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on Friday, 19 October 2018
in Business in China

What Effects Will the New Customs Regulation Have?

The General Administration of Customs issued regulation No.56 on the adjustment of manifests and means of water and air transportation for imports and exports in China. The regulation included details on electronic data declaration and filing specifications, amongst other things. The regulation took effect on 1st June 2018. 

 

We will take a look at the main aspects:

 

1. All relevant enterprises shall strictly abide by the Customs Regulations of the People's Republic of China for the Supervision and Administration of Inbound and Outbound Transportation (Order No. 196 of the General Administration of Customs) and the Measures for the Administration of Customs for Entry and Exit of Transport Manifests (Order No. 172 of the General Administration of Customs). The enterprises will need to adhere to the new time limit for the transmission of electronic data for inbound and outbound vehicles and manifests, filing specifications and declare the electronic data of inbound and outbound means of transport and manifests to customs. If the business does not observe the new regulations, its goods will be detained, which will lead to significant additional costs.

2. Where details of the person in charge of the transport’s entry and exit, the service enterprise or the ground agent changes, after the customs records are made, it shall within 10 working days of the change fill out the “Record Change Form” (Annex No. 79 of 2010) and other related materials. Companies can present this new information when submitting their Shipping Instructions. The “my.safmarine.com” website is making adjustments to meet the requirements of this new regulation.

3. Chinese Customs have extended the time limit for when a complete and accurate manifest needs to be submitted. The completed manifest must be sent to the Customs through the electronic manifest management system 24 hours before shipment, a pre-shipment manifest should also be sent, where the goods or articles on board may be identified. After the Customs accepts the main data transmission of the pre-shipment manifest, the manifest sender shall transmit the other data of the pre-shipment manifest to the Customs. Before the loading of goods and articles, the information should be submitted:

(1)  24 hours prior to loading for Container ships;

(2)  2 hours prior for non-container ships;

(3)  4 hours prior for aircrafts.

4. All cargo shall be clearly and completely declared in the manifest. The required data items for the new manifest adjustment include:

(1) Shipper code

(2) Shipper's phone number

(3) Consignee name

(4) Consignee code (when there is a consignee as opposed to an order)

(5) Consignee's phone number (only when there is an actual consignee)

(6) The name of the consignee's specific contact person (when the actual consignee is available)

(7) Consignee's specific contact number (only when the actual consignee is available)

(8) Notifier's code (required when it is an order)

(9) The telephone number of the notifying party (required when it is an order)

It is important to note that the new manifest will not cause sensitive information to be disclosed. Apart from the Consignee name sensitive information is not added to the manifest. After the manifest is sent to the customs, the customs staff must protect the trade secrets and customs work secrets according to the law.

5. The manifest must contain details of the receiver, consignor and notifier. Chinese companies must provide a Unified Social Credit Identifier or Organization Code and their contact details. Overseas companies are required to provide their company code and contact information. China Customs has issued an "Enterprise Code Type Summary Table" for reference. A company can complete the enterprise code declaration according to the index of the country or region in the table. If the country or region is not listed in or the enterprise code type cannot be provided, the legal enterprise registration code of the actual consignee or notifier in the country or region should be filled in.

6. The Customs implements a negative list management on the contents of the “Body Description”. If the manifest is not declared according to the new regulations, the goods will be removed, which will incur significant extra costs.

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