HistoryData
culture2020

Regional Comprehensive Economic Partnership — 2020 Asia-Pacific free trade agreement

November 15, 2020

RCEP is the largest trade bloc in history by population and GDP, covering 30% of each and linking 15 Asia-Pacific economies.

Quick Facts

Year
2020
Category
culture

Key Facts

Member countries
15 Asia-Pacific nations
Share of global population
30% (2.2 billion people)
Share of global GDP
30% ($29.7 trillion)
Tariff elimination target
~90% of tariffs within 20 years
Entry into force
1 January 2022 (first 10 ratifiers)
Signing date
15 November 2020, virtual ASEAN Summit

By the Numbers

15
Member countries
30
Share of global population
30
Share of global GDP
90
Tariff elimination target

Location

Map of VietnamMap of VietnamVietnam

Cause → Event → Consequence

Cause

Conceived at the 2011 ASEAN Summit in Bali and formally launched at the 2012 ASEAN Summit in Cambodia, RCEP emerged from ASEAN-led efforts to integrate Asia-Pacific trade. Negotiations proceeded for nearly a decade, with India initially participating but ultimately opting out before the agreement was finalized.

Event

On 15 November 2020, at a virtual ASEAN Summit hosted by Vietnam, 15 Asia-Pacific nations signed RCEP, forming the largest free trade bloc in history. The agreement covers Australia, China, Japan, South Korea, New Zealand, and ten ASEAN members, establishing common rules for tariffs, e-commerce, and intellectual property.

Consequence

For the first ten ratifying countries, the pact took effect on 1 January 2022. It is projected to eliminate roughly 90% of inter-member tariffs within 20 years. Analysts suggested it would shift economic influence toward Asia, with China positioned to shape regional trade rules, while leaving the United States outside the framework.

Timeline Context

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