SHANGHAI–(BUSINESS WIRE)–When compared to other transnational free trade agreements, the Regional Comprehensive Economic Partnership Agreement (RCEP), which was signed by mainland China and 14 other economies in November of 2020 and is expected to be implemented sometime in 2021, is unrivalled in its complexity and remarkably lays the framework for a pan-Asian basic standard for trade that surpasses the terms provided by the World Trade Organization (WTO), according to Tricor Group‘s 2021 Asia Pacific Trade Report.
The report, released today to media outlets and prominent business leaders, applies industry data from a multitude of research and media sources to offer perspectives, insights, observations and projections compiled by senior Tricor executives on how global trade trends will impact APAC trade and investment activity in the year ahead.
In particular, Tricor Group’s 2021 Asia Pacific Trade Report focuses on how the landmark implementation of the RCEP in 2021 is likely to enhance market openness and create new opportunities for global enterprises in mainland China and APAC against the challenging backdrop of COVID-19 pandemic recovery. Within the report, Tricor details the provisions of the RCEP and offers a summary of steps companies can take to prepare themselves to capitalize on the agreement and the business growth potential it offers. The report also contains a detailed guide to doing business in mainland China as well as other key RCEP markets where Tricor maintains influential market presence, including Australia, Japan, Malaysia, Singapore, South Korea, Thailand and Vietnam.
Apart from reflecting positively on mainland China’s goal of cooperative economic development between countries, mainland China will likely reap numerous economic benefits from RCEP participation, according to Tricor’s report. In particular, regional supply chains, which are expected to be boosted by the RCEP, may augment China’s strength in manufacturing, especially as its domestic economy moves up the global value chain. And, as purchasing power in Asia grows, RCEP is likely to encourage “Asian trade for Asia”, according to Tricor’s report.
Hailiang Zhang, CEO, Tricor Mainland China, said: “In the past two decades, China has ascended the ranks to become the most significant trading partner for most economies of the APAC region. Its central role in the RCEP will only serve to bolster this status. Notably, RCEP will enable the enhanced connectivity China needs with neighboring APAC economies to achieve large-scale regional economic plans, namely the Belt and Road Initiative (BRI) and the Greater Bay Area (GBA). Tricor China looks forward to supporting enterprises as they review business growth strategies, aligning them with new cross-border opportunities emerging thanks to the implementation of the RCEP.”
Lennard Yong, Tricor Group CEO, said: “The establishment of the RCEP trade bloc is indisputably a defining moment for global trade – a pivotal development that could redirect foreign direct investment (FDI) flows in the months and years ahead. At Tricor, we are highly cognizant of gauging how this trade deal will potentially disrupt FDI and trigger new trends in international business. Tricor Group’s 2021 Asia Pacific Trade Report provides a blueprint for global and local enterprises looking to leverage and capitalize on the new opportunities expected to be created by the RCEP. This expertise reinforces our leadership in the region as the ‘go-to’ partner for enterprises seeking to expand throughout Asia Pacific and beyond.”
Wendy Wang, Tricor Group CFO & COO, said: “Despite the unprecedented economic slowdown amid the COVID-19 pandemic and a growing trend toward protectionism around the globe, the RCEP serves as a symbol for a pan-Asian trade network and embraces the belief that enhanced market openness will lead to greater economic prosperity. Not only are the developed, powerhouse economies of China and Japan brought together by one trade agreement for the first time ever, they’re also joined by key emerging economies in ASEAN, such as Malaysia, Singapore, Thailand and Vietnam. The RCEP nearly guarantees that intra-Asian trade, which is already cumulatively larger than Asia’s trade with North America and Europe combined, will continue to be the growth engine for the global economy – pulling even greater economic gravity east toward APAC.”
Michael Gong, CEO of Richful Deyong, a Tricor Company, said: “Inbound foreign direct investment (FDI) has long played a critical role in advancing China’s economy and, since the mid-2000s, China has also been a top player in supporting the global economy through significant outbound FDI activity. The activation of the RCEP comes at a particularly favorable time, sparking the regional synergy and interconnectivity needed to advance China’s significant economic development projects that will require cross-border investment and expansion, such as the Belt and Road and Greater Bay Area initiatives. At Richful Deyong, a Tricor Company, we look forward to working with Chinese firms to help them seize emerging opportunities and empower their outbound investment endeavors.”
About Tricor Mainland China
Tricor China specializes in guiding investors to navigate the vast Mainland China market, where business conditions and industry specific requirements may vary from province to province. Our expert teams across our 5 offices in Mainland China offers a comprehensive range of advisory services with a focus on business services (accounting & financial reporting, treasury & payment administration, tax compliance & advisory, payroll outsourcing, employment & dependent visa application) and corporate services (entity formation & business establishment, bank account opening, corporate governance, compliance & secretarial services, process agent, due diligence & corporate health check, liquidation, dissolution & cessation of business).
Tricor Group (Tricor) is the leading business expansion specialist in Asia, with global knowledge and local expertise in business, corporate, investor, human resources & payroll, corporate trust & debt services, and strategic business advisory. Strategically headquartered in Hong Kong, we operate out of 21 countries/territories and across a network of 47 offices. Tricor serves 50,000 clients, including over 1,500 companies listed in Hong Kong and Mainland China, ~500 companies publicly listed in Singapore and Malaysia, and over 40% of the Fortune Global 500 companies. With 2,700 employees, of which 630 are certified professionals, we deliver critical functions to help ambitious companies accelerate their growth in Asia and beyond.
Tricor’s advantage comes from deep industry experience, committed staff, technology-driven processes, standardized methodologies, constant attention to changes in laws and regulations and wide industry contacts. Tricor is uniquely positioned to unlock the potential of your business, and help you stay one step ahead of today’s diverse and fast evolving regulatory environment.
To learn more, please visit: www.tricorglobal.com/locations/mainland-china
About Richful Deyong (RFDY), a Tricor Company
Richful Deyong (RFDY), A Tricor Company, is a Hong Kong-based provider of integrated corporate and business services founded in 2008, acquired by Tricor Group in May 2019. It focuses on supporting Mainland Chinese companies in their international corporate activities, and has supported the internationalization of over 30,000 Chinese corporations.
RFDY provides corporate and business services to Mainland Chinese corporates to support their outbound investment activities, including cross-border M&A transactions, overseas capital market transactions and other direct outbound investments, as well as entity incorporation and renewal, and accounting and company secretarial services. It also provides corporate and business services to Chinese entrepreneurs seeking administrative support for their family offices.
RFDY’s current network of 140 relationship greatly enhances Tricor’s presence on the mainland across 13 major Chinese cities following the acquisition. The combined Tricor and RFDY platform meets the growing needs of Chinese enterprises going abroad, with the most comprehensive suite of services available in the market and taking full advantage of economic expansion and initiatives like the Belt and Road and Greater Bay Area.
To learn more, please visit: www.tricorglobal.com/international-expansion-for-chinese-companies