What is the Regional Comprehensive Economic Partnership (RCEP)?
The Regional Comprehensive Economic Partnership (RCEP), known in Vietnamese as Hiệp định Đối tác Kinh tế Toàn diện Khu vực, is a landmark Free Trade Agreement (FTA) that brings together the 10 ASEAN Member States and five key ASEAN FTA partners: Australia, China, the Republic of Korea, Japan, and New Zealand. This extensive agreement, an ASEAN-led initiative launched in 2012, aims to consolidate existing ASEAN+1 FTAs into a single, unified multilateral framework. Signed on November 15, 2020, and entering into force on January 1, 2022 (including for Vietnam, which was among the first to ratify), RCEP’s primary goals are to establish the world’s largest economic bloc, covering approximately 30% of global GDP and population, and to simplify trade procedures through a harmonized Rules of Origin system, thereby strengthening regional economic integration and ASEAN’s central role. Although India was an original negotiating member, it withdrew in 2019, but the agreement remains open for its future accession.
What does the RCEP Agreement cover?
The RCEP Agreement is a comprehensive and modern Free Trade Agreement (FTA) structured into 20 Chapters and various related Annexes. These chapters address a wide array of trade and economic areas, including trade in goods and services, investment, intellectual property, e-commerce, and customs procedures, ensuring a broad scope for regional economic integration.
| Chapter | Title | Main Content |
|---|---|---|
| 1 | Initial Provisions and General Definitions | Scope; objectives; and key definitions. |
| 2 | Trade in Goods | Tariff reduction and elimination. |
| 3 | Rules of Origin | Establishment of a harmonized origin system and self-certification mechanism. |
| 4 | Customs Procedures and Trade Facilitation | Simplified procedures and expedited customs clearance. |
| 5 | Sanitary and Phytosanitary Measures (SPS) | Ensuring food safety and plant/animal health standards. |
| 6 | Standards; Technical Regulations; and Conformity Assessment Procedures (TBT) | Reducing unnecessary technical barriers to trade. |
| 7 | Trade Remedies | Rules on anti-dumping; countervailing; and safeguard measures. |
| 8 | Trade in Services | Market opening and rules on national/MFN treatment. |
| 9 | Investment | Protection and liberalization of investment. |
| 10 | Movement of Natural Persons | Facilitating temporary entry for service suppliers and business visitors. |
| 11 | Intellectual Property | Protection of intellectual property rights (focusing on core standards). |
| 12 | Electronic Commerce | Legal framework for e-commerce and online consumer protection. |
| 13 | Competition | Prohibiting monopolistic and anti-competitive practices. |
| 14 | Small and Medium Enterprises (SMEs) | Promoting SME participation in regional trade. |
| 15 | Economic and Technical Cooperation | Technical assistance for developing countries. |
| 16 | Government Procurement | Promoting transparency in public procurement information. |
| 17 | General Provisions and Exceptions | National security; environmental; and other general exceptions. |
| 18 | Institutional Provisions | Establishment of the RCEP Joint Committee. |
| 19 | Dispute Settlement | Mechanism for resolving disputes among member states. |
| 20 | Final Provisions | Rules on signing; ratification; accession; and withdrawal. |
Where can I find official RCEP resources and implementation guidelines?
For businesses and individuals seeking official information and implementation guidelines on the RCEP Agreement, several reliable sources are available. The Vietnam FTA Portal, managed by the Ministry of Industry and Trade (MOIT), serves as the primary government resource, offering the full RCEP Agreement in both Vietnamese and English, alongside detailed market access schedules. Additionally, the Ministry of Industry and Trade’s Import and Export Department provides specific circulars and guidelines on RCEP Rules of Origin (e.g., Circular No. 05/2022/TT-BCT), while the Ministry of Finance’s General Department of Customs issues Government Decrees on Vietnam’s preferential import tariff schedules and customs clearance instructions. The Vietnam Chamber of Commerce and Industry (VCCI) – WTO and Integration Center also publishes practical guides and handbooks to assist enterprises in effectively leveraging the agreement.
