November 20, 2008
China Opens New Free-Trade Harbor Area to Boost ASEAN Trade
On November 20, 2008, China opened a fourth bonded harbor located in the Yangpu Economic Development Zone ("YEDZ"), Hainan Province, in a major step toward creating a free trade zone operation with the Association of Southeast Asian Nations ("ASEAN"). The bonded harbor zone will focus on transfer, storage, logistics, processing and trade in energy and raw materials, and will eventually become an ASEAN-oriented business center. The YEDZ will offer tax breaks on imports and rebates on domestic commodities, and exemption for value-added and consumption taxes for inter-company transactions, in addition to preferential policies, which qualified companies such as those registered within the YEDZ or conducting business within the bonded areas may enjoy. This new bonded harbor zone joins the three existing bonded harbor areas in Yangshan of Shanghai, Dongjiang of Tianjin and Dayaowan of Dalian, Liaoning Province. The new free-trade zone will attract more foreign investors, particularly companies involved in trading, shipping and logistics in Southeast Asia.
Copyright ©2009 by Kaye Scholer LLP. All Rights Reserved. This publication is intended as a general guide only. It does not contain a general legal analysis or constitute an opinion of Kaye Scholer LLP or any member of the firm on the legal issues described. It is recommended that readers not rely on this general guide but that professional advice be sought in connection with individual matters. References herein to "Kaye Scholer LLP & Affiliates," "Kaye Scholer," "Kaye Scholer LLP," "the firm" and terms of similar import refer to Kaye Scholer LLP and its affiliates operating in various jurisdictions.
Copyright ©2009 by Kaye Scholer LLP. All Rights Reserved. This publication is intended as a general guide only. It does not contain a general legal analysis or constitute an opinion of Kaye Scholer LLP or any member of the firm on the legal issues described. It is recommended that readers not rely on this general guide but that professional advice be sought in connection with individual matters. References herein to "Kaye Scholer LLP & Affiliates," "Kaye Scholer," "Kaye Scholer LLP," "the firm" and terms of similar import refer to Kaye Scholer LLP and its affiliates operating in various jurisdictions.
