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New international trade force, RCEP takes effect on Indonesia, gradually zero tariffs on clothing, shoes, and boots!

According to the Ministry of Commerce, the Regional Comprehensive Economic Partnership Agreement (RCEP) entered into force for Indonesia on January 2nd. As of now, out of the 15 members of the RCEP, 14 have already entered into force. After the RCEP comes into effect for Indonesia, in accordance with the commitments of the RCEP agreement, China and Indonesia will mutually implement the tax rates of the RCEP agreement, which is beneficial for the development of international trade enterprises.

Under RCEP, Indonesia has granted zero tariff treatment to over 700 tax code products in China on the basis of the China ASEAN Free Trade Area, including some automotive parts, motorcycles, televisions, clothing, shoes, plastic products, etc. Among them, some automotive parts, motorcycles, and some clothing products will immediately achieve zero tariffs from January 2nd, while other products will gradually be reduced to zero tariffs within a certain transitional period, which is beneficial for the development of international trade enterprises.

On the basis of the China ASEAN Free Trade International Trade Agreement, China will also reduce taxes on pineapple juice and canned goods, coconut juice, pepper, diesel, paper products, some chemicals, and automotive parts produced in Indonesia, and further open up the international trade market.