ASEAN, China sign upgraded free trade

KUALA LUMPUR – The Association of Southeast Asian Nations (ASEAN) forged yesterday an “upgraded” free trade deal with China.

President Marcos witnessed the signing of the ASEAN-China Free Trade Area 3.0 Upgrade on the sidelines of the 47th ASEAN Summit at the Kuala Lumpur Convention Center here. The ACFTA is ASEAN’s first free trade agreement with an external partner and also the first for China.

The ACFTA 3.0 Upgrade Protocol seeks to expand ASEAN-China cooperation into new and emerging areas, including the digital and green economies, supply chain resilience, competition and consumer protection, as well as support for micro, small and medium enterprises (MSMEs).

The upgraded trade deal was signed by Malaysian Minister of Investment, Trade and Industry Senator Tengku Datuk Seri Utama Zafrul Tengku Abdul Aziz and China’s Minister of Commerce Wang Wentao.

The signing was witnessed on stage by ASEAN chairman Malaysian Prime Minister Anwar Ibrahim and Chinese Premier Li Qiang.

After the signing, the document was formally handed over to ASEAN Secretary-General Kao Kim Hourn.

Also present at the ceremony were the foreign and economic ministers of ASEAN member-states and China.

Department of Foreign Affairs spokesperson Angelica Escalona earlier said ASEAN-China Free Trade Area is considered as one of the most important economic partnerships of ASEAN.

“By upgrading it to 3.0, it will become more comprehensive and aligned to global realities. So, the cooperation will cover green and digital economies and this will also empower micro, small and medium enterprises,” she said.

MSMEs comprise over 99.6 percent of all business establishments in the country.

Also signed here on Saturday was the upgraded ASEAN Trade in Goods Agreement or ATIGA which, according to Philippine officials, ensures the pact’s continued relevance in addressing contemporary trade challenges.

Malaysia, meanwhile, yesterday turned over the chairmanship of the ASEAN to the Philippines.

The ceremonial gavel was passed on to President Marcos by Anwar, symbolizing the transfer of ASEAN chairmanship to the Philippines.

Assuming ASEAN chairmanship is an opportunity, Marcos said.

I’m a little, shall we say, overwhelmed by the scale of what it is that we have to do. But that is very well balanced by the number of opportunities that we are being given to move ASEAN forward in the directions that we feel, we, Philippines, feel are the right directions for positioning of the ASEAN and the member-states for the future – the brave new world that we are all facing,” Marcos said at a press conference with Philippine media.