The first work report released on the 5th sent a clear signal to the world: China's institutional opening up will take greater steps this year.
On March 5, the Second Session of the 14th National People's Congress opened at the Great Hall of the People in Beijing. Photo by China News Service reporter Yang Huafeng.
For example, the work report clearly states that the negative list of cross-border services will be fully implemented, and policies for the innovative development of services and digital services will be introduced.
The Negative List is one of the main modes of the current high-standard FTA to make liberalisation arrangements in the field of cross-border services**. From July 2021, when China launched its first negative list in the field of cross-border services**, to now requiring "full implementation", the process of liberalization of China's services** has accelerated significantly.
Behind this is China's hope to cultivate new international advantages. Wang Shouwen, international negotiator and vice minister of the Ministry of Commerce of China, previously said that with the advancement of technology, the development potential of services, especially cross-border services, will be further stimulated, and will also become a key driving factor for the future of the world. However, there is still a big gap between China's import and export volume of cross-border services** compared with the world's first.
Analysts here pointed out that the negative list of cross-border services will effectively improve the overall level of opening up of China's service industry, and will also enable more overseas high-level service providers to enter the Chinese market and obtain development opportunities.
In terms of foreign investment access, the work report proposes to continue to reduce the negative list for foreign investment access, relax market access for service industries such as telecommunications and medical care, expand the catalogue of industries that encourage foreign investment, and encourage foreign-funded enterprises to reinvest in China.
At a time when many developing countries and emerging economies are competing to ease investment restrictions, global competition for investment is becoming increasingly fierce. China's timely deployment will continue to reduce the negative list for foreign investment access, and accelerate the expansion of opening-up in the service sector where foreign enterprises are more willing to invest, which will help attract more foreign enterprises to invest in China.
On March 5, the Second Session of the 14th National People's Congress opened at the Great Hall of the People in Beijing. The picture shows foreign envoys in China observing the meeting. Photo by China News Service reporter Han Haidan.
In addition, the work report also makes it clear that we will promote the implementation of free trade agreements that have come into force, and negotiate and sign high-standard free trade agreements and investment agreements with more countries and regions.
In recent years, China has made many new breakthroughs in the negotiation and signing of free trade agreements. According to official data, as of the end of January 2024, China has signed 22 free trade agreements with 29 countries and regions, and the amount with free trade partners accounts for about one-third of China's total foreign exports.
According to the report, the China-ASEAN Free Trade Area will be promoted this year0 version of the negotiations, and promote the accession to the Digital Economy Partnership Agreement (DEPA) and the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP). According to the Ministry of Commerce, China will also complete negotiations with Honduras and the upgrade of the free trade agreement with Peru this year.
It is observed that China's "high-standard" free trade agreements and investment agreements may be reflected in the further increase in the proportion of zero tariffs on goods; Promote the expansion of the opening up of services** and investment in the form of a negative list, and expand market access for digital products and other products; Incorporate high-standard economic and trade rules in the digital economy, green economy, standard certification, and procurement into the new free trade negotiations. This will push China's institutional opening-up to a higher level and benefit the global economy.
*: China News Service.
Original title: "(Observation of the Two Sessions) China's Institutional Opening Up Will Take a Greater Step".