ASEAN and China sign ACFTA 3.0 to deepen digital and green trade

Leaders of the Association of Southeast Asian Nations and China on Tuesday signed an upgraded free trade pact in Kuala Lumpur that expands cooperation into the digital economy, green industries and supply chain connectivity, formalizing what officials described as a modernized framework to deepen trade and investment ties. The ASEAN‑China Free Trade Area 3.0 was adopted at the close of the 47th ASEAN Summit on Oct. 28, with the protocol signed after negotiations that began in November 2022 and concluded earlier this year.

The agreement adds new chapters on digital trade, green development, customs facilitation and support for small and medium enterprises, aiming to streamline market access for goods, services and investment across the 11‑member bloc and China. Chinese Premier Li Qiang, who witnessed the ceremony alongside Malaysian Prime Minister Anwar Ibrahim and other leaders, said closer cooperation would help the region weather global economic uncertainty, saying, "Unity is strength." Malaysian Trade Minister Tengku Zafrul Aziz handed the signed protocol to the ASEAN secretary‑general, completing the formal adoption.

The upgrade builds on two decades of growing economic...