FX.co ★ China, ASEAN Finalize Upgraded Trade Deal Amid U.S. Tensions

China and the 10-member ASEAN bloc have successfully concluded negotiations on an enhanced free-trade agreement, termed version 3.0. This significant development aims to strengthen Beijing’s regional ties amidst ongoing trade tensions with the United States. The updated agreement, which builds on a 15-year-old framework, is pending ratification and may be finalized within the year. Commerce Minister Wang Wentao expressed China's commitment to collaborating with ASEAN to bolster the stability of global supply chains, promote mutual development, and uphold fairness and justice. He voiced criticism of U.S. trade policies, emphasizing that "there are no winners in a tariff war or trade war." Despite reaching a temporary compromise with Washington, China is actively fortifying economic partnerships, particularly with ASEAN and the EU. The updated agreement introduces nine new chapters focusing on digital and green economies, customs, and supply chain issues. Additionally, both parties have agreed to collaborate on cybersecurity, electronic payments, infrastructure, and technical standards—beginning with innovations in new energy vehicles and electronics.