The signing of the Regional Comprehensive Economic Partnership Agreement (RCEP) a couple of weeks ago is anticipated to drive further interdependence of East Asian economies, creating strong incentives for further economic cooperation between China, Japan and Korea.
This is the conclusion of this economic modelling analysis of the potential implications of RCEP (see linked report).
Add to this recent developments such as
the agreement between China and Indonesia to finance trade and investment using either the RMB or Ringgit;
China and Malaysia's ongoing technology collaborations;
the extension of the trial of China's eRMB to Hong Kong, enabling cross-border trade finance using the PBOC's digital currency; and
Singapore's issuance of 4 digital banking licenses, 2 of which are to groups with strong China affiliations;
and we are witnessing the consolidation of a mutually inter-dependent, technologically-driven Asia.