1 . The first meeting of the ASEAN-United States Dialogue was held in Manila on 8-10 September 1977.

2. General Carlos P. Romulo, Secretary of Foreign Affairs of the Philippines as the ASEAN Spokesman. The ASEAN delegations were led by : For Indonesia, H.E. Radius Prawiro, Minister of Trade; For Malaysia, H.E. Datuk Haji Hamzah, bin Datuk Abu Samah, Minister of trade and Industry and H.E. Datuk Musa Hitam, Minister for Primary Industries; for Singapore, H.E. Goh Chok Tong, Senior Minister of State for Finance; for Thailand H.E. Vicharn Nivatvongs, Under-secretary for Commerce; for the Philippines, H.E. Gen. Carlos P. Romulo, Secretary of Foreign Affairs; H.E. Dr. Cesar E.A. Virata, Secretary of Finance; H.E. Dr. Gerardo P. Sicat, Secretary of Economic Planning and Director-General, National Economic and Development Authority; H.E. Mr. Troadio T. Quiazon, Jr., Secretary of Trade; H.E. Mr. Vicente T. Paterno, Secretary of Industry; H.E. Mr. Jose Leido Jr. Secretary of Natural Resources.

3. The United States delegation was led by H.E. Richard N. Cooper, United States Undersecretary of State for Economic Affairs.

4. The ASEAN Secretariat was represented by the Director of the Economic Bureau, Dr. Amado A. Castro.

5 . The first meeting between the countries of the Association of Southeast Asian Nations and the United States of America was an important occasion which added a new dimension to a long experience of friendly cooperation and fruitful bilateral relationships. Both sides welcomed the addition of the United States to the expanding linkage of cooperative endeavours between ASEAN and the developed world.

6 . The United States welcomed the success of ASEAN as a regional organization which has paralleled and reinforced the rising world importance of its members. In that regard, the meeting noted the importance of ASEAN as a positive force for peace, development and prosperity in the region.

7. The discussions were held with the common goal of facilitating mutual interests and relationships through a regional approach. The Meeting agreed that a successful beginning had been made in initiating the all important process of continuing consultation and cooperation.

8. The meeting emphasized the interdependence of the world economy including ASEAN and the United States. The meeting recognized the benefits and concomitant responsibilities of dynamic economic interdependence which would be conducive to the prosperity of national, regional, and world economies.

9. The meeting exchanged detailed views on a wide range of economic issues. The discussions were based on eleven memoranda presented by ASEAN and which dealt with general issues in the North-South Dialogue commodity issues and policies, trade questions, investments and development cooperation.

10. Under Secretary Cooper presented a U.S. overview of the world economic situation as well as an outline of U.S. foreign economic policies. He stressed the importance of promoting world economic recovery and resisting the threat of protectionism.

11. The ASEAN spokesman on North-South issues stated that one of the main problems confronting the international community was how to ensure sustained growth of the world economy on the basis of equitable sharing by all countries, developed, and developing. There, was general agreement on the objectives of a new international economic order and on the need for constructive measures to effect necessary changes and adjustments.

12. The meeting agreed that the discussions on commodity stabilization agreements should be continued and intensified.

13. The Meeting discussed the conditions necessary for meaningful negotiations at the forthcoming reconvened negotiating conference on a Common Fund so as to ensure its successful conclusion.

14. In addition, ASEAN urged the establishment of a STABEX-type commodity earnings stabilization programme. The US, while fully in support of the desirability of export earning stabilization in general, believed that the objective of commodity export earning stabilization could be achieved by other means.

15. The meeting agreed that all countries should reject protectionism. The US recognized ASEAN's need to seek improved access to the US market. Both sides underscored the importance of the Multi-Lateral Trade Negotiations. The meeting also agreed that substantial progress should be made in tropical products and looked forward to intensified negotiations in Geneva. The meeting stressed the necessity on both sides of using maximum efforts to fulfill the aims and objectives of the Tokyo Declaration particularly to secure more meaningful benefits than at present for international trade of developing countries.

16. ASEAN made a number of proposals for the improvement of GSP. The US outlined the new procedures of receiving applications for expansion of GSP coverage and indicated that ASEAN views would be taken into account in United States Government consideration in improving its GSP system.

17. ASEAN outlined the Agreement on ASEAN Preferential Trading Arrangements and informed the U.S. that ASEAN has submitted its notification to GATT. The U.S. delegation welcomed the objective of trade liberalization within ASEAN and, while it reserved its rights under the GATT, recognized the ASEAN Preferential Trading Arrangements as a useful step in that direction and for strengthening intra-ASEAN economic cohesion. It expressed the hope that ASEAN in pursuing this goal would not be creating trade barriers vis-a-vis third countries.

18. The United States declared its readiness to participate with ASEAN in regional development cooperation supplementary to the assistance extended bilaterally to ASEAN member countries, primarily in areas which satisfy basic human needs, such as agriculture, rural development, health and nutrition, and education and human resource development.

19. The United States assured ASEAN of its continuing strong support of the international financial institutions and specifically of the Asian Development Bank.

20. The United States delegation indicated that the U.S. Government recognizes the important role of private foreign investment in contributing to development and is willing, within the framework of its general policies, to facilitate investments which contribute to ASEAN member countries development objectives. However, the United States believes that investment decisions would be made by the private investor primarily in response to the existing investment opportunities and climate.

21. In response to ASEAN concern that the removal of limitation of tax deferral provisions of the US tax law would discourage overseas investment flows, the US Delegation. indicated that a tax reform package is now being reviewed by the President before submitting it to the Congress for ultimate decision. Regarding ASEAN's concern for the continued operation of OPIC, the US delegation informed ASEAN that the US Administration favours the extension of OPIC's mandate with a greater development focus.

22. The meeting agreed that the process of consultation which had now begun should be pursued on a periodic basis. The ASEAN states accordingly accepted the invitation of the United States to meet in Washington D.C., tentatively set for June 1978. In the interim, discussions on economic matters of specific interest would be carried out at technical levels as opportunities might warrant. ASEAN announced its intention to establish an ASEAN Washington Committee in Washington D.C. which shall serve as a channel of communication and follow-on activities related to ASEAN-United States matters.

23. Specific areas designated for follow-up discussions were:

Multilateral Trade Negotiations: The Meeting agreed that discussions on this subject had contributed to a better understanding of the views of all participating countries on pending trade and MTN questions. The meeting agreed that consultations between ASEAN and the US on the MTN should continue in Geneva.

Commodity Issues: Acknowledging ASEANs importance as a major supplier of many key commodities essential to industrial and developing nations alike, the United States and ASEAN agreed on continuing their consultations on the various issues raised including international commodity stabilization agreements, and on the negotiation of a Common Fund.

Developmental Cooperation: Recognizing the continuing need of ASEAN countries for concessional developmental assistance and the additional dimension and strength which regionally based projects can bring to national development efforts, ASEAN and the United States agreed to a joint working group to be set up to define specific projects within mutually agreed programme areas, so that project proposals could be developed and funding preparations made. The working group will also consult on how international financial institutions, specifically the ADB, can best meet the development requirements of ASEAN.

Private Investment and Business Cooperation: Both sides agreed on the importance of contributions by foreign investment to development in the region. At the request of ASEAN, the US agreed to consult on the facilitation of private investment flows from the United States to ASEAN region. The Delegates agreed to form a working group to explore specific ways in which investment relations and business cooperation could be promoted.

24. The ASEAN and United States delegations expressed their sincere appreciation to the Government and people of the Philippines for the cordial and warm hospitality extended to them during their stay in the Philippines.