The Indonesia pavilion is seen at the China-ASEAN Expo in Nanning, South China's Guangxi Zhuang autonomous region, on Sept 17. [ZHANG WEI/CHINA DAILY]

　　China and the Association of Southeast Asian Nations are forging closer industrial and supply chain ties, with the upgraded free trade framework opening more room for investment, digital trade and green industries, said Pov Somnang, special assistant to the secretary-general of ASEAN.

　　Pov said more commercial opportunities will emerge as the China-ASEAN Free Trade Area 3.0 Upgrade Protocol, or CAFTA 3.0, facilitates closer coordination in supply chains, technology and trade rules and expands cooperation in emerging areas.

　　Following the signing of CAFTA 3.0 in Kuala Lumpur, Malaysia, in October 2025, China is working with ASEAN member states to bring the upgraded protocol into force at an early date, the Ministry of Commerce recently said.

　　"The relationship needs to move beyond simple buying and selling toward joint investment, research and operations. The focus is shifting from scale expansion toward innovation-driven growth across the region," said Pov.

　　Growing trade flows also underscore the strength of economic ties. China-ASEAN two-way trade reached 5.95 trillion yuan ($887.5 billion) in the first eight months, up 20.6 percent year-on-year, data from China's General Administration of Customs showed.

　　Closer alignment in customs procedures, standards and trade rules under CAFTA 3.0 can reduce transactional and logistical costs, and help smaller businesses participate more comprehensively in regional supply chains, said Pov, adding that digital and green industries are also emerging as new growth engines for China-ASEAN economic cooperation.