Minister Mustapa Bats for Strong Economic Ties With Countries Like the US

KUALA LUMPUR, Oct 31 (Bernama) -- Strong economic ties with countries like the United States (US) is crucial for Malaysia to strengthen its economy and improve trade performance, says International Trade and Industry Minister, Mustapa Mohamed. He said Malaysia was looking at the possibility of re-activating the Trade & Investment Framework Agreement (TIFA) with the US as an alternative trade agreement, besides the current Free Trade Agreement (FTA) being negotiated. "This (the TIFA) is still a work in progress. It is important for us to have a formal trade agreement with the US. I believe TIFA is the way forward in term of economic engagement with the country. "The US is the biggest global economy and Malaysia’s third largest trading partner at the moment,” he told reporters after his keynote address at the FMM SME Conference 2017 here, Tuesday. Malaysia and the US entered into the TIFA negotiations in May 2004. The objective, among others, was to enhance the spirit of bilateral cooperation and develop further existing trade and investments between both countries for economic betterment. Negotiations, however, were left dormant after the United States under President Barrack Obama, initiated the Trans-Pacific Partnership Agreement (TPPA), which attracted another 11 countries, including Malaysia. Meanwhile, Mustapa said the TPP negotiations are ongoing among the 11 member countries at the two-day meeting in Tokyo, Japan, which began Monday. "This group has been meeting for almost a year now, particularly over the past six months, and since the United States announced its withdrawal from the pact. The meeting (in Tokyo) is for the purpose of having a broad agreement on the way forward for the TPP. “This proposal (from the meeting) will be submitted to us, the Trade Ministers and taken up at the Ministerial level session in Danang, Vietnam from Nov 10-11. The outcome of that meeting will then be submitted to the leaders of each country,” he added. -- BERNAMA