Services high up on free trade talks

The services component of free trade talks with the Association of Southeast Asian Nations (ASEAN) may be finished this year, with the services sector agreement following a previous deal on trade in goods that kicked in July 2005. Once in place, the deal will limit duties between China and ASEAN members to 5%, the South China Morning Post reported, while internal trade and investment barriers will be removed. Ironically, services may be the tallest hurdle in ongoing free trade negotiations with Australia. An Australian official told international media that Beijing expects the services portion of the talks to be the most difficult. Negotiations between Canberra and Beijing started a year ago.