Mofcom announces China-Switzerland free trade agreement to be implemented on July 1, 2014

Absrtact: May 4, the Ministry of Commerce announced that China's Swiss Free Trade Agreement (hereinafter referred to as the "agreement") will be formally implemented on July 1, 2014. Under the agreement, China will gradually implement a zero-tariff policy on goods imported from Switzerland, including Switzerland

May 4, the Ministry of Commerce announced that the "China-Switzerland Free Trade Agreement" (hereinafter referred to as the agreement) will be formally implemented on July 1, 2014. Under the agreement, China will gradually implement a zero-tariff policy on goods imported from Switzerland, including Switzerland's most important export commodities watch. This means that in the future Chinese consumers will be able to enjoy tariff-free policies on some brands of watches from the Swiss sea.

or 30% tax exemption

According to the agreement, China will gradually impose zero tariffs on 84.2% of imported goods from Switzerland, and if the tax-lowering commodity is counted, the proportion will reach 96.5%. Tax-cut commodities include metal products, mechanical parts and components, household appliances, some watches, coffee, cheese, etc.

It is noteworthy that the tax cut includes "part of the Watch", as to which part of the watch is currently not clearly classified. Billion power network expected, July 1, the agreement, the formal entry into force, will be published detailed classification.

In other words, in the future, as long as the duty-free watches stipulated in the agreement, whether Switzerland exports to China in general trade, or Chinese consumers go directly to Switzerland to buy and bring home, or Chinese consumers from the Swiss electric dealers in Shanghai Amoy, can enjoy a tariff-free policy.

The domestic network buys the marketing to share the platform "what is worth buying" the Sea Amoy channel director Mengjian to billion power network said, the agreement signing, may let the Switzerland gradually become the next sea Amoy popular destination, will also promote the Swiss local electricity dealer website development.

Mengjian pointed out that because of the huge price difference at home and abroad, the watch has always been a popular category of sea Amoy. When overseas websites make big concessions, they can even reach 10 percent to 30 percent of the original price. As we all know, Switzerland is the world's most well-known production and exporter of watches.

Mengjian, the current consumer mainly from the Amazon United States station, Ashford and Jomashop These three overseas websites Shanghai Amoy watches, and very little from the Swiss local electric dealer website to buy. Now, some overseas websites for Chinese consumers, are actively introducing various preferential policies. In the United States, the list of online mall Ashford as an example, not only with the civil Service network, Hong Kong pick-up point, etc., but also for Chinese consumers to launch a full 75 U.S. dollars, such as postage packages.

A head of the sea Amoy platform, who declined to be named, said the sea Amoy watches also had certain risks. First of all, in high-end watches because the price is higher, Hai, often easy to "be taxed", if unfortunate "be taxed", the consumer needs to pay higher cost. Billion Power network inquiries Customs import goods duty-paid price list found that high-grade watches (audited prices in the RMB 10000 and above the watch) is the rate of 30% of the commodity price, table (including high-end watches outside the various tables) is 20% tax rate.

But the official also said that in practice, some customs did not strictly according to the proportional tax. "How much is the tax and there is no uniform standard, and some transit companies and channels may be 500 yuan to be taxed; ”

The official pointed out that even if the tax, the sea Amoy watches than in the domestic counter to buy a lot cheaper. But some of the most expensive luxury watches, Chinese consumers are still accustomed to go abroad in the foreign counters to buy.

Second, the sea Amoy watches in the warranty is more troublesome, because the warranty cost is higher, the general Sea Amoy users automatically gave up the warranty. Therefore, he suggested that consumers in the purchase of high-grade watches, as far as possible to choose the global brand.

China exports Swiss goods almost entirely tax-free

Accordingly, Switzerland has also adjusted tariffs on Chinese exports to Switzerland, according to the agreement, and 99.7% per cent of China's imports will immediately impose zero tariffs, and if a partial tax reduction is added, the proportion of Swiss-tax-lowering products is 99.99%. It has also created opportunities for Cross-border exporters to expand their markets in Switzerland and Central Europe.

In terms of industrial products, Switzerland has a large tax-lowering product in China, such as textiles, garments, shoes, hats, auto parts and metal products, which are the main export interests of China. Among them, clothing, shoes and hats, auto parts and so on are currently China's cross-border electrical export of hot category. According to billion power network to understand, clothing shoes and hats occupy the orchid pavilion, Milan Network, Hangzhou, such as the whole wheat and other cross-border electricity business enterprises a large share of the product, and auto Parts is 2013 the fastest growth of three categories of cross-border electricity.

According to the Billion power network, the agreement is in recent years the highest level of China's external reach, one of the most comprehensive free-trade agreements, not only the high proportion of zero tariff in goods trade, but also the establishment of a good mechanism for cooperation between the two sides in the fields of watches and clocks, and many new rules on environment and intellectual property rights, which will further enhance the bilateral economic and trade cooperation level, Deepen China-EU economic and trade cooperation.