On December 31, 2024, the Further Upgrade Protocol of the China-Singapore Free Trade Agreement (CSFTA) officially came into effect, marking a significant milestone in the economic collaboration between the two nations.
China's Ministry of Commerce highlighted that this protocol aligns with high-standard international economic and trade rules, aiming to further open up services trade and investment markets between the Chinese mainland and Singapore. This move signifies a deeper integration and commitment to fostering a robust trade environment.
One of the standout features of this upgrade is the adoption of a negative list model for market access. Both parties have agreed to open their services and investment markets with only specific sectors excluded, making this the first time China has completed free trade agreement upgrade negotiations using this model. This approach not only simplifies the process but also provides greater predictability for businesses and investors on both sides.
In addition to market access, the protocol establishes high-standard institutional arrangements across various sectors, including services trade, investment, and telecommunications. It also expands cooperation into emerging fields such as the digital economy, ensuring that both China and Singapore remain at the forefront of global innovation.
The implementation of this protocol is expected to unleash further cooperation potential in services trade and investment areas, continuously enriching the development of a comprehensive, high-quality, and future-oriented partnership between the Chinese mainland and Singapore. This partnership underscores the commitment of both nations to sustainable and inclusive economic growth.
Negotiations for the CSFTA Further Upgrade Protocol began in 2020, culminating in the signing of the protocol in December 2023. The enhanced agreement takes the bilateral relationship to new heights, promising a dynamic and prosperous future for both regions.
Reference(s):
cgtn.com
