HONG KONG: Hong Kong and Macao sign draft CEPA to further trade cooperation

Monday July 18 2016

Macao and Hong Kong have signed a draft of Closer Economic Partnership Arrangement (CEPA) during their 9th meeting of high-level cooperation. The two parties will strive to formally sign the HK-Macao CEPA by the end of this year.

Created in accordance with relevant principles and rules of the World Trade Organisation (WTO), the HK-Macao CEPA is a free trade agreement with the aim of strengthening economic integration and trade development between the two parties while facilitating the movements of commodities, services and capital.

The main document of the HK-Macao CEPA covers trade in goods and services, facilitation of investments, and intellectual property.

As both Hong Kong and Macao are free ports, the two sides will impose zero tariffs on the goods imported from the other party and reduce non-tariff trade barriers. The two sides also agree not to implement anti-dumping or anti-subsidies measures against each other. Measures on facilitating customs clearance will be introduced to further promote trade in goods between Hong Kong and Macao.

Regarding trade in services, the two parties will continue to negotiate the list of liberalised services, which will be beyond the current trade concessions made at the WTO by the two parties.

The HK-Macao CEPA, however, does not cover the free movement of personnel (for the purposes of education or work) between the two parties.

For more information, please click the link at the top of the page.