China is hosting the 2026 edition of the Asia-Pacific Economic Cooperation forum, commonly known as APEC, putting a spotlight this year on economic cooperation among the 21 member economies that ring the Pacific Ocean.
APEC was founded in 1989 as a forum for member economies, including the United States, Japan, South Korea, Australia, Canada, Mexico and many Southeast Asian nations, to discuss trade liberalization, investment and economic cooperation across the Pacific Rim. Unlike the World Trade Organization, APEC does not produce binding trade agreements; it operates by consensus and is built around annual meetings that culminate in a leaders' summit, with the host country rotating each year among member economies.
This year's hosting duties fall to China, following South Korea's turn in 2025. Hosting the forum gives the host economy an opportunity to help shape the agenda and set the tone for discussions on issues ranging from supply chain resilience to digital trade and sustainable growth, at a time when global trade has been complicated by tariff disputes and shifting alliances among major economies.
The forum's work this year comes against a backdrop of elevated global economic uncertainty, with inflation concerns prompting renewed debate over interest rates in the United States and continued questions about the durability of global supply chains. APEC's consensus-based, non-binding approach means its discussions are unlikely to produce dramatic policy shifts on their own, but the forum remains one of the few settings where leaders from economies as different as the United States, China, Japan and smaller Pacific nations sit at the same table on a regular basis.
Further details on this year's APEC leaders' meeting and any joint statements are expected as the forum's events continue.
What is APEC?
APEC, the Asia-Pacific Economic Cooperation forum, is a group of 21 Pacific Rim economies that meet regularly to discuss trade and economic cooperation.
Does APEC set binding trade rules?
No, APEC operates by consensus and its agreements are not legally binding, unlike formal trade treaties.