| University | Singapore University of Social Science (SUSS) |
| Subject | BUS371: Doing Business with China |
Question 1
Free trade zones (FTZs) are types of special economic zones (SEZs) where goods may be imported, handled, manufactured, and exported without direct intervention from customs. Each FTZ in China has an industrial and economic focus, with different incentives to fulfil its objectives. Incentives and regulations in FTZs align with the Chinese government’s ongoing policy priorities. Each zone has a distinct focus which allows them to offer distinct benefits to businesses when entering these zones.
(a) Distinguish the locations and industrial focuses of China’s 21 Free Trade Zones (FTZs) in chronological order from 2013 to 2020.
(b) Discuss any six (6) business benefits of operating in China’s FTZs
(c) Assume that you are working in a multinational corporation that is looking to enter China market through the Greater Bay Area (GBA), particularly in the sectors of finance, logistics, and technology. Examine and discuss the new investment opportunities brought by the Guangdong Free Trade Zone.
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Question 2
To promote the free mobility of people and goods, the governments of Guangdong Province, the HKSAR and the MCSAR have made institutional innovations related to customs administration. These changes have facilitated trade among the three regions, and the Guangdong FTZ has become a pioneer experimental zone for promoting innovation in customs administration.
On 14 August 2018, the government of the Guangdong Province issued the Implementation Opinions on Expanding the Institutional Innovations in the China (Guangdong) Pilot Free Trade Zone (Yue Fu Ban [2018] No. 34, the “Implementation Opinions”). And on 23 November 2018, the State Council issued the “Notice” on measures to support more reform and innovation in the pilot free trade zone (Guo Fa [2018] No. 38, the “Notice”).
The “Implementation Opinions” and the “Notice” introduced a series of reform measures for streamlining customs clearance and inspections and present new opportunities for businesses.
Analyse the key measures in the “Implementation Opinions” and “Notice”.
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