The race for an Asia-Pacific FTA

Whether steered by the United States or China, an Asia-Pacific FTA would still result in a fragmented world trade system.

East Asia Forum

The race is on between the United States and China to dominate the rules-setting game for trade by being the first to be able to announce plans for a free trade area in the Pacific Rim. China hopes to use its position as chair of APEC this year to propose that a feasibility study on a Free Trade Agreement for the Asia-Pacific (FTAAP), first mooted in 2006, be pursued. In other words, negotiations towards an FTAAP would commence, for all practical purposes.

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