China Asean Free Trade Agreement

The free trade agreement reduced tariffs on 7,881 product categories, or 90% of imported goods to zero. [15] This reduction entered into force in China and the six original ASEAN members, Brunei, Indonesia, Malaysia, the Philippines, Singapore and Thailand. The other four countries are expected to follow in 2015. [16] In addition, a new section on customs procedures and trade facilitation has been added, specifying the operational certification procedures for the application and obtaining of preferential duties. The `Form E` established by the Protocol verifies the suitability of export products for preferential treatment. While China already has a number of bilateral trade agreements, this is the first time it has signed a regional multilateral trade pact. In July 2005, a pre-trafficking programme for goods came into effect. Negotiations on a dispute settlement mechanism were concluded in 2004 and concluded in 2005. Negotiations on trade in services were concluded and an agreement was signed in January 2007, which is expected to be implemented in July 2007. The China-ASEAN Investment Agreement is expected to be signed at the ASEAN Summit in Thailand in December 2008.

“It is essential that partners like China, when they make new deals like this, not only respect the details of such deals, but also act faithfully in their minds,” Birmingham told The Age newspaper. The first stage included the first six signatories who, until 2010, participated in the elimination of their customs duties on 90% of their products. [6] Between 2003 and 2008, trade with ASEAN increased from $59.6 billion to $192.5 billion. [7] China`s transformation into a major economic power in the 21st Century has led to an increase in foreign investment in the Bamboo Network, a network of overseas Chinese enterprises active in Southeast Asian markets and with common family and cultural ties. [8] [9] In 2008, ASEAN members and the People`s Republic of China had a nominal gross domestic product of about $6 trillion. [10] [11] This volume of trade is expected to continue to increase by mid-2005, with the implementation of the previous ACFTA programme in January 2004 and the implementation of the tariff reduction programme under the DCM Agreement. In July 2004, the value of Early Harvest products[4] traded between ASEAN and China reached $1.11 billion, an increase of 42.3% over the same period in 2003, with ASEAN exports to China amounting to $0.68 billion, an increase of 49.8% over the same period. Ten ASEAN countries and five other Asia-Pacific countries have signed the world`s largest trade agreement in terms of GDP.

The pact is expected to boost economic growth in a region hit hard by the coronavirus pandemic. Regardless of this, China signed a bilateral free trade agreement with ASEAN member Singapore in October 2008. Beijing has also negotiated many separate, smaller, and more specific bilateral agreements with its ASEAN neighbors, such as the famous Philippine-Chinese investment agreements (the theme of the huge corruption scandals in the Philippines in 2007), harmonized food safety standards with Thailand (to facilitate agricultural trade), and numerous agreements with the Countries of the Greater Mekong Delta.

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