Opportunities for Emerging ASEAN Players as China Reduces Tariffs to Zero on Most Products
China has reduced tariffs for imported products from Cambodia, Laos, and Myanmar under its Preferential Tariff Program, part of its Least Developed Countries initiative. This means some 97 percent of all products from these specific ASEAN nations can now be imported to China duty-free.
Standard methods to do this involve ensuring any valuable trademarks are protected and registered in China as well as using corporate entities, such as low-cost base operations as Foreign Invested Commercial Enterprises (FICE), which allow foreign investors to possess both export and import licenses for China and cut out the need for local Chinese middlemen – important in competitive markets such as China. We wrote about registering trademarks in China here and about using FICE in the article Starting a Business in China: When to Use the FICE Model.
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