How to crack the trade deficit?

How to crack the trade deficit?

After joining the World Trade Organization, China’s service trade to accelerate the development of imports and exports in 2015 amounted to 713 billion US dollars, second only to the United States, the world’s second largest trade in services. At the same time, China’s trade deficit has risen rapidly, becoming the world’s largest trade deficit, 2014, the amount of the global deficit ranked second in Germany, three times.

In the short term, foreign trade should be guided to domestic and trade deficit reduction of tourism services. On the one hand to further reduce the import tariffs and adjust the consumption tax system. On the other hand, the need to adjust the consumption tax system, the consumption of consumption tax on the product of dynamic management, will be levied on consumption tax, especially high consumption tax cosmetics, tobacco and alcohol products set the amount of unit price, luxury products are levied on consumption tax, Items that are essential goods are exempt from consumption tax. The same time as

On the other hand, improve the duty free shop. In the high consumption and high cost of exit and shopping areas such as the North and other large and medium-sized cities to increase duty-free shops, including immigration duty-free shops; according to the main varieties of domestic exports continue to expand or adjust the duty-free shops to expand the amount of duty-free shops.

Medium and long term, should proceed from the supply side to enhance the international competitiveness of services to promote trade in services from the deficit to the surplus change. The government attaches great importance to the development of services and services trade as a major national strategy. Establish key industries, consolidate the industrial base. China’s trade in services from the deficit to a surplus, the strong industry is the foundation. However, a wide range of service industries in the national service industry development of the overall strategy, our country should first determine the focus of service industries, to give priority support. Improve policy support and promote export services. China’s expansion of service exports need to further innovate the institutional mechanisms and improve the policy system, establish and improve the service trade management system, laws, statistical systems and promotional measures.

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