MCQ Detailed View

Answer: Zhu Rongji

The first Asian leader to propose a formal Free Trade Agreement (FTA) between China and the Association of Southeast Asian Nations (ASEAN) was Zhu Rongji, who served as the Premier of China from 1998 to 2003. He made this proposal in the year 2000 during the ASEAN+3 summit, a key regional platform that brought together China, Japan, South Korea, and the ten ASEAN member states.

Zhu Rongji’s initiative reflected China’s growing interest in deepening economic and political ties with Southeast Asia. The proposed FTA was designed to reduce trade barriers, eliminate tariffs, and encourage investment flows across the region. His vision was aimed not only at boosting trade but also at building stronger partnerships between China and ASEAN economies at a time when globalization was accelerating.

The proposal quickly gained traction, and negotiations began soon after. In 2002, the Framework Agreement on Comprehensive Economic Cooperation was signed, laying the foundation for what would become the China–ASEAN Free Trade Agreement (CAFTA). The agreement officially came into effect in 2010, creating one of the world’s largest free trade areas by population and economic size.

Under CAFTA, trade between China and ASEAN grew significantly, making ASEAN one of China’s largest trading partners. The agreement also had strategic importance, allowing ASEAN countries to access the massive Chinese market while giving China a stronger role in regional integration. Zhu Rongji’s proposal is thus remembered as a turning point in Asian economic diplomacy, demonstrating how leadership decisions can reshape regional trade and cooperation for decades.