What is APEC?

The Asian-Pacific Economic Cooperation or APEC for short is an economic forum for countries bordering the Pacific Ocean to discuss and vote on key issues relating to international free trade. First established in 1989, APEC was a reaction to the increasing strength of Asian-Pacific countries. At this time it was widely feared that Japan would dominate the entire Pacific rim economy. Another reason APEC was formed was to increase agricultural and raw material export past Europe, improving global economic success.  APEC’s annual summit location rotates through the various member countries, when leaders typically dress in a traditional garment of the host country.

Currently APEC is made up of 21 countries bordering the Pacific, with many more applying for membership. Most notable of these countries is India, which was declined membership due to lack of geographic proximity to the Pacific, however India was allowed to sit in as an observer in 2011. There are approximately 12 other countries invited to join APEC. From 1993-1996 APEC was no longer accepting new members, including Columbia which applied for membership in 1995. The membership blackout continued through 2007 due mostly in part to the falling Asian economies. Another stipulation for membership in APEC is their economy must be of an independent country, thus explaining the extra paperwork and reclassifying of Taiwan as Chinese Taipei. This stipulation is the main reason Guam has had membership requests revoked despite support from the US.

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