China may advocate for the creation of a Free Trade Area of the Asia-Pacific (FTAAP), which would encompass all 21 members of the Asia-Pacific Economic Cooperation (APEC) forum. Beijing is expected to promote this initiative during the Asia-Pacific leaders’ meeting in November, though analysts note that securing a concrete deal may prove difficult due to likely resistance from Washington.
China’s initiative and the US position
Even if an agreement on the FTAAP cannot be reached, the proposal could help Beijing win favor with other Pacific nations by focusing on measures to reduce export costs. At the same time, it could frame the US as an obstacle to international trade should Washington oppose the initiative.
“This issue should be a priority, especially given the stance of US President Donald Trump against international trade and his constant threats to impose tariffs,” noted Chen Zhiwu, a professor of finance at the University of Hong Kong.
According to analysts, the expected push for the FTAAP could strengthen China’s standing among Asia-Pacific nations, even if a free trade agreement remains out of reach.
Source: South China Morning Post
