Free Trade Agreement Between Pakistan And China

September 21, 2021 at 12:09 pm

Phase I – Tariff Reduction Modality of China within five years of the entry into force of this agreement: the Early Harvest programme between the two countries, which entered into force on 1 January 2006, has been incorporated into this bilateral free trade agreement. In the package as a whole, Pakistan is granted zero market access on industrial alcohol, cotton, sheets and other household textiles, marble and other tiles, leather goods, sporting goods, mangoes, citrus fruits and other fruits and vegetables; Steel products and machinery. China will also reduce its tariffs on fish and the dairy sector by 50%; frozen orange juice; plastic products; rubber products; leather products; knitwear; Woven clothing, etc. In the 2017-2018 fiscal year, the volume of trade between China and Pakistan amounted to $13.2 billion, or 16.4% of Pakistan`s trade volume. On 9 April, the 11th meeting of the 2nd meeting was held in Beijing. Negotiations for a China-Pakistan free trade agreement have taken place. China`s Vice Minister of Commerce and Vice Representative for International Trade Wang Shouwen met with delegations led by Pakistan`s Minister of Commerce Sukhera and Finance Minister Dagha, respectively. The two sides held extensive consultations on issues such as tariff reduction on trade in goods, investment and customs cooperation and made positive progress. [9] Chinese President Hu Jintao and his Pakistani counterpart Pervez Musharraf on Friday oversaw the signing of a free trade agreement between the two allies here in Islamabad on November 24, 2006. The document was signed by the trade ministers of both countries. In particular, the Protocol introduces a new timetable for the elimination of customs duties in order to expand reciprocal market access, amends the rules of origin and trade aid provisions and adds a new chapter on customs cooperation.

A second phase agreement is being negotiated between China and Pakistan. The second phase will further reduce tariffs and standardize various trade procedures. [8] [to be updated] This round of CPFTA revisions expands and diversifies business opportunities for companies on both sides, while preserving fair and equitable protection of local industrial interests. This is in line with China`s free trade agreements with New Zealand, Peru, Costa Rica, Switzerland, Iceland, Singapore, Australia, South Korea, Georgia, Chile and Pakistan, as well as the Asia-Pacific Trade Agreement. The protocol provides that the share of tariff lines with non-tariff products between China and Pakistan will gradually increase from 35% to 75% over a period of 10 years, as implemented by China and 15 years by Pakistan. . . .