Published by SCCOM

Time:2024.6.28  

With the approval of The People’s Government of Sichuan Province, Opinions on the Implementation of Promoting Steady Scale, Structural Optimization and High-Quality of Foreign Trade (Opinions) was officially formulated and issued. To facilitate policy understanding, the document is analyzed as fallow.

1：Basis and Necessity of Formulation

Since the 18th National Congress of Communist Party of China, the General Secretary, Xi Jinping has issued six important instructions on Sichuan's opening-up. During his inspection in Sichuan last July, he emphasized the need to build a strategic highland for opening-up to the west and a new base for participating in international competition, providing guidance and direction for Sichuan to achieve a higher opening-up. The report of the 20th National Congress of Communist Party of China stated:“Upgrade trade in goods, innovate mechanisms for trade in services, develop digital trade and accelerate the building of a strong trading nation. The 2nd and 5th plenary sessions of the 12th Provincial Party Committee have made decisions and arrangements for building a strong trading province.

To accelerate the construction of a strong trading province, it is necessary to formulate a dedicated implementation plan to further clarify objectives, pathways and tasks, mobilizing efforts across the province. 

2：General Requirement

The Opinions focus on the general requirement of building a strategic highland for opening up to the west and a new base for participating in international competition and set clear objectives. By 2027, Sichuan trade scale will reach a new level that total import and export of good will hit 1.2 trillion with its national ranking remaining stable; total service import and export will exceed 170 billion, maintaining the first in central and western China.

3：Major Tasks

The Opinions put forward 18 specific measures across five key areas.

I. Strengthening Foreign Trade Support

Focusing on industries and market entities, the opinions put forward two major tasks that to boost the outward orientation of six pillar industries and cultivating and expanding the foreign trade entity base.

II. Optimizing Foreign Trade Structure

Addressing structural issues in the Sichuan foreign trade, the Opinions put forward four major tasks: 

1. Continuously expanding import scale

2. Accelerating trade in services

3. Optimizing regional layout

4. Encouraging outward investment

III. Cultivating New Drivers of Foreign Trade

Focusing on new growth areas in foreign trade, the Opinions put forward five major tasks.

1. Actively expanding trade in intermediate goods

2. Accelerating new business models

3. Vigorously developing digital trade

4. Steadily advancing green trade

5. Accelerating the integration of domestic and foreign trade

IV. Expanding Space for Foreign Trade

Focusing on expanding international market, the Opinions put forward three major tasks:

1. Deepening trade cooperation with key regions

2. Improving international trade corridors

3. Strengthening the international market network

V. Optimizing the Foreign Trade Environment

Focusing on improving the business environment and the foreign trade ecosystem, the Opinions put forward four major tasks:

1. Enhancing the trade facilitation

2. Improving the foreign trade financing and settlement system

3. Elevating and capacity of open platforms

4. Strengthening the capability to prevent and resolve risks

4：Highlight

The Opinions focus on addressing weaknesses and enhancing strengths, highlighting four key characteristics.

I. Highlighting the integration with the overall national strategy and the overarching development of the province. 

To support the building a strategic highland for opening up to the west and a new base for participating in international competition, and prioritize tasks such as promoting high-level coordinated openness, expanding economic and trade cooperation with westward-oriented countries, and connecting to the western and southern Belt and Road markets.

II. Highlighting Made in Sichuan, Used Globally and Promoting Integration of Pillar Industries and Trade. 

Focusing on the pillar industries identified by the 3rd Plenary Session of the 12th CPC Sichuan Provincial Committee, such as electronic information and equipment manufacturing. The Opinions emphasis is placed on the organic integration of goods trade, services trade and digital trade, with the aim of enhancing the open development of pillar industries.

III. Highlighting Used in Sichuan, Imported by Sichuan and fully mobilizing market entities in Sichuan to expand direct imports. 

Launching special actions to increase imports, establishing single-category import distribution centers and supporting enterprises in carrying out direct imports of consumer goods, as well as bulk products such as ores and agricultural products.

IV. Highlighting both the current goals of stabilizing growth and the overall market, as well as the long-term objectives of tapping potential and promoting transformation. 

On one hand, the Opinions support will be given to leading enterprises, chain-owner enterprises and platform enterprises to establish themselves in Sichuan, integrating policies in finance, taxation, insurance and foreign exchange to cultivate foreign trade entities, while conducting targeted Sichuan Goes Global market expansion activities to stabilize and expand the scale of goods trade. On the other hand, efforts will be made to actively develop service trade, digital trade and green trade, creating new competitive advantages in foreign trade.