Washington, D.C. – As leaders gather for the 47th annual Association of Southeast Asian nations (ASEAN) Summit in Kuala Lumpur, ACT | The App Association calls for the development of modern and comprehensive digital economy rules, including through the Digital Economy Framework Agreement (DEFA), that will support prosperity across ASEAN member states by empowering micro, small, and medium-sized enterprises (MSMEs).

“The ASEAN region is at a critical moment for unlocking digital transformation opportunities across countless business sectors and national borders,” said Morgan Reed, president of ACT | The App Association. “Enhancing participation in, and access to, the global digital economy for MSMEs across the region must be a cornerstone of a successful DEFA for ASEAN. A pro-MSME, pro-growth framework can speed investment and innovation, enhance competition, create jobs, and create prosperity.”

To best support MSME growth and success, ASEAN leaders should come together on strong commitments including:

  • Prohibiting tariffs and customs procedures for electronic transmissions, including digital content;
  • Banning limitations on cross-border data flows and mandating the local storage of computing infrastructure;
  • Ensuring strong and effective intellectual property rights protection and enforcement, including forbidding the forced disclosure of proprietary source code and algorithms as a requirement for market participation or business operations;
  • Upholding consistent non-discriminatory treatment and good regulatory practices for emerging technologies and industries, with measures such as remedies applied only after verified systemic harm, transparency, public consultation, and reasonable timelines for rule application; and
  • Utilizing internationally recognized technical standards to meet domestic regulatory compliance requirements.

The App Association’s comprehensive recommendations to ASEAN leaders on ways to support digital economy MSME growth and job creation across the region can be accessed at: ACT | The App Association Recommendations Supporting the Development of the Association of Southeast Asian Nations (ASEAN) Digital Economy Framework at the 47th Annual ASEAN Summit – ACT | The App Association

###