#China trade blocs associations free

Chinese investment in Nepal is key if FTA talks are to move forward – this would develop Nepal’s production base and, consequently, boost exports. In July, Nepal’s commerce ministry concluded that trade relaxations with China would be detrimental to its economic health given its weak manufacturing base. China has also proposed the development of cross-border economic zones. The two countries have carried a feasibility study for a potential FTA. China – Nepal FTA: Feasibility study concluded without positive outcome

The EU offers these reductions to least developed countries. Until 2011, the Maldives enjoyed tariff reductions on its exports to the European Union (EU), the single largest export partner by value.

#China trade blocs associations free

The Maldives government was keen on completing the FTA earlier this year as the country needs China’s free market access for its fish exports – its main export item. The terms of their FTA will exempt over 95 percent of bilateral trade flows from tariffs, and enhances cooperation in the areas of finance, medicine, tourism, and fishing. This is the first time the island nation has entered into a free trade agreement with an individual country. China’s Minister of Commerce, Zhong Shan, and the Maldives’ Minister of Economic Department, Mohamed Saeed, signed a memorandum of understanding (MoU) in Beijing on September 16, and confirmed that the deal will soon be signed. The two countries have successfully reached a free trade agreement after five rounds of negotiations. International Tax Planning Services from Dezan Shira & Associates China – Maldives FTA: Concluded Further, China has built strong trade relations with various bilateral partners and multilateral fora like the Association of South East Asian Nations (ASEAN), which makes Pakistan’s treaty provisions with the country less beneficial. Pakistan’s major concerns lie in improving the balance of trade in goods and services, and expanding investment opportunities. Pakistan shared its list of 70 high-priority items of export interest, seeking preferential market access to which Chinese officials responded favorably. In September, the two countries held their eighth round of negotiations on the second phase of the FTA, which achieved a breakthrough after a two-year stalemate. The China-Pakistan Free Trade Agreement (CPFTA) was concluded in 2006, and came into effect from July 2007. The talks hold significance for the BRI region, and could lay down the rules and norms that govern the region’s future trade order. This article briefly discusses the status of China’s free trade agreement (FTA) talks with the South Asian countries. However, China has yet to convince India the latter is against the China-Pakistan Economic Corridor due to geopolitical concerns. Deeper connectivity, once achieved under the BRI, will boost the development and commercial aspirations of South Asia’s lagging economies, and open up new markets for China. This includes two South Asian economic corridors: Bangladesh-China-India-Myanmar (BCIM) and China-Pakistan (CPEC).Īs a result, China is actively seeking to improve its trade relations with South Asia.

OBOR is now labeled the Belt and Road Initiative (BRI) to reflect the fact that it will connect Asia, Europe, and Africa along five maritime and land routes. China realizes this, and has been actively pursuing free trade agreements (FTAs) with all key stakeholders. Given that it is an expansive regional infrastructure and connectivity initiative, the dismantling of trade barriers throughout the OBOR region is important. China is steadily laying the groundwork for its ambitious ‘One Belt, One Road’ (OBOR) program.