Prime Minister Lee, Prime Minister Prayut, Secretary-General, I am delighted that despite a very busy week here in Brussels, we have found a moment to talk. As a long-standing supporter of ASEAN integration, the European Union is committed to strong relations with ASEAN.

Almost one year ago we met at the EU-ASEAN commemorative Summit and East Asia Summit in Manila to celebrate 40 years of bilateral relations. The overall geopolitical context has changed substantially since then – both in Europe and in Southeast Asia.  

Today, ASEAN and the European Union have a responsibility to put all our energy, influence and power to support the rules-based international order and the multilateral trading system. We are committed to working together to counter protectionism and modernise the World Trade Organisation.

In Manila, we agreed to accelerate efforts towards a Strategic Partnership between the EU and ASEAN by strengthening all areas of dialogue and cooperation. We will use the meeting today to seek greater engagement on trade and investment, rules-based and sustainable connectivity, climate change, and more security cooperation. It is also a priority for the EU to enhance our relations further, on the basis of common interests and shared values of democracy, human rights and rule of law.

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The agreements signed today are the EU-Singapore Trade Agreement, the EU-Singapore Investment Protection Agreement and the Framework Agreement on Partnership and Cooperation.

President of the European Commission Jean-Claude Juncker said: “The signature of the EU-Singapore agreements is another strong message by like-minded partners to defend and promote an international system that is based on rules, on cooperation, and on multilateralism. The trade agreement will open up new opportunities for European producers, workers, farmers and consumers, mirroring what this Commission has delivered with other like-minded partners across the world, whilst our collective resolve to tackling global challenges will be strengthened through political dialogue.”

Federica Mogherini, EU High Representative for Foreign Affairs and Security Policy/Vice-President of the European Commission, said: “The European Union partners with Singapore not only for our growing economic links, but as a key player in the region and beyond. This Partnership and Cooperation Agreement will enable us to strengthen the joint work we are already doing, from countering climate change to tackling organised crime. Today’s significant step forward in our bilateral relations will have a positive impact on our citizens and on the regions beyond our borders.” 

Cecilia Malmström, Commissioner for Trade, said: “These agreements with Singapore – our biggest trading partner in the region – are another landmark for the EU. As the first of such agreements between the EU and a member of the Association of Southeast Asian Nations, they will open up vast new opportunities for our exporters. These deals, as all our recent ones, go beyond economic considerations and demonstrate a strong commitment to promoting human and labour rights and to protecting the environment. In this difficult period on the world stage, we need strong allies such as Singapore in order to uphold the rules-based global trade system.”

Within the ASEAN bloc of nations, Singapore is by far the EU’s largest partner with a total bilateral trade in goods of €53.3 billion (2017) and in services of €44.4 billion (2016). Over 10,000 EU companies are established in Singapore and use it as a hub to serve the whole Pacific region. Singapore is also the number one location for European investment in Asia, with investment between the two growing rapidly in recent years: bilateral investment stocks reached €256 billion in 2016.

The trade agreement with Singapore will remove nearly all remaining tariffs on certain EU products, simplify customs procedures and set high standards and rules. It simplifies trade in goods like electronics, food products and pharmaceuticals, while stimulating green growth. It opens up the market for services like telecommunications, environmental services and engineering. It also includes a comprehensive chapter on trade and sustainable development, setting the highest standards of labour, safety, environmental and consumer protection, as well as strengthening joint actions on sustainable development and climate change.

The Investment Protection Agreement contains all aspects of the EU’s new approach to investment protection and its enforcement mechanisms. It will ensure a high level of investment protection, while safeguarding the EU’s and Singapore’s rights to regulate and pursue public policy objectives such as the protection of public health, safety and the environment.

The trade and investment agreements represent the first building block towards a future region-to-region agreement between the EU and ASEAN.

The Framework Agreement on Partnership and Cooperation, signed by the High Representative/Vice-President Federica Mogherini and her counterpart, the Minister of Foreign Affairs of Singapore, Vivian Balakrishnan, will allow the EU and Singapore to strengthen political, economic and sectoral cooperation across a wide range of fields, including environment, climate change, energy, education and culture, employment and social affairs, science and technology, transport, counter terrorism and the fight against organised crime. It will enhance cooperation on global challenges, where both Singapore and the EU play an increasingly important role, and will help address them in a more coherent way. The Agreement establishes a Joint Committee, which will ensure the proper functioning and implementation of the Agreement.

The Partnership and Cooperation Agreement with Singapore is the fourth such agreement signed with an ASEAN country, following the agreements with Indonesia, the Philippines and Vietnam. It will supersede the current legal framework of the 1980 Cooperation Agreement between the European Economic Community and member countries of ASEAN.

Next steps

The trade and investment agreements will be sent to the European Parliament for consent. The trade agreement could then enter into force before the end of the current mandate of the European Commission in 2019, while the investment protection agreement will also follow ratification procedures at Member States level. The Partnership and Cooperation Agreement will need to be ratified by EU Member States and submitted to the European Parliament before it enters formally into force. 

For More Information

Delegation of the European Union to Singapore

The trade and investment agreements between the EU and Singapore

Mission of the European Union to ASEAN

Factsheet on EU-ASEAN relations

Jean-Claude Juncker, President of the European Commission and Donald Tusk, President of the European Council, represented the European Union at the Summit. The Republic of Korea was represented by its President, Moon Jae-in. The EU High Representative for Foreign Affairs and Security Policy/Vice-President of the European Commission, Federica Mogherini and EU Trade Commissioner Cecilia Malmström also participated, alongside several Ministers from the Republic of Korea.

“In 2011, the EU agreed its first Free Trade Agreement with an Asian country. That country was the Republic of Korea”, said President Jean-Claude Juncker. “The beneficiaries of this agreement have been our citizens and our businesses, but if our trade relationship is to reach its full potential, we need to ensure that it is being implemented properly. At the same time, we must continue to dispel the notion that protectionism protects, continue to invest in multilateralism, and continue to increase our cooperation in sustainable development and the implementation of the Paris climate agreement. I am confident that in the years to come, our relations will be even more dynamic and our ties even stronger than now.”

Presidents Juncker, Tusk and Moon committed to further develop the EU-Republic of Korea Strategic Partnership, which is underpinned by three concrete pillars: an enhanced Partnership and Cooperation Agreement; an ambitious Free Trade Agreement; and a Framework Participation Agreement for EU crisis management operations. The Summit provided an opportunity to explore further areas for cooperation within the Strategic Partnership.

Discussions focused on the situation on the Korean Peninsula, the broader situation in the world, and trade relations. The Summit also provided an opportunity for the initialling, by the European Commission and the Republic of Korea, of a Horizontal Aviation agreement and the signing of a Joint Statement committing to work closely together to fight against Illegal, Unreported and Unregulated fishing.

Jointly addressing global challenges

The EU and Korea are united by common values of democracy, human rights and the rule of law. The Leaders reaffirmed their strong commitment to multilateralism and the international rules-based order, politically and economically, while also supporting global action on climate change and the environment. The EU and Korea will continue promoting free, fair and rules-based trade, modernising the WTO-based multilateral trading system, and maintaining international cooperation against protectionism.

The Leaders discussed a number of pressing issues on the global agenda, chief among them prospects for achieving lasting peace and security on a Korean Peninsula free of nuclear weapons and finding a comprehensive solution through diplomacy, while fully implementing the relevant UNSC Resolutions. The EU supports the Republic of Korea’s efforts and diplomatic initiatives, in particular the three inter-Korean Summits and the US-DPRK Summit, and the implementation of their outcomes. The EU sees the development of inter-Korean relations, the denuclearisation of, and the establishment of a peace regime on the Korean Peninsula as vital for peace and security not only in East Asia, but for the entire world. In this context, the EU stressed the requirement for the Democratic People’s Republic of Korea (DPRK) to completely, verifiably and irreversibly dismantle all its nuclear and other weapons of mass destruction, ballistic missiles and related programmes and facilities.

The EU and the Republic of Korea reiterated their commitment to maintaining close coordination on foreign and security issues. In the field of crisis management, the EU and the Republic of Korea will continue the good cooperation under the EU-Republic of Korea Framework Participation Agreement, through which the Republic of Korea has regularly contributed to the EU’s naval counter-piracy operation off the coast of the Horn of Africa, EU NAVFOR Atalanta. Similarly, they discussed and agreed to cooperate more closely on implementing the 2030 Agenda for Sustainable Development and achieving its Sustainable Development Goals, and will bolster their bilateral policy dialogue on international development issues and promote joint cooperation in areas and third countries of mutual interest, notably in Asia and Africa.

Expanding the bilateral agenda to bring further benefits to citizens

The leaders recalled that the EU-Republic of Korea Free Trade Agreement has been an economic success that has increased wealth on both sides. The EU is Korea’s 3^rd largest trading partner and Korea the EU’s 8^th largest; annual trade in goods between the EU and Korea is now worth about €100 billion. With that in mind, the leaders exchanged views on how to ensure that our citizens and businesses can reap the full benefits of the agreement. The EU highlighted several important issues: for example, ensuring the full implementation of the long-standing, binding labour commitments under the Trade and Sustainable Development Chapter; opening the Korean market to EU beef from all EU Member States; and fully implementing commitments in the area of intellectual property rights, including protecting new Geographical Indications.

The Summit also provided an opportunity for the European Commissioner for Environment, Maritime Affairs and Fisheries, Karmenu Vella, and Kim Young-Choon, Minister for Oceans and Fisheries of the Republic of Korea to sign a joint statement committing to work closely together to fight against Illegal, Unreported and Unregulated fishing.  The Republic of Korea is the fourth country with whom the EU signs such a joint statement as part of its efforts to tackle the most serious threats to sustainable fishing and to marine biodiversity in the world’s oceans, with devastating environmental and socio-economic consequences. The new partnership, in line with the objectives of the EU’s Ocean Governance strategy, will help exchange information about suspected Illegal, Unreported and Unregulated activities, enhance traceability of fishery products and promote sustainable fishing through education and training.

Excellent progress has been made in the area of transport, where this week the European Commission and the Republic of Korea initialled a Horizontal Aviation Agreement on certain aspects of air services. The agreement will restore legal certainty to all 22 bilateral air services agreements that the Republic of Korea has with EU Member States by bringing these into conformity with EU law. The number of passengers travelling directly between the Republic of Korea and the EU has grown on average 10.1% over the past five years, totalling 3.4 million passengers in 2017. Currently, direct passenger flights are operated between 10 EU Member States and the Republic of Korea. The Horizontal Aviation Agreement reflects this growth in the EU-Republic of Korea aviation market and should serve as a catalyst for increased flows. More information is available online.

Leaders also stressed their commitment to implementing the Paris climate agreement. To translate this political commitment into concrete projects, the EU has set up a platform to exchange best practice on climate action and support the implementation of the Korean Government’s Emissions Trading System (ETS) to reach the goals of the Paris Agreement. The EU’s Partnership Instrument also financially supports exchanges of cultural practitioners and artists from both the EU and Korea, economic cooperation between companies, as well as the promotion of research and teaching on EU-related issues in Korea, adding to the overall breadth of the relationship.

Further Information

EU-Republic of Korea Summit website

EU-Republic of Korea relations factsheet

Delegation of the European Union to the Republic of Korea website

Support to the EU-Republic of Korea Strategic Partnership under the Partnership Instrument