VIENTIANE, Laos -- Ten southeast Asian nations Monday agreed China will take the lead in creating the world's largest free trade zone.

At the annual meeting of the Association of Southeast Asian Nations taking place in Laos, member countries agreed improved relations will benefit both China and ASEAN nations, media reports said.

A similar agreement is expected to be reached with India before the meetings end Tuesday, the reports said.

The trade agreements are expected to boost economic ties among the countries and lead to a significant rise in trade flow in the region.

ASEAN members are: Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar (Burma), Philippines, Singapore, Thailand and Vietnam. Non-members taking part in the talks include China, Japan, South Korea and India as well as Australia and New Zealand.

Other topics for discussion at the talks include an anti-terrorism pact between ASEAN and Japan.

Momentum is also reportedly building for participants to break with ASEAN's tradition of non-interference in other members' internal affairs in order to press Myanmar to introduce democracy.

Copyright 2004 by United Press International