by Thong Mengdavid
China's relationship with the Association of Southeast Asian Nations (ASEAN) has evolved into a pivotal pillar of regional cooperation in Asia, characterized by deep economic integration, emerging technological collaboration and shared strategic interests.
Economic cooperation between China and ASEAN has been transformative. Official Chinese data showed that bilateral trade volume hit 982 billion U.S. dollars in 2024, making China the largest trading partner of ASEAN for 16 consecutive years.
A cornerstone of this progress is the Regional Comprehensive Economic Partnership (RCEP), which came into force in 2022, providing a foundation for deeper cooperation toward prosperity, resilience, and sustainability.
RCEP binds ASEAN's 10 members with China, Japan, South Korea, Australia and New Zealand into the largest free trade zone in the world by population and GDP share.
By lowering tariffs and harmonizing trade rules, RCEP is estimated to further boost intra-regional trade significantly and strengthen integrated regional supply chains.
Alongside RCEP, the China-ASEAN Free Trade Area (CAFTA) has been significantly upgraded under CAFTA 3.0, which was signed at the 28th ASEAN-China Summit in October 2025.
The new version expands the traditional trade pact far beyond tariff reduction. With nine new areas covering the digital economy, green economy and supply chain connectivity, among others, CAFTA 3.0 marks a milestone in economic cooperation that strengthens collective resilience amid global uncertainty.
As China emphasizes support for free trade and multilateral rules at a time of rising protectionism globally, ASEAN's deepening ties with China signal its sustained commitment to open markets.
China and ASEAN have actively pursued cooperation on supply chain resilience, technological collaboration and logistics.
As the world's largest manufacturing base, China anchors global industrial networks, as ASEAN increasingly serves as a critical production hub in electronics, parts manufacturing and advanced assembly.
Technological cooperation is another growing pillar.
China's leadership in 5G networks, artificial intelligence and digital financial services complements the digital economy in ASEAN, a promising market which is projected to exceed 1 trillion dollars by 2030.
China-ASEAN initiatives now include joint research, cross-border innovation hubs and shared knowledge platforms that expedite digital transformation among ASEAN economies. Investing in digital inclusion and cybersecurity frameworks will be key to narrowing the technological gap and enhancing competitiveness across the region.
The two sides are also aligning around sustainability and clean energy.
As fast-growing economies with rising energy demand, both share a strategic imperative to reduce carbon intensity.
China is now the world's largest producer and installer of renewable energy equipment, having driven down costs for solar, wind and battery technologies sharply over the past decade. It is also helping ASEAN expand renewable power generation, smart grid integration and electric mobility infrastructure.
Such cooperation supports ASEAN's commitments under the United Nations Sustainable Development Goals (SDGs), while positioning the region to benefit from the global transition to a low-carbon economy.
China-ASEAN cooperation now spans nearly every dimension of economic life -- trade, technology, supply chains, sustainability and innovation.
By strengthening institutional frameworks like RCEP and the upgraded CAFTA 3.0, both sides have created a robust foundation for growth that is inclusive, forward-looking and mutually reinforcing.
This cooperation is not only about boosting bilateral trade but also about shaping regional economic governance and norms in ways that reflect ASEAN and China's shared priorities in an increasingly complex global environment.
With continued dialogue, investment and strategic coordination, China and ASEAN are well-positioned to navigate the economic and current challenges of our times, fostering prosperity, stability and sustainable development for the region and beyond.
Editor's note: Thong Mengdavid is deputy director of the China-ASEAN Studies Center of the Cambodia University of Technology and Science.
The views expressed in this article are those of the author and do not necessarily reflect the positions of Xinhua News Agency.



