ASEAN to sign free trade agreement with Hong Kong

FTA will expand ties with regional economic bloc.

Leaders of the Association of Southeast Asian Nations (ASEAN) meeting yesterday and today in Brunei will approve a decision by their economic ministers to expand trade ties with Hong Kong.

ASEAN consists of Singapore, Thailand, Malaysia, Vietnam, the Philippines, Brunei, Cambodia, Indonesia, Laos and Myanmar. The first five countries are among Hong Kong's top 20 trading partners.

An ASEAN statement welcomes the decision of the ASEAN economic ministers to pursue closer economic engagement with Hong Kong through an ASEAN-Hong Kong Free Trade Agreement.

The statement was prepared by senior officials and will be issued by the leaders on Thursday, although it could be changed before then.

ASEAN was Hong Kong's second biggest trading partner in 2011 after mainland China, figures from the territory's trade and industry department website showed.

The average annual growth rate in bilateral trade between Hong Kong and ASEAN was 7.0% from 2007 to 2011.

Bilateral trade rose 10% to US$94.0 billion in 2011 from US$85.4 billion year-on-year.