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Zero tariffs for all HK produced imports
By Jiang Wei (China Daily)
Updated: 2005-07-19 06:02

China's mainland is scheduled to implement zero tariffs on all products originating from Hong Kong from January 1, 2006.

International Olympic Committee (IOC) president Jacques Rogge (R) and Hong Kong Sports Federation & Olympic Committee president Timothy Fok gesture under the Olympic rings during an unveiling ceremony of the Olympic House in Hong Kong July 11, 2005. [Reuters]
The move will mark the start of the third phase of the Closer Economic Partnership Arrangement (CEPA) between the two sides.

The dropping of tariffs was revealed last week by Wang Liaoping, director of the Taiwan, Hong Kong and Macao Affairs Department of the Ministry of Commerce.

The official said that under the arrangement, an additional 300 categories of Hong Kong products, ranging from textile products, garments, and food to electrical products and machinery, would be covered by the zero-tariff agreement.

All Made-in-Hong-Kong products will be tariff-free when being exported to the mainland.

Wang said the two sides had reached an accord over the standards of origin of watches and clocks, a market in which Hong Kong is advanced, so that watch and clock products processed in Hong Kong would enjoy qualified tariff-free treatment.

As for the service sector, the mainland is also to open more industries to Hong Kong investors in addition to the existing 26, such as logistics, distribution, advertising and tourism, which are already available.
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