With the aim of further strengthening the cooperation between Mainland China and Macao in trade in services, the Mainland China and the Macao Special Administrative Region signed the Agreement Concerning Amendment to the Agreement on Trade in Services of the Mainland and Macao Closer Economic Partnership Arrangement on 20th November 2019. Regarding the telecommunication services, this revision restructures Table 3 ‘Liberalization Measures under Telecommunications Sector (Positive List) ’ in Annex 1 of the original Agreement on Trade in Services, organizing them under the models of commercial presence and cross-border services, respectively integrating them into Table 1 (Negative List) and Table 2 (Positive List) attached to this Amendment Agreement. National treatment applies to the services referred to in Table 1, with this Amendment Agreement coming into effect on 1st June 2020.
This Amendment Agreement contains specific commitments in area of telecommunication services that include the expansion of the geographical area for the sale of phone cards for fixed and mobile phone networks intended exclusively for use in Macao (except for phone cards for satellite mobile phone service) by Macao service providers, making it possible to sell them throughout the entire territory of Mainland China and not just in the Guangdong Province. Additionally, following negotiations with Mainland China, administrative procedures on this matter have been simplified, so that Macao service providers do not need to register with the telecommunications regulatory authority of Mainland China to carry out these activities. However, they must notify the Post and Telecommunications Bureau before the commercialization of phone cards throughout the territory of Mainland China begins.
Moreover, this Amendment Agreement introduced new liberalization measures: allowing Macao service providers to establish joint ventures in Mainland China, with the Mainland China partner being the controlling shareholder, to operate basic telecommunications activities. Furthermore, Macao service providers may now provide content distribution network services and code and protocol conversion services in Mainland China, provided that the share held by the Macao investor does not exceed 50% of the capital.
For detailed information on the Agreement Concerning Amendment to the Agreement on Trade in Services of the Mainland and Macao Closer Economic Partnership Arrangement, please visit: https://www.dsedt.gov.mo/en_US/web/public/pg_cepa_cepa_aacs.
For inquiries and application details, please contact the Economic and Technological Development Bureau of the MSAR Government or visit: https://www.dsedt.gov.mo/en_US/web/public/pg_cepa?_refresh=true.