Senate passes 4 major trade deals to ignite aviation and regional commerce

Senate passes 4 major trade deals to ignite aviation and regional commerce

These accords seek to lower aviation financing costs, remove trade barriers, upgrade industry standards, and accelerate ASEAN economic integration.

In a unanimous vote, the Senate on Wednesday approved four draft laws endorsing international and ASEAN agreements aimed at strengthening the country’s aviation sector, reducing trade barriers and promoting regional economic integration.

The draft laws were passed during an extraordinary session of the Senate’s fifth mandate, chaired by First Vice President Ouch Borith, with all 58 senators in attendance.

All four draft laws received unanimous consent by 58 senators.

The first draft law authorises Cambodia to accede to the Convention on International Interests in Mobile Equipment, commonly known as the Cape Town Convention, and its Aircraft Protocol.

According to the Senate, joining the treaty will establish a legal framework governing international security interests in high-value mobile assets such as aircraft, aircraft engines and helicopters.

The measure is expected to facilitate financing for aviation assets, support airport infrastructure expansion, strengthen the civil aviation industry and improve domestic and international air transport.

Further, the agreement would also contribute to tourism growth, trade expansion and the modernisation of Cambodia’s national airline fleet.

The draft law was presented by Chheav Yiseang, chairman of the Senate’s Commission on Foreign Affairs, International Cooperation and Information. Three senators took part in the debate before Permanent Secretary of State for the State Secretariat of Civil Aviation Kim Sophan responded to questions.

The second draft law ratifies the ASEAN Framework Agreement on Mutual Recognition Arrangements.

The agreement establishes common ASEAN principles for mutual recognition arrangements covering products and services, providing a framework for ASEAN sectoral bodies to negotiate recognition agreements in their respective fields.

The framework, according to the Senate, would help Cambodia eliminate technical barriers to trade, reduce the costs associated with repeated product testing for exports, facilitate smoother cross-border trade and enhance the competitiveness of Cambodian products within the ASEAN market.

Minister of Industry, Science, Technology and Innovation Hem Vanndy addressed senators after four members spoke during the debate.

The Senate also approved a third draft law endorsing the ASEAN Sectoral Mutual Recognition Arrangement for Building and Construction Materials.

The agreement seeks to harmonise ASEAN standards, technical regulations and conformity assessment procedures, including certification, product testing, inspections, verification and registration of construction materials.

Ratifying the agreement would improve the quality, safety and technical standards of imported and exported construction materials while reducing certification costs and processing time, the Senate said. It is also expected to encourage investment in Cambodia’s building materials industry, integrate domestic manufacturers into regional supply chains and support higher standards in infrastructure and construction development.

Finally, the Senate approved a fourth draft law ratifying the ASEAN Mutual Recognition Arrangement on Type Approval for Automotive Products.

The agreement establishes common ASEAN procedures for recognising conformity assessment results for automotive products, including certification, testing, inspection, verification and registration conducted by authorised bodies in member states.

According to the Senate, the agreement will reduce the time and cost required for testing vehicles and automotive components while improving vehicle safety and environmental standards. It is also expected to support the government’s strategy to develop Cambodia’s vehicle assembly and auto parts manufacturing industries as part of the regional automotive value chain.

The four draft laws, each consisting of two articles, had previously been approved by the National Assembly on July 14 with unanimous support from all 110 lawmakers during its sixth session of the seventh legislature.

Speaking to the Khmer Times yesterday, Second Vice-President of the Senate Thun Vathana endorsed these draft laws as they reflect Cambodia’s long-term vision of becoming an active, reliable, and competitive partner in the regional and global economy.

“Economic growth increasingly depends on cooperation, harmonised standards, and mutual trust among countries. These four agreements embody precisely those principles,” he said.

Vathana, who is also an economist, stressed that international cooperation flourishes when countries share common rules, respect internationally accepted standards, and work together to remove unnecessary barriers.

“By becoming a party to these agreements, Cambodia demonstrates that we are committed to transparency, predictability, and constructive engagement with our regional and international partners,” he added.

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