Last quarter, China announced new guidelines on the innovative development of the country's foreign trade to create a new development model domestically and promote a stable trade environment in overseas markets. New guidelines identified the measures covering nine different areas to promote trade development, including novel methodologies to explore international markets, optimize the domestic regulations of foreign trade, and increase the competitiveness of foreign trade firms.
These policies reflect the "Double Development Dynamic", also known as "bilateral circulation", as well as the 14th Five-Year Social and Economic Development Plan. According to the guidelines, China aims to actively negotiate and sign higher free trade agreements and regional trade agreements while using new technologies and channels to explore international markets.
The guidelines support the enhancement and development of efforts to increase the quality of trade in the eastern region of the country, to increase the rate of business in the central and western areas, to expand the expansion of the northeastern part of China, and to renew the mechanisms that will encourage cooperation between different regions.
Also, in the newly introduced guidelines, it is planned that the authorities will provide instructions for different types of businesses to increase the competitiveness of conglomerates, small and medium-sized enterprises in international markets. Along with this, measures have also been identified to improve the export and import structure, develop innovative trading styles, and encourage platforms that enhance foreign trade.
Despite the disruptions caused by the COVID-19 pandemic, China has managed to keep its foreign trade stable this year. The country's exports continued to increase in October, reaching the highest level in the last 19 months. According to the Customs Administration data, the country's foreign goods trade increased by 1.1 percent on an annual basis in the first ten months, surpassing the 0.7 percent increase in the first three quarters.