In recent decades, Hong Kong has an incredibly flourishing growth in economy development becoming one of Asian miracle. There can be numerous factors contributed to Hong Kong’s success, and without any doubt, a few governmental policies plays a dominant role to it, namely policy on tariffs, import quotas, free flow of money as well as strong belief in positive non-interventionism .
While the government has strong faith in free market and positive non-interventionism, any form of trading barrier will become an obstacle to economic success. Thus the authority impose as minimum as regulation on business trying to create a barrier-free trading environment for investors. There is free flow of money and almost absent of any quota limit and tariff on general imports, apart from liquors, tobacco, hydrocarbon oil and methyl alcohol. Besides, tax rate in Hong Kong is extremely low when compare to other countries like The United States, Singapore and which will only encourages more and more investment so as keeps the city remain competitive.
China market has been open up since its accessions to WTO in 2001. While global investors trying to take over the China market, on the other hand, China government prefers to develop its economy comprehensively and gradually to avoid over-heating. A series of control policy and trade barriers have been launched and become impediment for investors. However, Hong Kong once again shows how the city is exceptionally beloved and suddenly all barriers have been wiped out when CEPA came into effect.
CEPA was signed on 29 June 2003, CEPA covers 3 areas.
First, trade in goods refers to all product of Hong Kong origin importing into the Mainland can enjoy tariff free treatment. Second, trade in service refers to Hong Kong service suppliers enjoy preferential treatment when enter into the Mainland market in various service areas. Third, trade and investment facilitation refers to both sides agreed to enhance co-operation in various... [continues]
While the government has strong faith in free market and positive non-interventionism, any form of trading barrier will become an obstacle to economic success. Thus the authority impose as minimum as regulation on business trying to create a barrier-free trading environment for investors. There is free flow of money and almost absent of any quota limit and tariff on general imports, apart from liquors, tobacco, hydrocarbon oil and methyl alcohol. Besides, tax rate in Hong Kong is extremely low when compare to other countries like The United States, Singapore and which will only encourages more and more investment so as keeps the city remain competitive.
China market has been open up since its accessions to WTO in 2001. While global investors trying to take over the China market, on the other hand, China government prefers to develop its economy comprehensively and gradually to avoid over-heating. A series of control policy and trade barriers have been launched and become impediment for investors. However, Hong Kong once again shows how the city is exceptionally beloved and suddenly all barriers have been wiped out when CEPA came into effect.
CEPA was signed on 29 June 2003, CEPA covers 3 areas.
First, trade in goods refers to all product of Hong Kong origin importing into the Mainland can enjoy tariff free treatment. Second, trade in service refers to Hong Kong service suppliers enjoy preferential treatment when enter into the Mainland market in various service areas. Third, trade and investment facilitation refers to both sides agreed to enhance co-operation in various... [continues]
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