Fujian should play its role in China-ASEAN free trade area

Abstract

In a meeting at Negara Brunei Darussalam in 2001, leaders of ASEAN and China decided to establish China-ASEAN Free Trade Area (CAFTA) within 10 years. A number of memoranda and declarations have been signed since 2001. On 20 July 2005, China and 6 initial member countries of ASEAN lowered the tariff on 7,445 kinds of products according to the Agreement on Trade in Goods. Having launched CAFTA, China and ASEAN will become the third largest free trade area in the world after 5years. II. Long and close relationship between Fujian and SE Asia In ASEAN countries, around 0.8 million people originated from Fujian. Countries of SE Asia relaxed restrictions on people of Chinese origin in 60-70s. It provided a favourable condition for the development of Chinese enterprises. Chinese enterprises expanded their capital through such methods as share subscription, taking over and merger to become important economic force in their economies. The strong Chinese entrepreneurs of Fujian origin are an important Fujian force in the operation of CAFTA. Fujian and the countries in ASEAN are important trading partners.