[Ip-health] U.S., Malaysia To Resume Formal FTA Talks At Mala ysia’s Request

[Judit Rius Sanjuan]

>

> Inside US Trade
>
> U.S., Malaysia To Resume Formal FTA Talks At Malaysia’s Request
>
> _______________________________________________
>
> Date: July 11, 2008
>
> The United States and Malaysia will hold a formal round of talks on
> a bilateral free trade agreement next week at the request of
> Malaysia, sources said this week. Negotiators had continued informal
> discussions on the FTA since the formal negotiations stalled last
> year due to wide disagreement in financial services and government
> procurement.
>
> The U.S. government had made clear that it was not interested in
> continuing talks if Malaysia was not prepared to negotiate market
> access in controversial areas, sources said. The Malaysian
> government during formal FTA talks had been unwilling to dismantle
> preferences for ethnic Malays in government procurement, and the
> Malaysian negotiators had at times said they lacked authority to
> strike final deals.
>
> However, lobbyists this week hoped Malaysia’s request to continue
> formal talks could mean Malaysia is ready to show flexibility. They
> also said they hoped a new domestic political climate in Malaysia
> could help Malaysian negotiators to be flexible.
>
> In particular, Malaysia is now debating internally its government
> procurement policies after the ruling party suffered electoral
> losses to more reform-minded opposition candidates. The ruling
> National Front coalition has a slim 29-seat majority in the 222-
> member Parliament, the result of its setback in the March 8 general
> elections.
>
> Lobbyists hope this new internal debate will translate into new
> flexibilities on government procurement in the FTA talks.
>
> Because the talks were not concluded before fast-track trade
> negotiating authority expired in the United States, the Malaysia FTA
> could be subject to amendments were it to come up for a vote in the
> U.S. Congress, which would complicate passage.


Judit Rius Sanjuan
Attorney
Knowledge Ecology International / Essential Information
www.keionline.org / www.cptech.org
Phone: +1.202.332.2670, x18