Also, notes on new tariff reductions under the Mainland-Hong Kong CEPA and Mainland-Macau CEPA
By Yao Lu
Jul. 12 – To enhance cooperation between Hong Kong and Mainland China in the services sector, and to facilitate mutual economic development, the Chinese central government and the government of the Hong Kong Special Administrative Region signed the “Ninth Supplement to the Mainland and Hong Kong Closer Economic Partnership Arrangement (CEPA) (hereinafter referred as ‘the Ninth Supplement’)” on June 29, which is scheduled to take effect on January 1, 2013.
The Ninth Supplement introduces a total of 43 service liberalization and trade facilitation measures, including 37 liberalization measures in 22 service sectors. It also enhances cooperation in the areas of finance, trade and investment facilitation. Moreover, it promotes the mutual recognition of professional qualifications in the Mainland and Hong Kong.
One of the prominent features of the Ninth Supplement is that it actively promotes service trade liberalization between the two economies. Concretely, the Ninth Supplement further relaxes the market access conditions in 21 existing sectors, namely:
In addition, a new sector, education services, has also been included in the Ninth Supplement.
The Ninth Supplement specially emphasizes financial cooperation between the two sides and offers several policies to back up Hong Kong’s status as an international finance center, including:
After signing the Ninth Supplement, the liberalization measures between the two sides have reached 338 in 48 service sectors. Meanwhile, the Mainland will open 149 trade service sectors to Hong Kong, constituting 93.1 percent of all the 160 service trade sectors categorized by the World Trade Organization.
Tariff reductions under Mainland-Hong Kong CEPA, Mainland-Macau CEPA
In order to further accelerate the free flow of goods and services, speed up regional economic integration and enhance mutual benefits and common development under the framework of the CEPA, the Chinese government issued a circular which allows zero-rated tariffs to be applied to certain goods that complete the negotiation on standards for the place of origin under the Mainland and Hong Kong CEPA and the Mainland and Macau CEPA.
According to the circular, from July 1, 2012 onwards, zero-rated tariffs shall apply to 7 commodities from Hong Kong and 1 commodity from Macao that have completed the negotiation on the standards for the place of origin. The following are two attachments showing the commodities that fall into the category.
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I am doing a Research on HK Access to AFTA
I wish to send Interview Q to HK Investors and ask them about The Impact on HK Investment to Thaialnd and Trade of Goods and Services
Can you help me find the Information
@Om Huvanandana – I’d get in touch with the Hong Kong Trade & Development Council: http://www.hktdc.com and ask them if they can help. – Chris
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