FTA stands for Free Trade Agreement. Since China entering WTO (World Trade Organization), we have signed lots of Bilateral Trade Agreement with many countries and regions to reduce (or eliminate) tariffs, quotas and other trade restrictions.
In this article, we will discuss Form A, Form E, Form B, as well as other Bilateral Free Trade Agreement.
Please find if your country has made the agreement with China. Take advantage of the FTA agreement between both countries to reduce your importing cost.
1. Countries FTA Bilateral agreement with China
- Maldives (China Maldives FTA)
- Georgia (China Georgia FTA)
- Australia (China Australia FTA) 0% import duty for the most product from China, and all product related to mass finishing
- South Korea (China South-Korea FTA)
- Switzerland (China Switzerland FTA) also called Form S
- Iceland (China Iceland FTA)
- Costa Rica (China Cost Rica FTA)
- Peru (China Peru FTA)
- Singapore (China Singapore FTA) also called Form X, 0% import duty for all product from China
- New Zealand (China New Zealand FTA) also called Form N
- Chile (China Chile FTA) also called Form F
- Pakistan (China Pakistain FTA) also called Form P
You can check the link and see the different goods tariff according to the HS code. In global trading, different countries have different HS code system in their own customs regulations. However, the first 6 number is agreed internationally.
The FTA Bilateral agreement tariff usually is lower than Form A (Generalized System of Preferences (GSP) ).
Details of the agreement and the specific tariff code regarding HS code can also found in China Custom website. If you cannot find the right HS for the specific goods, please contact me for help.
2. China ASEAN FTA
China Asean FTA also called Form E. The China-ASEAN Free Trade Area Certificate of Origin (Form E) is an official certificate of origin issued under the Agreement on Comprehensive Economic Cooperation between China and the Association of Southeast Asian Nations for the Reciprocal Reduction of Tariffs for Certain Products Between Contracted Member States. The countries that can issue FORM E certificates are China, Laos, Vietnam, Thailand, Myanmar, Cambodia, Philippines, Brunei, Indonesia, Malaysia, and Singapore (ASEAN member countries).
ASEAN Countries list:
So far, ASEAN countries reduce import duty of goods import from China to a very low level. Most mass finishing product import duty is 0%.
3. Asia-Pacific Trade Agreement (Form B)
Countries that applied to Form B are:
- Sri Lanka
- South Korea
The Asia-Pacific Trade Agreement Certificate of Origin (FORM B) is issued in accordance with the requirements of the Rules of Origin of the Asia-Pacific Trade Agreement and enjoys reciprocal tariff reductions for specific products between the member states that have signed the agreement (unlike the non-reciprocal FORM A certificate). Official certificate of origin. The countries that can issue FORM B certificates are China, India, Sri Lanka, Bangladesh, Laos, and South Korea.
Because South Korea already has an FTA agreement with China. You can check the tariff code and rate and compare. Usually, China-South Korea FTA has a lower tariff.
4. GSP Certificate of Origin (Form A)
The GSP Certificate of Origin (Form A) is a FORM A certificate issued under the GSP preference country rules of origin and the relevant requirements. The FORM A certificate is the export of goods from beneficiary countries (mainly developing countries).
Applicable to the country of origin (mainly developed countries) enjoy the GSP tariff preferential treatment of the certificate of origin. The goods listed on the FORM A certificate are eligible for tariff reduction only if they meet the GSP rules of origin for the corresponding beneficiary country.
There are 39 countries that have given China GSP treatment:
Britain, France, Germany, Italy, the Netherlands, Luxembourg, Belgium, Ireland, Denmark, Greece, Spain, Portugal, Austria, Sweden, Finland, Poland, Hungary, Czech Republic, Slovakia. Slovenia, Estonia, Latvia, Lithuania, Cyprus, Malta, Bulgaria, Romania, Switzerland, Liechtenstein, Norway, Russia, Belarus, Ukraine, Kazakhstan, Japan, Australia, New Zealand, Canada, Turkey
5. FTA agreement Under Negotiation
China is now discussing with the following countries for FTA agreement for future tariff reduction. If you are importing to these countries, please check the news in the coming months.
- Papua New Guinea
- Sri Lanka
For importers, FTA documents can greatly reduce import duty. So do not forget to ask for an FTA document from your supplier in China if you are in the listed countries.
If you are the first time import from China, just let me know your product name so we can help you check your import rate. Therefore you can compare your cost with the same item when you purchase locally.