An official of Ningbo Customs explains policy to the client. [Photo/Tide News]

China and Thailand launched their Authorized Economic Operator (AEO) mutual recognition agreement on Aug 1, streamlining customs procedures and boosting trade efficiency.

Among the first to benefit is Ningbo Shenzhou Knitting Co Ltd, a leading garment manufacturer whose 1,019-box shipment of knitwear was headed to Thailand.

Shenzhou has long maintained strong trade ties with Thailand, where its products are in high demand. In the first half of 2025, the company's exports to Thailand totaled 103 million yuan ($14.34 million), up 59.45 percent year-on-year.

"This agreement is a major advantage," said a company representative. "Reduced inspection rates and faster clearance will shorten delivery times, enhance competitiveness, and strengthen customer relationships."

The AEO mutual recognition allows certified enterprises in both countries to enjoy lower inspection rates, priority checks, and expedited clearance during trade disruptions. With Thailand now part of China's AEO network, the number of participating countries and regions has reached 51.

Ningbo Customs has actively supported local exporters through targeted guidance and policy outreach. For key players like Shenzhou, this includes one-on-one assistance and help with customs compliance.

"This agreement benefits not only large certified firms but also SMEs trading with Thailand," said Ding Feng from Beilun Customs. In the first half of 2025, Ningbo's AEO-certified exports to Thailand reached 1.12 billion yuan, up 26.43 percent.