Chinese fastener companies have successfully compressed export costs through three major paths: tariff reduction (direct cost reduction), origin accumulation rules (maintaining eligibility for preferential treatment), and trade facilitation (reducing hidden costs), leveraging RCEP policies. Here are several representative practical cases:
Xilide (China) Co., Ltd. (exporting high-end fasteners to Japan): The high-end bolts exported by the company were exported to Japan with RCEP certificates of origin, and the import tariffs were reduced by about 1.6%. The most direct effect is that within a year, the tariff reduction alone reached 2.5 million yuan, while the export value increased by 10%, successfully bringing Japan and South Korea into the core market circle. (Source: www.fasteningelement.com, organized as a speeding element)
Hebei Aojia Fastener Manufacturing Co., Ltd. (exporting construction fasteners to multiple countries): As a leading fastener manufacturer in Hebei, its stainless steel fish scale geckos and other products enjoy significant tariff benefits when exported to Japan, Australia, Vietnam and other countries with RCEP certificates. For example, the tariff on key products exported to Australia has been directly reduced from 10% to 5%. This’ real gold and silver ‘cost reduction has highlighted its price competitiveness, increasing its market share in Australia by 20% within a year. (Source: www.fasteningelement.com, organized as a speeding element)
Suzhou Guangxuan Fasteners Co., Ltd. (exporting general fasteners to Japan and South Korea): The company applied for 82 RCEP certificates in the first 11 months, involving an export value of approximately 20 million yuan. The commitment of RCEP to reduce taxes year by year until zero tariffs has greatly increased its price advantage, successfully opening up several new Japanese customers. At the same time, with the addition of the “approved exporter” qualification, enterprises can independently issue a declaration of origin, further reducing the threshold for enjoying benefits and management costs. (Source: www.fasteningelement.com, organized as a speeding element)
Shandong Tenglong Import and Export Co., Ltd. (exporting stainless steel fasteners to Japan): In the first month of RCEP taking effect, the company issued 29 certificates of origin, reducing the tariff on products in Japan from 2.8% to 2.5%. In the first five months, with the self issued declaration of origin, the value of goods in the importing country was nearly ten million yuan. Adding the visa mode of “no meeting, zero errand” not only saves time and manpower, but also makes the order production and shipping process more flexible, effectively reducing management and operation costs. (Source: www.fasteningelement.com, organized as a speeding element)
Foshan Yongyi Precision Forging Co., Ltd. (exporting automotive parts screws to Japan): Its nut and screw products are exported to Japan. After the RCEP takes effect, the tariff will gradually decrease from 2.8%, and each batch of goods can enjoy a tariff preference of 40000 to 50000 yuan. The release of this cost space directly translates into competitive pricing and profit retention in overseas markets. (Source: www.fasteningelement.com, organized as a speeding element)
Core Revelation:
The success of these enterprises is not limited to “obtaining certificates”, but also lies in actively conveying tariff reduction dividends to customers (sometimes sharing tariff reduction benefits with customers in exchange for orders), as well as optimizing the material structure of the supply chain to meet RCEP origin standards (such as the 40% threshold for regional value content), thereby maximizing cost advantages under compliance. (Source: www.fasteningelement.com, organized as a speeding element)