The "tax reduction plan" initiated three months ago has signified that China and ten ASEAN (Association of Southeast Asian Nations) countries have started to remove trade barriers.

Three months later, several thousands of non-tariff or tax-reduced products are exhibited at the on-going second China-ASEAN expo, and they have attracted more than 20,000 buyers from the world.

China-ASEAN expo has become an occasion to testify the tax-reduction plan, said Prof. Li Xinguang with China International Economy and Cooperation Institute, adding that quality traditional agricultural produce, energy and electricity products from ASEAN are sure to find a vast market in China, while China's Yangtze River Delta and Pearl River Delta area are also easy to find cooperative ASEAN partners.

With China-ASEAN "Agreement on Goods Trade" implemented in July this year, about 7,000 categories of products from both sides have been included in the tax reduction list, and all the above products will enjoy zero-tariff by 2010.

Experts hold that mechanics equipment, electric products, building materials and light industry products are in fields of cooperation with great potential for both China and ASEAN.

Li Tongyi, chief executive officer with ASEAN-China business group, said: "ASEAN countries are expected to get more profits from the Chinese market, with the already-attained trade surplus as a strong proof. He also suggested ASEAN enterprises make full preparations for the newly launched tax-reduction plan.

China-ASEAN bilateral trade volume will hit 20 billion US dollars in 2010, said ASEAN secretary general ang Keng Wong, who is voiced his confidence in new, higher level of bilateral trade between China and ASEAN.

Source: Xinhua