Steps to bolster service trade

China will accelerate the development of trade in services as part of its efforts to expand high-level opening-up and foster new drivers for foreign trade growth, the State Council, the country's Cabinet, said on Monday.

In a move to bolster its service trade capabilities, China will take an array of steps to elevate the level of liberalization and facilitation in the sector, according to a State Council executive meeting chaired by Premier Li Qiang.

It was stressed at the meeting that China, by implementing a negative list for cross-border service trade and advancing pilot programs for boosting service industry openness, aims to facilitate the seamless cross-border flow of critical resources such as talent, capital, technology, and data.

In contrast to goods trade, service trade refers to the sale and delivery of intangible services such as transportation, tourism, telecommunications, warehousing, advertising, computing, and accounting.

In the first half of the year, China's trade in services maintained robust growth momentum, with the total volume of service imports and exports reaching about 3.6 trillion yuan ($504 billion), up 14 percent year-on-year, data from the Ministry of Commerce showed.

China will take steps to drive innovative development in key service sectors and promote the integration of service trade with traditional goods trade. Support will be provided to help businesses engaged in professional services, such as finance, consulting, design, and certification, expand their presence in the global market, according to the meeting.

To bolster China's position as a global investment destination, it was also decided at the meeting that the country will further expand foreign investment access in key sectors.

The latest policy directives, as outlined at the meeting, aim to comprehensively remove restrictions on foreign investment and market access in the manufacturing sector, while also accelerating the opening-up of service sectors, including telecommunications, education, and healthcare.

China also pledges to improve its policies to attract foreign capital in light of the evolving economic landscape. This includes promptly addressing the reasonable demands and concerns of foreign businesses, as well as implementing practical measures to further improve the overall business environment and strengthen services, the meeting said.

In the first seven months of this year, the establishment of foreign-funded enterprises in China saw a robust increase, with nearly 31,700 new entities being set up across the nation. This marks a year-on-year growth of over 11 percent, according to the ministry.