Promoting Trade Facilitation to Realize Supply Chain Connectivity in GVCs

Size: px
Start display at page:

Download "Promoting Trade Facilitation to Realize Supply Chain Connectivity in GVCs"

Transcription

1 2014/SOM3/CTI/SEM1/002 Session 1 Promoting Trade Facilitation to Realize Supply Chain Connectivity in GVCs Submitted by: China Seminar on APEC Model E-Ports Beijing, China 12 August 2014

2 Promoting Trade Facilitation to Realize Supply Chain Connectivity in GVCs Mr. Shen Weihua Vice Chairman Shanghai Municipal Commission of Commerce August 12, 2014 Shanghai: An Emerging Global Business Center & Lead Cargo Hub in West coast of the Pacific Practices on Realizing Supply Chain Connectivity & E-Port: A Key Infrastructure on Realizing Supply Chain Connectivity & Experiences on Realizing Supply Chain Connectivity & Actions on Asia-Pacific Model E-PORT Network in Shanghai 1

3 1.1 Shanghai s foreign trade development Build one of the International economic, financial, trade and shipping centers, to explore economic belt alongside the Yangtze River and especially to construct China(Shanghai) Pilot Free Trade Zone. 1.2 Shanghai s Foreign Trade Development Putting Shanghai in the context of global value chain 2013 (Billion USD) Import & Export of Goods Import & Export of Service Utilization of foreign capital Overseas investment Foreign contracted projects and labor service cooperation Shanghai s Trade in Services Grew by 30% annually on average, on a par with cross-border trade and investment, accounting for 28.1% Shanghai s total import and export, and even taking up as high as 32% of China s overall trade in services. Shanghai s Logistics: The sea transportation throughput of Shanghai port surpassed 540 million ton and container throughput exceeded 33 million, ranking world No.1 for four consecutive years. Besides, total cargo & postal tonnage at Shanghai Pudong International Airport ranked No.3 in the world. 1)After China s accession to the WTO, Shanghai was gradually integrated into the Asia-Pacific Production Chains. With comparative advantage in its labor force and the capacity to process complicated semifinished products, Shanghai has finally become the origin of a variety of final products sold to European and American market. 2)Leveraging its geographic advantage and its positioning as the gateway of China s reform and opening up drive, Shanghai is now, a critical link in both the Asia-Pacific Production Chains and the global supply chains. 3)Actively promote trade facilitation: A. The Bogor Goals B. Supper Chain Connectivity Framework and Action Plan C. Focus on realizing APEC s priority goal of Supply Chain Connectivity 2

4 Shanghai: An Emerging Global Business Center & Lead Cargo Hub in West coast of the Pacific Practices on Realizing Supply Chain Connectivity & 2.1 Practices on Realizing SCC & If you want to get rich, build the road first E-Port: A Key Infrastructure on Realizing Supply Chain Connectivity & Experiences on Realizing Supply Chain Connectivity & Actions on Asia-Pacific Model E-PORT Network in Shanghai Allow the flow of personnel, commerce, logistics, funding and information are cleared with convenient exit & entry mechanisms. Consistence with international rules and practices, the initiative to catch up with international standards, as well as the enhancement of trade facilitation by improving on our own rules, conditions and environment. 3

5 2.2 Practices on Realizing SCC & 2.3 Practices on Realizing SCC & 1 Connecting international standards, optimizing business environment and making market more competitive. Promote standardization, join the international mutual recognition system, expand world cooperation, and consolidate the foundation of world trade development. So far, Shanghai has over 70 thousand world trade companies and China (Shanghai) Pilot Free Trade Zone has attracted over 10 thousand companies. Now, Shanghai has further promoted the connection of the system and policy framework to international rules, simplify commercial registration system, optimize foreign exchange administration and international trade settlement, introduce negative list approach in foreign investment management, safeguard the fairness of market competition, create a favorable business environment for foreign trade companies and simplify export procedures. 2 Streamlining administration and decentralizing power, innovating cargo clearance mode, and improving the efficiency of government supervision. One input and separate declarations; one unpacking and inspected and quarantined by the customs, and one check and pass Company credibility has been actively promoted and classified management has been implemented. 4

6 2.4 Practices on Realizing SCC & 2.5 Practices on Realizing SCC & 3 Meet the needs of companies, improving the quality of service to facilitate companies operation. 4 Complete infrastructure, optimize regional cooperative mechanism, and strengthen the port service. Promoting One-stop service and reduce service costs. Yangshan Bonded Zone expansion, the 4th Phase of In 2013, one-off acceptance window was launched in the Integrated Service Hall of China (Shanghai) Pilot Free Yangshan Deep Water Port, and the 4th runway of Pudong International Airport. Trade Zone. Connectivity and share of data among E-ports of Shanghai and cities in Yangtze River Delta and Valley are pushed forward. Cross-regional joint law enforcement is also underway. 5

7 Shanghai: An Emerging Global Business Center & Lead Cargo Hub in West coast of the Pacific Practices on Realizing Supply Chain Connectivity & E-Port: A Key Infrastructure on Realizing Supply Chain Connectivity & 3.1 E Port: A Key Infrastructure on Realizing Supply Chain Connectivity & Promoting Trade Facilitation in Shanghai Shanghai s E port is playing a fundamentally supporting role. Customs declaration CIQ declaration Maritime declaration FTZ supervision solution E-Port Portal E PORT E-payment of customs duties Shipping e-payment Shipping insurance Supply chain finance Experiences on Realizing Supply Chain Connectivity & Actions on Asia-Pacific Model E-PORT Network in Shanghai E-Commerce support platform Cross-border e- Commerce platform Scrap trading platform Data interchange platform Booking system Container Management Location platform 6

8 3.2 E Port: A Key Infrastructure on Realizing Supply Chain Connectivity & Promoting Trade Facilitation in Shanghai Shanghai E-port in 2013 Main platform of Shanghai port informatization One point access to all stakeholders Over 20 banks and insurance companies are giving support to the platform service. Handled 190 million electronic data interchanges. E-payment of customs duties covers all 42 customs jurisdictions of China. In 2013, payment transactions topped 1.1 trillion RMB (about 211 billion USD). The proportion of customs e-payment is over 80%. Shanghai: An Emerging Global Business Center & Lead Cargo Hub in West coast of the Pacific Practices on Realizing Supply Chain Connectivity & E-Port: A Key Infrastructure on Realizing Supply Chain Connectivity & Experiences on Realizing Supply Chain Connectivity & Actions on Asia-Pacific Model E-PORT Network in Shanghai 7

9 4.1 Experiences on Realizing Supply Chain Connectivity & Promoting Trade Facilitation in Shanghai Shanghai s experiences Taking advantage of Shanghai E-port and with the goal of achieving supply chain connectivity and promoting trade facilitation 1 From the perspective of economic globalization, we shall look into the comparative advantage and labor distribution of Shanghai in global supply chain, so to determine current and future role of Shanghai in world economy, Asia Pacific economy and Chinese economy. Our goal is to have a toplevel design in a scientific way for Asia-Pacific area to achieve supply chain connectivity and trade facilitation promotion comprehensively. 8

10 Shanghai s experiences Shanghai s experiences 2 Within the framework of APEC and based in Shanghai, we shall take demands of port users and interests of consumers 3 Fully utilize modern ICT and provide third-party public infrastructure. On the basis of voluntariness and protecting as the precondition, provide operable solutions for commercial privacy, we shall promote paperless online data chokepoints in supply chain connectivity and trade facilitation sharing among all port stakeholders, so as to raise the promotion of Asia Pacific through participation of all port efficiency of APEC supply chain performance by 10%. stakeholders in the multi-lateral practice. 9

11 Shanghai s experiences Shanghai s experiences 4 Proceeding from complementary interests of all social members and tapping into the potential of cross-border public and private partnerships, we shall achieve single window system operated mainly by intergovernmental cooperation, as well as the one-stop coordination system participated by all 5 Proceeding from the integration of economic globalization and Asia Pacific economic integration, we shall achieve the online connectivity of Asia Pacific Economies through seamless online connectivity of E-Ports. stakeholders of ports, so as to achieve supply chain connectivity at a higher quality. 10

12 Shanghai: An Emerging Global Business Center & Lead Cargo Hub in West coast of the Pacific Practices on Realizing Supply Chain Connectivity & E-Port: A Key Infrastructure on Realizing Supply Chain Connectivity & Experiences on Realizing Supply Chain Connectivity & Actions on Asia-Pacific Model E-PORT Network in Shanghai 5.1 Actions on Asia Pacific Model E PORT Network in Shanghai In March this year, APEC 2014 First Senior Officials Meeting in Ningbo passed the APEC Promoting Supply Chain Connectivity through a Model E-Port Initiative. In May this year, Meeting of APEC Ministers Responsible for Trade in Qingdao passed the Initiative on Asia Pacific Model E-Port Network and China is willing to establish the network operational center in Shanghai E-Port. Relevant authorities of Shanghai Port attached great importance to the above-mentioned two initiatives and set up the Leading Group on Promoting the Construction of Asia Pacific Model E-Port Network for follow-ups. Shanghai Municipal Commission of Commerce will provide all-round service to the best of its ability for the construction of Asia-Pacific Model E-Port Network and its operational center. 11

13 Thank You! 12