WORLD TRADE  
ORGANIZATION  WT/REG163/1/Add.1 
31 January 2005 
 
 (05-0379) 
Committee on Regional Trade Agreements Original:   English 
  
 
CLOSER ECONOMIC PARTNERSHIP ARRANGEMENT 
BETWEEN CHINA AND MACAO, CHINA 
 
Addendum
 
 
 
 The following communication, dated 26 January 2 005, is being circulated at the request of the 
Delegations of China and Macao, China. 
 
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SUPPLEMENT TO THE MAINLAND AND MAC AO CLOSER ECONOMIC PARTNERSHIP 
ARRANGEMENT* 
  To further enhance the economic and trade in terflow, as well as the c ooperation level between 
the Mainland
1  and the Macao Special Administrative Re gion (hereinafter referred to as “Macao”), 
and in accordance with the provisions of the Ma inland and Macao Closer Economic Partnership 
Arrangement (hereinafter referred to as “CEPA”)  and its annexes, signed on 17 October 2003, on the 
Mainland’s further liberalization to Macao of trad e in goods and trade in services, the two sides 
decided to sign this Supplement.  
 
 
I. TRADE IN GOODS 
1. From 1 January 2005, the Mainland shall apply zero tariff to the import of those goods of 
Macao origin listed in Annex 1 of this Supplement.   Annex 1 of this Supplement forms a supplement 
to Table 1 “List of Macao Origin Products for Impl ementation of Zero Import Tariff by the Mainland” 
of Annex 1 of the CEPA. 
2. Annex 2 of this Supplement laid down the rul es of origin for those imported goods of Macao 
origin listed in Annex 1 of this Supplement whic h was drawn up in pursuance of Annex 2 “Rules of 
Origin for Trade in Goods” of the CEPA.  Annex 2 of this Supplement forms a supplement to Table 1 
“Schedule on Rules of Origin for Macao Goods Benefiting from Tariff Preference for Trade in 
Goods” of Annex 2 of the CEPA.  
 
                                                      
* The Annexes of the Supplement have been submitted to the Secretariat for consultation by interested 
Members (office 1174). They are also available at www.mofcom.gov.cn  and www.economia.gov.mo . 
1 In the "CEPA", the "Mainland" refers to the en tire customs territory of the People's Republic of 
China. WT/REG163/1/Add.1 
Page 2  
 
 II. TRADE IN SERVICES 
1. From 1 January 2005, the Mainland shall, on th e basis of Annex 4 “Specific Commitments on 
Liberalization of Trade in Services” of the CEPA, further relax the market access requirements to services and service suppliers of Macao in service areas of legal, accounting, medical and dental, 
audiovisual, construction and relate d engineering, distribution, banking, securities, transport, and 
freight forwarding agency; and expand the geogr aphical and business scopes where and in which 
Macao permanent residents with Ch inese citizenship can set up individua lly owned stores.  Details are 
set out in Annex 3 of this Supplement. 
2. From 1 January 2005, the Mainland shall liber alize and relax market access requirements to 
services and service suppliers of Macao in service ar eas of patent agency, trademark agency, airport 
services, cultural entertainment, information technol ogy, job referral agency, job intermediary, as well 
as professionals and technicians qualification examina tions.  Details are set out in Annex 3 of this 
Supplement. 
3. Commitments in the area of construction and rela ted engineering, and part of the 
commitments in the area of distribution as stated in  Annex 3 of this Supplement shall be implemented 
from 1 November 2004.  Details are set out in the specific commitments for construction and related 
engineering services and distribution services in Annex 3 of this Supplement.  The specific commitment in Annex 3 of this Supplement th at allows Mainland branches of Macao banks to 
conduct insurance agents business shall be implemented from 1 November 2004.     
4. Annex 3 of this Supplement forms a supplemen t and amendment to Table 1 “The Mainland’s 
Specific Commitments on Liberalization of Trade in  Services for Macao” of Annex 4 of the CEPA.  
In case of conflict between the provisions, those of  Annex 3 of this Supplement shall prevail.  
5. “Service supplier” as referre d to in Annex 3 of this S upplement shall conform to the 
requirements set out in Annex 5 ‘Definition of “S ervice Supplier” and Related Requirements’ to the 
CEPA.   
 
III. SUPPLEMENT AND AMENDMENT TO ANNEXES OF THE CEPA 
1. Paragraph 3.2 of Article 5 of  Annex 1 “Arrangements for Impl ementation of Zero Tariff for 
Trade in Goods” of the CEPA was amended as fo llows: For goods proposed to be produced, the 
Mainland shall, in accordance with the consensus reached between the two sides, add the list of goods 
to Table 1 of Annex 1 of the CEPA and the correspondi ng rules of origin to Table 1 of Annex 2 of the 
CEPA.  After the applicant enterprise has put  the proposed goods into production, the Macao 
Economic Services will conduct verification and thereaf ter inform the Ministry of Commerce.  Upon 
confirmation by the two sides, the Mainland will, based on the certificate of origin issued by the 
Macao Economic Services, release the relevant impor ts on zero tariff basis in line with the CEPA.   
2. Paragraph 3.1.2.2 of Article 3 of Annex 5 ‘D efinition of “Service Supplier” and Related 
Requirements’ of the CEPA was amended by adding  the following contents: Macao service suppliers 
of air transport ground services shall have obtaine d the licenses to provide air transport ground 
services in Macao, and have engaged in substantive business operations for five years or more.  In 
case of a Macao service supplier of airport manageme nt services is affiliated with an airline, the 
Mainland’s relevant rules and regulations also apply.   
   WT/REG163/1/Add.1 
 Page 3 
 
 
 IV. ANNEXES 
 The Annexes to this Supplement form an integral part of this Supplement.   
  
V. COMING INTO EFFECT 
 This Supplement will come into effect on the day of signature by the representatives of the 
two sides.   Signed in duplicate in Macao, this 29th day of October 2004 in the Chinese language.  
 
 
  Vice Minister of Commerce S ecretary for Economy and Finance 
  People’s Republic of China Macao Special Administrative Region  
  of the People’s Republic of China 
   
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