Shao Weijian Clearance policy tariff adjustment First Secretary - PowerPoint PPT Presentation

Shao Weijian Clearance policy tariff adjustment First Secretary Cross-border E-commerce Customs Office of Mission of China to the EU 12 September 2019, Tallinn of China Customs

Contents • The New Structure of China Customs • The Changes of Customs Clearance Procedures • Adjustment of tariff rate for import and export in 2019 • Cross-Border E-Commerce

Th The e Ne New w St Stru ructure cture of of Ch China ina Cu Cust stoms oms

Background The first session of the 13th • National People's Congress in March, 2018 to make the government • better-structured, more efficient, service-oriented The first session of the 13th National People's Congress

The reduction of State Council • departments: ministerial level: - 8 vice-ministerial level: - 7. After the reform: • 8 new administrations, 26 26 ministries and commissions in total

State Admin inistration istration for or Industr try y and Com ommer merce ce Food Safety the State Intellectual Commission of the Property Office State Council State Admin inistration istration for or SAMR Market rket Regul ulat atory ory General Administration of Quality Supervision, Inspection and Quarantine (AQSIQ) --- China na Inspecti pection on and Quara rantin ntine e (CIQ) Q) --- The Certification and Accreditation Administration (CNCA) --- Standardization Administration of China (SAC) General Administrations of Customs of the People’s Republic of China (GACC)

The Changes in Customs clearance Procedures

Changes in 6 Major Areas Passenger ssenger and Luggage ggage Clearance earance • Cu Customs oms Cl Clea eara rance nce • Vessel, ssel, Ai Aircraft, craft, Vehic icle le In Insp spec ection tion • Radiation diation Detection tection • Ma Mail l In Insp spection ection • Ex Expre ress ss Courier urier In Insp spec ection tion •

Customs Clearance Customs Clearance One-time declaration through Single Window The three “One - time” One-time One-time release by inspection on cargo Customs releasing directive

If you are an import/export company, you will notice that.. Reduced declaration • documents ( no more CIQ documents, e.g. Customs Clearance of Entry/Exit Commodities) simplified procedure • fewer inspections • faster releasing time •

Customs Clearance - Goods clearance: “one time declaration, two steps processing ” Enterprises En erprises Cus usto toms ms-Seco Second nd Ste tep Cus usto toms ms-First First Step ep Duty y Collecti lection on and Control trol Centre tre Risk Manage nageme ment nt & Control trol Centre tre C, 税收征管中心 ) (DCSC, ( 风险防控中心 ) Guangzh ngzhou ou Qing ngdao dao Shanghai nghai Huangpu angpu Jingjin ngjin Shanghai Tax x Collec llecti tion on/ Declar laratio ation Goods Permitt mitted ed to Entr try Manage nagemen ent Duty/V y/VAT AT Payme ayment nt Port Customs: In-charge Customs: clearance and supervision verification and audit PwC

New simplification measurements from July 2019 -To reduce documents from 86 to 46 • - Pilot of “2 Steps Declaration”: summary declaration and • complete declaration -To enlarge Pilot of Tariff Guarantee and Insurance • -To further develop Single Window, provide One-Stop-Shop • information service of clearance and logistics with civil aviation, seaport and railway administration.

Adjustment of tariff rate for import and export in 2019

Adjustment of tariff rate for import and export in 2019 I. Adjusting the provisional import tariff rate • A. MFN tariff rate. • 1. Since January 1, 2019, the import tariff • rate for 706 items had been implemented; since July 1, 2019, the provisional tariff rate for the import of 14 IT products had been cancelled, and the application scope of 1 import product had been reduced. 2. The MFN tariff rate for IT products listed in • the Schedule to the Amendment of the China to the WTO Tariff Schedule is implemented since July 1, 2019.

Adjustment of tariff rate for import and export in 2019 B. Tariff rate of quota commodities. • Continue to implement tariff quota • management for eight categories of commodities such as wheat, and the tariff rate will remain unchanged.

Adjustment of tariff rate for import and export in 2019 II. Export tariff rate • Since January 1, 2019, it has continued to impose export tariffs • on 108 export commodities such as ferrochrome or impose a tentative tax rate on exports. The tax rate remains unchanged, and 94 tentative tax rates for exports are abolished. Any tariff rate for specific product to China can be check via: • http://www.customs.gov.cn/customs/302427/302442/shangpin • shuilv/index.html

Cross-border e-commerce

Cross-Border E-Commerce has been developing rapidly 78,6 80 70 Unit: Billion RMB Growth Rate 60 56,2 50 2016 82.90% 40 2017 116.40% 30 26,2 2018 39.80% 20 14,3 10 0 2015.0 2016.0 2017.0 2018.0 2015-2018 Statistics on China Cross-Border E-Commerce Under Customs Supervision

Management Principles • Innovation • Inclusive • Prudent • Cooperation

4 Supervision models Import models

4 Supervision models Export models

Supervision Measures -Simplification of declaration procedures: release upon manifest verification -Consolidated duty collection and duty guarantee -Comparing information of transaction, payment, logistics with declaration -Simplification of return procedure

Supervision Measures Smart Supervision -Cross-border e-commerce information service platform, and Customs Clearance Management Platform - Remote monitoring system , and images intelligence review, non-intrusive inspection, application implementation supervision of intelligent equipment.

Policy changes on Cross-border E-commerce since 2019

FORMER: Positive List And Value Limit Management Positive List Including 1258 items of commodities Tax Rate 0% tariff rate, 70% of payable amount of VAT and excise Value Limit 2000 RMB per time and 20,000 RMB Per Year Personal Articles Commodities within limits subject to personal articles supervision TEMPORARILY

2019, New Changes Clearer Responsibilities Higher Value Limit More Commodities Of Participants More Cities Define the Commodities As Personal Articles

NOW: Ⅰ More Items of Commodities (1321 items) NEW ITEMS 中药酒（混合或非混合，治病 干、熏、盐制的鳌龙虾 烤紫菜 或防病用已配定剂量或零售包 木衣架 橡胶、塑料底及面的滑雪靴 电熨斗 装） 清凉油（混合或非混合，治病 制作或保藏的鲨鱼翅（整条或 干、熏、盐制的其他蟹 或防病用已配定剂量或零售包 竹、木制筷子 功率≤ 125 瓦的落地扇 双筒望远镜 切块） 装） 活、鲜、冷、冻、干、熏、盐制的的 其他印刷油墨 ( 不论是否固体或 羊毛或动物细毛制绗缝被褥状 无醇啤酒 功率≤ 125 瓦其他风扇、风机 天文望远镜及其他天文仪器 其他墨鱼及鱿鱼 浓缩 ) ，黑色印刷油墨除外 纺织品 活、鲜、冷、冻、干、熏、盐制的凤 麦芽酿造的啤酒 漱口剂 化纤制针织或钩编男睡衣裤 定量包装秤 显微镜 螺 用塑料、橡胶等处理的织物制 长粒米糙米 葡萄汽酒 车身用的上光剂及类似制品 光盘驱动器 放大镜 男大衣等 其他纺织材料制针织或钩编的 长粒米精米 其他包装的鲜葡萄酿造的酒 酪蛋白 订书机 家用粉尘仪 床上用织物制品 1321 Items(Now) 与电视接收机配套使用的视频 其他植物液汁及浸膏 其他酿酒葡萄汁 鱼胶 ; 其他动物胶 钢笔头及笔尖粒 剃须刀刀头 游戏控制器及设备零件及附件 除墨剂、蜡纸改正液及类似品 塑料制鞋面的橡胶、塑料底及 零售包装的狗食或猫食罐头 衣物柔顺剂 手电筒 旱冰鞋 面的中、短统防水靴 按重量计增塑剂含量小于 6% 的 蒸汽眼罩、暖宝宝贴、暖宫贴、 其他橡胶、塑料制外底及鞋面 其他配制的动物饲料 对流式空间加热器 其他健身及康复器械 聚氯乙烯家用保鲜膜 肩颈贴 防水靴 1258 Items （ Former ） 其他网球拍、羽毛球拍或类似 蓖麻油及其分离品 润滑脂 抗疟针织蚊帐 其他打火器 装饰用蜡烛台 球拍 肉及水产品的精、汁 饮用蒸馏水 其他照相机用镜头