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    China And South Korea Sign Free Trade Agreement To Travel To South Korea Will Not Have To Pack Big Packets

    2015/6/3 9:32:00 56

    China And South Korea Sign Free Trade AgreementsExport Garments And Clothing Tariffs

    Recent news, June 1st

    China and South Korea signed a free trade agreement

    Formally signed, covering 17 fields, such as trade in goods, trade in services, investment and rules, and after the longest 20 years of pition, the bilateral trade liberalization ratio of goods will exceed "20% of tax items and 85% of trade volume".

    Cheng Xiaogang was excited to see the news on the Internet.

    Five years ago, Cheng Xiaogang and his wife opened a foreign trade company in Nanjing and exported garments to Korea and Japan.

    In the past few years, the scale of export has reached about 5000000 US dollars last year.

    "I heard that export tariffs on Korean clothing will be reduced. I am looking for specific tax items.

    This is definitely good news for me, and it saves real profits. "

    He said.

    Zhu Yimin, deputy director of the Provincial Department of Commerce and spokesman, said that the formal signing of the FTA between China and Korea, and the start of South Korea's accession to the Asian investment bank and the direct trading market of the RMB against the Korean won will further optimize the trade environment between China and South Korea, and facilitate the trade conditions. Our bilateral trade with South Korea will go up to a higher level.

    Over the years, South Korea has been one of the main sources of foreign investment in our province.

    As of the end of April, South Korea has invested 5176 projects in our province. The agreement has invested 26 billion 490 million US dollars and actually reached US $12 billion 950 million, including SK Hynix, Samsung Electronics, LG and Korea KIA.

    Nanjing customs statistics show that South Korea is now Jiangsu's fourth largest trading partner and largest source of imports.

    In 1-4 months of this year, Jiangsu imported and exported 112 billion 560 million yuan to South Korea.

    The signing of the FTA will surely help to promote economic and trade cooperation between the two countries. In particular, China will open up the service market to South Korea through the negative list management mode, which will greatly stimulate Korean enterprises' enthusiasm for investment in China, especially in the areas of circulation, medical treatment and IT.

    On the one hand, the reduction of tariffs will obviously reduce the production cost of Korean products processed by Korean enterprises.

    On the other hand, Korean enterprises imported from South Korea have the advantage of semi-finished products, competitive advantage is obvious.

    The high generation LCD panel is a strategic emerging industry in Nanjing. Korea is the largest source of imports of LCD panels in Nanjing.

    In order to speed up the progress of industrial upgrading and gain development advantages, South Korean enterprises pay special attention to the upgrading of the production line, and lowering the tariffs on the import panels from Korea will lead to a further decline in the cost of Korean enterprises to import liquid crystal panels from Korea, and the products will be more competitive.

    Samsung Electronics (Suzhou) Semiconductor Co., Ltd. mainly develops and makes intelligent terminal chips, and orders from South Korea's Samsung headquarters.

    Li Chengchun, executive deputy general manager of the company, said: "most of our raw materials are imported from Korea, and the chips are exported to Korea and sold around the world. About half of them are re entered the Chinese market.

    FTA will reduce import tariffs, and our company can benefit from it. This will enable us to promote new product development and pformation and upgrading.

    Using Lianyungang, Yancheng and other coastal areas to link Korea's location and pportation advantages, our province has increased its "going out" efforts in recent years.

    According to statistics of the Provincial Department of Commerce, as of the end of April this year, our province has set up 92 overseas projects in Korea, and the Chinese side has invested 150 million US dollars, mainly in communications equipment, computers and other electronic equipment manufacturing, agriculture, wholesale, real estate, science and technology exchanges and promotion services.

    Business services

    Industry and other fields.

    One of them is a real estate development and sales company in Jeju Island, with a total investment of 66 million 540 thousand US dollars.

    Since April this year, Suzhou snail and hi-tech enterprises have set up in South Korea to engage in software development and technology extension services.

    The customs recommends that the relevant industries in our province make full use of the opportunities brought by the signing of the Sino Korean FTA, increase the depth cooperation between domestic enterprises and Korean enterprises, and promote the pformation and upgrading of the industrial structure of the open economy.

    The signing of the China South Korea FTA will also bring significant changes to the lives of ordinary people. It can buy products such as cosmetics, household appliances, clothing, etc., which are popular for Korean tourism or Korean purchasing.

    For example, refrigerators, rice cookers, electric casserole, electric oven, induction cooker, microwave oven, as well as some massage apparatus, beauty apparatus, etc. will be abolished by 15% in the next 10 years.

    Toothpaste and other dental cleaning products will abolish the current tariff of 10% in 10 years. Shampoo and bathing products and skin care products will be subject to internal duty reduction of about 5 years in the past 5 years.

    The tariff of seaweed dropped to zero from the current 15% in 10-20 years, and 25% of kimchi was abolished within 20 years.

    Tariffs on clothing, shoes and hats fell to zero from about 15% in 10-20 years.

    "Especially after zero tax, travel to Korea does not need to be wrapped up."

    Jinling customs director, apart from cosmetics, Korea ginseng, milk powder, food,

    clothing

    Mobile phones, cars and so on are all consumers' favorite products. After the signing of the FTA, the potential of the domestic market is huge. Korean daily consumer goods will increasingly enter the daily life of domestic consumers.

    At the same time, China's labor-intensive products and intermediate products such as handicrafts, clothing, food and so on are also expected to quickly occupy the Korean market by price advantage.

    Nanjing customs experts also reminded that the Sino Korean FTA is conducive to promoting the economic and trade cooperation between our province and South Korea. However, in order to make this win-win effect better, we must face up to the fact that the two industries have some homogenization. For example, we should attach importance to the development of automobiles, ships, electronics, iron and steel, clothing and other industries. We will take advantage of the FTA's preferential policies on bilateral investment, speed up pformation and upgrading, structural adjustment, and introduce more advanced technology, key equipment and important parts of Korea. The layout of the Korean market should focus on the integration of its technology and brand so as to enhance competitiveness.


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