China, ILO expand skills cooperation in ASEAN with $1m boost to long-term partnership

Under the amendment, SSTC activities will continue in existing partner countries Lao PDR and Cambodia, while adding a new focus on Indonesia.

The Government of China and the International Labour Organization (ILO) have signed an amendment to their long-standing South–South and Triangular Cooperation (SSTC) Partnership Agreement, strengthening regional collaboration on skills development and employment promotion across ASEAN. The signing took place on 9 December in Beijing, marking a new phase in a partnership that has been in place since 2008.

The original agreement, backed by a total of USD 5 million from China, has positioned the country as a leading contributor to global South–South Cooperation, driving efforts to promote decent work, social justice and economic opportunity in partner countries. The updated agreement expands the initiative’s reach while reaffirming China’s commitment to supporting labour development across the Global South.

Expansion to more ASEAN countries

Under the amendment, SSTC activities will continue in existing partner countries Lao PDR and Cambodia, while adding a new focus on Indonesia. The expanded scope aims to:

• Increase regional outreach and visibility

• Strengthen the skills development network

• Enhance knowledge and resource sharing

• Deepen South–South Cooperation between China, the ILO and ASEAN member states

These efforts reflect growing demand within ASEAN for coordinated skills systems, workforce upgrading and institutional strengthening in technical and vocational training.

Leadership and commitment highlighted

ILO Director-General Gilbert F. Houngbo and China’s Minister of Human Resources and Social Security attended the signing ceremony. Houngbo praised China’s sustained financial and technical contributions, noting the partnership’s impact in improving employment services, social protection and skills development across Asia and beyond.

China’s Ministry of Human Resources and Social Security (MOHRSS) has been a central partner in these cooperation efforts, sharing practical expertise with emerging economies in Asia, Africa and the Pacific. This includes supporting reforms in labour markets, workforce mobility and skills standards.

Link to the Belt and Road Initiative

The partnership aligns with the Belt and Road Initiative’s Skills for Development agenda, strengthening labour capacity in countries participating in Belt and Road projects. Under earlier phases, the ILO and MOHRSS implemented the ILO–China Partnership Project on Strengthening Skills Development in ASEAN, providing technical support to countries modernising their skills frameworks.

The project’s goals include:

• Improving workforce employability and entrepreneurship

• Enhancing employment services and job-matching mechanisms

• Strengthening national skills laws, regulations and recognition systems

Backed by an earlier USD 4 million contribution, the initiative assisted ASEAN nations in developing systems for mutual recognition of skills—a key step toward greater labour mobility.

Skills Development Network continues to grow

A major achievement of the partnership is the Skills Development Network, launched in 2021. It now comprises 41 technical and vocational education and training (TVET) institutes from China, Cambodia and Lao PDR, creating a vibrant platform for:

• Cross-country learning

• Institutional collaboration

• Development of joint training programmes

• Scaling innovative skills solutions across the region

New funding to strengthen future cooperation

The amendment signed in Beijing contributes an additional USD 1 million to support the Skills for Dream Action under the Belt and Road Initiative. The new funding aims to reinforce regional efforts to expand access to quality training and employment opportunities, especially for young people.

With stronger regional ties and enhanced resources, the extended partnership is expected to accelerate progress toward a more skilled, mobile and resilient workforce across ASEAN—supporting inclusive economic growth and stronger social protection systems.