HKSAR-Australia free trade, investment agreement to enter force in January

Source:Global Times Published: 2019/12/19 11:28:40

Photo taken on Aug. 27, 2019 shows the scenery of the Victoria Harbour in Hong Kong, south China. (Xinhua/Li Gang)

A Free Trade Agreement (FTA) and an Investment Agreement between China's Hong Kong Special Administrative Region (HKSAR) and Australia, which is expected to enhance trade and investment flows between the two, will enter into force officially on January 17, the government of the HKSAR said on Wednesday.

The agreements, signed in March 2019,which cover a wide range including trades in goods and services, investment, intellectual property, and government procurement will provide HK investors with legal certainty and more access to the Australian market, and will also create more business opportunities and enhancing trade and investment flows between the two places, HKSAR said.

"Against the prevailing uncertainties in the global economic environment, these agreements provide high transparency and predictability for trade and investment," Edward Yau, the Secretary for Commerce and Economic Development of HKSAR, said on Wednesday.

This free trade agreement will launch a new chapter in economic relations between Australia and Hong Kong. The trade agreement provides Australian businesses greater certainty to trade and investment activities in Hong Kong. It also reaffirms the value Australia places on the principle of "One Country, Two Systems," said a post on the Department of Foreign Affairs and Trade of Australian government.

According to the agreements, all Hong Kong-originating goods can enter Australia tariff-free and via simplified procedures immediately upon the entry into force of the FTA, and Hong Kong service providers are able to enjoy market access and treatment no less favorable than Australia's local service providers under like circumstances.

In 2018, two-way trade between HKSAR and Australia reached A$17.8 billion ($12.23 billion). Hong Kong was Australia's 10th most important destination for merchandise exports with a volume A$8 billion, and seventh-largest services export market, with a volume of A$3 billion in 2018, according to data released by Australia department.

Global Times


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