China and ASEAN sign major trade upgrade at Kuala Lumpur summit

In a significant move for regional economics, China and the Association of Southeast Asian Nations (ASEAN) formally signed an upgraded free trade pact on Tuesday in Kuala Lumpur. The agreement, known as the ASEAN-China Free Trade Area 3.0 (ACFTA 3.0), was finalized during the concluding sessions of the 47th ASEAN Summit and is designed to enhance economic resilience and promote sustainable growth across the member states.

A Milestone for Regional Cooperation

The signing ceremony was followed by the 28th ASEAN-China Summit, hosted by Malaysian Prime Minister Anwar Ibrahim. In his opening address, Anwar emphasized the bloc's strategic centrality and its policy of maintaining balanced and friendly relations with all global powers, noting, "The day before, we were with President Donald Trump of the United States of America, and today, we are back with China." He described the steady engagement as vital for building trust and collaboratively tackling challenges.

Chinese Premier's Remarks

Chinese Premier Li Qiang heralded the upgraded trade deal as a pivotal new opportunity to expand and deepen bilateral economic and trade cooperation. According to reports from China's state-run Xinhua news agency, the Premier expressed confidence that the agreement would open a new chapter for mutual prosperity and strengthened partnership between China and the Southeast Asian region.

Bilateral Talks and Broader Issues

Separately, Premier Li and Prime Minister Anwar held a bilateral meeting to discuss enhancing trade and investment, with a focus on sectors like automotive and high-technology. The talks also extended to regional stability, with Beijing affirming its support for peace efforts concerning the Cambodia-Thailand border dispute and the ongoing crisis in Myanmar. Collaboration on rare earth elements was also a key topic of discussion, according to Malaysian media reports.