China-ASEAN Free Trade Area: The Step Toward East Asia Economic Integration

The paper analysis China-ASEAN Free Trade Area and the consequences on the process of regional economic integration in East Asia, especially the China role in the regional economic integration.The in-depth analysis of China and ASEAN Free Trade Area process show that, the engine of China's trade expansion has been international processing activities, In this context, China become the main trade partner with ASEAN and China play an important role in the process of Free Trade Area and economic integration in East Asia. Economic integration in East Asia has been driven by: (1) capital flow from more developed economies to less developed economy-firstly from Japan then from"four dragons". (2) Foreign Direct Investment FDI friendly policy and open market strategy. (3) China's economic rise, due to its strategy and huge market potential, has become a new factor for regional economic growth and restructured the pattern of the regional economic integration.The paper is organized as follows: A first section point out the basic argument and understanding how the theoretical framework explains about China and ASEAN relation. A second section investigate the initiative of China-ASEAN Free Trade Area and try to answer why China and ASEAN choose each other for free trade are?. A third section point out the economic relations between China and ASEAN in the process of regional economic integration. A fourth section examines the key step toward East Asian economic integration, some challenges the way on the integration process and answer the question why East Asian Economic Integration?...