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Group Member

• FIN1602001 Yee Kah Seng

• FIN1602002 Chin Jing Yi
• FIN1602008 Cha Peng Lip(absent)
• FIN1602010 Khor Zou Shen
• Argentina is second largest country in South America
• Labour abundant country
• 36th largest export economy
• Top export: Soybean Meal, Corn, Soybean oil, Soybeans,
Delivery Trucks
• A founding member of the World Trade Organisation (WTO)
• Special Administrative Region of China
• Free and Open Trade
• A member of Four Asian Tigers
• The top exports of Hong Kong are Integrated Circuits ($96.9B), Gold
($53.5B), Telephones ($50.9B), Broadcasting Equipment ($23.6B) and Office
Machine Parts ($20.4B)
GDP of Hong Kong
• 1960s transferred light
manufacturing industry to
• 1997s manufacturing
industry continued shrink.
Early 1990s,followed by
beginning of new process of
TOT of Hong Kong

• 1995s supplant the General

Concession to Duties and
• 1997s,back to China kept on
partaking in WTO a free part
for benefit of Hong Kong.
• 1990s Debt crisis
• 1994 Mexico’s
Tequila Crisis
• 1997 Asian Crisis
• 2001 Argentina
• 2002 Recovery


• 1980s there is high tariff value

• 1989-1991 Tariff rate delicine
• 1994-1996 Menem reform
regional trade agreement
among Argentina, Brazil
Paraguay and Uruguay, the
interzone tariff become 0
• 2000s slight reversal to
• 2002 started using tariff at
every product to help the
crisis in 2001
Hong Kong

• Another fact from 1951 is that after World War II, Hong Kong foreign
trade had been re-development and during the period of China's
liberation war, a large number of mainland capitalists were forced to
refuge in Hong Kong.
• After the founding of new China, Hong Kong became the gateway to the
mainland's foreign trade, and Hong Kong entrepreneurs become a good
source between the mainland and other countries.
• The total trade volume of Hong Kong reached HK $ 9,303 million
in 1951, especially after the "World War II" to 1951, with an
average annual growth rate of 35.69%. During this period, the
average export growth rate was higher than imports, which were
39.02% and 33.18% respectively.
• Hong Kong ensures and sustains and improves the goods and
service of foreign markets by participating in multilateral, regional,
plurilateral, and bilateral trade agreements.
• Despite this dependency, Hong Kong also benefited from China’s
position in China, with double-digit trade in 2002 benefiting from
the recovery of tourism.
• Over the past 100 years, trade has become one of the major
economic activities of Hong Kong. Now, Hong Kong has
gradually become the world’s major trade centers
• Hong Kong's foreign trade is basically a re-export trade, re-
export trade accounted for 80% of total trade to 90%.
• In the year 1951, the United Nations exchange ban on China
lessen exchange Hong Kong's port and constrained the states
to move their concentration to send out arranged assembling.
• In the following year from 1984 to 1996, Hong Kong invests in
China’s emerging export of industrial products.
• Argentina's market is quite open, and its basic foreign trade has no
special restrictions.
• When President Menem was in power, he launched a new economic
policy to break down the situation of over ten years' economic downturn.
• First of all, to relax the restrictions on imports, the phasing out of non-tariff
barriers, the main use of tariff protection measures as.1986 7OOO
government has 11400 types of goods imported on the implementation of
the import license system.1991 to cancel the import license system, in
addition to imported cars, all open.
• Secondly, cancel all special tariffs and generally lower tariff rates.
• The average tariff reduction o gradually from 86 years to 40% years 91
years 10%, 92 and adjusted to 15%, the primary products, intermediate
products, imports of manufactured goods tax were 5%, 13%, and 22%,
and most of automobile electronic products for more than 35%.
• In addition, the president also issued a non regulation law, reduce government
interference in economic activities, canceled the national grain Commission,
Committee on meat production and trade organization regulation, cancel in the
goods transportation, loading and unloading control aspects, and
reorganization of the customs, To simplify administrative procedures of import
and export and import and export procedures.
• In order to maintain the balance of import and export, on the one hand, the
government policy to encourage exports, such as export tax rebates, to provide
low interest loans for export enterprises, the implementation of restrictions on
the import of certain products on the other hand, such as the implementation of
quotas for different types of paper, textiles and shoes tariffs etc
• Argentina has long pursued the import substitution policy, trade protectionism
in.1989 years, the Afghan government in the implementation of the new
economic policy, vigorously develop foreign trade, has taken a series of reform
measures, the abolition of import restrictions, several times to reduce tariffs,
also formulated a policy to encourage exports.
Foreign trade ranks of Hong Kong and Argentina in the
Rank 5-Hong Kong

Rank 25-Argentina
Trade policies Import and export(Hong Kong)
• Hong Kong is a free port, pursuing a free trade policy, there is no provision of
any trade barriers, access to Hong Kong goods without payment of tariffs.
• Although the import or export of certain types of goods must be obtained, it is
only because Hong Kong has to fulfil its obligations to the trading partners or
on the basis of public health, safety or internal security requirements.
• Because Hong Kong is a free trade policy, so there is no import policy and
export policy.
• No tax is charged on import or fare of merchandise. In spite of the fact that
authorizing is required for the import and fare of a few products, this is just to
satisfy commitments they can only fulfill Hong Kong's obligations to their
trading partners or meet public health, safety or internal security needs.
Trade policies Import and export(Argentina)
• Imports might be liable to programmed or non-automatic
permitting. The quantity of items subject to import permitting,
both programmed and non-automatic, expanded amid the audit
time frame

• Fares and in addition imports of fabricated items developed

quickly amid the survey time frame, with import development
somewhat export trade development. A significant offer of fares
of makes can be ascribed to expansive combinations and
multinational enterprises, some of which have greater part
outside cooperation. Huge numbers of the fares of made items,
for instance, in the car part, are transported in input serious.

• Improve the Efficiency-Since the production and operating

costs of Hong Kong were high and it is difficult to compete
with other countries at a lower price, Hong Kong needs to
improve the quality of services, enhancing efficiency and
productivity, enhancing creativity
• The trade service transformation-Hong Kong’s foreign trade is
mainly in the Mainland, the United States, Japan and others. Due
to the rapid development of the Mainland, it mays import the
foreign goods directly, this may cause Hong Kong as a transit port
gradually weakened. So, Hong Kong needs to look for other
foreign trade partners to respond the changes in the economic
• Developing the emerging markets-In addition to traditional trading
partners, such as the Mainland, the United States and Japan,
Hong Kong needs to develop other emerging markets to find more
business opportunities that help to expand Hong Kong’s trade
services and enhance its competitiveness.

• Develop Tourism
• Improve technology
• Train More skilled Labor
• Overall, the analysis supports the notion that economic adjustments in Hong
Kong’s goods and labour markets took place in a more flexible manner than
in Argentina in the period studied.This is surely one factor contributing to the
success of the Currency Board arrangements in Hong Kong. Preservation of
our flexible economic structure is essential in underpinning exchange rate
• The experience of Argentina also illustrates the importance of resilient
budgetary institutions and fiscal discipline in sustaining a fixed exchange rate.
While Hong Kong is facing the problem of increased budget deficits, public
finances are on a sounder footing as reflected in a debt-free Government and
the availability of sizable fiscal reserves. Unlike Argentina, fiscal
administration and discipline is strong. The Government has stated its
determination to rein in spending and address fiscal imbalances over the
medium term.
Thank You