ASEAN – China Free Trade Area (ACFTA)

The ASEAN – China Free Trade Area (ACFTA) eliminates tariffs for 94.6% of exports to China that originate from Singapore, safeguards market access and ensures a more predictable operating environment for service suppliers. It expands market access and improves foreign equity threshold in six of China’s services sectors. The agreement also provides investors and investments with protection by establishing a more transparent, facilitative and secure environment for investors.

Trade in Goods Trade in Services August 2009 Investment September 2016 Upgraded Protocol September 2019 Rules of Origin provisions of the ACFTA Upgrade Protocol

Key benefits

Back-to-back shipment of goods within member countries

ACFTA-originating goods that are brought into Singapore from ASEAN countries or China and re-exported within these countries, without any processing in Singapore, can enjoy tariff concessions. Originating products passing through Parties can also retain their originating status.

Third-party invoicing of goods

Customs authorities in the importing country may accept a Certificate of Origin when the sales invoice is issued from a different country or company exporting the originating goods in various sectors, provided that the goods meet the necessary requirements. This invoice can come from countries that are not Parties to this Agreement.

Regional Cumulation

Originating raw materials sourced from other ASEAN Member States and China can be considered when assessing the origin criteria of final products manufactured in Singapore. This makes it easier for Singapore exporters’ products to meet the criteria for preferential treatment.

Enhanced Product Specific Rules of Origin (PSRs)

The PSRs are more liberal, flexible and business-friendly, and allow businesses to qualify for the benefits under the ACFTA more easily.

Expanded Economic Cooperation and Technical Cooperation provisions

Expanded Economic Cooperation and Technical Cooperation provisions relating to information sharing and capacity building allow Singapore’s Micro, Small and Medium Enterprises (MSMEs) to enhance their capabilities.

Eligibility

Use the Tariff Finder to see if your product is eligible to enjoy this FTA's tariff concessions.

Alternatively, you can explore the following steps to check your eligibility.

Your product’s preferential rate Your product’s rule of origin

Rules of origin are a set of criteria which determine a product's originating status in each respective FTA. It is put in place to ensure that only goods originating from the FTA partner countries will benefit from tariff concessions.

Is your product obtained/produced entirely within Singapore? Your product is considered wholly obtained in Singapore (Article 3 of Annex 1)
Is your product Produced Exclusively from originating materials? Originating Good applies (Article 2 of Annex 1)
Does your product fall under the list of Product Specific Rules? Your product may be considered as originating from ASEAN-China region
40% of its contents must originate from the ASEAN-China region
OR
Non-originating materials used must have undergone a Change in Tariff Classification (CTC) at the 4-digit level of the HS code for goods classified in Chapters 25, 26, 28, 29, 31, 39, 42-49, 57-59, 61, 62, 64, 66-71, 73-83, 86, 88, 91-97*

*For Headings 29.01, 29.02, 31.05, 39.01, 39.02, 39.03, 39.07, and 39.08, the applied criterion is RVC40%, unless otherwise mutually agreed by the Parties.
Is your product obtained/produced entirely within Singapore?
Your product is considered wholly obtained in Singapore (Article 3 of Annex 1)
Is your product Produced Exclusively from originating materials?
Originating Good applies (Article 2 of Annex 1)
Does your product fall under the list of Product Specific Rules?
Your product may be considered as originating from ASEAN-China region
40% of its contents must originate from the ASEAN-China region
OR
Non-originating materials used must have undergone a Change in Tariff Classification (CTC) at the 4-digit level of the HS code for goods classified in Chapters 25, 26, 28, 29, 31, 39, 42-49, 57-59, 61, 62, 64, 66-71, 73-83, 86, 88, 91-97*

*For Headings 29.01, 29.02, 31.05, 39.01, 39.02, 39.03, 39.07, and 39.08, the applied criterion is RVC40%, unless otherwise mutually agreed by the Parties.

Apply

Singapore Customs is the authorised body in Singapore for FTA Preferential Certificate of Origin (PCO) application.

  1. Register your factory with Singapore Customs using the Manufacturer’s Application Form
  2. Submit the Manufacturing Cost Statement
  3. Apply for a Preferential Certificate of Origin (PCO)

The process from registration to receiving the PCO typically takes less than one month.