Shanghai releases China's first service trade negative list
Shanghai municipal government releases a negative list for cross-border service trade in the China (Shanghai) Pilot Free Trade Zone Oct 9, the first of its kind in China. [Photo/VCG]
Shanghai municipal government released a negative list for cross-border service trade in the China (Shanghai) Pilot Free Trade Zone (Shanghai FTZ) on Oct 9, the first of its kind in China.
This negative list is a list of 159 special management measures for overseas services and service providers in 31 industries that cannot enjoy equal national treatment, have limitations on market access, or have other special requirements.
The list defines cross-border service trade as commercial activities delivered by overseas service providers to consumers in the Shanghai FTZ.
Three major business models are covered: cross-border service directly delivered to the FTZ, overseas service provided to consumers in the FTZ and overseas service delivered via natural persons in the FTZ.
Wu Qing, vice-mayor of Shanghai, said the negative list was launched on the basis of the city's nationally leading role in the service trade sector.
Statistics provided by the State Administration of Foreign Exchange Shanghai Branch showed that Shanghai's total volume of service trade amounted to $195.5 billion in 2017, ranking first in the nation and accounting for 29.1 percent of the city's total outbound trade volume.
The introduction of the list will help China better cope with global economic and trade changes and further integrate into the world value chain, Wu said.
Also, it will help the FTZ to deepen reform and opening-up, and improve the global competitiveness of the service trade srctor, said Wu.
Later, the city will look to further opening up its cross-border service trade sector to develop it into a service trade hub, Wu added.