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      Free Trade Agreement between HK, Chile to enter into force

      2014-10-04 09:21 Xinhua Web Editor: Qin Dexing
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      The Free Trade Agreement between Hong Kong, China and Chile will enter into force on Oct. 9, 2014, a government spokesperson said Friday.

      The agreement, signed on Sept. 7, 2012, expands Hong Kong's existing free trade agreement network from the Asia-Pacific and European regions to the Americas.

      It covers a wide range of areas including trade in goods and services, investment, and other related areas. Under the agreement, traders and investors of both sides can enjoy preferential access to the respective markets.

      On trade in goods, for goods originating from Hong Kong, Chile will abolish import tariffs on around 88 percent of its tariff lines, and will phase out the tariffs on an additional 10 percent of tariff lines over three years.

      On trade in services, Hong Kong service providers will enjoy legal certainty in market access and national treatment for a comprehensive range of services in the Chilean market.

      Chile's commitments encompass sectors where Hong Kong has traditional strengths or has potential for development, such as financial services, telecommunications services, various business and professional services, tourism services, environmental services, and services related to innovation and technology.

      On investment, Hong Kong investors will have legal certainty on national treatment in respect of their investments in specified non-services sectors in Chile.

      To further enhance investment flows between Hong Kong and Chile, the two sides will negotiate a separate and comprehensive agreement on investment upon entry into force of the agreement.

      The agreement also contains provisions to promote competition, facilitate access to each other's government procurement market, enhance co-operation in customs procedures and protect the environment, among others.

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