China, ASEAN sign upgraded free trade pact

China and the ASEAN bloc of Southeast Asian nations have enhanced their free trade agreement as trade between the two regions continues to rise in the shadow of U.S. President Donald Trump’s trade war

Association of Southeast Asian Nations (ASEAN): Brunei, Cambodia, East Timor, Indonesia, Laos, Malaysia, Myanmar, Philippines, Singapore, Thailand, Vietnam

2018: Trump’s trade war with China sparks rise of China Plus One strategy, making ASEAN and China each other’s biggest trade partners in recent years

Population
GDP (nominal)
U.S.
China
ASEAN
343m
1,405m
~690m
$30.51 trillion
$19.23 trillion
$3.6 trillion*

*2023, ASEAN without East Timor

Pact signed by Chinese Premier Li Qiang (right) and Malaysian Prime Minister Anwar Ibrahim (left) at 47th ASEAN Summit

CHINA’S EXPORTS TO U.S.
CHINA’S EXPORTS TO ASEAN

53.7
Sep 2025
34.3
22.3
33.8
U.S.-China trade wars

$60 bn
40
20
0

2017
2018
2019
2020
2021
2022
2023
2024
2025

Sources: Bloomberg, Reuters, IMF’s April 2025 World Economic Outlook, ASEANstats, China’s General Administration of Customs
Picture: Getty Images
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