General

In August 2022, Guangxi Liugong Machinery Co., Ltd. became the first exporter approved under RCEP recognized by Nanning Customs in Liuzhou. After obtaining this qualification, Liugong can independently issue a declaration of origin at any time, which is equivalent to the certificate of origin issued by the customs. In this way, the issuing time is shorter, the goods pass through customs faster, and the efficiency of customs clearance of enterprises is also greatly improved.

Driven by this, the overall overseas income of Liugong reached a new historical high in 2022. Du Pengqing, Strategic Manager of the International Business Center of Guangxi Liugong Machinery Co., Ltd., disclosed that customs data showed that Liugong's overall overseas income increased by 50% from January to November on a year-on-year basis. Among them, the growth in RCEP region exceeded 70% year on year, and the revenue performance has accounted for nearly 1/4 of Liugong's overseas revenue performance.

The example of Liu Gong is a vivid epitome of the benefits of tariff concessions, cumulative rules of origin, trade facilitation and other system dividends to Chinese enterprises since the implementation of RCEP.

One of the most significant effects of the effective implementation of RCEP is that the level of liberalization of trade in goods among members has been greatly improved, and the implementation of tariff reduction for trade in goods is based on the issuance of certificates of origin under RCEP. According to Yang Fan, spokesman of the China Council for the Promotion of International Trade (CCPIT), at a regular conference held a few days ago, customs data showed that from January to November 2022, the amount of RCEP certificates issued by the national system for the promotion of international trade totaled 6.254 billion US dollars, and the number of visas totaled 142100. According to the customs data, the amount of the RCEP certificate of origin issued by the National System for the Promotion of Trade in November was US $599 million, the number of visas was 16487, there were 3062 enterprises handling the certificate, and the export destination countries included Japan, South Korea, Thailand and other 9 member countries that have implemented the policy. It is estimated that a total of US $9 million of tariff reduction and exemption for Chinese products in the RCEP importing member countries will be achieved.

Liugong Machinery is one of the beneficiaries. According to Du Pengqing, customs data shows that Liu Gonghui will enjoy the RCEP dividend in 2022, and the basic tariff on exports will be basically reduced to zero. Up to now, according to the demand of regional dealers of RCEP, Liugong has issued 21 certificates of origin of RCEP, amounting to about USD 3.67 million. According to the customs data, Japan and South Korea are the main importers of Liugong's parts. After the implementation of RCEP, the average import tariff of relevant parts fell from 5.4% to 4.8%, directly saving about 1.2 million yuan in import tariff costs. "In 2022, Liugong participated in key projects including Indonesia's Yawan High speed Railway, China Laos Railway, and other key projects, which are all over the member countries of RCEP. At present, nearly 3000 sets of Liugong's equipment have been used in infrastructure projects in various industries in the region," said Du Pengqing.

The relevant person in charge of the China Council for the Promotion of International Trade said that under the dual effects of preferential policies for goods trade market access and cumulative rules of origin, RCEP has effectively promoted the export of advantageous products and the import of key technologies of Chinese enterprises, helped Chinese enterprises break through the limitations of the domestic market and the instability of the international big cycle, and created a "medium cycle" space with more cost advantages and resilience in the RCEP domain.

China Council for the Promotion of International Trade (CCPIT) is one of the legal issuing institutions of RCEP preferential certificate of origin, and a national team promoting the implementation of the strategy of promoting RCEP and serving free trade zones. Since 2021, CCPIT has established a working mechanism of overall coordination and linkage, formed a working pattern with distinctive characteristics and dislocation development around the implementation of RCEP, and made efforts to turn the terms of the agreement rules into the dividend of high-quality development of enterprises. As a specific functional undertaking unit, the CCPIT Trade Promotion and Exchange Center has comprehensively strengthened the top-level design, coordinated the strength and resources of all parties, seized time, consolidated the foundation, focused on key points, combined theory with practice, and made every effort to do a good job in the investigation and research on the effective implementation of RCEP; At the same time, we will build a contingent of RCEP training teachers who are familiar with economic and trade rules, have strong practical ability, and have a high level of interpretation, and strengthen publicity and promotion and professional training; Organize the compilation of authoritative, pragmatic and operational business application guide for RCEP enterprises; Strengthen visa guidance and personnel team building, and continue to optimize and upgrade the RCEP origin visa service.