Accelerating the development of service trade is an important measure to expand high-level opening-up and cultivate new drivers for foreign trade growth. On the 24th, the Ministry of Commerce, together with eight departments including the Cyberspace Administration of China and the Ministry of Finance, issued the «Several Policy Measures on Promoting Service Exports,» which includes 13 specific measures to provide comprehensive policy support for service exports.

Key Points Overview

· Strengthen policy interpretation and guide local governments to fully utilize existing central and local funding channels to further support new forms and models of service exports such as digital services, high-end design, R&D, supply chain, inspection and testing, accreditation and certification, intellectual property, geographic information, and language services.

· Support the Service Trade Innovation and Development Guidance Fund to increase investment in service trade, strengthen coordination with local funds, and attract more social capital to invest in service trade and digital trade.

· Optimize the zero-tax declaration process for service exports. Enhance inter-departmental coordination and information sharing, encourage more qualified regions to use relevant electronic information platforms to replace paper or electronic documents required for enterprise declarations when applying for service export tax rebates, and improve the efficiency of service export tax rebate declarations.

· Increase support for export credit insurance.

· Facilitate cross-border movement of personnel and inbound consumption. Optimize visa policies for personnel of foreign-invested enterprises, scientific researchers, and high-level talents coming to China. Gradually expand the scope of countries eligible for unilateral visa-free entry to China, continuously optimize visa policies for foreigners, and improve regional visa-free entry policies.

· Optimize cross-border capital flow management. Progressively advance pilot programs for multinational companies’ integrated domestic and foreign currency capital pools, support service enterprises as member companies in participating in these pilot programs, and facilitate intra-group capital allocation.

· Enhance the convenience of cross-border capital settlement for service trade. For small-amount, high-frequency service trade transactions between long-term cooperative domestic and foreign enterprises, encourage banks to optimize verification methods and improve the efficiency of capital settlement.

· While complying with national internet management regulations, support relevant enterprises and research institutions in more conveniently using the internet for international trade and academic research, and participating in international competition.

· To meet the development needs of new forms and models of service trade, support the establishment of international data centers and cloud computing centers in pilot free trade zones, Hainan Free Trade Port, and national comprehensive demonstration zones for expanding openness in the service industry, providing data processing services to enterprises in need.

Notice on the Issuance of «Several Policy Measures on Promoting Service Exports» by the Ministry of Commerce and Nine Other Departments

Accelerating the development of service trade is an important measure to expand high-level opening-up and cultivate new drivers for foreign trade growth. To implement the decisions and deployments of the Party Central Committee and the State Council, and to more vigorously promote service exports and advance the high-quality development of service trade, the following policy measures are proposed.

1. Make Full Use of Existing Central and Local Funding Channels to Actively Support Service Exports

Strengthen policy interpretation and guide local governments to fully utilize existing central and local funding channels to further support new forms and models of service exports such as digital services, high-end design, R&D, supply chain, inspection and testing, accreditation and certification, intellectual property, geographic information, and language services, as well as green services including energy-saving services, resource recycling services, environmental governance services, environmental consulting services, carbon footprint accounting management services, and comprehensive carbon management services, and cultivate key enterprises and projects in service exports.

2. Enhance the Leveraging Role of the Service Trade Innovation and Development Guidance Fund

Support the Service Trade Innovation and Development Guidance Fund to increase investment in service trade, strengthen coordination with local funds, and attract more social capital to invest in service trade and digital trade. Revise the «Guidance Catalog for Key Areas of Service Exports» and the «Guidance Catalog for Key Development Areas of the Service Outsourcing Industry» to provide business guidance for the fund’s key investment directions.

3. Optimize the Zero-Tax Declaration Process for Service Exports

Enhance inter-departmental coordination and information sharing, encourage more qualified regions to use relevant electronic information platforms to replace paper or electronic documents required for enterprise declarations when applying for service export tax rebates, and improve the efficiency of service export tax rebate declarations.

4. Increase Support for Export Credit Insurance

Encourage China Export & Credit Insurance Corporation and other insurance institutions to increase support for service exports, expand coverage beyond current supported areas such as transportation, maintenance, and internet advertising, and, under

Service Trade Innovation and Development Guidance Fund

The Service Trade Innovation and Development Guidance Fund is a Chinese government-backed investment fund established to promote the growth and modernization of the country’s service sector. It was created to provide financial support and strategic guidance for innovation, international expansion, and the high-quality development of service trade industries. The fund represents a key national initiative to restructure the economy towards more advanced, knowledge-based services.

Guidance Catalog for Key Areas of Service Exports

This is not a place or cultural site, but rather a policy document. It is a Chinese government publication designed to guide and promote the service export industry by outlining key sectors for development. Its history is tied to China’s economic strategy to shift towards high-value service-based exports in the 21st century.

Guidance Catalog for Key Development Areas of the Service Outsourcing Industry

This is not a physical place or cultural site, but rather a policy document. It is a strategic guide issued by Chinese authorities to outline priority sectors and regions for growth within the country’s service outsourcing industry. Its history is tied to China’s economic planning, representing a continued effort to transition and upgrade its service economy.

China Export & Credit Insurance Corporation

The China Export & Credit Insurance Corporation, also known as Sinosure, is a state-funded policy-oriented insurance company established in 2001. Its primary purpose is to promote China’s foreign trade and investment by providing export credit insurance and guarantee services to Chinese exporters and investors. It plays a crucial role in supporting Chinese companies in managing risks associated with international business.

pilot free trade zones

Pilot Free Trade Zones are special economic areas established by the Chinese government, first launched in Shanghai in 2013, to test new economic reforms and opening-up policies. They serve as experimental grounds for liberalizing trade and investment, streamlining administration, and fostering a more market-oriented business environment. The successful policies tested in these zones are often replicated and promoted nationwide.

Hainan Free Trade Port

The Hainan Free Trade Port is a major economic initiative launched by the Chinese government in 2020, building upon the province’s existing Special Economic Zone status. Its goal is to transform the entire island of Hainan into a globally influential free trade port by the middle of the 21st century. The plan involves liberalizing trade and investment with policies like zero tariffs and streamlined customs to attract international business.

national comprehensive demonstration zones for expanding openness in the service industry

«National comprehensive demonstration zones for expanding openness in the service industry» are special economic zones established by the Chinese government to pilot reforms and further open the country’s service sector to foreign investment and trade. They were first launched in 2016 in cities like Shanghai, Tianjin, and Guangzhou to test new policies, deregulate markets, and promote international cooperation. The initiative aims to upgrade China’s economic structure by fostering innovation and competitiveness in key service industries such as finance, healthcare, and technology.

international data centers

International data centers are specialized facilities that house the computing and storage infrastructure powering the global internet and cloud services. Their history is tied to the rise of the commercial internet in the 1990s, evolving from simple server rooms to highly secure, redundant complexes designed for maximum uptime. These centers are critical infrastructure for modern economies, enabling everything from social media and e-commerce to scientific research and financial transactions.