Measures of the PRC for the Customs Comprehensive Bonded Zone

(General Administration of Customs Order No. 256 published on January 1, 2022, shall come into force from April 1, 2022)

Chapter I General Provisions

Article 1 In order to regulate the customs management of the Comprehensive Bonded Zone, and promote a high level of open, high-quality development of the Comprehensive Bonded Zone, the measures are made according to the Customs Law of the People's Republic of China, Import and Export Commodity Inspection Law of the People's Republic of China, Entry and Exit Animal and Plant Quarantine Law of the People's Republic of China, Health and Quarantine Law of the People's Republic of China, Food Safety Law of the People's Republic of China, and relevant laws, administrative regulations and relevant state regulations.

Article 2 The customs houses shall supervise the means of transport, goods and articles entering and exiting the Comprehensive Bonded Zone as well as the enterprises and locations within the  Comprehensive Bonded Zone according to the Measures.

Article 3 The Comprehensive Bonded Zone is managed in a closed manner. No one is allowed to live in the zone except for security personnel.

Article 4 The infrastructure and surveillance facilities shall conform to the regulations of the infrastructure and surveillance facilities and be accepted by the General Administration of Customs jointly with other relevant departments.

Article 5 The following businesses may be engaged in within the bonded zone:

1. Research and development, processing, manufacturing and remanufacturing;

2. Inspection and repairing;

3. Storage of goods;

4. Logistic distribution;

5. Financial leasing;

6. Cross border E-commerce;

7. Commodity display

8. International re-export trade

9. International transit

10. Port operation

11. Futures Bonded Settlement

12. Other businesses approved by the customs house.

Article 6 Customs shall implement computer network management for enterprises in the area to enhance the level of information and intelligent management of the Comprehensive Bonded Zone.

Chapter II Supervision over the Goods Transported between the Comprehensive Bonded Zone and the Overseas Area

Article 7 Unless otherwise provided by laws and regulations, the import and export of goods and articles prohibited by the State shall not be imported or exported between the Comprehensive Bonded Zone and an overseas area.

Article 8 No tariff quotas or licenses shall be applied for goods entering or leaving a Comprehensive Bonded Zone, unless it is otherwise prescribed by any law or administrative regulation, international treaties and agreements concluded or entered into by our country.

Article 9 The consignee and consignor or agent of goods entering or leaving a Comprehensive Bonded Zone shall truthfully declare to the Customs, fill in the record list of inbound and outbound goods and go through the relevant procedures in accordance with the Customs regulations.

Article 10 Goods and their outer packaging and containers entering the Comprehensive Bonded Zone shall be quarantined by the Customs at the port of entry in accordance with the law. For reasons such as restrictions at the port of entry, the Customs may implement quarantine at eligible places (sites) within the zone.

Goods and their outer packaging and containers shipped from the Comprehensive Bonded Zone to overseas shall be quarantined by the Customs in accordance with the law.

The means of transport in and out of the Comprehensive Bonded Zone and abroad shall be quarantined by the Customs in accordance with the relevant regulations on inbound and outbound means of transport.

Article 11 The goods entering a Comprehensive Bonded Zone from an overseas area shall be bonded unless it is otherwise prescribed in Article12 or 14 of these Measures.

Article 12 Unless it is otherwise prescribed by any law or administrative regulation when the following goods enter a Comprehensive Bonded Zone from an overseas area, and the customs house shall exempt them from the import duty and the import-link taxes:

1. The machinery and equipment required for productive infrastructure construction projects within the zone, as well as the infrastructure supplies required for building productive factories and storage facilities;

2. the machinery, equipment and moulds required for the production of the enterprises within the zone, as well as the spare parts for repairing;

3. the office supplies in reasonable quantities as required for the self-use by the enterprises and administrative organs within the zone.

From the date of the State Council's approval of the establishment of the Comprehensive Bonded Zone, the machinery and equipment for the enterprises' own use from outside the country shall be implemented in accordance with the provisions of the preceding articles.

Article 13 The supervision period of the goods listed in Article 12 of the Measures shall be managed with reference to the supervision period of imported duty-free goods, and the supervision shall be automatically lifted if the supervision period expires; if an enterprise applies for an early lifting of supervision before the supervision period expires, it shall be handled with reference to the relevant provisions on the reimbursement of taxes for imported duty-free goods, and the relevant license shall be obtained if it belongs to the management of license documents.

Article 14 Import duties and import taxes shall be levied by the Customs on means of transportation and consumer goods imported from abroad into the Comprehensive Bonded Zone for the self-use of enterprises and administrative agencies in the zone.

Article 15 The export duty shall be exempted for the goods transported to an overseas area from a Comprehensive Bonded Zone, unless it is otherwise prescribed by any law or administrative regulation.

Chapter III Supervision over the Goods Transported between the Comprehensive Bonded Zone and the Outer Area

Article 16 For the goods transported between a comprehensive bonded zone and an outer area, the enterprise within the area, the consignee or consignor within the outer area shall go through the declaration formality at the customs house according to the regulation. If the goods belong to the management of tariff quotas and licenses, enterprises in the region or consignees and consignors outside the region shall obtain tariff quotas and licenses; the Customs shall verify the tariff quotas and carry out automatic system comparison and verification of electronic data of licenses.

Article 17 Unless otherwise provided by laws and regulations, the Customs does not impose quarantine on goods, their outer packaging and containers entering or leaving the Comprehensive Bonded Zone and outside the zone.

Article 18 For goods entering or leaving the Comprehensive Bonded Zone, the enterprises in the zone or the consignee or consignor outside the zone shall pay customs duties and import taxes in accordance with the actual state of the goods at the time of entering or leaving the zone.

When the goods processed and produced by the enterprises in the zone are exported to the domestic market, the enterprises in the zone or the consignee or consignor outside the zone may choose to pay the customs duties according to their corresponding imported materials and pay the interest on the customs duty deferred; the import link tax shall be paid in accordance with the actual state of the goods when they leave the zone.

Article 19 For the goods under the preferential trade treaty as transported from a bonded port area to outer areas, if they conform to the relevant provisions of the General Administration of Taxation on the place of origin, they may enjoy the conventional tariff rate or the most-favored tariff rate upon application.

Article 20 Goods entering the comprehensive bonded zone by way of export declaration shall be bonded; machinery and equipment procured by enterprises in the zone from outside shall be managed with reference to the supervision period of imported duty-free goods and shall be automatically released from supervision upon expiry of the supervision period, and shall not be required to submit permit documents; if enterprises apply for early release from supervision before the expiry of the supervision period, they shall go through relevant procedures with reference to the relevant provisions on the payment of back taxes on imported duty-free goods, and shall not be required to submit permit documents.

Export tax refunds for the goods specified in the preceding paragraph shall be handled in accordance with the relevant state regulations.

Article 21 The enterprises in the zone shall pay taxes on the edges, residues, by-products and packaging materials produced in the process of processing and production, storage and transportation, etc. when they are transported outside the zone for sale, if the residues and by-products belong to the management of tariff quotas and licenses, the enterprises in the zone or the consignees and consignors outside the zone shall obtain tariff quotas and licenses, the Customs shall verify the tariff quotas and the electronic data of the licenses by automatic system comparison.

Article 22 Solid wastes generated by enterprises in the zone that have not been re-shipped out of the country shall be managed in accordance with the relevant provisions on domestic solid wastes. If they need to be transported outside the zone for storage, use or disposal, they should go through the procedures of leaving the zone with the Customs in accordance with the regulations.

Article 23 Enterprises in the zone take the destruction of goods should go through the relevant procedures and disposal costs should be borne by the enterprises. Solid waste generated from the destruction should be in accordance with Article 22 of the measures when leaving the zone.

Article 24 Enterprises in the zone may carry out centralised declaration procedures in accordance with the Customs regulations.

Unless otherwise stipulated by the General Administration of Customs, enterprises in the zone shall make a centralised declaration of goods for the quarter before the 15th day of the month following the end of each quarter, but not later than the closing date of the books of accounts, and not across years.

The tax rate and exchange rate on the date of acceptance of the centralized declaration by the Customs shall apply to the centralized declaration.

Article 25 Goods in transit between a comprehensive bonded zone and other comprehensive bonded zones, other customs special supervision areas or bonded supervision places shall be bonded.

Goods transferred between a comprehensive bonded zone and other comprehensive bonded zones, other special customs supervision areas or bonded supervision places are not levied customs duties and import link taxes.

Chapter IV Supervision over the Goods within the Comprehensive Bonded Zone

Article 26 The goods within a bonded port area may be circulated freely. Where goods are assigned or transferred between two enterprises within the area, both enterprises shall timely report the name, quantity, amount of the assigned or transferred goods as well as other electronic data and information to the customs house for archival filing.

Article 27 Enterprises in the zone may use the duty-free equipment within the supervision period to accept processing business entrusted by enterprises outside the zone.

Enterprises in the zone shall set up a special electronic book for entrusted processing business. If the materials used for the entrusted processing are bonded materials, the enterprises should report to the Customs.

Solid wastes generated by entrusted processing shall be handled in accordance with Article 22 of these Measures.

Article 28 In accordance with the Customs regulations, enterprises in the zone send self-use machinery, equipment, parts, moulds or office supplies outside the zone for testing and repair, during this period shall not be used outside the zone for processing production and should be shipped back to the comprehensive bonded area within 60 days from the date of shipment. If for any reason, the goods cannot be returned as scheduled, the enterprise in the zone shall apply in writing to the Customs for an extension within 7 days prior to the expiry of the period, which shall not exceed 30 days.

If the goods specified in the preceding paragraph cannot be inspected and repaired and returned to the comprehensive bonded zone within the time limit due to special circumstances, they may be returned to the integrated bonded zone within the term of the inspection and repair contract with the consent of the Customs.

In case of replacement of spare parts, the original spare parts shall be transported back to the comprehensive bonded zone; if they are really disposed of outside the zone, the customs shall levy tax in accordance with the actual state of the original spare parts; if the domestic spare parts replaced outside the zone are required to be refunded, the enterprise shall go through the procedures in accordance with the relevant regulations.  

Article 29 If the enterprises in the zone transport moulds, raw materials, semi-finished products, etc. outside the zone for outward processing in accordance with the customs regulations, the period of outward processing shall not exceed the validity of the contract, and the processed goods shall be transported back to the comprehensive bonded zone as scheduled.

If the outward processing of trimmings, residual products and by-products are not transported back to the integrated bonded zone, the Customs shall levy taxes according to the actual state of the goods; if the residual products and by-products belong to the management of tariff quotas and licenses, the enterprises in the zone or the consignees or consignors outside the zone shall obtain tariff quotas and licenses; the Customs shall verify the relevant tariff quotas and the electronic data of the licenses for automatic system comparison and verification.

Article 30 Where the goods in a bonded zone are damaged, destroyed or lost due to force majeure, the enterprise within the area shall immediately report to the customs house. Upon verification and confirmation of the competent customs house, such goods shall be handled according to the following provisions:

1. If the goods are lost or are not lost but have lost their use-value completely, the customs house shall handle formalities for write-off and tax exemption;

2. If the entry goods which export tax refunds have been made are damaged or destroyed and lose partial use-value, the enterprise  may go through the returning formalities at the customs house; and

3. If the goods that are transported to a bonded zone from an outer area are damaged or destroyed, lose their partial use-value, and there is a necessity to replace them to the export enterprise, the enterprise within the area shall go through the returning formalities at the competent customs house.

Article 31 Where the goods are damaged, destroyed or lost due to inappropriate storage or any factor other than force majeure, the enterprise within the area shall immediately report to the competent customs house and explain the situation. Upon verification and confirmation of the competent customs house, such goods shall be handled according to the following provisions:

1. For the goods transported to the bonded zone from an overseas area, the enterprise within the zone shall, according to the provisions on goods imported under general trade, and on the basis of the duty-paid price before the goods as verified by the customs house are damaged, destroyed or lost, pay the duties at the duty rate and exchange rate applicable on the day when the goods are damaged, destroyed or lost; and

2. For the goods that are transported to the bonded zone from an outer area, the enterprise within the zone shall repay the relevant taxes in the domestic link that are refunded due to export, and the customs house shall handle write-off formalities based thereon, and the export duties that have been paid shall not be refunded.

Article 32 Goods applied for relinquishment by enterprises in the zone shall be withdrawn and sold by the Customs in accordance with the law after approval by the Customs and relevant competent authorities, and the proceeds from such sale shall be disposed of according to the relevant state regulations, except for those which may not be relinquished under the laws and regulations.

Article 33 Unless otherwise specified by the state, no time limit of storage may be set down for the goods inside the bonded zone.

Chapter V Supervision over the Enterprises in the Comprehensive Bonded Zone

Article 34 Enterprises and their branches in the zone shall obtain the qualification of market entities and go through registration or filing procedures with the Customs in accordance with the law.

Enterprises engaged in food production in the zone shall obtain domestic production permits in accordance with the law.

Article 35 Enterprises in the zone shall regulate financial management in accordance with the provisions of laws and regulations and set up customs electronic books based on the provisions of the Customs, and the electronic books shall be filed, changed and canceled according to the relevant provisions of the Customs.

Article 36 Customs shall implement an audit and verification system for enterprises in the zone.

The enterprises in the zone shall cooperate with the Customs' audits and verifications and truthfully provide relevant books, documents and other relevant information and electronic data.

Article 37 If the enterprises in the zone are engaged in customs affairs guarantee business, the relevant provisions of customs affairs guarantee shall be implemented.

Chapter VI Supplementary Provisions

Article 38 Inspection of goods entering and leaving the Comprehensive Bonded Zone should be in accordance with the relevant provisions.

Article 39 Transportation means and personnel entering or leaving the Comprehensive Bonded Zone shall enter or leave through designated channels, and the Customs shall carry out inspections as necessary.

For transport services personnel between the Comprehensive Bonded Zone and the outside, the Customs shall supervise the entry and exit of personal belongings in accordance with the relevant regulations for the entry and exit of passenger luggage.

Article 40 Customs supervision in the Comprehensive Bonded Zone shall not affect the performance of the corresponding duties of the local government and other departments in accordance with the law.

Article 41 Except as otherwise provided in laws and regulations, the Customs implements import and export goods trade statistics for goods entering and exiting from outside and comprehensive bonded zones; implements customs individual statistics and customs business statistics for goods entering and exiting from outside and comprehensive bonded zones according to management needs; implements customs business statistics for customs supervision and management activities and internal management matters related to comprehensive bonded zones.

Article 42 Where the pilot VAT general taxpayer status is launched in the zone, the relevant provisions of the pilot VAT general taxpayer status policy shall be implemented.

Article 43 For goods entering the zone within the territory that do not involve export tariffs, do not involve licensing documents, do not require tax refunds and are not included in customs statistics, the Customs implement convenient entry and exit management.

Article 44 Violations of the provisions of these measures shall be punished by the Customs in accordance with the relevant laws and regulations; if they constitute a crime, criminal liability shall be investigated according to law.

Article 45 The requirements of auditing, construction and acceptance, supervision and management in the comprehensive bonded zone should be based on relevant national regulations.

Article 46 The Measures shall be interpreted by the General Administration of Customs.

Article 47 These Measures shall come into effect on April 1 2022. Interim Measures for the Administration of Bonded Port Areas by the Customs of the People's Republic of China issued by Order No. 164 of the General Administration of Customs on September 3 2007, amended by Order No. 191 of the General Administration of Customs on March 15 2010, Order No. 235 of the General Administration of Customs on December 20 2017, Order No. 240 of the General Administration of Customs on May 29 2018 and Order No. 243 of the General Administration of Customs on November 23 2018, and The Measures of the Customs of the People's Republic of China for the Administration of Bonded Logistics Parks issued by Order No. 134 of the General Administration of Customs on November 28 2005 and amended by Order No. 190 of the General Administration of Customs dated March 15 2010, Order No. 235 of the General Administration of Customs dated December 20 2017, Order No. 240 of the General Administration of Customs dated May 29 2018 and Order No. 243 of the General Administration of Customs dated November 23 2018 as shall be repealed at the same time.