Chinese authorities are working on a negative list management systems for the cross-border service trade. Xian Guoyi, Director General of the Department of Trade in Service and Commercial Services at the Ministry of Commerce (MOFCOM), said the previous foreign investment negative list mainly dealt with the entry permit issue, while the service trade negative list addresses a wider range of issues, including cross-border payment and consumption in overseas markets. China’s total foreign trade in services amounted to CNY5.24 trillion in 2018, up 11.5% year-on-year, making the nation the second largest country in the service trade after the United States. The country’s service trade reached CNY1.29 trillion in the first quarter of this year, up 2.6% year-on-year, while service exports topped CNY463.49 billion, up by 10.3%.

Wang Bingnan, Vice Minister of Commerce, said China values highly the service industry and has embarked on an “unprecedented effort” to stimulate the development of the service sector. Shanghai released a new negative list for the cross-border service trade in October 2018, the first of its kind in China. A total of 159 detailed regulations have been included in the new negative list, which cover 31 sectors. The new list defined cross-border service trade as “commercial activities delivered by overseas service providers to consumers in the China (Shanghai) Pilot Free Trade Zone”. MOFCOM aims to make the service trade the new engine of the country’s foreign trade. China to date has established trade in services with over 200 countries and regions across the world. Beijing will host the 2019 China International Fair for Trade in Services from May 28 to June 1. Launched in 2012 for the first time, the event is aimed at promoting the healthy growth of the sector, showcasing the host city and the country’s emphasis on the services trade, the China Daily reports.