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Looking Back on the 5th Anniversary(IV) |Dalian Free Trade Area: Building a New Pattern for Opening up to the Outside World

Connectinginside and outside and running in all directions,Dalian Free Trade Area, as adoor opening up to the outside world inNorth China, has made full use of itsregional advantages and actively played a demonstration and leading role ofpacesetter,keptpace with a high-standard international economic and trade rules to furtherpromote high-level opening up to the outside world.

“Allowenterprises to develop bonded iron ore sand mixing business. Innovatingthe inspectionand quarantine supervision measures for bonded iron ore and adopting the ‘three-in-one’inspection and quarantine supervision mode of ‘entry monitoring + processingsupervision + departure inspection’" is the main content of the innovativesupervision measures for "bonded mixed ores" in the fourth batch ofpilot reform experience of the pilot free trade zones. When this innovationpractice was introduced, Dalian Free Trade Area had hanged its plaque foroperation for only one year.

The“bonded mixed ores” refers to the mixed iron ore sand after more than two kindsof iron ores different in place of origin and composition are mixedat a certainmix ratio under a bonded state. Dalian Free Trade Area, at the very beginningof hanging the plaque, was determined to actively promote institutionalinnovation and realized business innovation and institutional breakthrough inmultiple fields such as bonded supervision, commodity inspection, taxcollection, etc. according to the business requirements of Vale of Brazil for "bondedmixed ores", breaking the previous routine that ore mixing could only be performedin steel mills, mines, makingore mixing realized for the first time in aChinese port, with the mixed products being established as an industrialbenchmark and called "the standard ores of Dalian". Theimplementation of that regulatory measure that strongly promoted thedevelopment of the ore mixing business and the marching forward to theinternational market made the mixed ore products successfully enter theJapanese and Korean markets. This not only realized the moving forward of "overseasmines" to the Chinese ports, but also fulfilled the gorgeous turn frompure import to transit trade for iron ores.

Innovationis endless but achievement is not. After the mode of "bonded mixed ores"became successful, Dalian Free Trade Areaunited with Dalian Customs andLiaogang Group to deepen cooperation with relevant foreign mining companies,held seminars for times, and took the lead in realizing the business innovationinbonded mixed ores involving "multiple countries and multiple ore types"in China. The ore powders of different kinds from Canada and Australiabelonging to Rio Tinto realizedbonded mixing at the ore terminal for the firsttime to effectively guarantee the stable supply of high-quality raw materialsfor Chinese iron and steel industry chain and help the more rapid formation ofa new development pattern of international and domestic double circulation of theiron ore industry.

Now,Dalian Free Trade Area, based on the mature experience in "bonded mixedores", is accelerating the research and promotion of "bonded mixedcopper concentrates" and "bonded mixed crude oil", etc., andfurther improving the supervision and service policies and measures with a viewtoforgingthe "bonded mixing" into a well-known brand thereof.

Thecontinuous opening up and innovation is also reflected in cloud. In Dalian FreeTrade Area,the number of export enterprises is large, with a lot of exportcertificates complex in type involved and a long processing period required.With the launching of the "cloud issuing" platform for export goodsinspection and quarantine certificates, enterprises canhandle online at homeand needto "go only once" to obtain the certificates. Thatenterprises had to go to the customs site 3~4 times is reduced to one-timeapplication, and the average time of issuance for each certificate is also shortenedfrom one day previously to 8~10 minutes to savea lot of time takenby enterprisesto apply for certificates and improve the efficiency of customs clearance. In thestage of normalized epidemic prevention and control, this not only lessens contactsbut also reduces enterprise costs significantly. After making applications forissuance with the "cloud issuing" platform, more than RMB 15 millionyuan can be saved for the export enterprises in Dalian Free Trade Areaeveryyear.

"Duringthe epidemic period in 2020, we came for the inspection and quarantinecertificate of export goods whenDalian Customs was launching the 'cloud issuing'platform in the Area. We declared by ourselves, and the customs reviewed ourapplication in the background. There are multiple channels to apply forissuance of certificates and going back and forth is no longer necessary.  It is heard this can be found nowhere else inChina.” Related person in charge from FAW (Dalian) Trading Co., Ltd. toldreporters: "WithDalian Free Trade Area havinga new service called 'cloudeye inspection' last year, a lot of manpower, time and administrative costs aresaved for enterprises."

Thenew mode of "cloud eye inspection" is another innovation of DalianCustoms to improve the supervision efficiency by means of hightechnology andbig data. When the goods arrive at the port, the enterprise makes anappointment for inspection. After the goods arrive at the designated place ofthe enterprise, the workmen of the enterprise can use AR glasses in the firsttime to complete inspection by means of remote video according to theinstructions issued by two customs officers in the monitoring command center ofDalian Customs, and then the goods can be put into use in production. Since thepromotion of the new mode of "cloud eye inspection", the customsinspection efficiency has improved by 3 to 5 times as compared with the past, andimport goods can basically be inspected instantly on arrival as there is such a"viaduct" built for efficient customs clearance of enterprises.

Thecontinuous superimposed application of the "cloud" measures leads toa great shortening of the customs clearance time of goods in the pilot freetrade zone and boosts the level of customs clearance trade facilitation in theZone to improve steadily. According to relevant statistics, the total customsclearance length of time for import and export in the area of Dalian Customs in2021 was shortened to 72.6% and 94.2% in comparison with that in 2017respectively.

Boththe active exploration in "bonded mixing" and the continuousinnovation of "cloud mode" are the firm steps made by Dalian FreeTrade Area in opening up to the outside world. In the opening year of the "14th Five-year Plan", the steps of the Area for opening up to the outside worldwill bemore sonorous.

Lastyear, such innovative measures as the mode of intelligent supervision to thewhole import process of iron ores, etc. were implemented in the Area to promotethe landing of the "bonded screening + international transit"business for iron ores, and further improve the energy level of the ore mixingand distribution center in Northeast Asia. At the same time, the Area also madea breakthrough in the bulk commodity trade. The oil chemical bulk trade projectjointly invested by Singapore Trafigura Group and Liaogang Group wassuccessfully funded, and the first crude oil offshore trade in Northeast Chinawas successfully made. Dalian International Energy Trading Center wasestablished with more than 1,000 energy member enterprises including TrafiguraLiaogang,etc. introduced.

Atthe same time of leading high-level openingup by institutional innovation, DalianFree Trade Areais also speeding up the building of a smootherchannel for internationallogistics.

OnJanuary 1, Dalian Free Trade Area helped Dalian Airlines to open theDalian-Hefei-Nanning route, building an air bridge connecting Dalian with Nanning,the permanent venue of China-ASEAN Expo.

OnFeb. 10, Dalian Free Trade Areahelped Liaogang Group to open the first Europeanreturn train, connecting closely Marashevich, a Polish port 9,600 km away, withDalian and the hinterland in Northeast China.

OnMar. 2, the first direct shipping route for Australia was put on line intooperation in Dalian Free Trade Area, which is a new and convenient maritimelogistics channel set up between the RCEP member states.

Withpowers released in all directions of land, sea and air, the "circle offriends" and "circle of business" of Dalian Free Trade Area athome and abroad are getting bigger and bigger. At present, the containershipping routes of Dalian Port for Southeast Asia have increased to 23for abusiness increase by about 61,000TEUs. The container volume of Dalian port fortheSoutheast Asian region has maintained growth for three consecutive years, withthe market share reaching 18%, rising to the 2nd among the ports.

In2022, Dalian Free Trade Area will fully graspthe major opportunities, such asRCEP tariff reduction, accumulative rules onplace of origin, further liberalizationofservice trade, etc., to forge a batch of RCEP economic and trade cooperationplatforms giving play to the advantage of theArea in resources with a drivingeffect, and guide enterprises to make full use of relevant RCEP rules to expandthe scale of import and export trade with relevant member states. At the sametime, it is intended to make full use of the "bonded + policy"function to accelerate the development of bonded R&D, testing, financedleasing, remanufacturing by maintenance, cross-border e-commerce, etc. andpromote the comprehensive bonded zones to advance in level. It is intended to deepenthecustoms clearancefacilitation reform and innovation, accelerate the constructionof “a single window” for international trade, and continue to improve tradeliberalization and facilitation level. It is intended to implement the 30 itemsof measures supportingLiaogangGroup in constructinga Northeast Asian shippingcenter, promote the “one-order system”reform for multimodal transport, improvethe service level ofthe China-Europe trains, speed up the construction ofsuchopen platforms as international transit and consolidation center, cold chain internationaldistributioncenter, commercial automobile hub, etc., open new  northeastern land and sea channels, explorethe new paths for“One Belt One Road” construction .