As agreed by China and Nigeria, the "Arrangement between the Government of the People's Republic of China and the Government of the Republic of Nicaragua on Free Trade Agreement Early Harvest" (hereinafter referred to as the China-Nicaragua Free Trade Agreement Early Harvest) will come into effect on May 1, 2023. In response to the concerns of the media and the public, the person in charge of the Department of International Economic and Trade Relations of the Ministry of Commerce answered questions from reporters.
Q: The China-Nigeria FTA Early Harvest will come into effect on May 1. Please briefly introduce the situation.
A: In December 2021, China and Nicaragua will resume diplomatic relations. Since the resumption of diplomatic relations, under the personal care and guidance of the leaders of the two countries, China-Nepal bilateral economic and trade cooperation has achieved fruitful and practical results, fully demonstrating the dividends of the resumption of diplomatic relations. In January 2022, China and Nepal launched the early harvest negotiations on the China-Nepal Free Trade Agreement. On July 12, Minister of Commerce Wang Wentao held a video meeting with Nicaraguan Foreign Minister Moncada, and signed the China-Nigeria FTA Early Harvest on behalf of the two governments respectively.
At present, both China and Nigeria have completed their respective domestic approval procedures for the early harvest of the China-Nigeria FTA, and have officially confirmed through diplomatic channels that the early harvest of the China-Nigeria FTA will come into effect on May 1, 2023. The effective implementation of the early harvest of the China-Nigeria Free Trade Agreement will further leverage the economic complementary advantages of the two countries, deepen practical cooperation in the economic and trade field between the two countries, and promote bilateral economic and trade relations to a new level.
Q: Please briefly introduce the main content of the early harvest of the China-Nepal Free Trade Agreement.
Answer: The early harvest of the China-Nigeria Free Trade Agreement mainly involves trade in goods. The text of the agreement mainly includes a preamble, 6 clauses, and 2 annexes of "Tariff Concession Schedule" and "Chapter of Rules of Origin and Implementation Procedures", which cover the background and objectives of the negotiation. , Tariff concessions for trade in goods, rules of origin, mechanism settings, etc.
In terms of trade in goods, the two sides decided to select some products that the industry circles of the two countries have export concerns and consumers have strong demand for, to reduce tariffs in the fastest way, and to open their markets to each other first, so that enterprises and consumers of the two countries can enjoy the benefits of the free trade agreement as soon as possible . In terms of specific products, China will immediately cancel the import of clothing, cables, beef and offal, shrimp and shrimp, lobster, sea cucumber, kidney beans, peanuts, rum and other products imported from Nigeria from the effective date of May 1. tariff. The Nigerian side will also immediately cancel tariffs on seedlings, flower arrangements, garlic, corn and starch, frozen vegetables and their products, textile accessories, some plastic products, rubber tires and toys imported from China starting from May 1.
In terms of rules of origin, the two sides agreed on the identification standards of originating goods, with the regional value content of 40% as the main rule, supplemented by short product-specific rules of origin (PSR), to solve the origin standards of products that both sides focus on. The two sides also agreed that the China-Nigeria FTA Early Harvest Rules of Origin will become a chapter of the future China-Nigeria FTA.
The text of the early harvest of the China-Nigeria Free Trade Agreement has been published on the "China Free Trade Area Service Network" (http://fta.mofcom.gov.cn) for public inquiries and reference.
Q: It is understood that China and Nepal have decided to launch comprehensive free trade agreement negotiations while reaching the early harvest of the China-Nigeria free trade agreement. How is the current progress of the negotiations?
Answer: On July 12, 2022, Minister Wang Wentao and Minister Moncada announced the formal launch of comprehensive China-Nigeria FTA negotiations at the same time as they signed the early harvest of the China-Nepal Free Trade Agreement, and stated that they would strive to complete it as soon as possible. The China-Nigeria Free Trade Agreement will be a comprehensive and high-level free trade agreement. Negotiating and signing the China-Nigeria Free Trade Agreement is conducive to further deepening the economic and trade cooperation between China and Nigeria, constantly opening up new prospects for China-Nigeria economic and trade cooperation, laying a solid foundation and adding impetus to the sustainable development of bilateral relations.
At present, the China-Nigeria Free Trade Agreement negotiations are speeding up as planned and have made positive progress. The negotiating teams of China and Nepal are stepping up their work, striving to complete the negotiations as soon as possible, sign the agreement as soon as possible, and benefit the two countries and the two peoples as soon as possible.