Abstract

The purpose of this study is to explore the emergence of Chinese economy and the possibility of economic cooperation between the East Asian countries, which will facilitate the solution to structural problems in the economy and industries of these countries. This study presents that China will remain essential to the East Asian economy and changes are anticipated in its economic growth rate, growth strategy and risks. How to respond to them will be the critical movement that will determine the future course of the East Asian economy. To solve this question, firstly each government of East Asian countries needs to come up with strategies that will leverage China for their industrial upgrade and economic development even when the risks facing China are realized. Second, each government of East Asian countries should make a wise approach towards a free trade agreement between EATR and China.