Company Registration in Shanghai Free Trade Zone

Deep Blue Company Registration Services in Shanghai Free Trade Zone

On 3 July, the State Council approved in principle the "China (Shanghai) Free Trade Test Trial Area Overall Program" (hereinafter referred to as the "General Plan"), which marks the Shanghai Free Trade Zone will become the first one in line with international practice, accompanied with special customs and under the supervision areas .

Shanghai Free Trade Area ("Shanghai FTA") consist of the planning area of 28 square kilometers, including the Yangshan Bonded Port Area, Waigaoqiao Free Trade Zone (including Waigaoqiao Bonded Logistics Park) and comprehensive Free Trade Zone, Pudong Airport. It will implement the "Completely Liberalized Gradually Line, Second-line Safe and Efficient Tube Housing, Free Movement of Goods with innovative regulatory services mode”.

Shanghai FTA regulatory services mode called "Front Line" refers to the border; "Second Line" refers to the division line between the domestic market, namely free trade space boundaries. "Line Release" is the "Front Line" regulatory supervision to focus on people and the port unit (including customs, border control, inspection and quarantine, etc.) that all the necessary checks, it no longer use the traditional model of batch control but a centralized, classification, electronic monitoring mode ; "Second Line Tube Housing" refers to the outside and out of a free trade area for goods regulation.

"General Plan" is a central element of a more open trade promotion and facilitation that involve reform provisions to include foreign exchange management, tax policy and customs supervision and other aspects.

Firstly, it accelerated the transformation of government functions, as well as the dominance of market behavior for market players. The government managed this during the past and gradually transformed it into a service. Secondly, the free trade program emphasizes the corporate FTA which is completed in Renminbi freely convertible, in fact, the FTA is a testing ground for the internationalization of RMB. Thus, for the construction of offshore financial centers, it will lay down the foundation of RMB market combination both offshore and onshore. The RMB market will be more conducive to China's economic development and an international economic integration which includes the increased registration of foreign companies. Again, the Shanghai Free Trade Area will also promote innovation tax. It is understood that they are already included in the "Qualified Enterprises to the Region of 15% reduction in Income Tax Rate".

Crucial information about the FTA

Knowledge Link: -

  • 1.    FTA (free trade zone) usually refers to two or more countries or regions through the signing of free trade agreements with the mutual cancellation of tariff and non-tariff barriers goods, cancel the vast majority of the service sector of market access restrictions, open-cast capital, thereby promoting goods, services and capital, technology , personnel and other factors of production that enable them to flow freely to obtain the complementary advantage, to promote common development; sometimes it is also used to describe a country's domestic means that one or more eliminate tariffs and trade quotas, and the economy administrative intervention smaller areas.


  • 2.    Main purpose(s) of setting up the FTA:-

1)         Use its status as a commodity distribution center, expanding export trade and entre-pot trade, improve national and regional settings in the international trade position and increase foreign exchange earnings ;

2)        Conducive to attract foreign investment, the introduction of foreign advanced technology and management experience ;

3)        Conducive to expand employment opportunities ;

4)        The port , transportation hubs and border areas into districts  can play a prosperous port and stimulate the development of the country and promote the transport industry into border economic development.

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