China's Research On Tariff Reduction Policies For ASEAN Countries

In order to promote national economic development and enhance their international competitiveness,China and the ASEAN countries establish a China-ASEAN Free Trade Area(CAFTA).Through tax cuts,a wide range of economic cooperation,CAFTA establish a comprehensive economic cooperation framework for trade liberalization.China-ASEAN free trade area has been built since 2010,more than 90% of the products achieve zero tariff,but there are still some products maintained a higher tax rates,in the following tariff adjustment,on the one hand,we need continues to lower taxes in accordance with the requirements of the trade liberalization,and on the other hand,the products keeping high tariffs has been divided into highly sensitive products nowadays,so that they need corresponding tariff policy to protect,how to choose the reduction product under multiple requirements to get the optimal profit need specific reference standard.The paper systematically analysis the structure of mechanical and electronic products and the structure of trade machine point product tariff in the China-ASEAN free trade area,and found that the mechanical and electrical products trade occupies an important position in the import and export trade between China and ASEAN,while the ASEAN countries divide the highly sensitive products,they coincidentally focused on the mechanical and electrical products,and specific distribution section also has the similarity.Then in the following tariff adjustment,lower taxes will be the highlight of mechanical and electronic products.This article use the method of product space to calculate the data of electrical and mechanical trade between China and ASEAN countries,to build product space based on six tariff number,we screening the product in the key position of mechanical and electronic industry development,these products are competitive not only themselves,but also have potential to upgrade new products,accordingly,there are also existing product don't having promoting effect for industrial upgrading.Through sorting for the density of products,and compared with the conventional tariff,we result the product needed to be concerned in the next step of tariff reduction.Then the article analyzes the future development trend of CAFTA,only Singapore in the ten ASEAN countries carries on zero tariff for all the Chinese products,contrast the economy of ASEAN countries,Indonesia,Thailand,the Philippines,the level between Malaysia and China's is similar,while And Vietnam,Laos,Cambodia and Myanmar still in a relatively backward agricultural economy stage,so it will inevitably impact on tariff reduction trend of CAFTA.China should take construction experience in China-Singapore free trade area for reference,expand the influence of the ASEAN market development,actively participate in international cooperation to find new ways to open east-Asian markets.Finally,the paper put forward some suggestions on the tariff policy problems existing in the China-ASEAN free trade area: develop a more targeted tariffs.Cooperate with non-tariff policies at the same time to achieve the optimal effect.In recent years,with the rapid development of trade,China has already established an important role in global market.China has actively taken part in the development of regional economic integration.CAFTA has entered into a new stage of development,and it lays a solid foundation to update.When China establishes the free trade area with Japan,South Korea or other countries,we will take all the experience from CAFTA and NAFTA into consideration.Tariff reduction policy and the development will lead to a large trade creation effect and achieve the China's foreign trade and investment liberalization.