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Senior economic officials from China and ASEAN (the Association of Southeast Asian Nations) met in Beijing on May 14 to discuss the establishment of a China-ASEAN Free Trade Area (FTA).

Chinese officials and those from Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, the Philippines, Singapore, Thailand and Vietnam will discuss the aims, principles, agenda, and time framework for setting up the FTA within the coming decade, a goal set by Chinese Premier Zhu Rongji and ASEAN leaders at a summit meeting last year.

Long Yongtu, vice minister of Foreign Trade and Economic Cooperation, said at the opening ceremony that the establishment of a China-ASEAN FTA would be a historical step for cooperation between the two parties.

"It fully reflects the goodwill of the leaders in strengthening neighborhood friendly cooperation, and embodies the ever-closer economic links between China and ASEAN, marking a new milestone in China-ASEAN relations," Long said.

Trade between China and ASEAN had quadruped in the past 10 years. It was worth US$41.615 billion last year, up 5.3 percent from a year ago. ASEAN was China's 5th largest trading partner and China the 6th trading partner of ASEAN.

Long said the good-neighborly relationship and the complementary structure of resources and products between China and ASEAN laid a good foundation for the FTA. Such a FTA, he said, would enable the two sides to cooperate better, and to prevent the dangers of fast economic globalization.

Hong Tich Phuc, Vietnam's assistant minister of trade, said at the meeting that the establishment of an ASEAN-China Free Trade Area "will not only enhance the current sound cooperation, but will also contribute to strengthening the economic development of China and ASEAN countries."

He stressed that the FTA would help expand trade and investment relationships between ASEAN and China, and improve the investment appeal and competitiveness of the region.

Following the meeting, officials from both parties were to discuss in camera for two days specific issues concerning the establishment of the FTA.