Hainan's Foreign Trade Enterprises Go Global with RCEP CO

By Marian Rosenberg / HICN / Updated: 18:27,14-January-2025

In January of this year, when Hainan Xinlong Nonwovens exported a batch of nonwoven fabrics to Japan, they were able to use a RCEP (Regional Comprehensive Economic Partnership) CO (Certificate of Origin) to reduce their Japanese tariffs from 4.3% to 2.7%.

Workers transferring containers at Xiaochantan Container Terminal (Photo: Xinhua)

With exported goods, Certificates of Origin are more than just an important way to receive preferential treatment in terms of customs clearance and tariffs, they are also a powerful tool for foreign trade enterprises to enhance their products’ degree of international competitiveness. Hainan’s foreign trade enterprises are using this tool to help more and more “Made-in-Hainan” products go overseas.

According to a spokesperson from the Port of Haikou Customs Office, the island province currently has over one hundred enterprises which Customs is actively targeting for policy publicity. According to each company's individual situation, Customs will guide them to master the Certificate of Oorigin application process and other necessary skills that will gain them benefits such as reduced tariffs.

Furthermore, Haikou Customs is actively promoting measures such as paperless declaration, the intelligent review of Certificates of Origin, and the creation of a master list of the enterprises that are eligible for these policies. At the same time, Customs is also providing enterprises with up to date information on new trends in foreign trade so that they can make rational plans for diversified international markets.

“In part, because of the help we have received from the Customs Office, we can fully enjoy various favorable policies when conducting foreign trade, and exporting products is faster and more convenient than ever before,” said a spokesperson from ZXChem. An exporter of products such as emulsifiers, surfactants, and titanium dioxide, ZXChem has been steadily expanding their market share in ASEAN countries such as Vietnam and Indonesia. Thanks to the preferential policies on product origins, the company expects to see their import tariffs reduced by more than CNY 1 million (USD 140,000) per year.

In 2024, Haikou Customs issued more than 16,000 Certificates of Origin on over CNY 8.8 billion (USD 1.2 billion) worth of goods. Worth over CNY 2.3 billion (USD 320 million), and reducing export and import tariffs by approximately CNY 116 million (USD 16 million), the majority of these—2,435 in total—were China-ASEAN Certificates of Origin. Compared to the same time period, this is a roughly 28% increase in the number of certificates and a 47% increase in total value.

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