Enterprises in Jinhua, East China's Zhejiang province have received more than 570 million yuan ($89.45 million) in tariff concessions since the China-South Korea Free Trade Agreement took effect in 2015, local media reported on Dec 20.
In international trade, goods with a free trade agreement certificate of origin can enjoy preferential treatment of tariff reduction when going through customs clearance. This greatly improves price competitiveness.
For example, the chemical fiber women's sportswear that Jinhua Xinyao Import and Export Co Ltd exported to South Korea was eligible for the conventional tariff rate of 3.9 percent because of the certificate of origin issued by Jinhua Customs.
From January to November this year, the company applied for 233 certificates of origin and saved about 3.84 million yuan in tariffs.
In the past six years, the tariff rate for the company's chemical fiber women's sportswear exported to South Korea has been reduced from 13 percent to the current 3.9 percent. With the further reduction of customs clearance costs, the company will have more price advantages and better access to the South Korean market.
To help enterprises make full use of the preferential policy, Jinhua Customs has rolled out measures like intelligent checks and self-service printing of certificates of origin. This has also helped boost efficiency.
