Overview
In the past years, ASEAN has seen rapid growth in e-commerce activities. Many recent ASEAN studies found that e-commerce offers huge potentials for ASEAN to benefit. E-Conomy SEA 2018, a study by Google and Temasek estimates that the Southeast Asian internet economy has reached $72 billion in gross merchandise value (GMV) in 2018 across online travel, e-Commerce, online media, and ride hailing. Growing at 37% from the previous year, it had accelerated beyond the 32% compounded annual growth rate (CAGR) recorded between 2015 and 2018. The study also projected that the Southeast Asia’s internet economy in 2025 could exceed $240 billion by 2025.
Considering the potentials of e-commerce to businesses in ASEAN, ASEAN Coordinating Committee on Electronic Commerce (ACCEC) was established following the decision of Senior Economic Officials Meeting (SEOM) on 5-6 November 2016 to strengthen coordination mechanism on regional e-commerce efforts in ASEAN. The ACCEC comprises of government officials, mainly from agencies responsible for trade, alongside with representatives from agencies that have close roles in cross-border trade, such as customs, transport facilitation, consumer protection, standards and conformance, as well as micro, small, and medium enterprises.
In 2019, the ASEAN Economic Ministers (AEM) signed the ASEAN Agreement on Electronic Commerce, intended to facilitate the growth of e-commerce transactions in ASEAN and deepening cooperation among Member States to develop and intensify the use of e-commerce, as well as to create an environment of trust and confidence in the use of e-commerce.
Priority Areas of Cooperation
ACCEC aims to enable ASEAN Member States, across all levels of development, to develop and use e‐commerce in driving economic growth and social development in the region. The committee is mandated to deliver key initiatives under its responsibilities essential to leverage e-commerce in the region. It also works closely with other ASEAN bodies in coordinating key initiatives from different sectors that are important for e-commerce sectors to grow.
In order to achieve its objective, ACCEC developed ASEAN Work Programme on Electronic Commerce 2017-2025 that specified fundamental works to ensure e-commerce activities in ASEAN running in a conducive environment. The workplan serves as a guidance for ACCEC in realizing their efforts to leverage e-commerce in ASEAN.
Following a study on the potential of digital transformation in leveraging the economy, ASEAN developed Digital Integration Framework (DIF) to provide AMS with a clear overview of the current state of digital integration at regional and national level, indicating the degree of readiness for full digital integration and to enable AMS to prioritise policy actions that will deliver the full potential of digital economic integration. ACCEC was tasked to take necessary steps recommended by the study in order for ASEAN to drive the digital transformation in the area. ACCEC then came up with Digital Integration Framework Action Plan (DIFAP) in order to spell out priority areas identified to address the critical barriers and accelerate existing ASEAN platforms and plans to realise digital integration. The priority areas to be delivered in immediate terms range from facilitate seamless trade, protect data while supporting digital trade and innovation, enable seamless digital payments, broaden digital talent base, foster entrepreneurship, and to coordinate actions among related government agencies.
Major Sectoral Bodies/Committees
In performing its roles, ACCEC reports its works and submits its recommendations to SEOM. It also closely coordinates with other relevant sectors responsible for functions that support the implementation of e-commerce. Based on the agenda of each meeting, representatives of relevant ASEAN sectoral bodies may be invited to attend selected meetings of ACCEC for consultations. Some cross-sectoral cooperation are as follows:
Sectoral Body related with E-commerce | Scope of Work |
Senior Economic Officials Meeting (SEOM) | · Provides guidance and tasks ACCEC to ensure effective implementation of identified e-commerce and digital integration initiatives and coordinate the relevant sectoral efforts · Assesses ACCEC’s report on the implementation progress · If necessary, mandates ACCEC to undertake particular initiative within its scope of work |
ASEAN Digital Senior Officials Meeting (ADGSOM) | · ICT infrastructure · Cybersecurity · Digital data governance · Electronic transaction |
ASEAN Coordinating Committee on Micro, Small, and Medium Enterprise (ACCMSME) | · Leveraging MSME through e-commerce |
ASEAN Consultative Committee on Standards and Quality (ACCSQ) | · Digital Trade Standards |
ASEAN Coordinating Committee on Customs (CCC) | · Customs clearance and duties for cross border e-commerce |
ASEAN Working Group on Intellectual Property Cooperation (AWGIPC) | · Intellectual property on traded commodities |
ASEAN Committee on Consumer Protection (ACCP) | · Online consumer protection on e-commerce activities · Dispute resolutions |
ASEAN Working Committee on Payment and Settlement System (WC-PSS) | · Secure and efficient online payment systems across country for e-commerce transactions · Digital payment/e-wallet to support e-commerce |
Key Documents
The ASEAN Digital Economy Framework Agreement (DEFA) aims to accelerate ASEAN’s transformation into a leading digital economy, that fosters greater digital cooperation and paving the way for regional digital integration and inclusive growth and development. This study outlines elements that may inform the negotiation process ahead and served as basis for the launch of the negotiations without prejudice basis.
ASEAN Digital Integration Index Report 2.0.
Following the publication of ASEAN Digital Integration Index (ADII) Report in 2021, the ADII 2.0 Report provides an update on the status and progress of digital integration efforts in ASEAN. It provides an update of the ADII 1.0 database, examining the latest scores, tables, and charts for each of the ADII Indicators and Pillars at the ASEAN level (regional scores).
Work Plan on the Implementation of ASEAN Agreement on Electronic Commerce
The ASEAN Agreement on Electronic Commerce was signed in 2019 and shall enter into force in 2021. On 9 September 2021, the Work Plan on the Implementation of the ASEAN Agreement on Electronic Commerce 2021-2025 was endorsed by the 53rd ASEAN Economic Ministers’ (AEM) Meeting. Given the comprehensiveness of the Agreement that covers various cross-sectoral elements necessary for the development of e-commerce, the Work Plan provides a coherent and harmonized approach that guide AMS in implementing the Agreement, taking into account different level of development among ASEAN Member States. The ASEAN Coordinating Committee on Electronic Commerce (ACCEC) is entitled to coordinate with relevant sectoral bodies of ASEAN to deliver the work plan on a timely manner. The Work Plan is expected to bolster not only the region’s e-commerce sector, but also other ASEAN sectors leveraging digital technology. It cements the regulatory foundation to spur the transformation of ASEAN into a leading digital economy.
ASEAN Digital Integration Index Report 2021
Following the adoption of ASEAN Digital Integration Index (ADII) methodology in 2020, the ASEAN Coordinating Committee on Electronic Commerce (ACCEC) presents the first iteration of the ADII Report 2021. The report is expected to provide an evidence-based measures, so that ASEAN can assess its accomplishment in achieving its Digital Integration Framework using empiric data portrayed by the Report.
ASEAN Agreement on Electronic Commerce (2019)
ASEAN Agreement on Electronic Commerce (Agreement) was signed by ASEAN Ministers responsible for economy in 2019 as ASEAN response to the increasing role of e-commerce in driving economic growth and social development in the region. Aside of facilitating e-commerce transactions in ASEAN and deepening cooperation among Member States to develop and intensify the use of e-commerce, the Agreement was also intended to create an environment of trust and confidence in the use of e-commerce.
ASEAN Work Programme on Electronic Commerce 2017-2021
To maximize the benefit of e-commerce, ASEAN agreed to develop a work program specifically targeted to the e-commerce sector. The work program covers the work of different sectors that are essential in ensuring the e-commerce activities run in a conducive environment.
The ASEAN Work Programme on Electronic Commerce 2017-2021 focuses on the following important areas: ICT infrastructure, e legal and regulatory framework, trade facilitation education and technology competency, electronic payment and settlement, online consumer protection, cybersecurity, and logistic to facilitate e-commerce, among others.
ASEAN Digital Integration Framework Action Plan 2019-2025
In July 2018, ASEAN Coordinating Committee on Electronic Commerce (ACCEC) finalized the ASEAN DIGITAL INTEGRATION FRAMEWORK (DIF), which proposes 5 policy areas that can help ASEAN overcome the barriers to digital integration, namely (1) Digital connectivity and affordable access, (2) Financial ecosystem, (3) Commerce and trade (4) Workforce transformation, and (5) Business ecosystem. The digital integration in ASEAN is a key component in harnessing the digital economy to power and accelerate intra-regional trade and growth, projected to stimulate GDP uplift of US$1 trillion by 2025.
ASEAN DIF identifies six priority areas for the immediate term to address the critical barriers and accelerate existing ASEAN platforms and plans to realise digital integration. To advance the digital integration process in ASEAN, the identified priority areas in the DIF are translated into an Action Plan, comprising of key initiatives from different sectors related essential to support the digital transformation.
Guideline on Accountabilities and Responsibilities of E-Marketplace Providers (2019)
The Guideline on Accountabilities and Responsibilities of e-marketplaces is a non-binding document, intended to be used by e-commerce platform. It aims to create conducive environment for the growth of e-commerce platforms, unlock cross-border trade opportunities and foster the development of consumer confidence in ASEAN. This guideline serves as a minimum standard for e-commerce platform in performing their operations, so e-commerce platforms are welcomed to implement an advanced standard in doing their business.
