The Fourteenth ASEAN Economic Ministers-Canada (AEM-Canada) Consultation

September 26, 2025

Kuala Lumpur, Malaysia

Joint media statement

1. The Fourteenth ASEAN Economic Ministers-Canada (AEM-Canada) Consultation was held on 26 September 2025 in Kuala Lumpur, Malaysia. The Consultation was co-chaired by E. Tengku Datuk Seri Utama Zafrul Aziz, Minister of Investment, Trade and Industry of Malaysia, and the Honourable Yasir Naqvi, Parliamentary Secretary to the Minister of International Trade of Canada. The Meeting also welcomed the participation of H.E. Filipus Nino Pereira, Minister of Commerce and Industry, Democratic Republic of Timor-Leste as an observer.
2. The Meeting noted that based on ASEAN’s preliminary statistics, two-way merchandise trade between ASEAN and Canada stood at USD 23.5 billion in 2024, whilst foreign direct investment (FDI) inflow from Canada to ASEAN was recorded at USD 4.9 billion in the same year. These figures placed Canada as ASEAN’s sixteenth largest trading partner and ninth largest source of foreign direct investment last year.
3. The Meeting exchanged views on regional and global economic challenges including the current global trade tensions which have caused uncertainty, impacted supply chain resiliency, and brought significant challenges to businesses, especially micro, small, and medium enterprises (MSMEs), as well as on geopolitical tensions. Amidst this backdrop, the Meeting reaffirmed its commitment to upholding a predictable, transparent, free, fair, inclusive, sustainable, and rules-based multilateral trading system with the World Trade Organization (WTO) at its core. The Meeting underscored the importance of fostering closer economic cooperation between ASEAN and Canada to promote global stability and a global level playing field.
4. The Meeting noted the conclusion of the 2021-2025 Work Plan to implement the ASEAN-Canada Joint Declaration on Trade and Investment (JDTI Work Plan), with all items having been implemented, which reflects ASEAN and Canada’s shared commitment to deepening trade and investment ties. The Meeting also endorsed the 2026–2030 JDTI Work Plan and looked forward to its full and effective implementation, building on the existing achievements and further advancing economic cooperation between ASEAN and Canada, including in the sectors of Digital economy and Information Communications Technology (including artificial intelligence); Infrastructure, Clean technology and energy transition; Agriculture and agrifood; Aerospace and transportation; Natural resources; and Financial services.
5. The Meeting noted the ongoing progress of the ASEAN-Canada Free Trade Agreement (ACAFTA) negotiations. Recognising the significant potential of the ACAFTA to enhance trade and investment flows, strengthen supply chain resilience, and promote long-term economic prosperity, the Ministers reaffirmed their shared commitment to concluding a high-quality, comprehensive, and mutually beneficial Agreement as soon as possible in 2026. The Ministers urged officials to intensify their efforts with a view to finding mutually acceptable solutions that would reflect the interests and sensitivities of all Parties.
6. The Meeting noted the implementation of two programmes that have served as crucial components for the ongoing ACAFTA negotiations. First, the Meeting welcomed the financial support provided to least developed ASEAN Member States for their participation in the ACAFTA negotiation rounds held in 2025, through the ASEAN-Canada Plan of Action Trust Fund. Second, the Meeting also welcomed the technical assistance provided to ASEAN Member States under Canada’s Expert Deployment Mechanism (EDM) for Trade and Development. The Meeting noted that the EDM has provided the necessary support to enhance ASEAN’s understanding, among others, of new and emerging trade issues being discussed in the ACAFTA negotiations.
7. The Meeting welcomed Canada’s commitment to its Indo-Pacific Strategy, which is an important framework for Canada’s strategic engagement in the region and its support for ASEAN centrality. The Meeting noted that Canada’s Indo-Pacific Strategy serves to guide work on strengthening ASEAN-Canada cooperation by promoting deeper trade and investment ties and advancing innovation and digital connectivity as demonstrated by initiatives such as the Team Canada Trade Missions that have taken place to several ASEAN Member States in 2024-2025. The Meeting also looked forward to Canada’s continued engagement in the region that could unlock new opportunities for shared prosperity and contribute to a more resilient and interconnected regional economy.
8. The Meeting acknowledged the critical role that the WTO has played in fostering global economic growth and underscored the importance of working together to advance WTO reform to ensure its continued relevance and effectiveness in addressing current and emerging global trade challenges. In this regard, the Meeting expressed its readiness to collaborate constructively in support of a reformed and revitalised WTO that better serves the interests of all members, including developing and least developed countries. The Meeting also expressed its determination to work closely together in the lead up to the 14th WTO Ministerial Conference (MC14), to be held in Cameroon in March 2026.
9. The Meeting welcomed the report of the Canada-ASEAN Business Council (CABC) to the 14th AEM–Canada Consultation and noted the growing interest of the Canadian business community in pursuing mutually beneficial investment and commercial opportunities across various sectors in ASEAN. The Meeting expressed appreciation for the CABC’s continued support to accelerate the ASEAN-Canada Free Trade Agreement (ACAFTA) negotiations. The Meeting also noted of CABC’s recommendations to enhance cooperation in priority areas such as the digital economy, sustainable energy, and food security, while appreciating the insights provided through the 2025 Business Outlook Survey. The Meeting noted the Canada-ASEAN Business Forum organized on the sidelines of the 57^th AEM, highlighting that these contributions reflect the shared commitment to fostering a resilient, forward-looking partnership between ASEAN and Canada.
10. The Meeting noted Timor-Leste's continued commitment to the Roadmap for Timor-Leste’s Full Membership in ASEAN and looked forward to the full and effective fulfilment of all the criteria outlined in the Roadmap. The Meeting reaffirmed its support for Timor-Leste’s integration efforts into ASEAN and expressed readiness to provide continued capacity building and technical assistance to facilitate its effective inclusion into the regional economy.