China seeks to expand trade relations with Asean

In this photo released by China’s Xinhua news agency, Chinese President Xi Jinping, center, and other Communist Party top leaders raise their hands to vote in the third plenary session of the 18th Central Committee of the Communist Party of China, in Beijing. AP FILE PHOTO

In what appears to be a bid to scale down tension in the region, China has proposed the establishment of a “Maritime Silk Road” with members of the Association of Southeast Asian Nations (Asean).

Zhang Gaoli, first ranked vice premier of the State Council of the People’s Republic of China, made the proposal “based on good neighborliness and spirit of friendship,” during the recently concluded 11th China-Asean Expo (Caexpo).

In calling it the Maritime Silk Road, the Chinese official was making a reference to the ancient trade route that spanned two continents.

Some members of the Asean, including the Philippines and Vietnam, are currently embroiled in territorial disputes with China.

According to the Asean, China has stressed the need to further strengthen cross-border trade, boost subregional cooperation, and enhance people-to-people exchanges, among others, to “achieve greater peace, mutual development and prosperity in the region.”

The upgrade of the Asean-China free trade agreement was also cited as one of the essential foundations for the Regional Economic Comprehensive Partnership (RCEP)—a bigger trade agreement that will cover the 10 member states of the Asean and its six FTA partners: China, Australia, China, India, Japan, South Korea and New Zealand.

o 18, showcased Asean merchandise including food, fruits and agro-based products, jewelry and ornaments, decorative items and wooden furniture. Education and healthcare services, as well as investment projects, were also exhibited to further enhance trade in services and investments between Asean member states and China.

The Philippines, through the Center for International Trade Exhibitions and Missions (Citem), showcased local goods such as arts and crafts, home décor, food products, fashion accessories and personal care products, all geared to attract consumers from China and the rest of the Asean.

Last year, Philippine manufacturers who took part in the trade event generated $3.78 million (roughly P166 million) in sales, with food and health and wellness products taking the lead, according to Citem.

“An estimated 100 million of China’s 1.34-billion population are now affluent enough to buy quality imported consumer goods. They have become more prosperous and now demand for more sophisticated products, with a greater emphasis on quality, convenience and freshness. Philippine exporters should capitalize on the opportunity to maximize exposure to the Chinese market,” Citem executive director Rosvi C. Gaetos earlier said.