machinery. She worries that Malaysia could be a “missing link” in the region if this prudent trade policy is maintained, as will soon be the Bloc or in FTA talks with Indonesia, Thailand and the Philippines.
To learn more about merchandise trade between Efta and Malaysia, click here. Although the EU-Malaysia FTA negotiations are frozen, a Sustainability Impact Assessment (SIA) has been launched to support the FTA negotiations between the two partners.