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China-ASEAN

In November 2001, China and the 10-member Association of South East Asia Nations (ASEAN) began negotiations to set up a free trade area.

One year later, a framework agreement for the planned FTA was signed. The FTA, a zero-tariff market of more than 1.7 billion people, has been targeted to come into force in 2010 for the six original ASEAN members (Brunei, Indonesia, Malaysia, Philippines, Singapore and Thailand) and in 2015 for the other four (Burma, Cambodia, Laos and Vietnam). Implementation of the framework agreement would occur in stages. For instance:

 An early harvest programme covering trade in goods came into force in July 2005.
 Negotiations on a dispute settlement mechanism were finalised in 2004 for implementation in 2005.
 Negotiations on trade in services were completed and an agreement signed in January 2007, for implementation in July 2007.
 The China-ASEAN investment agreement was to be signed at the ASEAN Summit in Thailand in December 2008.

Separately, China signed a bilateral FTA with ASEAN member Singapore in October 2008. Beijing has also been hammering out a lot of separate, smaller and more specific bilateral deals with ASEAN neighbours, such as the infamous Philippine-China investment agreements (the subject of huge corruption scandals in the Philippines in 2007), harmonised food safety standards with Thailand (to facilitate agricultural trade) and numerous arrangements with the Mekong Delta countries.

Politics around the China-ASEAN deal are delicate as ASEAN states want to avoid China’s domination and yet build their economies by interacting with China, especially given the slowdown in demand from the US and European markets. At the same time, China is moving up the manufacturing value-chain losing need for primary products that ASEAN states produce while its search for raw materials such as minerals and oil has rapidly gone global. Finally, the coming into force of full-scale zero-tariff farm trade with China from 2010 onward has raised many fears in the ASEAN world.

last update: May 2012
Photo: MangAndri Kasep / CC BY 2.0


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ASEAN intends to sign its upgraded trade pact with China in 2025, according to the Southeast Asian bloc’s secretary-general Kao Kim Hourn.
China, ASEAN issue joint statement on conclusion of FTA upgrade negotiations
The statement covers existing areas of the China-ASEAN FTA agreement as well as emerging areas that have great cooperation potential, including the digital economy, the green economy and supply chain interconnectivity, the ministry said.
China, Asean aim to clinch free-trade deal upgrade led by EVs, e-commerce
China and ASEAN are working to upgrade their free trade agreement to cover areas like e-commerce and environmental protection. This upgrade is expected to boost trade and investment between the two regions. China seeks to expand its economic ties with ASEAN amid growing tensions with the US and EU. ASEAN countries are also interested in strengthening their supplier networks in China.
Thailand to pursue FTA with China despite nearly US$30 bn deficit
Thailand and China plan to resume bilateral free trade agreement negotiations this year despite Thailand’s mounting trade deficit with China of nearly US$30 billion.
China to further deepen cooperation with ASEAN, with Version 3.0 FTA expected to target emerging sectors, industrial division
The construction of the Version 3.0 China-ASEAN FTA will cover sectors such as the digital economy, green economy and supply chain connectivity.
China, ASEAN advancing negotiations on FTA 3.0: ministry
China and ASEAN are actively advancing Free Trade Area 3.0 negotiations, enhancing the openness of the China-ASEAN economic and trade system, Vice Minister of Commerce Li Fei said.
High digital stakes in new China–ASEAN new agreement
Negotiations for the third iteration of the China–ASEAN Free Trade Agreement continued beyond June 2023. The development of the digital economy — has raised some alarm bells for ASEAN negotiators and others.
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Version 3.0 China-ASEAN FTA holds 3rd round negotiations
The opening ceremony of the third round of negotiations on Version 3.0 China-ASEAN Free Trade Area (FTA) was held Sunday in Kunming, capital of southwest China’s Yunnan Province, said the Ministry of Commerce.
ASEAN, China start negotiations on upgrading bilateral FTA
The Association of South East Asian Nations (ASEAN) and China started the first round of negotiations on the upgrade of the ASEAN-China Free Trade Area.