The Version 3.0 China-ASEAN Free Trade Area (FTA) aims to unlock new opportunities in the digital and green economies while enhancing two-way trade and investment potential, said ASEAN Secretary-General Kao Kim Hourn.
The 27th China-ASEAN Summit, held last October in Vientiane, Laos, announced the conclusion of the Version 3.0 China-ASEAN FTA negotiations. This milestone introduced, for the first time, chapters on connectivity in the digital economy, green economy, and supply chains, setting the highest standards among all their economic and trade agreements. A joint statement was also issued during the summit. During an interview with China Media Group (CMG), Kao outlined the development blueprint for China-ASEAN FTA Version 3.0, emphasizing the emergence of exciting new opportunities for investment and trade in non-traditional sectors.
"I think it certainly will go into all kind of areas that were not traditionally, of course. Hopefully we should be working together more on e-commerce, for example. That's the kind of area we should be looking at because the digital economy is growing. I'm sure for China or certainly for ASEAN. At the moment, we are working together among 10 states to negotiate the digital economy agreement. So again, I think digital economy is important. We have to look at all other new areas, including the green, the blue economy sector is also growing. We simply have to look at what more can be done, particularly in the agriculture sector," Kao said.
Kao emphasized that bilateral economic and trade collaboration brings mutual benefits and fosters a win-win outcome for both sides.
"So, it's all the way about mutual interest, how we can take advantage of the competitive advantage that we have between ASEAN and China. The upgrade of FTA to 3.0 will make it more relevant, benefit the businesses on both sides. And that again will help to facilitate trade, reduce more trade barriers between both sides and, of course, modernize the way we do business between ASEAN and China," he said.
The construction of the China-ASEAN Free Trade Area was completed in 2010, and Version 3.0 FTA negotiations began in November 2022.
ASEAN comprises Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, the Philippines, Singapore, Thailand, and Vietnam.
China-ASEAN FTA 3.0 promotes shared benefits: secretary-general
