China wins APEC support for free trade ‘roadmap’ as tensions with U.S. simmer

Leaders of Asia-Pacific economies agreed Tuesday to begin work toward possible adoption of a Chinese-backed free-trade pact, giving Beijing a victory in its push for a bigger role in managing global commerce. China is promoting the proposed Free-Trade Area of the Asia Pacific (FTAAP) despite U.S. pressure to wrap up other trade negotiations. Analysts see it as a response to a U.S.-led initiative, the Trans-Pacific Partnership (TPP), which includes 12 countries but excludes China. APEC was the first major international gathering in China since Xi took power and gave Beijing a platform to lobby for a bigger leadership role.

The United States welcomes the rise of a prosperous, peaceful and stable China.

U.S. president Barack Obama

The FTAAP is a longer-term concept for the entire region that would build on the TPP and other free-trade initiatives. The U.S. president has insisted he wants China “to do well” despite simmering tensions between the world’s two largest economies. China has been keen to underscore its rising trade and diplomatic clout during the summit which takes place against a backdrop of growing big-power rivalries. Ahead of the gathering, Xi promised ever-closer cooperation with Obama’s combative diplomatic rival Putin, saying it was “time to gather the fruit” of their deepening ties. Russia and China have been brought together by mutual geopolitical concerns, among them wariness of the United States.

I think that consensus is growing that there’s going to be more viscosity, more tension with China over the next few years.

Michael Green, an Asia analyst at the Washington-based Center for Strategic and International Studies

World APEC