Quarterly newsletter with information on economic cooperation and integration in Asia from the GIZ programme Regional Economic Cooperation and Integration in Asia (RCI). In our newsletter we share information about our programme activities, and further input on the programme’s focus areas such as regionalism, trade facilitation and port cooperation in Asia.

1. Contact | Recommend this newsletter
Information on economic cooperation and integration in Asia
From the GIZ Regional Economic Cooperation and Integration in Asia Programme
Issue No. 3
November 2013
Editorial
Dear readers,
the third issue of
Connect Asia is out
and brings you an
overview of the
activities of the GIZ
RCI Programme and
delivers an update on
regional economic
cooperation and
integration processes
in Asia. Our current
edition highlights
activities in the field of Special Economic Zones, particularly with regard to
Cross-Border Economic Zones. Still regarded as policy instrument to foster
economic development and international cooperation, it has attracted much
interest especially in view of the successful implementations in East Asia.
Needless to say, this holds true in times of increasing intraregional trade and
investments in Asia.
As you can see from the News and Dates section of this newsletter, the
programme’s work will continue after the publication of this issue with two high-
profile events taking part in November on the topic of trade facilitation and port
cooperation in Bangkok, Thailand. If you require further information, as always
feel free to reach out and contact us.
Since this will be the last issue for this year, I would like to take the opportunity to
thank our subscribers and readers for their ongoing support. With an ever
growing base of subscribers I feel that there is a place for this newsletter and we
look forward to greet you again in 2014 and continue to provide you with
information on programme activities as well as a review on current trends in East
Asian regionalism.
We hope you enjoy reading this newsletter and we appreciate any
feedback and comments.
With the best wishes
Magnus C. M. Brod
Editor
Contents
Study Tour: Special Economic Zones
Workshop: Management of Cross-border Cooperation - EU Experiences
Roundtable: Special Economic Zones and Cross-border Economic Clusters
Conference: Triangular Cooperation in Southeast Asia
North-East Asia Forum on Trade Facilitation
Recent Trends in Asian Regionalism
Programme News
Dates and Events
14-15 November
Second Meeting of the Greater
Mekong Subregion Urban
Development Task Force
Kunming, PR China
Asian Development Bank (ADB)
www.adb.org/...
22 November
Workshop on City Logistics
Beijing, PR China
Deutsche Gesellschaft für
Internationale Zusammenarbeit
(GIZ) GmbH
Contact jingzhu.li@giz.de
26 November
Workshop: Port Cooperation in the
Pan-Beibu Gulf Region
Bangkok, Thailand
Deutsche Gesellschaft für
Internationale Zusammenarbeit
(GIZ) GmbH
Contact magnus.brod@giz.de
27 November
Annual Conference: Realizing an
Innovative, Inclusive, and
Integrated Asia and the Pacific
Tokyo, Japan
Asian Development Bank Institute
(ADBI)
www.adbi.org/...]
27-28 November
Expert Forum: Cross-border
Cooperation and Trade Facilitation
in Asia
Bangkok, Thailand
Deutsche Gesellschaft für
Internationale Zusammenarbeit
(GIZ) GmbH
Contact magnus.brod@giz.de
27-28 November
Workshop: Driving Change for
Sustainable Ports – Project Design
and Strategic Approach
Bangkok, Thailand
Deutsche Gesellschaft für
Internationale Zusammenarbeit
(GIZ) GmbH
www.sustainableport.org/...]
1-4 December
CSR Retreat Asia

2. Programme News
Special Economic Zones
Study Tour with Secretariat to the Lao National Committee for
Special Economic Zones
In light of ongoing negotiations
between the Lao PDR’s
government and the Chinese
provincial authorities of Yunnan to
set-up a cross-border economic
zone on the border of Boten,
Luangnamtha province (Lao PDR)
and Mohan, Yunnan province (PR
China), in the third quarter of 2013,
GIZ RCI in cooperation with the
Secretariat to the Lao National
Committee for Special Economic Zones (S-NCSEZ) conducted a study tour on
the topic of “Cross-border Economic Zones/Clusters” from 21 to 25 July 2013.
GIZ RCI Programme staff and Lao PDR’s representatives of line ministries,
which are involved in the CBEZ negotiations, visited Viet Nam and South China
to gain in-depth practical knowledge on relevant implications with regards to
conceptualization, implementation and management of CBEZs. Whilst the Dong
Dang – Pingxiang CBEZ of Vietnam in cooperation with PR China served as a
regional PBG best practice model, the meeting with representatives of the
Department of Commerce (DofCom) in Guangxi provided the delegates with the
opportunity to gain profound insights into the Chinese approach towards CBEZ.
Among the other institutions visited were the Central Institute for Economic
Management (CIEM) in Hanoi, the Department for Border and Mountainous
Trade of the Vietnamese Ministry of Industry and Trade (MoIT), the Dong Dang
– Lang Son Border Economic Zone Management Board, the Management of
Pingxiang – Dong Dang CBEZ as well as the China-Malaysia Qinzhou Industrial
Park.
A short documentation of the workshop which contains the event's main findings
and inputs is available for download: www.scribd.com/...
Contact: Lisa.Brueckner@giz.de
top
Regional Integration
Workshop: Project Management of Cross-border Cooperation-
European Experiences
On 7 and 8 August 2013, the
programme GIZ RCI Programme,
in cooperation with the Secretariat
of Pan-Beibu Gulf Economic
Cooperation (PR China) held a
workshop on "Project Management
of Cross-border Cooperation:
European Experiences" in
Nanning, PR China.
Cross-border cooperation is widely accepted to be of high importance in
Southeast Asia as it can increase economic activity in rural border areas and
thereby reduce disparities between states. The event brought together decision
makers from relevant ministries from Cambodia, Lao PDR, Viet Nam, Malaysia,
Thailand, Myanmar as well as the PR China to discuss European experiences
with local cross-border cooperation. For this purpose, GIZ RCI Programme
invited Mr. Jens Gabbe, former secretary general of the Association of
European Borders Regions (AEBR) and Mr. Steffen Rubach, managing director
of the EUREGIO “Salzburg-Berchtesgadener Land-Traunstein, to share their
valuable knowledge on successful management strategies of cross-border
projects. During the second day, opportunities and challenges of cross-border
cooperation in the region were debated by the participants.
A comprehensive documentation of the workshop which contains the event's
main findings and inputs is available for download: www.scribd.com/...
Contact Lisa.Brueckner@giz.de
top
Special Economic Zones
Roundtable on Special Economic Zones and Cross-border
Economic Zones
As follow-up to the successful study
tour in July 2013 as well as against
the background of manifold Special
Economic Zone (SEZ) approaches,
CSR Retreat Asia
Bangkok, Thailand
Deutsche Gesellschaft für
Internationale Zusammenarbeit
(GIZ) GmbH
www.emm-network.org/...
6 December
Launch of Study: Transparency in
Corporate Reporting: Assessing
Emerging Market Multinationals
Kuala Lumpur, Malaysia
Transparency International
www.transparency.org/...
December 2013 (tbc)
Conference: Provincial Public
Private Dialogue (PPPD)
Lao National Chamber of
Commerce and Industry
Contact Kirsten.Focken@giz.de
More on GIZ RCI Programme
Regional economic cooperation
and integration play an increasingly
important role in Asia’s economic
landscape. They help countries to
overcome the limitations of
domestic markets and foster
inclusive development, both by
boosting economic growth and by
providing the resources for pro-
poor policies. The GIZ RCI
Programme supports regional
stakeholders with the aim to
strengthen selected core
processes of regional economic
cooperation and integration and to
contribute to sustainable and
inclusive economic development in
the region. (GIZ RCI Programme
Leaflet)
Stay up to date with GIZ RCI
If you would like to continue
receiving regular updates on our
programme activities and further
insights on regionalisation
processes in Asia, please refer to
the GIZ Newsletter mainpage and
subscribe here.
Follow GIZ
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Follow @rci_asia
@rci_asia

3. which have evolved regionally and
world wide, GIZ RCI organized an
expert round table to provide
technical representatives of the S-
NCSEZ with in-depth knowledge on
the topic of Cross-border Economic
Zones (CBEZ) and SEZ in Beihai, PR China from 5 to 7 September 2013. While
CBEZs and SEZs bear great potential for economic development, an adequate
design, clear policy frameworks as well as sufficient regulatory and
administrative knowledge are crucial for the successful implementation of
national SEZ strategies.
Against this background, this expert knowledge exchange aimed at sharing
general and country-specific experiences about SEZ implementation strategies
and identifying possible solutions for Lao PDR’s development bottlenecks. Its
main purpose was to convey to the S-NCSEZ a clearer understanding of the
specific role of SEZ in economic development strategies and to strengthen their
capacities to effectively manage cross-border economic zones. In three
sessions the participants discussed achievements, but also challenges of their
national SEZ policy. Topics of particular interest were rules and regulations, SEZ
monitoring mechanisms, the division of responsibilities between national and
provincial level, and between government and management board as well as
labour skills development issues.
A comprehensive documentation of the workshop which contains the event's
main findings and inputs is available for download: www.scribd.com/...
Contact: Lisa.Brueckner@giz.de
top
Triangular Cooperation
Triangular Cooperation in Southeast Asia Conference
On September 19 and 20 2013
Thailand International Development
Cooperation Agency (TICA) under
the Ministry of Foreign Affairs of
the Kingdom of Thailand and the
Deutsche Gesellschaft für
Internationale Zusammenarbeit
(GIZ) GmbH on behalf of the
German Federal Ministry for
Economic Cooperation and
Development (BMZ) have jointly held the “Triangular Cooperation in Southeast
Asia” conference.
The conference brought together development professionals, officials and
researchers to present and discuss past and present triangular cooperation
efforts. Over 100 delegates from Thailand, Malaysia, Indonesia, Cambodia, Lao
PDR, Myanmar, Viet Nam, Germany, and a number of speakers and
representatives of the diplomatic corps and aid agencies, the UN and its
specialized agencies, academics and NGOs took part in the Conference to
exchange lessons-learned, best practices and other experiences.
The conference helped to identify ways and means of future development
cooperation in Southeast Asia in support of the establishment of ASEAN
Community through a more holistic integration of member countries. It also
showed how triangular cooperation can be utilized as a tool to foster regional
integration in ASEAN and can support emerging economies to reach their
objectives in the Initiative for ASEAN Integration (IAI) while benefiting the
recipient countries at the same time.
Contact: Julia.Langendorf@giz.de
top
Trade Facilitation
Conference: North-East Asia Forum on Trade Facilitation
The North-East Asia Forum on
Trade Facilitation was held on
August 6, 2013 in Ulaanbaatar,
Mongolia. The Forum’s agenda
was focused on Trade Financing
and Facilitation for Regional
Integration, i.e. on Financing for
Trade and Transport Development
in North-East Asia and Trade
Finance Issues and Challenges.
The Third Meeting of the Greater Tumen Initiative (GTI) Trade Facilitation

4. Committee (TFC) was held back-to-back with the Northeast Asia Forum on
Trade Facilitation, in cooperation with the UNESCAP sub-regional office for East
and Northeast Asia, the Mongolian Customs and the Mongolian National
Chamber of Commerce and Industry (MNCCI) as well as others.
The Forum was organized by Tumen Secretariat with the aim to strengthen
inter-governmental cooperation in the trade and investment sector among the
four GTI member states: PR China, Mongolia, the Republic of Korea, and the
Russian Federation. The GIZ RCI Programme Regional Coordinator in Mongolia
provided logistical support and presented the viewpoints of GIZ as GTI
development partner during the meeting’s group discussion.
As a result of the 3rd Meeting, the participants expressed their contentment with
achieved results and progresses since the last TFC meeting and have stated an
increase of their involvement in the field of trade facilitation in Northeast Asia in
order to further promote the cooperation among the GTI member countries. The
Russian Federation will host the next TFFC Board meeting which will be held in
March 2014.
For more information please refer to the GTI website under
www.tumenprogram.org/...
Contact: Lkhagvasuren.Khulan@giz.de
top
Recent Trends in Asian Regionalism
UN Economic and Social Commission for Asia and the Pacific (UNESCAP)
Handbook on Negotiating Preferential Trade Agreements
UNESCAP joined forces with the Asia-Pacific Research and Training Network on
Trade (ARTNeT) to compose this handbook on negotiating preferential trade
agreements. It is aimed at policy makers, offers ideas and presents the
experiences of other countries. It thereby helps to initiate and implement
agreements. As most developing nations lack resources and capacity in these
crucial areas, the handbook comes as a useful tool.
Download the paper from: www.unescap.org/... (PDF 1,6 MB)
top
Multilateral Institutions
Joint statement on Trade Facilitation Assistance
In a joint statement, the heads of African Development Bank (AfDB), Asian
Development Bank (ADB), European Bank for Reconstruction and Development
(EBRD), European Investment Bank (EIB), Inter-American Development Bank
(IADB), the International Monetary Fund (IMF) and the World Bank Group urge
WTO-members to reach an agreement at the Ninth WTO Ministerial Conference
in Bali on 3-6 December. The institutions highlight the need for such an
agreement for developing and least-developed states and point to benefits of
trade facilitation for development as demonstrated by a growing body of
research.
Read the full statement here: www.adb.org/...
Centre for Economic Policy Research (CEPR)
New Study on Aid for Trade
In a recent study, Peter Nunnenkamp and his colleagues find that aid-for-trade
mostly benefits middle-income countries, whereas low-income countries tend to
see fewer positive impacts. A major finding of the study is that the widely held
opinion of donour countries being the main beneficiaries of their aid policies can
be refuted. Moreover, the study sheds light on systematic failures of aid for trade
as it tends to foster export growth of middle income countries but does not
deliver this effect for the least developed countries of Sub-Saharan Africa- a
group of countries where the need for improvement seems more pressing than
in its richer counterparts in Southeast Asia.
For more details about the study, please visit: www.voxeu.org/...
The Economist
China proposes Asian Infrastructure Bank
Chinese President Xi Jinping has announced plans of establishing a Chinese
Infrastructure Bank, prior to the APEC forum in Bali in the beginning of October.
Such an institution could use vast Chinese capital to improve infrastructure in the
region and would closely cooperate with other donors, like the ADB. The author
suggests that benefits for the PR China would be twofold: the infrastructure in its
neighboring countries would be improved and China could enhance its standing
without increasing reservations against the nation in the region.
Access the full article here: www.economist.com/...

5. Asian Development Bank (ADB)
Report on Regional and Subregional Program Links
This report by the ADB demonstrates the links between ASEAN and the three
subregional programs Greater Mekong Subregion (GMS), Brunei Darussalam-
Indonesia-Malaysia-Philippines East ASEAN Growth Area (BIMP-EAGA) and
Indonesia-Malaysia-Thailand Growth Triangle (IMT-GT). It concludes that
ASEAN is responsible for policy coordination, harmonization, and standards
setting and thus the speed of integration. The subregional initiatives provide the
geographic context, thereby allowing for fine tuning of policies.
Download the paper from: www.adb.org/... (PDF 1,5 MB)
Centre for Economic Policy Research (CEPR)
Hector R. Torres: Watchdog for WTO
Former Executive Director of the International Monetary Fund (IMF) Hector R.
Torres advocates the establishment of an independent watchdog for the World
Trade Organsation (WTO) which, in his opinion, would allow for an improvement
in determining the case for WTO rule exceptions. Despite progress, the author
argues, many former developing countries still enjoy the right to opt out from
WTO obligations. An independent control institution would prevent not only such
cases but could contribute to closer scrutiny of WTO’s performance.
Access the full article here: www.voxeu.org/...
Asian Development Bank Institute (ADBI)
Future of the World Trade System: Asian Perspectives
On 11th and 12th March 2013, the Asian Development Bank Institute teamed up
with the Centre for Trade and Economic Integration in Geneva to host a
conference on the Future of the World Trade System: Asian Perspectives.
Richard Baldwin, Masahiro Kawai and Ganeshan Wignaraja put together a series
of aceademic pieces which have been presented in the context of the
conference, on the emergence of regional, bilateral and plurilateral agreements
which have taken the lead over WTO rules in world trade.
Download the report at: www.voxeu.org/... (PDF 2,3 MB)
Hanns Seidel Foundation (HSS)
Bibliography on East Asia Regionalism and Integration
The Hans Seidel Foundation (HSS) Korea updated the bibliography on East Asia
Regionalism and Integration for the years of 2007-present. The list, which is
maintained by Dr. Bernhard Seliger contains key publications and academic
achievements for this relevant field of Asian development.
Download the bibliography from: www.asianintegration.org... (1.9 MB)
The Economist
Multilateral Trade Pacts giving way to Regional ones
Regional Trade Agreements (RTA) have long been seen as paving the way for
multilateral WTO deals. Recently, however, they have become to be considered
as a potential alternative for the latter as the "Doha Round" seems to be faltering.
Consequently, the number of RTAs has increased dramatically, leaving critics to
fear more fragmentation of the world trade system. Free trade agreements on
the regional level might be better than no agreements at all, however small states
might lack the leverage to negotiate preferential trade agreements and could lose
from this new trend.
Read the full article here: www.economist.com/...
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In charge of this newsletter:
Dr. Jürgen Steiger, juergen.steiger@giz.de
Editor(s):
Magnus C. M. Brod, magnus.brod@giz.de
Contributors:
Lisa Brückner, lisa.brueckner@giz.de
Magnus C. M. Brod, magnus.brod@giz.de
Khulan Lkhagvasuren, lkhagvasuren.khulan@giz.de
Julia Langendorf, julia.langendorf@giz.de
Torben Niemeier, rci-asia2@giz.de
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