Monday, 17 November 2014

China - Australia Free Trade Agreement (ChAFTA) announcements

Australia and China have announced the conclusion of negotiations for a China-Australia Free Trade Agreement (ChAFTA).

The implementation of this agreement is subject to a number of treaty-making processes which may take some time according to the implementation timeline.

Fact Sheet: Movement of Natural Persons

This fact sheet provides information on:

1. Access to Australia for inter-corporate transferees, contractual service providers. Installers and servicers and business visitors.

Australia will provide guaranteed access to Chinese citizens for the following categories:

  • Intra-corporate transferees and independent executives for up to four years (including executives, managers and specialists);
  • Contractual service suppliers for up to four years; including guaranteed access for up to a combined total of 1,800 per year in four occupations: Chinese chefs, WuShu martial arts coaches, Traditional Chinese Medicine practitioners and Mandarin language tutors (subject to meeting standard immigration requirements);
  • Installers and servicers for up to 3 months; and
  • Business visitors for up to 90 days, or 6 months for business visitors who are service sellers.
  • Australia will also provide entry and stay for dependants and spouses of Chinese citizens that have been granted entry, in accordance with the FTA, for a period of longer than one year.
  • China and Australia have also committed to process expeditiously applications for immigration formalities, provide timely information on visa application progress, and ensure transparent procedures and requirements relating to the movement of natural persons of the other party.
  • In order to better facilitate the temporary entry of workers associated with trade and investment, Australia and China will also increase cooperation in the areas of skills recognition and licensing, including through encouraging the streamlining of relevant licensing procedures and improving access to skills assessments.

2. China to be include in Work and Holiday Arrangements (WHA)

Australia and China have also completed negotiations on a Work and Holiday Arrangement (WHA) under which Australia will grant visas for up to 5,000 Chinese work and holiday makers annually.

As one of the five super-growth sectors within the Australian economy, tourism is a trade and investment priority for this Government – with the potential to be our fastest growing industry over the next three decades. The WHA will increase demand for tourism services and support the development of Australia’s tourism sector, particularly in rural Australia.

This will help deliver more jobs, increased investment and economic opportunities for communities across Australia.

No implementation date has been announced.

3. Investment Facilitation Arrangements

Through a Memorandum of Understanding allowing for Investment Facilitation Arrangements (IFA) Chinese owned companies registered in Australia undertaking large infrastructure development projects above $150 million will be able to negotiate, similarly to Australian business, increased labour flexibilities for specific projects. This will be done on a case-by-case basis under arrangements similar to the former Enterprise Migration Agreements.

IFAs will provide flexibility for companies to respond to the unique economic and labour market challenges related to large infrastructure development projects. They reflect the Government’s focus on strengthening infrastructure development and attracting investment, leading to the creation of jobs and increased economic prosperity for all Australians.

IFAs will operate within the framework of Australia’s existing 457 visa system and will not allow Australian employment laws or wages and conditions to be undermined. The nationalities of eligible overseas workers under IFAs will be non-discriminatory, consistent with Australia’s 457 visa system.
 
No other details are yet available.

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