Economic Watch: Chinese companies ride RCEP momentum to boost exports

Updated: February 22, 2024 Source: Xinhua News Agency
fontLarger fontSmaller

HOHHOT, Feb. 22 (Xinhua) -- Since the implementation of the Regional Comprehensive Economic Partnership (RCEP) on Jan. 1, 2022, more Chinese enterprises have benefitted from continuously enhanced trade and industrial cooperation between China and RCEP member countries.

In the production workshop of sea buckthorn juice in Yuhangren, a high-tech company dedicated to the comprehensive utilization of the plant, workers were busy packaging bottles for being shipped overseas.

"After the implementation of the RCEP agreement, the average tariff rate of sea buckthorn juice in importing countries decreased by 3 percent and is still falling year by year," said Tang Hongguang, a foreign trade worker of the company in Hohhot, capital of north China's Inner Mongolia Autonomous Region.

"Thanks to the preferential tariff policy, our sea buckthorn products are highly competitive. Currently, most of the products are exported to RCEP member countries," added Tang.

According to Saihan Customs, in the past two years, the customs has issued 746 certificates of origin under the RCEP agreement for foreign trade enterprises in Hohhot, with exported goods worth 433 million yuan (about 61 million U.S. dollars). It is estimated that the goods can enjoy tariff concessions of more than 80 million yuan in the destination countries.

"An RCEP certificate of origin is as precious as gold in international trade," said Yang Yang, a staffer of the foreign trade department of Inner Mongolia Northpeace Textile Co., Ltd. "The RCEP reduces tariffs on exported cashmere textiles, which has saved us about 1 million yuan in costs in the past two years."

In June 2023, the RCEP agreement came into effect for all its 15 member countries, further injecting vitality into regional economic integration.

As the RCEP agreement keeps unleashing dividends, more and more Chinese enterprises are riding the momentum and embracing new business opportunities.

Pearl River International Development Co., Ltd., headquartered in the southern Chinese city of Guangzhou, has taken root in Southeast Asia for years.

The company has garnered several investment and construction projects in recent years in fields such as digital economy, new energy, petrochemical, water environmental protection, and industrial smelting, helping deepen the economic and industrial cooperation between China and RCEP member countries.

Attracted by the preferential policies brought by RCEP, such as tax incentives, the company has built a one-stop supply chain platform to promote the exports of bulk goods and auxiliary materials, with a cumulative export value of 170 million yuan to date.

"The RCEP agreement has brought real benefits to Chinese enterprises," said Lu Ju, chairman of the company. "With the thorough implementation of RCEP, we expect the mechanism will bring us more opportunities in the future, and exchanges and cooperation between China and RCEP member countries will take a new step forward."

Editor: Su Dan