How trade links between Southeast Asia and China have thrived for more than 1,000 years
After 1,000 years, SE Asia-China trade is only getting stronger
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Trade links between Southeast Asia and China have existed for centuries, with archaeological findings pointing to a relationship that spans as far back as the 1100s.
In the 1980s, excavations in Singapore’s old town found hundreds of Chinese artefacts and coins dating back to the Yuan dynasty in the 14th century, when Mongolians ruled China.
Researchers drew one clear conclusion: there was a thriving barter trade economy between China and Southeast Asian merchants at the port of Singapore. While the Chinese wanted spices, tin, gold and so-called forest products such as benzoin and camphor to make medicine, Southeast Asia desired Chinese ceramics.
Except for brief periods of war and disruption, this trade relationship has largely remained steady over the past 1,000 years. And in the just the last few decades, it has risen to lucrative heights unseen throughout history.
The boost began soon after the Asian Financial Crisis in 1997. In 1999, China initiated its “Going Out” policy, which pushed its companies to invest heavily in Asia.
Three years later, China became the first dialogue partner of Asean to sign a free-trade agreement with the regional grouping.