China and Chile have agreed to remove tariffs in October and to
advance their free trade agreement talks.
Under their cargo trade agreement, Chile has promised to remove
the tariff rates of 5,891 products imported from China as of
October 1.
In return, China will reduce the tariff rates of 2, 806 products
imported from Chile to zero this year and remove the tariffs of
another 1,947 products next year.
Most of the products are farm produce, petrochemical, electronic
and machinery products, said sources with China's Ministry of
Commerce.
In ten years, 97 percent of the cargo items involved in the
bilateral trade will be gradually exempt from import tariffs, said
the agreement.
Since China and Chile initiated free trade talks in December
2004, both sides have gone through five rounds of negotiation and
reached consensus on cargo trade.
Negotiations on service trade and investment will start next
month. Chile is the first Latin American country to sign free trade
agreements with China.
(Xinhua News Agency September 11, 2006)