Bridging horizons: China-ASEAN partnership in a changing world

 

THE China-ASEAN Comprehensive Strategic Partnership entered its fifth year in 2026, vividly reflecting the strength of mutual economic sustainability, export diversification and qualitative industrialization driven by green and quantum technologies, digitalization, artificial intelligence and a shared future. China and ASEAN have been each other’s largest trading partners for many consecutive years, a result of the structural reconfiguration of regional integration with profound, long-term implications for Asia’s growth. It is a positive sign that China and ASEAN members are close neighbours who share similar development philosophies and deeply intertwined interests. This allows them to jointly pursue greater socio-economic cooperation, financial integration, e-commerce, hybrid agriculture and, crucially, people-centric development models, policies, plans and projects, creating numerous win-win propositions for all.

Most recently, while attending the China-ASEAN Foreign Ministers’ Meeting in Manila, Chinese Foreign Minister Wang Yi highlighted the tangible achievements of the China-ASEAN Comprehensive Strategic Partnership over the past five years and stressed the need for greater unity in addressing emerging challenges and uncertainties. He outlined four major areas of progress that have strengthened ties: the steady advancement of a community with a shared future among neighbouring countries; the continuation of robust economic and trade cooperation; solidarity in times of crisis; and significant expansion of people-to-people exchanges. Wang noted that nearly 200 major and well-received events were held during the 2024-2025 ASEAN-China Year of People-to-People Exchanges, while a dedicated visa facilitation scheme for ASEAN countries was introduced to make cross-border travel more convenient.

While recognizing these fruitful outcomes, Wang affirmed that the partnership continues to serve as an engine for Asia’s development and revitalization, a model for Asia-Pacific regional cooperation and a benchmark for the solidarity and self-strengthening of the Global South. Wang put forward four proposals for further advancing cooperation. First, safeguard the regional environment for peace and development by championing the Asian values of peace, cooperation, openness and inclusiveness, firmly rejecting unjustified external interference, opposing the formation of exclusive small groupings, refusing to be drawn into camp-based confrontation and never allowing militarism to stage a comeback. Second, bolster the resilience of regional development by staying committed to open cooperation, deepening development integration, advancing the China-ASEAN Free Trade Area 3.0, implementing the Regional Comprehensive Economic Partnership at a high standard and enhancing food and energy security as well as supply chain stability.

Third, advance green and innovation-driven development through expanded cooperation in emerging areas such as the digital economy, artificial intelligence and submarine cables. He suggested institutionalizing the ASEAN Digital Economy Framework Agreement and stepping up collaboration on climate response, clean energy, green agriculture and the blue economy. Fourth, pursue a people-centred path by promoting inclusive and equitable development to ensure the outcomes of cooperation are tangible, accessible and deliver greater benefits to all. China stands ready to enhance exchanges and cooperation in poverty reduction, public health, education, youth, think tanks, tourism, media, culture and other fields.

Wang’s reiteration on the South China Sea issue, urging regional countries to strictly honour the Declaration on the Conduct of Parties in the South China Sea, was the right policy. Moreover, his call for regional resistance against external attempts to stoke tensions, to reject any nation’s efforts to stir trouble and to keep the initiative for safeguarding peace and stability firmly in their own hands was an ideal recipe for promoting regional economic security and protecting the vested interests of all regional countries. He noted that a critical window has opened for finalizing the Code of Conduct in the South China Sea, calling on all parties to seize the opportunity, prevent external interference and work toward achieving that goal.

During the meeting, all parties agreed that China is one of ASEAN’s most important neighbours and dialogue partners as well as its largest trading partner. In the face of a turbulent international landscape, ASEAN countries look forward to closer strategic coordination with China to bolster their own development resilience and advance high-quality connectivity. Analytically, with the formal signing of the China-ASEAN Free Trade Area 3.0 Upgrade Protocol, China and ASEAN have remained each other’s largest trading partners for six consecutive years, with bilateral trade surpassing $1 trillion in 2025 a truly great achievement. According to Chinese official figures, total trade with ASEAN expanded by 7.4 percent year-on-year in 2025, outperforming global trade growth during a period of weakening external demand.

The signing of the CAFTA 3.0 Upgrade Protocol in October 2025 thus represented a pivotal moment in this evolution. It signals a transition toward broader institutional cooperation, introducing modern disciplines covering digital trade, supply-chain connectivity, standards cooperation and sustainable development and reflecting a move from transactional trade liberalization to joint rule-making. By the end of 2025, total two-way goods trade had officially surpassed the $1 trillion milestone, supported by regional mechanisms like the RCEP.

In summary, over the last five years, China-ASEAN cooperation has come to rely heavily on regulatory alignment, data governance, logistics efficiency and industrial ecosystems rather than tariffs alone. Thus, their partnership should be seen as one of co-architects of regional economic rules essential for advancing both regional and global governance. Comparative studies reveal that the opportunities in 2026 extend beyond traditional manufacturing, with the inclusion of the digital economy and green development further enhancing trade potential. The writer suggests that since Singapore focuses heavily on digital finance, Vietnam and Thailand prioritize manufacturing upgrades, Laos and Cambodia centre on infrastructure development and narrowing development gaps and Indonesia concentrates on industrialization, an amalgamation of the national policies and priorities of all China-ASEAN partners should be pursued.

The writer submits that both sides should focus on five priorities to forge a productive ASEAN-China partnership: peace and stability, digital transformation and innovation, energy cooperation, resilience against transnational threats and people-to-people connectivity. In conclusion, the China-ASEAN partnership encompassing trade, commerce, economic integration, financial cooperation and a people-centred development model should be profoundly elevated by designating the South China Sea as a Common Sea of Prosperity, Security and Openness.

—The writer is President, the Centre for Knowledge and Public Policy, Regional Expert: China, CPEC, BRI & World Affairs.

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