Previously China only accepted ATA Carnets for Exhibitions and Fairs (EF) which is limited to 6 months … China’s exports have been gradually increasing since 2000 and China became the world’s largest exporter in 2010 and the largest global trader in 2013. With the Internet, it makes it pretty easy to do as such. Equity Joint Venture (EJV) and Contractual Joint Venture (CJV) are the most common types of JVs normally established for foreign entities. We explain these differences in our article, Export Codes: ECCN vs. HS, HTS and Schedule B. Before you export, you need to determine whether your product, technology, or service might need an export license. The main options for entering the Chinese market are: 1. using agents or distributors 2. establishing a presence in China through either setting up a Wholly Foreign Owned Enterprise (WFOE) company, opening a representative office or working with a partner through a Joint Venture 3. exporting directly 4. e-commerce 5. licensing and franchising 6. using a UK-based consolidator/exporter 7. using … © 2020, InterMart, Inc. All Rights Reserved. The ITA is an excellent resource to help you combat problems. This category only includes cookies that ensures basic functionalities and security features of the website. You can also refer to the summary of the programs available through the U.S. Department of Commerce to help U.S. firms develop an intellectual property strategy plan. China regularly enforces its import standards through laws and regulations to ensure national security and protect public health, personal property, and the environment. Over the past 15 years, the share of EU meat products in China has grown steadily. Regulation & Policy 11 On the U.S. Side 11 On the China Side 13 B. IP holders exporting to China must understand how to protect their IP under Chinese law before entering the market, and they should conduct thorough due diligence on potential partners or buyers before entering into any transaction. Restricted party screening (or denied party screening) refers to the process in which a company checks a potential customer or business partner against one or more of the restricted party lists to ensure they are not doing business with a restricted party. Out of these cookies, the cookies that are categorized as necessary are stored on your browser as they are essential for the working of basic functionalities of the website. Best High-Value Product Prospects 17 IV. It is mandatory to procure user consent prior to running these cookies on your website. Chambers of commerce may be a way to help you when exporting to China. goods.". Contact BW today to learn more about the logistics costs of exporting alcohol to China, customs regulations, choices of retailers and distributors, new online and offline marketing and other in-depth services, so that your products can be safely shipped to China , … When your application is approved, AQSIQ will list your company as eligible to export food products into China. When exporting to China, you’ll have to comply with a range of regulations imposed by the Chinese Government. The setup time usually takes only about 2-3 months to establish. Fines for export violations can reach up to $1 million per violation in criminal cases. These license exceptions cover items that fall under the jurisdiction of the Department of Commerce and not items that are controlled by the State Department or some other agency. China customs statistics trade data. Foreign food manufacturers and exporters must register with the State Certification and Accreditation Administration (CAA) if their products are on the regulation list, especially certain items such as meat that must meet additional health requirements. If you are a trading or another non-manufacturing company in China There appeared to a breakthrough in negotiations between the two countries in January 2020 when the two countries announced a Phase One Agreement, in which China agreed purchase an addition $200 billion of U.S.-made goods and services over 2020 and 2021. Yet, this formidable giant gives many small and midsize exporters pause—U.S. Several factors may explain this significant growth, including China joining the WTO in 2001 and an increasing global demand for cheap labor and electronic goods. In this article, I’ll share many facets of exporting to China you can use to help you decide if this market is a good option for you—including the history of U.S. trade with China; the process of exporting to China, including documentation and compliance requirements; and the benefits and considerations for U.S. companies looking to break into the Chinese market. China - Customs Regulations China - Customs Regulations Includes customs regulations and contact information for this country's customs office. You can get help choosing where to export and finding overseas business opportunities.. You may be able to get export insurance or finance to:. The CCC mark is China’s national safety and quality check and is necessary for 23 categories of products. We'll assume you're ok with this, but you can opt-out if you wish. exporter pessimism is evident, especially in light of China’s slowing economic growth, mounting concerns about national security implications of technology supply chains, and U.S. and Chinese retaliatory tariffs. Export Information Guide 11 A. When exporting to China, it’s imperative you check every single restricted party list every time you export. hbspt.cta._relativeUrls=true;hbspt.cta.load(361415, 'f3bf8386-1abe-4460-9fc3-2cbaf59067ca', {}); Exporting to China: What You Need to Know. This information pertains to pet foods, defined as: commercially-processed, finished food (including snacks, treats, or chews) intended for feeding to companion animals (e.g. Last Published: 7/30/2019. If individual products coming into China are on the list, they cannot pass the border until the CCC marks have been obtained. The primary restricted party lists in the United States are published by the Department of Commerce, Department of State, and Department of Treasury. The three basic requirements are that a foreign company or corporation (or similar foreign entity) that has existed for two years must control the Representative Office, a Chief Representative must manage it, and the Representative Office must have an approved working area for a year after the acceptance of the Representative Office by government officials. If you’re an exporter who is considering exporting to China, consider this: Shipping Solutions export documentation software can help you quickly create the necessary documents and stay compliant with export regulations. With all of these factors in mind, should U.S. exporters still consider breaking into the Chinese market? These cookies do not store any personal information. The China National Certification and Accreditation Administration (CNCA) is responsible for China’s conformity assessment policies and organizes compulsory certification and testing of products, including the China Compulsory Certification (CCC) mark. Administrative cases can result in a penalty amounting to the greater of $250,000 or twice the value of the transaction. You can learn more about various chambers in our article, The Chamber of Commerce Role in Exporting. But opting out of some of these cookies may have an effect on your browsing experience. U.S. exporters are required to obtain an End-User Statement from China’s Ministry of Commerce (MOFCOM) for licensed transactions valued over $50,000 as part of the license application process. These distributors can then assist in monitoring and adapting to changes in both local and national regulations and policies while also gathering market data. Unfortunately, the latest data indicates that China is falling short of that goal as of September 2020. China responded with additional tariffs of its own on U.S. goods, and the two countries have battled back and forth ever since. However, several other agencies produce lists as well. Standards, technical regulations and conformity assessment play a vital role in any company’s competitiveness – both at home and in the global marketplace. You also have the option to opt-out of these cookies. While establishing a WFOE is a significantly longer, more complicated, and more costly process than other methods of company formation, WFOEs do not require a Chinese partner and so provide the most freedom to companies by increasing autonomy and efficiency. The article covers: China’s economy is currently the largest economy in the world by purchasing power parity and the second largest economy by nominal GDP, representing a large number of business opportunities for foreign companies exporting to Mainland China. Part 746 of the EAR describes embargoed destinations and refers to certain additional controls imposed by the Office of Foreign Assets Control (OFAC) of the Treasury Department. Food imported to China face a multi-layered food regulatory system that seeks to ensure the quality and safety of the products. Inspection certificate issued by the General Administration of Quality Supervision, Inspection, and Quarantine (AQSIQ) or its local bureau (where applicable). You will need to get evidence of the export within 3 months from the time of sale. For more details, review our Privacy Policy. IMPORTANT NEW REQUIREMENTS FOR EXPORTS (shipping/hand-carrying) TO CHINA, RUSSIA, AND VENEZUELA. This includes paying: 1. Increased competition from Chinese competitors. This guide provides insight to foreign companies on how to export to China. : China considering to end mandatory animal testing for some Cosmetics Once they know why their products are controlled, exporters should refer to the Commerce Country Chart in the EAR to determine if a license is required. Latest China HS Code & tariff for Religious crafts Religious items bronze censer - Tariff & duty, regulations & restrictions, landed cost calculator, customs data for Religious crafts Religious items bronze censer in ETCN. The country became the world's largest exporter in 2010, and the largest trading nation in 2013. In 2018, the Trump Administration imposed a variety of tariffs on Chinese goods in response to what it called unfair trade practices. Certificate of origin signed by a local chamber of commerce, Shipping Solutions Professional export documentation and compliance software, Simplified Network Application Process Redesign. The required letterhead certificate is available as a fillable PDF on the main China IREGs page. Your Europe – Business provides multilingual information and online government services for companies looking for business opportunities inside and outside Europe. Chinese product standards fall into at least one of four categories: Foreign companies must use and adopt these numerous levels of standards to successfully participate in the Chinese market. Any products not in accordance with these requirements will be held at the Chinese border by … Laws, regulations and other measures that called into question the openness of China’s investment regime. Criminal violators may be sentenced to prison for up to 20 years, and administrative penalties may include denial of export privileges. Exporter Guide to China: This report targets those who are completely new to exporting to China. An essential guide for meat exporters and distributors to export to China. Check into them. A Representative Office is not qualified as an independent legal person and its business operations face numerous limitations. The ITA makes it easy to report a problem, allowing you to submit your report online. If you’re VAT registered you can zero-rate the VAT on most goods you export to China. There are two cases to consider here. You can rely on assistance from your in-country allies, including the U.S. Commercial Service office, trade missions, and chambers of commerce. According to the Office of the U.S. Trade Representative, China was the United States' third largest goods export market in 2018. The Chinese government has continued to make strides to open its markets and attract international enterprises and the first China International Import Expo (CIIE) has emerged as a product of this national effort. Otherwise, your products can get sent back, seized, or demolished. Foreign companies looking to enter this growing Chinese market and promote their products need to first consider the local laws in China and determine the most suitable type of company formation for their business. China’s sluggish economic growth: According to most recent data, China’s growth dipped down to 6.6% in 2018, its slowest in nearly 30 years. The promising areas for future growth include: If you do decide that the benefits of exporting to China outweigh the considerations, the best thing about exploring the opportunities to export to China is knowing you don’t need to go it alone. The Department of Commerce announced today new export control actions to prevent efforts by entities in China, Russia, and Venezuela to acquire U.S. technology that could be used in development of weapons, military aircraft, or surveillance technology through civilian supply chains, or under civilian-use pretenses, for military end uses and military end-users. On April 28, 2020,the U.S. Department of Commerce’s Bureau of Industry and Security (BIS) published two new regulations that extend BIS’s oversight of the export, re-export and transfer (in- In this final rule, The Bureau of Industry and Security (BIS) is amending the Export Administration Regulations (EAR) to expand license requirements on exports, reexports, and transfers (in-country) of items intended for military end use or military end users in the People’s Republic of China (China), Russia, or Venezuela. But as anything that is too good to be truefree, innovative and resilientan end usually comes into sight. June 11, 2020 . The Standardization Administration of China (SAC) is the central body in China in charge of developing all national standards. Exporting to China is difficult for many reasons, including the following noted by the American Chamber: U.S. exporters cite “inconsistent regulatory interpretation and unclear laws” as one of the biggest challenges to doing business in China. The China Restriction of Hazardous Substances (China RoHS 2) also prevents hazardous electrical and electronic products from crossing the Chinese border and requires manufacturers to comply with Chinese standards. The export establishments recommended by Canada will be registered by the Certification and Accreditation Administration of the People's Republic of China (CNCA) according to the Regulations for Administration of Registration of Foreign Food Establishments: AQSIQ (General Administration of Quality Supervision, Inspection and Quarantine of the People's Republic of China) Decree 145, 2012. If you find yourself caught in an unfair international trade situation, the ITA is a valuable resource that can expeditiously help you understand and solve your problems. Foreign companies have a wide range of options for employment solutions and establishing a presence in the Chinese market, including Wholly Foreign Owned Enterprises, Representative Offices, Joint Ventures, and other methods of company formation. Striving to ensure full implementation of the regulations, CCIC London is currently working on a new inspection model that would fulfil the latest requirements. Restricted party lists (also called denied party lists). The Bureau of Industry and Security (BIS) is amending the Export Administration Regulations (EAR) to expand license requirements on exports, reexports, and transfers (in-country) of items intended for military end use or military end users in the People’s Republic of China (China). Around 20% of China’s imports from the U.S. need to obtain CCC marks. The following items are prohibited from entering or leaving China. In order to get an export license, the exporter has to fulfill the following conditions: The MOFCOM recognizes the company as an exporter; The company is registered as a Foreign Trade Company (FTC) develop an intellectual property strategy plan. Sharing technology, reviewing blueprints, tours of facilities, and other disclosures of information are considered potential exports under the deemed export rule and should be handled accordingly. EXPORTING TO CHINA GUIDANCE. When exporting to China, it’s imperative you check every single restricted party list every time you export. Export: VAT rebates. 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