Taiwan's Economic Minister Lin Yi-fu today proposed the establishment of a free trade area (FTA) with the 10-member Association of Southeast Asian Nations (Asean).

Lin told AFP he had raised the issue in a rare two hour closed door meeting with his Malaysian counterpart Rafidah Aziz. Malaysia adopts a one-China policy and does not have diplomatic relations with Taiwan.

Asked for Rafidah's reaction to his proposal, Lin said: "The trade minister suggested we take up the issue with the Asean secretariat."

He denied the proposal was aimed at countering China's planned FTA with the region.

"No, No. That is not the case. We just want to integrate our economies," he said.

Lin is leading a 27-member delegation to Malaysia on a two-day visit as part of a tour of Southeast Asia.