The CEPA supplemental agreement (CEPA II) signed by Central Government and Hong Kong, Macao at the end of October will begin to take effect on Jan 1st, 2005. Under CEPA II, almost all made-in-HK/Macao products will enjoy zero-tariff entering mainland market.

CEPA II will raise the number of Hong Kong products under Chinese mainland tariff codes from 374 to 1087, and Macao, 311 to 501. Eight more service sectors, including airport management, information technology and cultural and entertainment services, will be open for HK and Macao firms.

The CEPA II is expected to further enhance the trade and business between mainland and Hong Kong, Macao.

Editor: Wing