Customs measures to support the steady growth of foreign trade
18 June 2014
China's General Administration of Customs (GAC) recently issued its Measures to Support the Steady Growth of Foreign Trade, detailing the 20 policy initiatives to be adopted by Customs in response to the State Council's earlier call for support. The measures are divided into four parts.
The first part is designed to promote reforms. This includes expediting the formation of a customs system in the Shanghai pilot free trade zone that can be replicated and promoted elsewhere, accelerating reform on regional clearance integration, implementing reform on paperless clearance, improving the effectiveness of customs inspection, comprehensively promoting collaboration between Customs and entry-exit inspection authorities, and studying the feasibility of promoting the "single window" trade facilitation mechanism.
The second part is intended to alleviate the burden on enterprises, including giving active support to expanding imports and stabilising exports, improving tax collection work, further standardising the types of operational services and the charges related to exports in tandem with establishing a sound export tax rebate policy. The goal here is to help enterprises reduce operating costs through the continuous improvement of policies and other relevant measures.
The third part is geared to promoting upgrading. This includes measures for the establishment and improvement of a customs supervision model compatible with requirement of trading in services, an innovative bonded supervision model and accelerating the integration and optimisation of special customs supervision areas. The goal here is to promote the transformation and upgrade of the processing trade via an innovative regulatory model.
Part four is focused on improving the overall environment, including measures to continue streamlining administration and power delegation, to support the development of new trading platforms, to improve Customs' enterprise credit management system, to guide and encourage the indigenous innovation of enterprises, to strengthen statistical analysis and statistical services, and to deepen Customs' collaboration with their international counterparts in facilitating the "going out" efforts of enterprises. The goal is to create a favourable import and export environment for foreign trade enterprises and enhance their competitiveness.
China is not only the world's largest trader in goods, but also the largest service trade deficit country. Recently, the State Council has begun to accelerate the development of key areas and to strengthen the weak links in producer services, promoting industrial restructuring and upgrading. In terms of customs supervision, previously there had been more emphasis on the trade in goods with less of a focus on the trade in services. To promote the development of the trade in services, the GAC has announced that it will "establish and improve a customs supervision model compatible with the features of the trade in services". Taking advantage of its niche in the special customs supervision policy and innovative supervision model, Customs will undertake research into the conditions and criteria for access, modes of supervision, and taxation principles. The goal is to facilitate the development of a trade in services, including the bonded delivery of futures, financing and leasing, and services outsourcing. Customs will support enterprises when it comes to expanding the scope of their after-sale repair services on a pilot basis, while exploring ways to support enterprises in launching global repair operations. Customs will also support those enterprises dealing in producer services, including R&D design, business services, marketing and after-sale services, while promoting the development of producer services related to the processing and manufacturing industries.
The full text of Measures to Support the Steady Growth of Foreign Trade is available in Chinese on the GAC's website at:
- Mainland China
- Mainland China