Positive impact of RECP on the medical field

The RCEP Free Trade Agreement was officially entered into force on 1 January 2022.Recently, the Regional Comprehensive Economic Partnership (RCEP) was officially signed, forming free trade zones, including 10 ASEAN countries, East Asian economies and China, Japan, South Korea, Australia and New Zealand. The RCEP Free Trade Zone, the world’s largest free trade zone, has an opening level above 90%, covering about 30% of the global population; about 29.3% of global GDP; about 27.4% of global trade; and about 32% of global investment.
Positive impact of RECP on the medical field:
1. Import equipment procurement is cheaper. There will be more quality medical resources from other countries to enter the Chinese market with lower tariffs;
2. Enterprises are more at ease. In The medical field, a unified regional rule system should be formed to reduce operating costs and reduce uncertain operating risks;
3. Investment is more efficient. Investors outside a region means entering the country in the whole region, and the market and space grow greatly, which helps to attract investment. Health care will see a wave of growth.
HSBC predicts that the RCEP economy will rise to 50% globally by 2030. In the short term, the tariff reduction or even reduction is undoubtedly good for exporters in the medical sector, mainly including;
4. International economic and trade transportation industry, such as port, shipping, logistics. It will reduce the export and transportation cost of medical equipment in China.
5. As the world’s largest manufacturing country, China produces a large range of medical equipment, and adding RCEP is expected to reduce manufacturing costs (such as iron ore, coal and carbon), and the manufacturing industry chain may benefit. It will reduce the raw material costs.
Since 2022, RECP has taken effect, and Made in China is moving to the world with a new face. The manufacturers of medical equipment produced in China will also produce high-quality medical equipment with the RECP free trade agreement, producing medical equipment used by the people of the world.