China and ASEAN signed an upgraded free trade agreement on 28 October 2025, expanding cooperation in digital, green, agricultural, and pharmaceutical sectors.
Regfollower Desk
China and the ASEAN bloc signed an upgraded free trade agreement on 28 October 2025, marking a significant step in their economic partnership.
The new deal, referred to as the 3.0 version, focuses on emerging sectors such as the digital and green economies, as well as agriculture and pharmaceuticals.
ASEAN, which includes 11 Southeast Asian nations, is China’s largest trading partner, with bilateral trade reaching USD 771 billion in 2024.
This agreement comes as China seeks to strengthen ties with the region, which boasts a collective GDP of USD 3.8 trillion.
Negotiations for the upgraded deal began in late 2022 and concluded earlier this year, aligning with China’s efforts to present itself as an open economy despite criticism over its export restrictions on rare-earth and other critical minerals.
Both China and ASEAN are also part of the Regional Comprehensive Economic Partnership (RCEP), the world’s largest trade bloc, which covers a significant portion of the global economy.
The signing took place during a summit in Malaysia, which also hosted an RCEP meeting earlier in the week.
