
APEC Officials Propel AI And Demographic Agendas
Jeju, Republic of Korea, 14 May 2025
As global uncertainties mount and long-term challenges reshape the economic landscape, APEC economies gathered in Jeju this week to accelerate collaboration on connectivity, innovation and prosperity.
At their two-day meeting, senior officials advanced region-wide efforts on emerging priorities such as artificial intelligence, demographic transformation and economic integration, building on recent ministerial meetings and stakeholder dialogues.
Chairing the meeting, Ambassador Seongmee Yoon emphasized Korea's vision for a forward-looking and action-oriented APEC agenda this year.
'Korea's priorities this year reflect the urgent need to future-proof our economies,' Ambassador Yoon said. 'We are advancing innovation not just in technology, but in how we cooperate, how we trade and how we prepare our people for what's next. We are strengthening connections across borders, across sectors and between generations. And we are pursuing prosperity that benefits all the people in the region.'
'This meeting in Jeju is where we take those ideas and turn them into deliverables,' she added. 'As we move toward the APEC Economic Leaders' Week in Gyeongju, Korea is committed to driving meaningful, cooperative outcomes that benefit the whole APEC region.'
The meeting opened with updates from key stakeholder groups, including the APEC Business Advisory Council, the Senior Finance Officials' Meeting, the Pacific Economic Cooperation Council and the APEC Study Centers Consortium.
Senior officials reviewed outcomes from recent ministerial meetings on ocean sustainability and human resources development, where ministers underscored the need for resilient labor systems and sustainable marine economies. Ministerial meetings on education and trade will follow on 14 and 15–16 May, respectively.
They also considered the next steps for Korea's flagship deliverables, including the proposed APEC AI Initiative, which outlines a region-wide approach to harnessing artificial intelligence for inclusive and sustainable growth. The initiative promotes a shared outlook, capacity building and investment in sustainable AI infrastructure.
Additionally, Korea's proposed Collaborative Framework on Demographic Changes was discussed, aiming to help economies address the implications of declining fertility rate and aging populations.
'APEC's strength lies in its ability to bring economies together to tackle profound challenges without losing sight of practical outcomes,' said Eduardo Pedrosa, Executive Director of the APEC Secretariat.
'In Jeju, we're seeing that in action; real collaboration on the future of artificial intelligence, on adapting to demographic transitions and on strengthening economic integration. These are not abstract goals. They're essential to building a region that is more competitive, more connected and more resilient.'
The Committee on Trade and Investment reported progress on economic integration in the region, trade facilitation and the inclusive growth agenda. Discussions also covered the evolution of APEC's structural reform priorities, services competitiveness and the transition from informal to formal economies.
Ambassador Yoon encouraged officials to continue building consensus and delivering tangible results ahead of upcoming sectoral ministerial meetings and APEC Economic Leaders' Week.
'Our work here lays the groundwork for impactful deliverables in Gyeongju,' she concluded. 'Let us move forward with clarity, urgency and a commitment to deliver on our vision.'
Hashtags

Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles


Scoop
20 hours ago
- Scoop
From Trade Gains To AI Dividends: APEC's Next Growth Play
Cooling Growth, Lingering Risks APEC's growth slowed to 3.5 percent in the first quarter of 2025, down from 3.8 percent a year earlier, reflecting weaker demand and heightened global uncertainty. Early trade gains, driven by businesses rushing to ship goods before new trade restrictions take effect, gave the economy a short-term boost. However, sustained momentum requires consistent reforms and renewed investment in productivity. Regional growth is now projected at 3.0 percent in 2025 and 2.9 percent in 2026, slightly above the May 2025 APEC Regional Trends Analysis forecasts, but trailing behind the rest of the world, which is expected to grow by 3.4 percent in 2026. Despite the emergence of new technologies and the relative resiliency of greenfield investments in productivity-enhancing projects, downside risks are expected to dominate, marked by policy uncertainty, geopolitical tensions, and elevated debt levels as legacy from the pandemic. Central Banks Balance Support and Stability Inflation averaged 2.5 percent across APEC in the second quarter of 2025, lower than a year ago and easing pressure on households and businesses. In response to downside risks, the majority of central banks have trimmed policy rates to help spur economic activity. Other APEC economies have kept their policy rates unchanged, maintaining a cautious stance amid potential price pressures and external shocks. In recent months, oil prices edged higher as energy markets responded to shifting supply dynamics amid geopolitical instability. In contrast, food prices remained broadly stable, reflecting mixed movements across key commodity groups. Trade Gains Reflect Precautionary Activity Merchandise trade in APEC posted solid growth in the first quarter of 2025 as businesses moved shipments forward, hedging against possible new trade restrictions. Export and import values rose by 5.0 percent and 7.7 percent, respectively, while volumes climbed even faster, by 7.0 percent and 7.9 percent. This expansion suggests that early-year trade gains were driven by risk-mitigation strategies rather than a sustained rebound in demand, and may taper off as temporary factors fade. Trade momentum remains highly sensitive to policy developments. Services trade told a different story. Export growth slowed to 6 percent in the first quarter of 2025 from 11 percent a year earlier. Travel services exports contributed to the decline as it decelerated sharply to 9 percent from 30 percent over the same period even as transport and other commercial services increased. Trade policy uncertainty, although easing from earlier peaks as negotiations gain traction and trade deals begin to take shape, has remained well above historical norms. In fact, financial markets reflect amplified investor concerns, with gold prices near record highs and demand for safe-haven assets is strong. Emerging Opportunities: Resilient Greenfield Investments and AI Potential Although FDI inflows have moderated, falling from USD 1,157 billion in 2021 to USD 956 billion in 2024, greenfield investment remains a bright spot. Announced greenfield projects in APEC reached USD 595 billion in 2024, up 56 percent compared to the level in 2021, underscoring investor confidence in new capacity and innovation. Sustained investments in innovation and digitalization signal an ongoing shift toward productivity-enhancing sectors, which bodes well for APEC's growth trajectory. Digital technologies, particularly artificial intelligence (AI), are poised to amplify these gains. Modelling estimates suggest that, when treated as a productivity shock, AI adoption could raise GDP by 1.3 to 3.9 percent. On average, APEC economies already score above global averages on AI readiness, highlighting strong potential to capture digital dividends. Still, digital capacity remains uneven across the region, with persistent gaps in digital skills limiting broader adoption. Closing these gaps will be key to unlocking AI's full economic potential and ensuring that its benefits reach all people, across communities, sectors and economies. Policy Priorities: Strengthening Confidence, Harnessing Digital Gains With growth moderating and uncertainty still elevated, APEC economies must walk a fine line, preserving near-term macroeconomic stability while advancing structural transformation. Tackling current headwinds and fostering innovation to lay the foundation for sustained growth that benefits the entire population will require coordinated policy action across three key areas: Inclusive Structural Reform: Advance labor market reforms and scale up digital skills development to strengthen human capital and ensure that the benefits of AI-driven productivity are widely shared. Adaptive Economic Policy: Maintain flexible macroeconomic frameworks, rebuild fiscal space, and channel investment toward sectors that boost productivity to support adjustment and resilience. Coordinated Regional Cooperation: Use APEC's platform to align responses to shifting global environment, reinforce regional economic stability, and deepen integration through sustained dialogue. As APEC economies navigate persistent global uncertainty, it is important to strike a careful balance between policy responses that yield short-term gains and structural reforms that drive enduring momentum and productivity growth. Regional cooperation is indispensable in today's uncertain environment. APEC as a regional platform must continue to foster open dialogue, align policies, and coordinate responses to shared challenges. Clear direction and consistent collaboration are vital to managing risks and supporting durable, innovation-driven growth.


Scoop
5 days ago
- Scoop
APEC Ministers Push For Innovation To Secure The Region's Food Future
10 August 2025 Agriculture and food ministers from 21 APEC member economies convened in Incheon to advance regional cooperation on strengthening food systems amid rising climate shocks, market volatility and persistent inequalities in access to safe, nutritious and affordable food. Food security remains a pressing challenge, with the latest UN State of Food Security and Nutrition in the World report estimating that 2.3 billion people, or around 28 percent of the global population, were moderately or severely food insecure in 2024. While Asia has seen gradual improvements over several years, rural communities and women remain disproportionately affected. 'Even as we gather here today, hundreds of millions of people around the world continue to suffer from hunger and food insecurity,' said Song Miryung, Minister of Agriculture, Food and Rural Affairs of the Republic of Korea, in her opening remarks. 'The convergence of the climate crisis, regional conflicts, and disruptions in global supply chains presents a complex and escalating challenge, one that goes well past mere food scarcity, threatening the very resilience and sustainability of our agri-food systems.' Minister Song emphasized that innovation must be paired with collaboration. 'We already have at our disposal a wide array of solutions, including smart agriculture, data-driven policymaking, and digital supply chains. What's more important is this: with whom and how we connect all these elements to bring about real, tangible change on the ground. APEC must serve as the very platform for such collaboration.' Advertisement - scroll to continue reading Reflecting on Korea's transformation from an aid recipient to a donor economy within half a century, Minister Song said, 'This transformation was made possible through innovation in agriculture based on technology and the steadfast economy-wide effort to turn crisis into opportunities.' She outlined Korea's current policy priorities, including expanding smart, data-driven agriculture to all farms, developing new agri-business models powered by AI and promoting region-based solidarity to address challenges such as the climate crisis and labor shortages. Policy discussions during the meeting focused on strengthening climate resilience in agricultural production, including scaling up climate-smart farming practices, improving early warning systems and investing in research and innovation to increase productivity while reducing environmental impacts. 'The universality of preventing hunger and providing sufficient nutrition, specially towards more vulnerable communities, or those made vulnerable by conflicts and climate change, is a matter the collective APEC cannot turn away from,' said Eduardo Pedrosa, Executive Director of the APEC Secretariat. Ministers also discussed enhancing trade facilitation measures to keep food and agricultural supply chains open, efficient and responsive to shocks. A second key priority was advancing inclusive food systems that improve nutrition and livelihoods in rural communities, particularly for women, Indigenous Peoples and smallholder farmers. Ministers explored strategies to expand digital agriculture tools, strengthen farmer cooperatives and support youth participation in the agriculture sector. 'This meeting is not merely a forum to discuss food issues. It is a moment for us to collectively envision a future where all can coexist and prosper,' Minister Song concluded. 'Connect, Innovate, Prosper — these three words are not only the core values that APEC stands for, but also the promise of the future we are building together.'


Scoop
07-08-2025
- Scoop
Modernizing Customs: Tackling Trade Bottlenecks And Digital Pressures
6 August 2025 Customs officials from across the Asia-Pacific convened in Incheon for the second meeting of the APEC Sub-Committee on Customs Procedures (SCCP), with a sharp focus on harnessing artificial intelligence and digital innovation to boost trade efficiency, resilience and security. The meeting, held in Incheon, last week, spotlighted APEC's ongoing efforts to streamline customs procedures and remove bottlenecks across borders, central to reducing trade costs and enabling small businesses to compete in global markets. 'In today's fast-changing environment, innovation is no longer optional, it is essential,' said Myeong-ku Lee, Commissioner of the Korea Customs Service, in his welcoming remarks. 'Artificial intelligence can enable faster and more accurate customs clearance, but we must strengthen cross-border cooperation and trust to fully unlock its benefits.' Key discussions over the three-day meeting focused on strengthening risk management, leveraging data and emerging technologies and enhancing cooperation with the private sector. 'Trade and customs environments are becoming increasingly complex, particularly with the rise of e-commerce, carbon border measures and supply chain security concerns,' said Ju-yeon Lim, chair of the sub-committee. 'Customs authorities must now juggle traditional roles with mounting pressure to address sustainability, digitalization and resilience simultaneously.' Members reviewed progress on implementing the Framework for Supply Chain Connectivity and shared updates on digital trade facilitation projects, including the adoption of electronic certificates of origin, the use of single window systems and pilots involving artificial intelligence and blockchain. A highlight of the week was the APEC Customs-Business Dialogue, which brought together customs administrations and industry leaders for candid discussions on e-commerce, authorized economic operators (AEOs) and trusted trader programs. The dialogue underscored the importance of agile rules and digital tools to support fast-moving business models while managing risks at scale. Discussions extended to emerging concerns, including low-carbon logistics and environmental customs measures aligned with green trade objectives. Economies examined how customs can contribute to sustainability through digital documentation, carbon-aware protocols and eco-friendly process design. The meeting also featured a series of side events, including a Cross-Border E-Commerce Workshop, an International Origin Seminar and a dedicated AI Customs Exhibition showcasing Korea's pioneering applications in risk profiling and automated documentation. Commissioner Lee stressed the need for data-driven risk management, streamlined digital processes and international alignment to address growing complexities in cross-border trade, from e-commerce to supply chain security. 'Technology alone is not enough, we need trust, interoperability and shared standards,' he concluded, underscoring SCCP's central role in advancing collective solutions.