摘要:This round of revision came amid the restructuring of global trade landscapes and rising uncertainties, and it redefines China's o
China's newly revised Foreign Trade Law will take effect on Sunday, marking the second overhaul to the foundational law governing its foreign trade. The law was introduced in 1994 and saw its first systematic revision in 2004.
This round of revision came amid the restructuring of global trade landscapes and rising uncertainties, and it redefines China's opening up via clearer legal commitments, a better business environment, and stronger international response tools, experts said.
Openness pledges: Legalized mechanisms, global rule alignment
The revision reflects China's long-standing and legally reinforced commitment to opening up under international rules, said Kong Qingjiang, a law professor at China University of Political Science and Law who participated in the latest revision's expert discussions.
Since the launch of reform and opening up, and especially after its accession to the WTO in 2001, China has continuously aligned its trade system with global norms. In recent years, this commitment has deepened through initiatives such as applications to join the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) and the Digital Economy Partnership Agreement (DEPA), as well as unilateral opening-up measures, he said.
An aerial drone photo taken on Dec. 14, 2025 shows the Longtan Container Terminal at Nanjing Port, eastern China's Jiangsu province. [Photo/Xinhua]
At the same time, the global trade system itself is undergoing restructuring amid rising protectionism and technological change. As a major trading nation, China has both a stake in and a responsibility for shaping the next generation of international trade rules. By requiring active participation in international rule-making, the revised law translates China's opening-up initiative into a stable legal commitment, he said.
A key example is legalizing the negative-list system for cross-border trade in services, according to Ji Wenhua, a law professor at the University of International Business and Economics in Beijing.
In 2024, China unveiled a nation-wide negative list for cross-border trade in services and a separate negative list that applies in free trade zones. Now the new law not only subjects services provided by overseas suppliers to negative list management, but also formalizes procedures for its formulation and adjustment.
"Including the negative list in the law improves the stability and predictability of opening-up rules, and lays a foundation for its future development and optimization," Ji said.
Easier business: Compliance, support, and new trade drivers
The law aims to create a fairer trade environment for domestic and foreign firms by emphasizing policy compliance and providing targeted support, the experts noted.
It mandates the establishment of a trade policy compliance mechanism aligned with internationally accepted rules. Departments under the State Council and local governments are required to conduct compliance assessment when formulating policy measures involving foreign trade and foreign trade-related intellectual property (IP).
"Its core value lies in elevating policy consistency from an administrative requirement at the State Council level to legal-binding clauses," Ji said, "This not only helps reduce hidden barriers and rule frictions, but also enhances the predictability of the business environment at its source."
The revised law also strengthens IP protection related to foreign trade, banning imports of infringing goods, promoting international IP cooperation, and supporting overseas IP early warning and rights protection, while addressing unfair IP practices that harm competition.
For domestic companies, it also sets clear rules for processing trade — operators who are unable to re-export imported materials or finished goods may sell them on the domestic market in accordance with the law, subject to quotas or permits where required.
In addition, the law allows local governments to establish trade adjustment assistance systems that comply with WTO rules to help businesses and stabilize industrial and supply chains. Shanghai has piloted such assistance since 2017, launching city-wide rules in 2021 to support firms hit by external trade shocks.
The 4th Global Digital Trade Expo features an artificial intelligence exhibition zone in Hangzhou, eastern China's Zhejiang province, Sept. 25, 2025. [Photo/Xinhua]
The law also reinforces support for small and medium-sized enterprises and new trade forms like cross-border e-commerce. It institutionalizes the promotion of digital and green trade, encouraging tech application in trade, electronic documents, and their international mutual recognition, and building a digital trade governance system as well as green trade standards, certifications, and labeling systems.
An International Trade Centre report shows that global digital trade exports rose from US$4.59 trillion in 2020 to US$7.23 trillion in 2024, with a 12.1% annual growth; China's digital trade exports surged 10.7% year on year to US$793.7 billion in 2024.
Ji, who is an economics postdoctoral fellow, said that the revisions are also of great significance to trade firms, offering them predictable trends and clear directions, and providing them with a clearer legal framework and stronger service guarantees, with more detailed arrangements expected in the future.
Global response: Balancing openness and security
While pushing opening up, the law safeguards national sovereignty, security, and development interests, balancing openness with risk management, the experts said.
"Openness without security is reckless; security without openness is futile," Kong said, emphasizing that security is a "prerequisite and enabler" for high-level opening up.
The revised law enriches a legal countermeasure toolkit, allowing other necessary measures beyond import-export restrictions to tackle foreign sanctions and unilateral trade restrictions. Countermeasures now cover legal measures against foreign individuals and entities endangering China's interests.
In addition, the revised law also entails a preemptive role in the face of rising external challenges posed by unilateralism and protectionism.
"It prevents weaponization of trade rules against China and reserves policy space for China to respond to external sanctions," Kong said. He said that the newly revised law is able to facilitate China's transition from a major trading nation to a strong one.
Customs data shows China's foreign trade in 2025 rose 3.8% year on year to 45.47 trillion yuan (US$6.48 trillion), marking nine straight years of growth since 2017. Exports rose 6.1% to 26.99 trillion yuan, and imports hit a record 18.48 trillion yuan with a 0.5% year-on-year increase, maintaining the country’s position as the world's second largest import market for 17 consecutive years.
According to Ji, the core value of the revised Foreign Trade Law lies in incorporating openness, reform, and security into a predictable legal framework. "Amid rising global rule uncertainty, the certainty of opening up is itself a critical competitive edge."
来源:中国网