Ideas About Hong Kong Limited

The mainland and Hong Kong limited agreed to further liberalise the mainland market for Hong Kong companies under the third phase of the Mainland and Hong Kong Closer Economic Partnership Arrangement (CEPA III). Along with other products of Hong Kong origin, the mainland agreed to give all products of Hong Kong limited company origin, including clothing items, tariff-free treatment starting from 1 January 2006.

Previously according to the stipulated procedures, products which have no existing CEPA rules of origin, will enjoy tariff-free treatment upon applications by local manufacturers and upon the CEPA rule of origins being agreed and met. But non-Hong Kong limited company made clothing products will remain subject to tariff rates of 10-25% when entering the mainland. The promulgated rules of origin for clothing items to benefit from CEPA’s tariff preference are basically similar to the existing rules governing Hong Kong limted exports of these products. Generally speaking, the principal manufacturing process of cut-and-sewn garment is sewing of parts into garments.

Hong Kong limited company and Hong Kong services if linking and/or stitching is/are required, such process/processes must also be done in Hong Kong. For piece-knitted garment, if it is manufactured from yarn, the principal process is knitting of yarn into knit-to-shape panel. If the piece-knitted garment is manufactured from knit-to-shape-panels, the principal process is linking of knit-to-shape panels into garment. If stitching is required, it must also be done in Hong Kong limited.