HK announces more implementation details of CEPA

Hong Kong Trade and Industry Department (TID) announced Friday the implementation details for "Goods Proposed to be Produced" in the second batch of Hong Kong origin products for implementation of zero import tariffs under the Chinese mainland/Hong Kong Closer Economic Partnership Arrangement (CEPA).

"After manufacturers have started producing these goods, the TID and the Customs and Excise Department will conduct joint verifications and inform the Chinese mainland authorities.

After confirmation by both sides, the goods can enjoy zero tariff preference under CEPA upon presentation of the certificates of origin issued by the Hong Kong issuing authorities when imported into the Chinese mainland," a TID spokesman said.

"Manufacturers are therefore requested to complete the 'Notification on Commencement of Production of Goods Proposed to be Produced', and return it to the TID after they have commenced production of any 'Goods Proposed to be Produced'. Upon receipt of the notification, the TID will proceed with the verification and confirmation procedures, so that these goods can enjoy zero tariff preference as soon as possible," the spokesman added.

Under the further liberalization measures of CEPA, the Chinese mainland has agreed to apply zero tariffs to goods that are covered by 713 Chinese mainland 2004 tariff codes, on top of those covered by 374 tariff codes that have already been enjoying zero tariff status from January 1, 2004.

The 713 Chinese mainland 2004 tariff codes cover both goods under current production in Hong Kong (529 Chinese mainland tariff codes) and goods proposed to be produced in Hong Kong (184 Chinese mainland tariff codes).

The goods under current production covered by the 529 Chinese mainland tariff codes will enjoy zero tariff status from January 1, 2005. For the remaining 184 items of goods proposed to be produced in Hong Kong, the Chinese mainland will implement zero tariffs after confirmation by both sides that the goods have come into production.

Source: Xinhua