At the opening ceremony of the 10th China-ASEAN Expo in September, Premier Li Keqiang vowed to further reduce tariffs, initiate service trade negotiations and ease market access in the investment area as main measures to upgrade the Sino-ASEAN Free Trade Association.

The China-ASEAN FTA is the world's third-largest. Since it was launched, bilateral economic cooperation has become a model for international trade exchange globally. The growing convergence of southeast Asian economies has become a real attraction for foreign investors to enter the emerging economy.

Li also said China would like to reach a long-term agreement on agriculture trade with ASEAN and actively increase imports of competitive products from the association.

Apart from that, the government also plans to promote bilateral investment to $150 billion within the next eight years.

The China-ASEAN FTA brings benefits in terms of both trade and investment, according to Pitsuwan.

By the end of 2012, accumulated bilateral investment between China and ASEAN reached $100.7 billion, of which investment from China accounted for 23.4 percent and that from ASEAN was 76.6 percent, according to the China-ASEAN Business Council.

In 2012, China's investment in ASEAN economies was $4.42 billion, up 52 percent from a year earlier. Bilateral investment was valued at $11.49 billion, of which Chinese investment accounted for 38.5 percent.

"China's investment in ASEAN economies witnessed a faster-pace of growth than ASEAN's investment in China last year. The proportion in total has been rising in recent years," said Xu Ningning, executive secretary-general of the business council.

By the end of 2012, Singapore had become the destination where Chinese companies invested most among ASEAN members, followed by Cambodia, Burma, Indonesia and Laos, according to data from the business council.

"Thanks to China's good economic momentum, competitive Chinese enterprises have actively invested in developed and emerging economies, driving global economic development. Many Chinese companies have expanded their businesses in Singapore," said Tan Lui Hai, economic counselor at the Singapore Embassy in China.

Tan said China is the center of Asia and Singapore would like to be a gateway for Chinese investors' global expansion.

Ong Chong Yi, minister counselor for economic affairs at the Malaysian embassy in China, said that over the past three years Chinese investors have been active in the construction sector in Malaysia but have less presence in the service sector.

"The liberalization of the country's service sector gives Chinese companies opportunities to explore new areas of business," Ong said.

"Factors including strong complementary trade, broad market access and rich reserves of natural resources in ASEAN economies have boosted Chinese investment flowing to them in recent years," said Xu at the business council.

baochang@chinadaily.com.cn