The necessary transition

SGGP 20/08/2023 06:49

Japan will cooperate with ASEAN member countries to promote the digital transformation of import and export activities, thereby facilitating bilateral trade.

Japan and ASEAN promote digital transformation in the trade sector. Photo: VIR

According to Nikkei Asia, the two sides will agree on a digital roadmap as part of an action plan at the Japan-ASEAN Economic Ministers' Meeting, within the framework of the ASEAN Economic Ministers' Meeting, scheduled to take place in Indonesia at the end of August 2023.

This roadmap will be implemented through the digitalization of bilateral trade promotion activities, as well as customs procedures in each country, thereby promoting transparency and efficiency in trade processes between Japan and ASEAN. In addition, the application of technology and digitalization will help simplify customs procedures, reduce administrative burdens, and improve overall trade.

ASEAN data shows that trade between Japan and ASEAN countries reached US$240.2 billion in 2021, a 17.2% increase compared to 2020, but most transactions remain constrained by numerous documents and procedures such as certificates of origin and payment information.

The process of converting document formats to conform to the standards of different businesses and countries also complicates matters. If the above roadmap is approved, private service companies specializing in supporting trade exchanges in Japan and ASEAN will be able to easily connect data, helping to overcome procedural difficulties in bilateral trade activities. The Japanese Ministry of Economy, Trade and Industry (METI) plans to provide 1.5 billion yen (US$10.3 million) in funding in the next fiscal year to support the expansion of private sector services, facilitating the rapid and efficient promotion of cross-border services.

According to the World Economic Forum, ASEAN's digital economy is projected to add approximately US$1 trillion to the region's gross domestic product (GDP) over the next 10 years.

This sector will continue to be a key driver of ASEAN's integration and transformation into a unified market, and a crucial element in promoting trade and investment between ASEAN and its partners, including Japan.

Source: https://www.sggp.org.vn/buoc-chuyen-doi-can-thiet-post702280.html