ASEAN Wraps Up Trade Upgrade Negotiations With China And Within Bloc To Boost Growth

KUALA LUMPUR, May 25 (Bernama) -- ASEAN Economic Ministers have concluded negotiations for the ASEAN-China Free Trade Area (ACFTA) 3.0 upgrade alongside the completion of the upgraded ASEAN Trade in Goods Agreement (ATIGA), a major step forward for deeper economic integration and growth.

Investment, Trade and Industry Minister Tengku Zafrul Abdul Aziz said today that both upgraded agreements are scheduled to be signed on the sidelines of the upcoming 47th ASEAN Leaders' Summit in Kuala Lumpur in October 2025.

“We remain confident that these milestones will serve as pivotal enablers for ASEAN’s sustained growth and competitiveness,” he said after chairing the 25th ASEAN Economic Community (AEC) Council Meeting here in conjunction with the 46th ASEAN Summit.

The AEC Council is ASEAN’s key coordinating body overseeing the work of the various sectors under the ASEAN Economic Community Pillar.

Tengku Zafrul said the successful conclusion of these negotiations is expected to enhance the region’s economic integration and generate significant economic benefits for ASEAN, as the bloc continues to navigate an increasingly volatile global economic landscape.

“In particular, ATIGA — long regarded as the cornerstone of ASEAN’s economic integration — will now feature forward-looking and commercially meaningful provisions aimed at further boosting regional trade, enhancing supply chain resilience, and promoting deeper economic integration within ASEAN,” said the Minister.

These two Priority Economic Deliverables (PEDs) are among Malaysia’s 18 PEDs.

At the meeting, the AEC Council deliberated on several pressing issues, including the rising geopolitical tensions and the impact of US tariff measures on ASEAN’s trade and investment landscape.

The Ministers of the AEC Council collectively acknowledged that ASEAN would need to break away from a “business as usual” approach, and adopt bolder, more agile, and forward-looking strategies to safeguard and advance ASEAN’s socio-economic interests.

“We reaffirmed that ASEAN’s centrality, non-alignment, neutrality and unity remain the bedrock of our resilience and success. The region’s diversity, collective economic strengths, political stability, and shared commitment serve as foundational building blocks to successfully navigate current and future challenges.”

The AEC Council also welcomed the full completion of ASEAN 2024 Chair Laos’ PEDs for 2024, marked by the successful adoption of the Roadmap on Digital Trade Standards. This milestone reflects the continued commitment in advancing the ASEAN’s digital economy agenda.

The meeting was attended by Malaysia’s Deputy Investment, Trade and Industry Minister Liew Chin Tong; Brunei's Minister of Finance and Economy II Datuk Awang Mohd Amin Liew Abdullah; Cambodia’s Minister of Commerce Cham Nimul; Vietnam’s Minister of Industry and Trade Nguyen Hong Dien; Indonesian Trade Minister Budi Santoso; and Lao Minister of Industry and Commerce Malaithong Kommasith.

Other representatives who attended the meeting included Department of Trade and Industry Undersecretary Allan B. Gepty (Philippines), Deputy Prime Minister Gan Kim Yong (Singapore), Minister of Commerce Pichai Naripthaphan (Thailand) and Deputy Prime Minister Francisco Kalbuadi Lay (Timor-Leste).

The 46th ASEAN Summit, being held under Malaysia’s 2025 chairmanship themed “Inclusivity and Sustainability”, also marks the country’s fifth time chairing the regional bloc. Malaysia previously held the chairmanshipin 1977, 1997, 2005 and 2015.

-- BERNAMA