Shenzhen Government Online
SZ enterprises enjoy 15.1b yuan in tariff cuts
From: Shenzhen Daily
Updated: 2021-04-07 09:04

Shenzhen enterprises have enjoyed 15.1 billion yuan (US$2.3 billion) in tariff reduction and exemption for products exported to South Korea since the China-South Korea Free Trade Agreement went into effect in December 2015.


Under the agreement, China issued Certificates of Origins involving orders worth 49.2 billion yuan and imported 485.1 billion yuan of products from South Korea, all of which had significant tariff reductions and exemptions, contributing to an average 17 percent annual growth rate, Shenzhen Customs said yesterday.


Since implementation of the agreement, the two sides have gradually expanded the scope of their products. The products with preferential treatment under the agreement in Shenzhen Customs’ administration region increased from 453 six-digit tariff codes in 2015 to 1,497 tariff codes in 2020. The products that have preferential treatment under the import pact of the program have increased from 180 eight-digit codes to 285 codes in 2020.


Omron Electronic Components Shenzhen Co. Ltd., an exporter of sensors, electric relays, switches and connectors, enjoyed a 6.72 million yuan tariff reduction and exemption for its exports to South Korea in 2020.


In November 2020, China signed the Regional Comprehensive Economic Partnership (RCEP) with 10 ASEAN countries, Japan, South Korea, Australia and New Zealand. It is a comprehensive, modern, high-quality and mutually beneficial free trade agreement marking a new milestone for East Asian economic integration.


Under the RCEP agreement, customs will further lower nontariff barriers through introducing customs facilitation, sanitary and phytosanitary measures, technical regulations and conformity assessments. For products like seafood or fruits and vegetables, the RCEP members must provide documents for the facilitation of entry within six hours. Shenzhen Customs advised Shenzhen businesses to do market research, especially research relating to the information industry, a key area for development in China, South Korea and Japan.



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