General

In the second quarter of this year, with the overall improvement of the domestic epidemic prevention and control situation, the policy effect of stabilizing growth has gradually emerged, and the operation of international trade has undergone positive changes. Recently, the "Investigation Report on China's Foreign Trade Situation in the Second Quarter of 2022" (hereinafter referred to as the "Report") released at a regular press conference held by the China Council for the Promotion of International Trade (CCPIT) shows that foreign trade companies are accelerating their pace of market expansion, and foreign trade companies have added new market sources of orders. More diversified, stronger anti-risk ability.

The economic and trade friction situation is still severe

At the press conference, the March Global Economic and Trade Friction Index Report was released. This index report is a systematic tracking of 5 indicators including import and export tariff measures, technical trade measures, trade remedy measures, import and export restrictive measures and other restrictive measures of 20 countries (regions) by the China Council for the Promotion of International Trade. After analysis, the import and export volume affected by the measures released in the month is used for index calculation to form a monthly report on the global economic and trade friction index.

According to Feng Yaoxiang, spokesperson of the China Council for the Promotion of International Trade and Minister of Trade and Investment Promotion, in March this year, the global economic and trade friction index was 231, a decrease of 8 points from February and a decrease of 40 points from the same period of the previous year. However, if the index exceeds 100, it belongs to a high-level area. , which shows that the global economic and trade friction situation is still severe.

In terms of sub-measures, in March this year, the index of other restrictive measures ranked first among the five categories of measures, followed by the index of import and export tariff measures, the index of import and export restrictive measures, and the index of technical trade measures. These four sub-items The indices are all at high levels; the trade remedy measures index is at low levels. Compared with the same period of the previous year, the index of other restrictive measures, the index of import and export restrictive measures, and the index of technical trade measures remained at a high level, the index of import and export tariff measures rose from a low level to a high level, and the trade remedy measures index fell from a high level to a low level.

In terms of products involved, in March this year, the measures issued by the 20 countries (regions) concerned by the report mainly involved agricultural products and food such as cereals, dairy products, and eggs, as well as electrical and electrical equipment and their parts, mechanical appliances and their parts, vehicles and Its spare parts, etc.

In terms of countries (regions), there are 9 countries (regions) with a high global economic and trade friction index, followed by Russia, Argentina, the European Union, Indonesia, the United States, Japan, Brazil, the United Kingdom, and Canada. Compared with the same period of the previous year, the global economic and trade friction indexes of Argentina, the European Union and the United States remained high, Indonesia’s index rose from 0 to high, Russia’s index rose from low to high, and Japan’s index rose from the median of the same period last year to high. Indices for Brazil, the United Kingdom and Canada all remained high. In addition, Thailand's index rose from low to mid-high. Judging from the ranking of the global economic and trade friction index, in March 2022, China's global economic and trade friction index was at a low level, ranking 15th among all 20 countries and regions.

Foreign trade shows positive changes

The positive changes in foreign trade mentioned in the "Report" are mainly reflected in the following points:

First, the operating conditions of foreign trade enterprises have improved. The foreign trade volume of enterprises showed a recovery growth momentum. The export profits of most industries improved compared with the first quarter. The trade volume of 25.43% of the enterprises increased month-on-month, and the profits of 19.98% of the enterprises increased from the previous month. The increase in the export profits of high value-added industrial products has become a new bright spot. The new orders of 22.65% of enterprises increased compared with the first quarter, and the growth of orders of 30.43% of enterprises was the same as that of the first quarter. The market sources of new orders were more diversified.

Second, the main problems faced by foreign trade enterprises have been improved. Problems such as high logistics costs, difficult and expensive financing, and large exchange rate fluctuations have been alleviated, and labor difficulties are generally controllable. Only 15.63% of the enterprises indicated that the problem of labor difficulties was prominent, a decrease of 3.87 percentage points from the first quarter.

Third, foreign trade is basically oriented towards a positive trend. New trade formats and models such as comprehensive foreign trade services and cross-border e-commerce have a significant role in promoting exports. The policy of stabilizing foreign trade has been effective in solving difficulties and problems, and the company has a high degree of recognition. 55.97% of the enterprises believed that speeding up export tax rebates would help them the most in alleviating cash flow pressure, while 54.8% and 48.21% of the companies believed that speeding up tax cuts and fee reductions and relieving logistics pressure were more effective in solving the actual operational difficulties of foreign trade companies.

Fourth, foreign trade companies have raised their expectations for annual growth. 26.22% of enterprises expect the annual trade volume to increase, and 28.17% of enterprises believe that it is at least the same as last year. Among them, large enterprises are expected to be relatively stable, medium-sized enterprises are more optimistic about the foreign trade situation in the whole year, and the confidence of small and micro enterprises is gradually increasing.

The "Report" has four policy recommendations for enterprises: first, continue to increase the implementation of tax cuts and fee reductions to reduce the cost of foreign trade enterprises; The third is to innovate the service model to safeguard the overseas interests of the enterprise; the fourth is to organize the matching meeting of processing trade enterprises in the eastern, central and western regions to promote the gradual transfer of labor-intensive foreign trade industries in China.

CCPIT takes various measures to support foreign cooperation and innovative development of enterprises

Although the foreign trade stabilization policy is effective, many foreign trade companies are still facing many challenges. Feng Yaoxiang said that China Council for the Promotion of International Trade (CCPIT) attaches great importance to stabilizing foreign trade, and takes multiple measures to support foreign cooperation and innovative development of enterprises. This year, we will further intensify our work in five areas:

First, promote the promotion and implementation of free trade agreements such as RCEP with high quality. This year, China Council for the Promotion of International Trade (CCPIT) formulated an action plan for promoting high-quality implementation of RCEP, established a leading group for RCEP promotion and implementation, formed a work pattern with distinctive features and dislocation development around RCEP implementation, organized the compilation of business application guidelines and industry application guidelines for free trade agreements, and established high-level The team of teachers, organized a series of trainings on the interpretation and application of RCEP policies in different regions and industries, and strived to turn the terms of the agreement into a dividend for the high-quality development of enterprises, which has benefited tens of thousands of enterprises.

The second is to strengthen the issuance of certificates of origin. All localities and industry visa agencies in the national trade promotion system jointly overcome the impact of the epidemic and provide customized services for export enterprises. Data from the first five months of this year show that the total amount of certificate of origin visas under the CCPIT system totaled US$155.34 billion, a year-on-year increase of 23.95%. Among them, the amount of preferential certificate of origin visas totaled 22.739 billion US dollars, a year-on-year increase of 31.98%. It is expected to reduce or exempt Chinese products by 1.137 billion US dollars in relevant importing countries and regions, and enhance the international competitiveness of Chinese products.

The third is to actively perform the ATA carnet issuance duties. China Council for the Promotion of International Trade is the only visa and guarantee agency under the ATA carnet system in China. In the first five months of this year, the national trade promotion system issued a total of 958 outbound ATA carnets, a year-on-year increase of 36.27%; the relevant ATA carnets covered a value of about 335 million yuan, a year-on-year increase of 22.4%. The National Trade Promotion System has translated and recorded 777 inbound ATA carnets issued by foreign chambers of commerce. The relevant ATA carnets cover a value of RMB 2.655 billion.

Fourth, strengthen legal services for foreign-related commercial affairs. China Council for the Promotion of International Trade (CCPIT), a comprehensive legal support platform for enterprises in cross-border trade and investment - CCPIT continues to expand the scope of beneficiary companies, focusing on industry exhibitions and international friendly business associations to organize and promote, and provide legal support for enterprises to carry out foreign trade and investment around the clock. Do a good job of proof of force majeure related to the epidemic to help companies reduce losses and risks.

The fifth is to take multiple measures to help maintain the stability and quality of foreign trade. China Council for the Promotion of International Trade will continue to integrate resources from all parties, organize a series of international trade digital exhibitions, actively participate in the preparation of the 5th China International Import Expo, Canton Fair, 2022 Service Trade Fair and Consumer Expo, and continue to implement China’s cross-border e-commerce overseas promotion plan. The China International Trade Innovation and Development Forum will be held to support foreign trade enterprises in exploring the international trade market.