Free Trade Zone in Shanghai to Launch this Sunday
The free trade zone in Shanghai will be officially launched this Sunday in what authorities say as a step forward in boosting reforms in the second largest economy of the world. Covering an area of 29 square kilometers in Pudong New Area, the zone is modeled on the existing free trade area in the country economic hub.
Earlier this month Premier Li Keqiang said that this is the right month to pilot the free trade zone which they have based with Waigaoqiao Free Trade Logistics Park, Pudong Airport Comprehensive Free Trade Zone, Waigaoqiao Free Trade Zone and Yangshan Free Trade Port Area. The zone will be using a negative list approach that will be properly explored and priority will be given for easier investment and openness.
A green light was already approved for the State Council to modify the laws related to foreign enterprises and the State Council have suspended administrative approvals that covers foreign funded enterprises, contractual joint ventures and Chinese foreign equity joint ventures. These enterprises can then import, process and re-export goods in the free trade zone without the intervention of custom authorities.