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10 December 2015

ChAFTA - China / Australia FTA to start 20 December 2015

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The Minister for Trade and Investment, Andrew Robb, has today announced that the China Australia Free Trade Agreement (ChAFTA) is set to start flowing from the 20th of December 2015.

“This will deliver a very material early harvest for our exporters in the form of two rounds of annual tariff cuts in quick succession. The first round of tariff cuts will occur on 20 December followed by a second round on 1 January 2016,” he said.

Businesses can search for product-specific ChAFTA tariff information and guidance on rules of origin through an innovative new FTA Portal. A guide for exporting and importing goods, providing step-by-step advice ahead of entry into force, is also available.

We understand that the following Chinese Authorities will be able to issue Certificates of origin (COO):

  • AQSIQ (General Administration of Quality Sepervision, Inspection and Quarantine) where the actual certificates will be issued by provincial Entry-Exit Inspection and Quarantine Bureaus, which are administered by AQSIQ
  • CCPIT (China Council for the Promotion of International Trade)

Australian authorised bodies are:

  • the Australian Chamber of Commerce and Industry
  • the Australian Industry Group and affliliated bodies
  • the Australuan Grape and Wine Authority

COO's are required for each individual shipment.

A Declaration of Origin (DOO) can be issued if goods are “covered” by an origin advance ruling. For goods imported into Australia, a DOO will only be accepted in place of a COO where the consignment is covered by an advance ruling issued by Australia.

DOO’s are valid for 12 months and are for a single shipment of goods.

I you are an importer, you should speak to your supplier about the FTA to detirmine if they can provide you with a certificate of origin. 

***IMPORTANT***  Under current legislation, consignments manufactured in China, that are transhipped through Hong Kong would lose eligibility for preferential duty rates. As we understand it the Australian Government is currently working on a solution to this issue.

For more information relating to Advance Rulings, and further details relating to ChAFTA, and what to do if you have cargo arriving prior to or after the 20th December or 1st January, please contact your local TCF International representative.

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