Xi takes centre stage at APEC meet, promises to defend global free trade

MULTILATERAL ORGANISATIONS

1 NOVEMBER 2025

Mr. Xi took centre stage at the Asia-Pacific Economic Cooperation (APEC) summit in Gyeongju, South Korea, as Mr. Trump left the country a day earlier after reaching deals with Mr. Xi meant to ease their escalating trade war.
Chinese leader Xi Jinping told Asia-Pacific leaders that his country would help to defend global free trade at the annual economic regional forum snubbed by U.S. President Donald Trump.
APEC represents nearly 40% of the world’s population and more than half of global goods trade.
Mr. Xi called for maintaining supply chain stability, in a riposte to U.S. efforts to decouple its supply chains from China.
He also expressed hopes to work with other countries to expand cooperation in green industries and clean energy.

Asia-Pacific Economic Cooperation (APEC)

APEC is a regional economic forum founded in 1989 to promote free trade, investment, and economic cooperation in the Asia-Pacific region.

APEC Secretariat

Located in Singapore.

Membership

21 economies (APEC uses the term economies, not countries).
Major members: USA, China, Russia, Japan, South Korea, Australia, Canada, Mexico, Indonesia, Malaysia, Vietnam, Thailand, Singapore, Philippines, Chile, Peru, New Zealand, etc.
India is NOT a member (but has sought membership).

Key Features

Voluntary, non-binding commitments.
Decisions are by consensus.
Promotes “Open Regionalism” → benefits of liberalization extended beyond members.
Works through annual APEC Economic Leaders’ Meetings.

Bogor Goals (1994)

Two-stage vision for free trade and investment in the region:

2010 for developed members.
2020 for developing members.(Goals largely unmet but remain guiding principles.)

APEC vs. ASEAN

Feature	APEC	ASEAN
Type	Economic forum	Regional organization
Members	21 economies	10 countries (now expanding)
Binding?	Non-binding	Binding agreements possible
India member?	No	No

Why India is not a member?

Membership moratorium since 1997 (frozen expansion).
India seen as having high tariff barriers earlier.
Some members want India to show stronger trade liberalization.

Q1. Consider the following pairs: (UPSC CSE 2009)
Organization : Location of Headquarters
1. Asian Development Bank : Tokyo
2. Asia-Pacific Economic Cooperation : Singapore
3. Association of South East Asian Nations : Bangkok
Which of the above pairs is/are correctly matched?
(a) 1 and 2 only
(b) 2 only
(c) 2 and 3 only
(d) 3 only
Ans: (b)

Q2. India is a member of which among the following? (UPSC CSE 2015)
1. Asia-Pacific Economic Cooperation
2. Association of South-East Asian Nations
3. East Asia Summit
Select the correct answer using the code given below:
(a) 1 and 2 only
(b) 3 only
(c) 1, 2 and 3
(d) India is a member of none of them
Ans: (b)