Multinational car firms scramble FTA bonus SAIC, Porsche first settled
September 29, at the Shanghai Free Trade Area officially inaugurated the test, the Shanghai Automotive International Trade Co., Ltd. (hereinafter referred to as "SAIC Business") and Shanghai Pudong Porsche Automobile Sales and Service Company (hereinafter referred to as "Porsche") became the first to obtain a business license business, become the domestic first batch of "eat crab" car prices.
Analysis pointed out that in a free trade zone under the existing policy, the domestic automobile enterprises to enter the overseas strategy will help to promote and accelerate car prices go. Similarly, the multinational brands to enter it will help to further reduce the trade, transportation and warehousing costs, and contribute to the development of vehicle finance leasing business. It is said that in addition to outside SAIC and Porsche, Jaguar Land Rover, Rolls Royce, BMW and other multinational car firms were deliberately settled FTA.
Promote the Chinese automobile enterprises "going out"
According to "China (Shanghai) free trade test area overall program," the FTA will facilitate enterprises to create more flexible regulatory and service environment, improve operational efficiency, reduce operating costs, and international investment and financing for enterprises to provide more a good platform. On this basis, the park will form a highly efficient logistics industry, sea and air transport will accelerate the flow of goods, facilitating re-exports and shipping services.
Under the existing policy projections SAIC, SAIC SAIC commerce for international trade business more than 20% reduction in capital, trade, transportation and warehousing costs. In the process of implementing its overseas strategy, SAIC offshore finance, international trade, increasing the demand for cross-border investment. Since the establishment of free trade zone for SAIC to build and create a strong international business capabilities to provide opportunities and conditions.
According to the plan, SAIC-commerce will be the first free trade zone in the construction of 10 million square meters of automotive parts operations center, the formation of 500,000 sets / year operational capacity. The future, the company will further develop as SAIC's "international business platform" and "non-manufacturing class regional marketing overseas investment platform" for the UK SAIC, SAIC Thailand and other parts overseas regional markets and export business, international financing , settlement, investment and other aspects of the value-added services. According to the Group's overseas market development plan, combined with the traditional components of the natural growth of import and export business, not from the Free Trade Area of business scale will rapidly climb. Expected within five years is expected to more than 20 billion by 2030 is expected to reach 100 billion or more.
Statistics show that, after the first two years of rapid growth of the domestic automobile exports, this year's auto exports face greater adjustments. From the customs data, from June to August this year, there was a substantial decline, down 43% year on year Oceania, Africa fell 41 percent year on year decline of the Asian market is down 25%.
This also means that, in the fierce market competition, the domestic automobile exports is still unstable, which need policy support to promote stable and healthy development of automobile exports. And, as China's automobile industry has grown, some joint venture enterprises has become a global production base, the establishment of the FTA will also promote the development of export-related.
SAIC side said, advancing overseas strategy in the implementation process, SAIC offshore finance, international trade, increasing the demand for cross-border investment. Since the establishment of free trade zone for SAIC to build and create a strong international business capabilities to provide opportunities and conditions.
Or significantly reduces the cost of imported cars
Shanghai Free Trade Area of the establishment, on the one hand car prices in favor of "going out", on the other hand also helps enterprises reduce some of the costs of imported cars. In the first settled in the list of enterprises, in addition to SAIC, Porsche also chosen.
According to Shanghai FTA current positioning, belonging to narrowly defined trade area, which is in the free trade zone of any goods brought into, import duties and other taxes are considered outside the customs territory and from the implementation of customs control regime. This means that, according to international practice, the Shanghai and national trade area as openings outside the region can be exempted from customs supervision of goods free access to the FTA.
Analysis pointed out that from the car import business point of view, once stationed in the FTA and regional settings warehousing, can further reduce its cost. Car prices according to their changing market conditions, timely distribution of the vehicle or parts off.
"In a way, as long as the goods do not leave free trade zone, also do not pay taxes, which gives the car prices much freedom." Insiders pointed out that the car import enterprises will have more space scheduling, will greatly reduce costs.
Sources pointed out that, in addition to SAIC stationed outside with Porsche, Volkswagen, Audi, BMW, Rolls-Royce and Jaguar Land Rover and other multinational car firms have expressed interest in free trade zone stationed in Shanghai, set up sales shop in the park and exhibition area.
"50% of the proportion of the" red line is still hanging
However, imported cars in the FTA tariff-free privileges, whether the future will impact on the domestic joint venture enterprises do? Analysts pointed out that the development of free trade zone zero tariff on imported cars is only a very small range of activities within the park, the most effective impact on the overall automotive industry. Volvo Global senior vice president and chairman of China Shen Hui also believes that the FTA does not open domestic automobile caused "big negative impact."
And, according to the Shanghai Municipal Government announced the "China (Shanghai) test area of free trade access to special measures to control foreign investment (2013)," automobile manufacturing industry is one of them, made it clear that China's automobile production enterprises the proportion of shares joint not less than 50%; stock-listed foreign sales corporation shares automobile is one of the method must be relative to foreign legal person controlling and greater than the sum; with a foreign company can establish the following two (including two) production a joint venture vehicle of similar products.
In addition, car prices, it settled in favor of free trade area in addition to lowering the cost of imports and exports, but also can greatly contribute to the development of car leasing companies.
According to the State Council issued the "China (Shanghai) overall program test area of free trade" requirement, the region registered trade finance leasing companies and financial leasing companies in the region, the project established a subsidiary included in finance lease export tax rebate pilot.
Side said SAIC, SAIC-commerce stationed after the FTA is being planned SAIC Middle East, South America, sales and service companies will also pass the FTA platform for a more convenient international investment and financing channels.
