This paper reviews the performance of APEC over the last 10 ***years and discusses the challenges it faces. The review of APEC's performance turns out to be unsatisfactory. Nonetheless, APEC has the potential to be a valuable economic forum in the region. In the short and medium term, APEC confronts with four challenges: 1) how to reach the Bogor goals of 2010/2020, 2) how to contribute to global liberalization; 3) how to achieve a balance between TILF and Ecotech; and 4) how to harmonize subregionalism in the region with APEC's goals.
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