china business weeklyGiven the important economic ties between China and its neighbours in Southeast Asia, this should not have come as a surprise.China is Asean's biggest trading partner while Asean is China's third-biggest partner. China has promised to treat Asean as a "preferred partner" in the massive construction projects and the countries of Asean will benefit not only during the construction phase, but also from the development of integrated supply chains, better infrastructure and improved access to markets, all of which will attract investment into the region.Although the communique issued by the Asean foreign ministers did not refer to the recent ruling by the UN, there were references to the territorial disputes, such as expressing concern over land reclamation and stressing the importance of non-militarisation. Both sides are keen to grow investment and trade, and have set a bilateral trade target for 2020 of US$1 trillion and $150 billion in investment.The outcome therefore reflects the pragmatic approach, which has always characterised Asean.Had the communique been openly critical of China, this would certainly have damaged the relationship and threatened the growing economic cooperation in the region.According to China's Ambassador to Asean, Li Jiming, the next five years will present a rare opportunity for both parties to mutually benefit from regional development because of the Silk Road Economic Belt and the 21st Century Maritime Silk Road. Moreover, China and Asean issued a joint statement after the meeting reaffirming their commitment to the Declaration on the Conduct of Parties in the South China Sea and promising to work towards adopting a binding code of conduct.China's Foreign Minister Wang Yi said that it was time to "turn the page" and move away from tensions and US Secretary of State John Kerry agreed, adding he would encourage the Philippines to "pursue dialogue and negotiation with China in their dispute".Let's hope that the next chapter of relations between Asean and China will be one of friendship, mutual respect and the peaceful development of the region.For more columns in this series please see

Source: The Nation Bangkok August 07, 2016 18:00 UTC