(Yicai Global) Oct. 10 -- The pilot free trade zone in Shanghai has issued China’s first-ever negative list for cross-border services trade in a move that will ease restrictions for foreign firms.
The new list, effective Nov. 1, defines cross-border service trade as “commercial activities delivered by overseas service providers to consumers in the Shanghai FTZ,” Wu Qing, vice-mayor of Shanghai, said at a municipal government press conference. Amendments will be made to the list in the future.
This list, released in the form of a table, will bring in 159 new regulations, covering 13 categories and 31 industries. Taking the financial sector as an example, there are 31 regulations divided into four sub-categories: monetary and financial services, capital market services, insurance, and other financial sectors.
Wu added that the Shanghai municipal government “will look to further open-up tourism, education, telecommunications, professional services and qualifications for professional technicians in certain areas.”
The list covers three major business models, Shen Weihua, deputy director of Shanghai Municipal Commission of Commerce, said. These include cross-border services directly delivered to the FTZ, as well as overseas services provided to consumers and overseas service delivered via native persons in the zone.
According to the related regulations, cross-border service trade covered by the list will be managed by government departments in accordance with corresponding laws and regulations.
“For the next step, we will seek support from national financial management departments and promote financial opening-up projects in the list to be tested in Shanghai first,” Li Jun, deputy director of deputy director of Shanghai Financial Service Office, said.
Editors: William Clegg