CEPA supplement 6 to take effect

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The Supplement Six of the Mainland and Hong Kong Closer Economic Partnership Arrangement will take effect in October 1st, three months earlier than usual. This is aimed to allow the two-way trade to enjoy benefits earlier. The CEPA Supplement 6 was signed in early May between the Chinese mainland and Hong Kong.

The agreement will give Hong Kong firms greater and easier access to the mainland market for tourism, banking services and securities. Under the accord, mainland tourist groups to Taiwan will be able to enter Hong Kong in transit. The agreement also loosens restrictions across 20 industries. It will allow Hong Kong banks to open branches in neighboring Guangdong Province more easily. And qualified securities firms in Hong Kong and the mainland will be allowed to establish joint businesses in Guangdong.

The total number of services sectors covered by the CEPA and its supplements will thereby be expanded from 40 to 42, Jiang said. Under the agreements, the mainland has agreed to exempt tariffs for all products of Hong Kong origin and allow preferential treatment to Hong Kong service suppliers in the service sectors.