Foreign trade businesses in the coastal city of Yantai, East China's Shandong province, are reaping the benefits from the Regional Comprehensive Economic Partnership (RCEP), which took effect on Jan 1, 2022.

The RCEP agreement covers 15 Asia-Pacific countries, including 10 member states of the Association of Southeast Asian Nations. Over the next 20 years, the pact is expected to reduce up to 90 percent of tariffs on goods traded among its members.

Official data show that Yantai Customs has issued a total of 13,685 certificates of origin under the RCEP, with a value of 3.24 billion yuan ($473 million), which has helped export enterprises in Yantai enjoy exemptions from import tariffs of about 64.8 million yuan.

The Yantai Area of the China (Shandong) Pilot Free Trade Zone, which is located close to Japan and South Korea, has made great efforts to deepen regional economic cooperation with the two countries since the operation of the RCEP.

Doosan Infracore, a South Korea-invested machinery company in the Yantai Area of Shandong FTZ, received a truck load of imported excavator parts from South Korea, and enjoyed an import tariff reduction of 1.2 million yuan under the RCEP. 

The tariff reduction gave the company's products greater price advantages. According to official data, the RCEP agreement helped the company reduce 60 million yuan of tariffs on goods in 2022 alone.

Yantai's Wanhua Chemical Group received a certificate of origin under the RCEP agreement for a shipment of polycarbonates on Jan 2, which was the first RCEP certificate of origin issued in Shandong province for exports to Indonesia since the world's largest free trade deal took effect in the Southeast Asian country on Jan 2.

In order to help local enterprises seize the great opportunity brought by the RCEP, Yantai Customs will further promote foreign trade and offer enterprises policy dividends, a more stable industrial chain and faster port customs clearance.

Yantai's Wanhua Chemical Group reaps rewards of the RCEP agreement, which took effect on Jan 1, 2022. [Photo/Ytcutv News]