Guangxi Zhuang Autonomous Region in southern China has issued its first Certificate of Origin under the China-Maldives Free Trade Agreement (FTA).

This landmark move follows the FTA, which, effective from January 1, 2025, eliminates tariffs on over 95 per cent of products traded between China and the Maldives. The agreement covers a wide range of industrial and agricultural goods from China, as well as aquatic products and textiles from the Maldives.

The first product from Guangxi to benefit from the new trade deal was sisal ropes from Nanning Jiechenghang Company, valued at 230,000 yuan (approximately USD 31,400). Previously, these ropes would have incurred a 15 per cent tariff, amounting to 35,000 yuan (around USD 4,770). With the issuance of the Certificate of Origin, the company is now able to take advantage of the newly introduced zero-tariff policy.

According to reports, the company’s sales manager expressed enthusiasm about the benefits of the FTA, noting that the Maldives had become an increasingly important market. Previously, customers in the Maldives were required to pay the 15 per cent tariff when the ropes cleared customs. However, with the new policy in place, the company anticipates significant opportunities for expanding its market share in the Maldives in the coming year.

Chinese customs authorities in Guangxi have also been taking proactive steps to streamline the process for companies applying for the Certificate of Origin. As such, efforts have been made to introduce and clarify the latest policies for businesses, with a focus on promoting a smart review and self-service document printing system.

The China-Maldives FTA is expected to play a crucial role in bolstering economic ties between the two nations, offering substantial opportunities for businesses to expand their presence in the Maldives and capitalise on the advantageous trade conditions provided by the agreement.