25/09/2025

BIZ & FINANCE THURSDAY | SEPT 25, 2025

14

Australia wants to strengthen trade,

Asean boosts partnership with China via key pacts

investment with region KUALA LUMPUR: Australia is stepping up efforts to deepen its economic and trade linkages with Southeast Asia, with Malaysia playing a pivotal role in the push, said Australia’s Trade and Tourism Minister Don Farrell. He said Asean represents one of the world’s fastest-growing economic regions, offering significant opportunities at a time when some countries are pulling back from free and fair trade. “We think there are opportunities to expand our links in (this) region,” he told Bernama yesterday. Farrell is in Kuala Lumpur to attend the 57th Asean Economic Ministers’ Meeting, where he will be holding meetings with his counterparts to not only deepen Australia’s economic ties but also reiterate the country’s strong support for a peaceful, stable, and prosperous region. He will also meet with the European Commissioner for Trade and Economic Security, Maroš Šefèoviè, and the US Trade Representative, Jamieson Greer. Farrell said Australia has already increased its presence in Southeast Asia, including in Kuala Lumpur, based on recommendations from business leaders. “A very highly regarded Australian businessman recommended that we put more boots on the ground in Southeast Asia, including Kuala Lumpur. And that’s what we’ve done. In the first six months alone, we have done hundreds of billions of dollars of new business. We think that’s just the start,” he added. He said that Australia is also taking advantage of interpersonal ties with Malaysia, where many Malaysian families have settled in Australia, to boost bilateral cooperation. On agriculture and food exports, Farrell emphasised that Australia’s strong reputation as a reliable supplier of high-quality produce rests on its strict biosecurity rules. “One of the reasons why countries like Malaysia and Singapore buy Australian products is because they’re clean and green,” he said. “We’ve got to make sure that we protect that.” Bloc is S. Korea’s second largest trading partner KUALA LUMPUR: Asean has become South Korea’s second largest trading partner after China with trade and investment relations deepening, signifying the importance of the grouping to the country in the last few years. South Korean Trade Minister Yeo Han-Koo said this came about through free trade agreements and bilateral arrangements with member states and via the Regional Comprehensive Economic Partnership. “South Korea is currently discussing the amendment process of its FTAs with dialogue partners and negotiating bilateral trade with some Asean member countries,” he said at the 22nd Asean-ROK consultation on the third day of the 57th Asean Economic Ministers’ Meeting. Meanwhile, Investment, Trade and Industry Minister Tengku Datuk Seri Zafrul Aziz said Asean and dialogue partner South Korea are exploring initiatives to deepen trade and investment relations. – Bernama

Asean Summit next month, said Tengku Zafrul. The agreement was reached following smooth consultations between member countries and China’s Ministry of Commerce at the 57th Asean Economic Ministers’ Meeting here yesterday. “Our consultation went smoothly. We discussed the Asean-China FTA Upgrade 3.0, and all countries agreed to sign it in October during the meeting with other national leaders,” he said. Tengku Zafrul said the consumer sector is among those identified, and that Asean should focus on increasing exports to China. The technology sector is also important and should be given attention by providing opportunities for companies from Asean to become part of China’s supply chain, he said. “We also discussed more inclusive trade in terms of legal frameworks to ensure that trade between China and Asean is transparent and fair.Moving forward, there will be many workshops and seminars on legal matters between China and Asean to address trade related issues,” said Tengku Zafrul. He emphasised that China has been Asean’s largest trading partner for 16 consecutive years, while Asean has served as China’s top trading partner for the past five years. Tengku Zafrul noted that trade between Asean and China is projected to reach US$1 trillion this year. – Bernama

o Tengku Zafrul says both parties must continue to uphold principles of openness, inclusivity and multilateralism amid increasingly complex global environment

KUALA LUMPUR: Asean remains fully committed to strengthening its long-standing partnership with China through the effective implementation of key agreements such as the Asean-China Free Trade Agreement (FTA), Regional Comprehensive Economic Part nership and other important regional cooperation frameworks. Investment, Trade and Industry Minister Tengku Datuk Seri Zafrul Abdul Aziz said that as the world navigates an increasingly complex environment, Asean and China must continue to uphold the principles of openness, inclusivity and multilateralism. “These principles are critical to ensuring that our partnership remains relevant, resilient and forward-looking,” Tengku Zafrul said in his speech as he chaired the 24th Asean Economic Ministers-Ministry of Commerce Consultation (AEM-MOFCOM Consultation) yesterday. He noted that Asean-China relations have grown significantly, supported by strong economic ties, close people-to-people ex changes and mutual trust.

The minister said China has remained Asean’s largest trading partner, while Asean has emerged as China’s top trading partner in recent years, a clear reflection of the mutually beneficial nature of their cooperation. As a result, Asean-China trade reached US$772.2 billion (RM3.25 trillion) in 2024. Tengku Zafrul said Asean and China have reaffirmed their commitment to addressing trade concerns and resolving differences through consultations based on equality, mutual respect and mutual benefits during a special AEM-MOFCOM Consultation in May. “We also concurred to further leverage Asean-China trade and economic cooperation to address uncertain disruptions. “Therefore, today, let us reiterate our collec tive commitment to working together as part ners, neighbours and friends, delivering meaningful benefits to our people, while contributing to regional and global stability,” he said. Meanwhile, Asean member countries have jointly agreed to sign the Asean-China Free Trade Area 3.0 Upgrade agreement at the

Tengku Zafrul with Asean economic ministers and China’s Vice Minister of Commerce Yan Dong during a photo session at the 24th Asean Economic Ministers-Ministry of Commerce Consultation at the Malaysia International Trade and Exhibition Centre yesterday. – BERNAMAPIC

‘Deeper economic ties with EU can cushion impact of trade challenges’ KUALA LUMPUR: A conclusive economic partnership between Asean and the European Union (EU) could help cushion the impact of global trade uncertainties, an economist said. Sunway University economics professor Dr Yeah Kim Leng said the EU is likely to continue strengthening its trade and investment presence in Southeast Asia through bilateral free trade agreements (FTA) before a comprehensive EU Asean region-to-region deal can be achieved. He said deeper EU-Asean cooperation would help shield both regions from spillover effects of the intensifying rivalry between the United States and China. and as a counterweight to the US’s shift towards inward-looking policies. He added that both regions are seeking stronger partnerships to offset continued weakness in the global economy, particularly in the US and China. “The closer ties will enable countries in both regions to cope with the likely fragmentation of world markets and the reconfiguration of global supply chains,” he said. Nevertheless, Yeah opined that it may still be too early to finalise the EU-Asean FTA due to Asean’s diverse and varying development stages, despite ongoing formal negotiations. “Instead, the EU has forged bilateral FTAs with Singapore and Vietnam, while talks with Indonesia, Malaysia, the Philippines and Thailand are either ongoing or in exploratory stages. It is likely that more bilateral FTAs will need to be concluded before the region-to-region FTA can be realised through a domino effect when more Asean members gain benefits from an FTA with the EU,” he added. businesses, alongside Vietnam, Indonesia and Thailand. According to Asean statistics, the total value of two-way merchandise trade between Asean and the EU reached US$292.57 billion (US$1 = RM4.21) in 2024. Commenting further, Yeah said he believed that Asean and the EU possess strong potential and growth opportunities to further enhance trade and investment relations between the two regions, with various sectors set to benefit.

Yeah was speaking to Bernama in conjunction with the 57th Asean Economic Ministers’Meeting and Related Meetings, on Sept 22-26 at the Malaysia International Trade and Exhibition Centre, which will include meetings with dialogue partners.

Beyond trade in goods, he said, investment flows are expected to rise, particularly in manufacturing, green technology and digital economy sectors, where European companies hold technological advantages.

A recent EU-Asean business sentiment survey revealed that Malaysia has emerged as one of the four most attractive Asean markets for European

Yeah noted that EU-Asean ties have gained importance as an affirmation of multilateralism