Kuala lumpur: Economic ties between ASEAN and China are set to reach new heights with the signing of the ASEAN-China Free Trade Area (ACFTA) 3.0 agreement, earmarked for later this year. Malaysia’s Foreign Minister Datuk Seri Mohamad Hasan stated that the upgraded agreement comes at a critical juncture as ASEAN seeks to fortify economic cooperation and resilience amid an increasingly uncertain global trading environment.

According to BERNAMA News Agency, Mohamad Hasan emphasized the strategic timing of the ACFTA 3.0 signing in his opening remarks at the ASEAN Post-Ministerial Conference with China. This event was held in conjunction with the 58th ASEAN Foreign Ministers’ Meeting (AMM) and related meetings. The 58th AMM, held under Malaysia’s ASEAN Chairmanship for 2025, carries the theme ‘Inclusivity and Sustainability.’

The ACFTA, initially established in 2010, is recognized as one of the world’s largest free trade agreements, encompassing a market of over two billion people. Its objective is to eliminate tariffs and trade barriers between ASEAN member states and China. This move aims to promote greater economic integration, enhance investment flows, and strengthen supply chain connectivity across the region.

Mohamad highlighted that ASEAN and China have been each other’s largest trading partners for four consecutive years, with total trade reaching US$770.94 billion in 2024, marking a 10.61 percent increase from the previous year. He also cautioned about the necessity to remain vigilant against threats to an open, fair, and rules-based trading system.