ASEAN Economic Community update | KPMG | GLOBAL

ASEAN Economic Community update

ASEAN Economic Community update

The ASEAN Economic Community—AEC—is not intended to be a customs union. Rather, while goods can move freely within the 10 member states, each country will determine its external tariff policy with respect to non-member countries.


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The AEC will remain a work-in-progress beyond 2015, as it involves many separate agreements that will require negotiations beyond 2015. 

Status update

The following points provide a brief status update of AEC initiatives: 

  • Customs duty elimination / reduction – Largely completed under the ASEAN trade-in-goods agreement (except for certain “sensitive” goods)
  • Rules of origin – Completed with periodic review
  • Elimination of non-tariff barriers – In process
  • Customs integration – In process
  • ASEAN “single window” – In process
  • Harmonisation of industry technical standards – In process


Read a November 2015 report prepared by the KPMG member firm in Singapore: What the AEC 2015 target means for businesses in ASEAN?


For more information, contact a professional with KPMG’s Trade & Customs practice:

Douglas Zuvich | +1 (312) 665-1022 |

Andrew Siciliano | +1 (631) 425-6057 |

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