The comprehensive implementation of RCEP injects sustained momentum into regional trade. Local | Regional | RCEP
Hefei, June 10th (Xinhua) - The comprehensive implementation of RCEP injects sustained momentum into regional trade
Xinhua News Agency reporter Wang Haiyue and Hu Rui
The 2023RCEP Local Government and Sister Cities Cooperation Forum opened in Mount Huangshan, Anhui Province on the 9th. About 500 Chinese and foreign guests gathered to discuss the new opportunities brought by the comprehensive implementation of RCEP and the new impetus for regional trade.
"I am pleased to see the growth of trade between China and RCEP member countries, such as China's import and export growth with Indonesia, Singapore, Myanmar, Cambodia, and Laos all exceeding 20% in 2022, which confirms the economic benefits brought by RCEP." ASEAN Secretary General Gao Jinhong said in a video speech at the opening ceremony of the forum.
Just a week ago, RCEP officially came into effect for the Philippines, and thus the agreement has become fully effective for 15 signatory countries. As RCEP enters a new stage of comprehensive implementation, this agreement, which covers the world's largest population, has the largest economic and trade scale, and has the most development potential, will inject strong momentum into regional development.
The head of the International Department of the Ministry of Commerce stated that the full implementation of RCEP has created more favorable conditions for China to expand goods trade with member countries, and will also drive corresponding service trade and investment openness, promote trade facilitation, and improve the business environment.
The picture shows a moving sea rail intermodal train on the Western Land Sea New Corridor. Shen Jizhong
On the day when RCEP came into full effect, the Chizhou Customs under Hefei Customs issued a certificate of origin for the chemical raw materials exported by Anhui Xingxin New Materials Co., Ltd. to the Philippines. After the company's 6.25 tons of goods arrived in the Philippines, tariffs could be reduced by 28000 yuan.
"Previously, tariffs on exports to ASEAN countries such as the Philippines were relatively high. Now, by issuing RCEP certificates of origin, tariffs have been significantly reduced, saving costs." said Lv Yuxiang, the supply and marketing manager of Anhui Xingxin New Materials Co., Ltd. RCEP has also brought multiple benefits to the company, including improved customs clearance efficiency.
The head of the International Department of the Ministry of Commerce stated that the RCEP, combined with the effective bilateral free trade agreements, has created favorable conditions for enterprises to better enjoy benefits and helped them reduce trade costs. In the first quarter of 2023, Chinese enterprises enjoyed a preferential export value of 62.29 billion yuan under RCEP, and could enjoy a tariff reduction of 930 million yuan from the importing country; The import value of Xianghui is 18.25 billion yuan, with a tax reduction of 480 million yuan.
The RCEP series of institutional innovations, including cumulative rules of origin, back-to-back certificates of origin, and approved exporter systems, help regional enterprises significantly reduce costs, improve trade efficiency, and strengthen industrial and supply chain cooperation.
At the branch of Anhui Heli Co., Ltd. located in Bangkok, Thailand, two warehouses with a total area of 6000 square meters store various types of forklifts. After the RCEP takes effect, forklifts will be transported from here to Southeast Asian countries such as Vietnam and the Philippines every month, enjoying zero tariff benefits through the policy of back-to-back proof of origin.
"By issuing back-to-back certificates of origin, products exported directly from Thailand to other countries can enjoy the same preferential treatment as those exported from China, which allows us to more conveniently serve surrounding markets and improve competitiveness." Zhou Jun, General Manager of Anhui Heli Co., Ltd., said that sharing the "institutional dividend" between regions greatly improves trade efficiency and enhances regional exchanges and cooperation.
"The application of the cumulative rules of origin has lowered the threshold for products to obtain the qualification of origin, promoting deep integration of the industrial chain. The back-to-back certificate of origin system allows import and export enterprises to have greater flexibility in industrial layout, sales strategies, and logistics arrangements. The synergistic effect of RCEP preferential policies will help promote China's higher level of opening up to the outside world." said Yang Xinwei, a fourth level researcher at the Customs Tariff Department of Hefei Customs.
RCEP continues to release dividends, doubling the confidence of Chinese enterprises. More and more Chinese companies are expanding their trade scale with RCEP member countries and increasing their investment efforts. According to data from the Ministry of Commerce, from January to April 2023, the total import and export volume between China and other RCEP members was 4.12 trillion yuan, a year-on-year increase of 7.3%, accounting for 30.9% of China's total foreign trade import and export volume.