Economics And Trade Cooperation, Free Trade Area Development Of China And ASEAN

In the international relationship, the strength is important. In peace age, a country's economic potential decides its local business influence in the very great degree. The American economy was not booming, the Japanese economy was dispirited in recent years, which has affected economy recovering of ASEAN countries. But the China economy actually maintains the strong growth phases, and is becoming the economic engine in this region. The ASEAN member nation soberly realized strengthening with China's relations only has the advantage to them. Relationship between China and other ASEAN member countries have been through difficulties and gradually moves towards maturity, until in 1991, China and the member nation of ASEAN established or restored the diplomatic relations.Late 20th century, the international situation has greatly changed. The world multiplication tendency has been further obvious, the world economic integration, the region advancement speeds up. The ideology opposition, the military resistance as the leading international relations is replaced by the economical, the science and technology comprehensive national strength competition is replaced, peace with develops became the time main situation, the various countries all adjust the foreign policy according to their own benefit to develop their economy. Under such international political background, China and the ASEAN member nation has many common advantage, also both sides have the desire to further development cooperation relations. Thereupon the process both sides joint effort, in December, 2002, China and the ASEAN member nation leader has signed "China and the ASEAN member nation Comprehensive Economic cooperation Frame Agreement", which started the China and the ASEAN member nation free trade area construction advancement together, and the establishment together face to the 21st century good-neighbourness mutual interdependent partnership.The first part of the article mainly elaborated China and the ASEAN member nation of the economics and trade cooperation relations development actuality and the bilateral investment, the bilateral economics and main characteristic of trade cooperation. In the beginning, It describes China and the ASEAN member nation of economics and trade cooperation development actuality. AS it is obvious in the world multiplication tendency, the world economics integration, the region advancement speed up under the international situation, China and the ASEAN member nation adjust the foreign policy all according to own benefit to. Under such international political background, through both sides joint effort, in 1997, China and the ASEAN member nation established together the 21st century good-neighbourness mutual interdependent partnership; Then the paper described China and the ASEAN member nation both sides investment, the economics and trade cooperation development characteristic. China and the ASEAN member nation of economics and trade development are rapid, the area of collaboration expands unceasingly, bilateral trade, investment, and contract project and labor service cooperation has the outstanding achievement. Bilateral investment mainly includes ASEAN member nation to China's direct investment as well as China to the ASEAN member nation direct investment; and the bilateral economics and trade cooperation has rivalrousness and interplay. The second part of the article is the questions as well as the establishment free trade area economical effect analysis which pay attention to China and ASEAN countries development economics and trade cooperation. Firstly, In December, 2002, China and other ASEAN member countries leader has signed "China and the ASEAN member nation Comprehensive Economic cooperation Frame Agreement", defining bilateral cooperation divides into two phase: Firstly, in the 2004-2006 year, during approximately 600 kinds of products customs duties must reduce to zero; secondly, to 2010, China and ASEAN completes the Free Trade Area (CAFTA). Although CAFTA constitute has already obtained the certain achievement, but also has some factors which do not allow us to neglect, there are mainly several questions: 1. "China's threat theory"and"Chinese investment black hole theory"; 2. ASEAN member nation economical disparity difference, has restricted cooperation between China and ASEAN; 3. The trade deficit unceasingly expands; 4. How to process the good sensitive product to reduce the tax; 5. The ASEAN internal cooperation relations are loose, foreign economic interdependence was higher, which has hindered the ASEAN economic integration advancement. Secondly, elaborated China and the ASEAN establish the free trade area economical effect, for example: The tariff and non-tariff barriers, the service trade, the industry the division of labor and the industrial structure adjustment, which stimulates the investment, the economy, the economies of scope, and the currency integration effect and so on.The third part mainly analyzes China and other ASEAN member countries overall economics and trade development way, CAFTA development policy is suggested. First, I think that the ASEAN countries economics and trade level of development is not the only one, besides analysis internal development, but also we must earnestly consider exterior way the development. Completes the free trade area with China, how to realize institution, and maintenance flexibility; How both can move towards the trade investment liberalization, and carries on the economic aid to backwardness country; How with steady steps before 2010 we can complete the China -ASEAN "10+1" free trade area. Through China,, ASEAN member nation with other national can establish free trade area relationships; how can we impels the free trade area construction more positively and safely and try to find out set of realistic development ways, this is a question which at now must solve. Secondly, there are several proposals in the impetus free trade area development policy: 1. enhance industry competitive ability, constructs the industrial cooperation system with the ASEAN; 2. reassign enthusiasm of medium and small sized enterprise, encourages them to go to the ASEAN to invest; 3. strengthen southwest of China area with the ASEAN member nation economic cooperation; 4. establish risk guard mechanism, enhances resists exterior impact ability; 5. strengthen ASEAN in each domain exchange and the cooperation, strives for more initiatives. After completing China and ASEAN free trade area meant from now will appear to have approximately 1.7 billion population unified markets, "the trade will grow the luminescent spot" for China and other ASEAN member countries creation, for between the enterprise economics and trade cooperation has mutually provided the renewal, more opportunities. Regarding this, both sides should strengthen the cooperation, the thorough investigation and study, grasp of opportunity, under the free trade area frame, positively adjusts the economic development strategy. China and other ASEAN member countries should take a positive and pragmatic attitude, in a spirit of mutual benefit, reciprocity, mutual accommodation spirit between the state and the relevant state departments to the corresponding coordination, according to the present progress, we can expect the free trade area goal may be able to be achieved more early.