x Businesses or people working in the field of international trade need to learn deeply about trade agreement to take advantage of the agreements effectively?
X You need to know about the role and relevant content in Trade Agreement?
X wonder what kind of Trade Agreement Agreement and how many agreements in Vietnam are available?
Proship.vn we will approve this article to answer the question of what is Trade Agreement? What is the basic content of Trade Agreement? Trade Agreement plays an important role?
Trade Agreement: Concept and types of commercial agreements
Want to understand what Trade Agreement is and the trade agreements trade agreement, update the following knowledge:
The concept of trade agreement
Trade Agreement is a trade agreement. This trade agreement is a diplomatic document signed by two or more countries on conditions for commercial activities.
Types of commercial agreements
There are the following types of trade agreement trade agreements:
- Multilateral Trade Agreement:
As a agreement signed by many countries in the fields of commercial activities that members are obliged to be implemented.
- Bilateral Trade Agreement:
As a trade agreement between the two countries, which shows the conditions for conducting commercial activities.
- Multi -border trade agreement:
As a trade agreement signed by many countries in the fields of commercial activities, in which members are entitled to choose a number of areas to commit, no need to be obliged to implement the contents of the Agreement.
Basic content and role of Trade Agreement Trade Agreements
What is the basic content and role of the Trade Agreement Agreements? That is:
Content of Trade Agreement Trade Agreement
A trade agreement consists of two basic contents that Proship notes include:
The first content of Trade Agreement:
Legal basis for two or more parties participating in the Trade Agreement Agreement.
The second content of Trade Agreement:
Specific commitment between the parties in Trade Agreement includes:
- Legal basis for resolving disputes between the parties (if any);
- Acknowledging and giving each other incentives in commercial economic relations such as reducing, eliminating tariffs, eliminating non -tariff barriers, opening markets of goods and services;
- Principles of regulating commercial economic relations (often applying WTO principles);
- Supervision agencies implement the Agreement;
- The effective time of the Agreement.
The role of the Trade Agreement Agreement
The role of trade agreement must be mentioned as:
- Create legal corridors in bilateral or multilateral trade relations;
- Reducing or eliminating tariffs if eligible, reducing trade barriers to imported goods;
- Bring benefits for consumers from a variety of items, goods, quality improved goods, more preferential costs;
- Protect competitive benefits in other countries, helping your products have a more competitive advantage than products from other countries;
- Reducing commercial costs;
- Strengthen the rule of law in the country or partnerships, policy cooperation among countries.
What is free trade agreement? What is the characteristic of FTA?
What is Trade Agreement has been answered. So, what is free trade agreement and what are the outstanding features? Proship has recorded the following information:
What is free trade agreement?
Free Trade Agreement stands for FTA, is a free trade agreement. This is an agreement between two or more countries to reduce or eliminate trade barriers such as tariffs, limit import and export and non -tariff regulations to promote trade and investment among participating countries.
Feature of Free Trade Agreement
A free trade agreement (FTA) often has the following outstanding features:
- Reducing or eliminating tariffs and quotas between member states: One of the important goals of FTA is to eliminate trade barriers such as tariffs and quotas between participating countries;
- Allows members to take advantage of their own strengths to promote specialization and economic development;
- Strengthen cooperation among member countries, promote close economic relations;
- Always focus on balancing benefits between participants, avoiding inequality;
- Requires detailed regulations to ensure an effective operation of FTA, such as: tariff procedures to be implemented, taxes are reduced or deleted, how to protect intellectual property rights, etc.;
- Open up new economic development opportunities for member countries, enhance international competitiveness.
Statistics of FTAs that Vietnam has participated
Vietnam is one of the countries actively integrating international economic integration ... And here are the most prominent FTAs that Proship has recorded from many reliable sources:
Multilateral fta
Comprehensive and Progressive Agreement for Trans -Pacific Partnership (CPTPP):
- Signed in 2018, effective since 2019.
- Members: 11 countries, including Japan, Canada, Australia, Mexico, Malaysia, ...
- Content: Cut 95% of tariffs between members and improve labor and environment standards.
Regional comprehensive economic partnership (RCEP):
- Signed in 2020, effective from 2022.
- Members: 15 countries including ASEAN, China, Japan, Korea, Australia, New Zealand.
- Content: Create the largest commercial block in the world, accounting for 30% of global GDP.
Vietnam Free Trade Agreement - European Union (EVFTA):
- Signed in 2019, effective from 2020.
- Content: Eliminate tariffs for 99% of tax lines within 7-10 years.
Bilateral FTA
Vietnam - Korea Free Trade Agreement (VKFTA):
- Signed in 2015, effective since 2016.
- Content: Expanding export of agricultural products such as shrimp, tropical fruits, and wooden furniture to Korea.
Vietnam - Japan Free Trade Agreement (Vjepa):
- Signed in 2008, officially effective since 2009.
- Content: Reduce tariffs, promote export of agricultural products, textiles and fishery products of Vietnam to Japan.
Vietnam Free Trade Agreement - Chile:
- Signed in 2011, effective since 2014.
- Content: Eliminating import tax for 83% of tax lines in 10 years.
FTAs in ASEAN region
ASEAN Free Trade Area Agreement (AFTA):
- Effective since 1993;
- Content: Eliminate import tax among ASEAN member countries.
FTA between ASEAN and major partners:
- ASEAN - China (ACFTA);
- ASEAN - Japan (AJCEP);
- ASEAN - Korea (AKFTA);
- ASEAN - Australia - New Zealand (Aanzfta);
- ASEAN - India (AIFTA).
What is T and important content, Trade Agreement Trade Agreements, ... have been updated by us in the most short and complete way above. And if you are interested in safe multimodal transport services at Proship Logistics, contact 0909 344 247 for support to provide the best price service.
