Promoting cross-border service trade for prosperity

The policy document released by the State Council, China's Cabinet, on the cross-border service trade on Monday has touched on all key points in the sector, thus addressing the major concerns of all.

The service sector plays a major role in modern economies, and the importance of cross-border service trade should not be underestimated. In 2023, the domestic service sector accounted for 54.6 percent of the country's GDP, exceeding 50 percent for nine successive years, while the cross-border service trade volume reached 3.6 trillion yuan ($505.5 billion) in the first half of 2024, registering a 14 percent growth compared with last year.

Proper policy encouragement and guidance are needed to further boost the flourishing cross-border service trade and that's what the newly released policy document seeks to do. Among the new moves is establishing and improving a negative list management system, which will, doubtlessly, further strengthen the rule of law in the sector.

Also, research will be undertaken for constructing a national cross-border trade service information platform, thus strengthening information-sharing among different departments.

According to the policy document, the role of the platforms for opening-up, such as pilot free trade zones and free trade ports, will be strengthened, too, so as to test the pressure and gradually open up the nationwide cross-border service trade.

Other new measures include strengthening the docking of domestic rules with international rules, making the cross-border talent flow more convenient, optimizing the management of the cross-border flow of funds, encouraging innovation in key sectors etc. Covering different aspects of the cross-border service trade, these moves will provide a solid regulative framework for it, thus supporting its long-term prosperity.