China and Singapore have taken a significant step forward in strengthening their economic ties. The China-Singapore Free Trade Agreement (CSFTA) Further Upgrade Protocol is set to come into effect on December 31, 2024, marking a new chapter in bilateral trade relations.
According to China’s Ministry of Commerce, the upgraded agreement aligns with high-standard international economic and trade rules, promising greater openness in services trade and investment markets between the two nations. This move is expected to enhance cooperation and stimulate economic growth in both countries.
One of the key highlights of the protocol is the adoption of a negative list model for market access commitments in services and investment. This approach, a first for China in free trade agreement upgrade negotiations, means that all sectors are open except those specifically listed as exceptions. It signifies a substantial leap towards liberalization and transparency in trade policies.
Furthermore, both countries have established high-standard institutional arrangements in areas such as services trade, investment, and telecommunications. They are also expanding cooperation in emerging fields like the digital economy, which could lead to innovative collaborations and technological advancements.
The implementation of the protocol is anticipated to unlock new potentials for cooperation in services trade and investment. It is poised to enrich the development of an all-round, high-quality, future-oriented partnership between China and Singapore.
Negotiations for this upgrade began in 2020, culminating in the signing of the protocol in December 2023. The agreement reflects the commitment of both nations to deepen their economic ties and work collaboratively towards mutual prosperity.
Reference(s):
cgtn.com
