Gustavo Cáceres.
The Chinese market is a very large and open market. After the implementation of the Ecuador-China Free Trade Agreement, it is expected that Ecuador's exports and imports to China will increase significantly, especially Ecuadorian agricultural products can enter the Chinese market more conveniently, which will create more jobs for Ecuador.
On February 7, the plenary session of the National Assembly (Parliament) of Ecuador ratified the Ecuador-China Freedom Agreement. This marks the completion of the Ecuador-China FTA process.
In May last year, Ecuador and China formally signed a freedom agreement. The negotiation and signing of the Ecuador-China FTA is an important consensus reached by the leaders of the two countries. Through the implementation of the free trade agreement, Eritrea and China will achieve a high level of mutual opening-up, create a better business environment for enterprises of both sides, further stimulate the potential of investment cooperation between the two countries, and continuously improve the well-being of the two peoples.
Since the establishment of diplomatic relations between Ecuador and China more than 40 years ago, relations between the two countries have developed in a healthy and stable manner. The two countries firmly support each other in safeguarding their core interests and are good friends who trust each other. China is Ecuador's second largest partner, and Ecuador is China's eighth largest partner in Latin America. Ecuadorian shrimp, bananas, minerals, timber and other sales in China continue to improve, and Chinese automobiles and home appliances are also very popular in Ecuador.
The Ecuador-China FTA is a major positive for both countries. Under the agreement's goods** tariff concession arrangement, the two sides will each eliminate tariffs on 90% of the tariff lines, of which about 60% will be eliminated immediately after the agreement enters into force. China's zero-tariff products will fully cover Ecuador's main export products. After the agreement comes into force, tariffs on Ecuadorian bananas, white shrimp, fish, fish oil, flowers and dried flowers, cocoa and coffee will be gradually reduced from the current 5% to zero when they enter the Chinese market. At the same time, the Ecuadorian side will also implement zero tariffs on China's main export products, and after the agreement comes into effect, when most products made in China, such as plastic products, chemical fibers, iron and steel products, machinery and appliances, electrical equipment, furniture decoration, automobiles and parts, enter the Ecuadorian market, tariffs will be gradually reduced and eliminated on the basis of the current 5% to 40%.
The Chinese market is a very large and open market. After the implementation of the Ecuador-China Free Trade Agreement, it is expected that Ecuador's exports and imports to China will increase significantly, especially Ecuadorian agricultural products can enter the Chinese market more conveniently, which will create more jobs for Ecuador. The Ecuador-China FTA will also help Ecuador give better play to its comparative advantages, optimize its structure, and promote the diversified and sustainable development of Ecuador's economy.
Although Ecuador and China have different economies, their economies are highly complementary. The Ecuadorian business community expects the two countries to further strengthen cooperation in various fields such as investment, energy, infrastructure, and telecommunications. It is believed that the Eritrea-China FTA will play a positive role in setting an example for other Latin American countries to further strengthen their cooperation with China.
The author is president of the Ecuador-China Chamber of Commerce).
People** 2024-02-09 02 Edition).