“China is Australia’s largest trading partner, with two-way trade valued at more than A$150 billion in 2014-2015, almost a quarter of Australia’s total trade”
China Market Overview:
China is currently Australia’s largest trading partner. China buys almost one third of all Australian exports, valued at nearly A$81 billion in 2015 and is our top overseas market for agriculture, resources and service exports.
Australia’s two-way trade with China is valued at more than A$150 billion, almost a quarter of Australia’s total trade. Merchandise trade between Australia and China has grown at an average of 18 per cent every year over the past decade, the fastest rate of any of our major trading partners.
“Bilateral trade between Australia and China is expected to grow at astonishing rates in the decades ahead”.
China-Australia Free Trade Agreement (ChAFTA):
Signed on the 15 August 2015, ChAFTA came into force on the 20 December 2015, providing Australian businesses with significant advantages over International competitors.
ChAFTA will enhance the growing trade and investment ties between Australia and China, two highly complementary economies, laying a solid foundation for the next phase of the Australia-China economic relationship.
- Tariff elimination will increase opportunities for Australian business in a wide range of sectors including agriculture, processed foods, resources and energy.
- ChAFTA removes tariffs on many of Australia’s key agricultural exports such as meat, dairy and horticulture, better positioning exporters to meet China’s demand for high-quality food.
- ChAFTA provides new or significantly improved market access for a range of service sector suppliers: Australian banks, insurers, securities and futures companies, law firms, professional service suppliers and education service exporters.
- ChAFTA will provide a solid framework for the growth of electronic commerce between Australia and China.
Free Trade Zones (FTZs):
With 2016 well underway, China’s new Free Trade Zones are all fully operational.
The history of China’s free-trade zones (FTZs) commenced back in September 2013 with the launch of the Shanghai Pilot Free-Trade Zone. The Shanghai Pilot FTZ was pitched by the Chinese government as a model for economic and regulatory reform with respect to direct foreign investment into China.
Today the four operational FTZs include – Tianjin, Fujian, Guangdong and the Shanghai FTZ, which was expanded in 2015 to include the Lujiazui Financial District, Jinqiao Development Zone and the Zhangjiang Hi-tech Park.
One of the primary benefits for Australia businesses of these Free Trade Zones are the simplified or more relaxed business registration and approval processes required by the Chinese government.
Free Trade Zone Highlights:
- Faster and simpler business registrations
- Easier and simpler foreign investment
- Easier cross-border movement of goods
- Faster customs clearance
- Policy reforms with respect to RMB usage and repatriation of profits
- Easier engagement in e-Commerce
China Trade Services can help your Business:
With over twenty years of combined China market knowledge and experience, our company is well equipped to help you establish your business in one of the fastest growing economies in the world.
China Trade Services was established to be a complete “End to End” Trade and Business Service provider, offering businesses the opportunity to develop, promote and engage in bilateral trade between China and Australia, working closely with business owners to achieve their export aspirations and overseas expansion goals.
CTS Services Include:
- Local Market & Industry Research, Assessment and Due diligence
- Business Name and Business Scope reviews
- e-Commerce Registrations, Permits and Domain names
- Company Formation, Corporate Governance & Company Secretarial – Joint Venture, RO, WOFE or FICA
- Chinese Government Registrations, Permits and Licenses
- Tax Registrations, Local, State and VAT
- Local Invoicing
- Local Service Representation – Serviced Representative Office
- Customer, Distributor and Supplier Assessment and Appraisal
- Supply Chain and Logistics Management
- Monthly Accounting, Reporting and Tax Filings
- Product Warehousing, Distribution and Logistics Management.
- Social Media Strategy and Implementation
- Human Resources – Employment, Social Welfare and Visa advice