Page 10 - Doing Business in China

GENERAL INFORMATION

REGIONAL COMPREHENSIVE
ECONOMIC PARTNERSHIP (RCEP)

The Regional Comprehensive Economic
Partnership (RCEP) is a FTA that will create the
world’s largest trading bloc� The 15 Asia-Pacific
nations, representing nearly a third of the world’s
gross domestic product, signed the agreement
on 15 November 2020� The RCEP aims to remove
tariffs on at least 90% of the goods traded among
member countries and the gradual elimination
of tariffs will reconfigure the supply chain in
the region� China’s complete infrastructure and
manufacturing strength will enable other countries
to be incorporated into its “dual circulation” plan�

Following the implementation of RCEP on 1 January
2022, the total imports and exports between China
and RCEP member countries grew by 7�5% and
reached RMB 12�95 trillion in 2022� The elimination of
tariffs has benefited import and export businesses
in China, resulting in an estimated savings of RMB
1�58 billion for exporting and RMB 1�55 billion for
importing in 2022� 9

It is expected that RCEP will promote free trade,
reinforce industrial and supply chains, eliminate
tariffs and open up services and investments to
expedite regional economic recovery from the
pandemic� The RCEP provides China with a more
stable and solid strategic connection with Asia-
Pacific countries�

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Doing Business in China 2023 | 9