DHL Express in China Overview and China Customs regulations/media/IE Singapore/Files/Events... ·...

DHL Express in China

Overview and China Customs regulations

November, 2012

Deutsche Post DHL | Page China Overview | Nov 2012

Content Page

DP-DHL Overview

Country & Macro-Economics Overview

Custom Clearance

Order 33 & 43

Import Regulations

Export Regulations


Content Page

DP-DHL Overview


Custom Clearance

Order 33 & 43

Import Regulations

Export Regulations


China Facts

Economic growth driver

• Growth engine of the world economy and has experienced rapid growth: China 2011 GDP: 9.2% in 2011, totaling

approximately 47.2 trillion CNY according to the government National Bureau of Statistics. 8.9% in 2012

• China is now the 2nd largest economies in the world behind the US

Strong trade activities:

With a total international trade value of US$3.64 trillion–1.9 trillion in exports and US$1.74 trillion in imports (2011)

Factory of the world: World largest producers of toys, leather shoes, automobiles, television, garments

Talent pool:

• Young workforce with a rapidly improving skill set

• Emerging capabilities in research and development: 3C; Pharmacy; Engineering and Manufactory; Fashion

*Source: WTO 4

China

Land Area 9.6 million km²

Population (2011) 1.347 billion

Population Density

(2011) 140 pp/ km²

GDP nominal (2011) RMB 47,156 billion

(€5,777 billion)

GDP per Capita

(2011) RMB 34,999 (€4,288)

China


Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

2011 4.9% 4.9% 5.4% 5.3% 5.5% 6.4% 6.5% 6.2% 6.1% 5.5% 4.2% 4.1%

2012 4.5% 3.2% 3.8% 3.4% 3.0% 2.2% 1.8% 2.0% 1.9%

0%

2%

4%

6%

8%

2009 2010 20112011 Sep

YTD

2012

Sep YTD

(3)2012 RF

(1)GDP 9.2% 10.4% 9.3% 10.7% 7.7% 7.8%

(1)Retail Sales of Consumer Goods 15.5% 18.4% 17.1% 17.0% 14.1% -

(2)Export (in value) -16.0% 31.3% 20.3% 22.7% 7.4% 6.2%

(2)Import (in value) -11.2% 38.7% 24.9% 26.6% 5.0% 7.2%

(2)Export (in weight) - - - - -6.1% -

(2)Import (in weight) - - - - 12.5% -

(1)Fixed Assets Investment 30.1% 24.5% 23.8% 24.9% 20.5% -

(1) Value Added Industry 11.0% 15.7% 13.9% 14.2% 10.0% -

(1)NBS, 2011 GDP w as restated in Sep 2012; (2)CEIC; (3)EIU: updated Oct 11, 2012

5

Detailed Information—Macro Economic Indicators

Key Macro Economic Indicators

Inflation: CPI Inflation: PPI

Data source: (1) CEIC; (2) China Customs; (3) EIU; inflation—NBS

2011 FY: 5.4%

2012 Sep YTD: 2.8%

2011 FY: 6.0%

2012 Sep YTD: -1.5%


2011 6.6% 7.2% 7.3% 6.8% 6.8% 7.1% 7.5% 7.3% 6.5% 5.0% 2.7% 1.7%

2012 0.7% 0.0% -0.3% -0.7% -1.4% -2.1% -2.9% -3.5% -3.6%

-4%

-2%

0%

2%

4%

6%

8%


10.5

21.0

23.1

20.8

14.1 13.9

14.7

15.8

13.4 11.2 10.8

13.0

11.8

9.1

12.1711.4 9.9

22.9

7.0

3.7 5.2

4.3 4.5

3.6 2.9

12.3

22.7

25.6

23.3

15.7 15.3

14.7 13.4

13.8

11.0 10.5 12.5

11.8

9.3

14.4412.8

10.1

24.7

3.8

1.6

4.1 3.3 3.0 1.1 0.9 0

10

20

30

Jan-10 May-10 Sep-10 Jan-11 May-11 Sep-11 Jan-12 May-12 Sep-12

50.4

51

55.1 54.5

49.8

49.2 49 48.749.8

46.9

51.1

51.952.2

50.4

47.546.6 46.6

48.8

40

50

60


New orders New Export Orders

50.5 51

53.1

53.3 50.4 50.2 50.149.2 49.8

48.849.6

48.3

49.3

48.448.2

49.3

47.6 47.9

40

50

60


Official PMI HSBC PMI

6

Detailed Information—PMI & Electricity Consumption

Official PMI vs. HSBC PMI New Order Index vs. New Export Order Index

Electricity Consumption YOY Growth

Total

Industry

Data source: CFLP, CEIC

%


60

80

100

120

140


Qutantum Index Price Index

80

100

120


Qutantum Index Price Index

7

Detailed Information—Foreign Trade Trend

Export Trade Index

Data source: Foreign trade data—CEIC

Import Trade Index

101.3

111.1

104

98.3

0%

15%

30%

45%

0

50

100

150

200

Q1 10

avr

Q2 10

avr

Q3 10

avr

Q4 10

avr

Q1 11

avr

Q2 11

avr

Q3 11

avr

Q4 11

avr

Q1 12

avr

Q2 12

avr

Jul 12

avr

Aug 12

avr

Sep 12

avr

Total Exports in Value

US$ bn YoY 2011 FY

20.3%

2010 FY

31.3% Exports

9.8%

Exports 2012 YTD

7.4%

-15%

0%

15%

30%

45%

60%

75%

0

50

100

150

200

Q1 10

avr

Q2 10

avr

Q3 10

avr

Q4 10

avr

Q1 11

avr

Q2 11

avr

Q3 11

avr

Q4 11

avr

Q1 12

avr

Q2 12

avr

Jul 12

avr

Aug 12

avr

Sep 12

avr

Total Imports in Value

US$ bn YoY 2010 FY

38.9%

2012 YTD

5%

2011 FY

25% Imports

2,3%


Content Page

DP-DHL Overview


Custom Clearance

Order 33 & 43

Import Regulations

Export Regulations


DHL as a Strategic Resource


One Stop Logistics Provider – DHL China


Content Page

DP-DHL Overview


Custom Clearance

Order 33 & 43

Import Regulations

Export Regulations

Deutsche Post DHL | Page China Overview | Nov 2012 12

Introduction to China Customs Import / Export Formalities

This documents serves as a network introduction to the detailed and complex requirements for both imports and

exports to & from China.

Recent customs legislation changes have caused more stringent clearance procedures,

notably through:

1) HS codes on all import / export WPX shipments

2) Customs Registration (“CR”) number

(or appointment of an IOR / EOR (Importer/Exporter of Record) for all inbound & outbound parcel

shipments)

3) Change to Import Deminimis status

whereby if the duty assessment is less than CNY50.00 (approx. USD7.00) the shipment is now deemed

deminimis.

Previously deminimis was based on declared value. The change now causes a Customs declaration to

be calculated and completed to establish the ―deemed duty‖ thus affecting clearance time.)

Document: Order 33

The effect of Order 33 is that a number of our inbound shipments

are no longer Cleared on Arrival.


Introduction to China Customs Import / Export Formalities

Document: Order 43

1. Personal Effects are limited to unaccompanied baggage (luggage or articles transported

separately from passenger) or as commodity / gift sent from private individual to private

individual (sent from relatives or friends) and within a reasonable quantity for personal use.

2. Business to Consumer (B2C) including internet shopping shipments cannot be cleared as

personal effects, instead they should go through general Customs clearance process

(informal / formal) which requires IOR (see prev page).

3. Value limit on Personal Effects shipment is CNY800.00 (approx. USD117.00) from / to Hong

Kong, Macau & Taiwan or CNY1,000.00 (approx. USD147.00) from / to other countries.

4. Shipments that exceed the above value threshold will not be allowed to be cleared as

Personal Effects, except for instances when there is only one single item inside a shipment

and the value for that single item is already over the above value threshold. Those

shipments will then need to be reviewed and approved by Customs on a case by case

basis.


Content Page

DP-DHL Overview


Custom Clearance

Order 33 & 43

Import Regulations

Export Regulations


China Customs Regulations in Express Industry – Import

At the National Government level Customs regulations are clear but at field level they are subject to local interpretation and execution…


Special Notes on Informal / Formal Import Clearance

All inbound parcel shipments to China requires:

A HS code (preferably the first 6-8 digits input at origin), clear written description (compatible

with HS code), and desirably the consignee CR number (if possible, but not mandatory)

The Customs Registration number (CR number) which serves as identifying the consignee as

the Importer of Record (IOR).

Consignee must have IOR (Importer of Record) status with Customs for deminimis, informal &

formal clearance, otherwise consignee needs to appoint a 3rd party agent to act as IOR on

their behalf. (DHL cannot unilaterally appoint an IOR on behalf of the consignee).

Quarantine Certificate (where applicable) e.g. Certificate of Inspection for Goods Inward, China Compulsory

Certificate (3C), etc.

Import Licence (where applicable) e.g. Automatic Import License (for machinery and electrical products, etc. .


Types of Clearance

Types of Clearance:

1. Deminimis Clearance (<CNY50) –All done by DHL

2. Informal Clearance (>CNY 50 – CNY5000) –All done by DHL

3. Formal Clearance (>CNY5000)

Consignee can choose DHL or their own broker to do formal clearances.

If consignee chooses DHL to clear formals, the following paperwork needs to be provided:

- Power of Attorney (with IOR information, description in Chinese) of all items listed on invoice, HS code,

import mode – general import, duty free, etc., Duty/VAT settlement)

- Customs Handbook (where applicable, typically used by manufacturers importing raw materials)

The standard processing time for a Formal Entry is 2 business days, including quarantine declaration. (informal quarantine only, if

formal quarantine required, 1 extra day to be added)

Clearance time could be shortened if the required clearance paperwork are kept on file by gateways with part master file and blank

POA’s.

Consignee’s response time in providing clearance paperwork is crucial for quick clearance.

If consignee is located in a bonded area (FTZ – Free Trade Zone or EPZ – Export Processing Zone), bond transfer clearance will

need to be done by consignee’s appointed broker with extra charge.

Returned To Origin (―RTO‖) is strictly controlled by China Customs. The standard processing time for RTO approval is around 3

weeks – DO NOT Miscode.


Special Notes on Informal / Formal Import Clearance

Customers in China can access the following Customs website addresses to find out the

guidelines and procedures on how to get registered with China Customs to get a CR number for

import and export activities.

This can only be applied at local level in China.

Beijing: http://beijing.customs.gov.cn/tabid/29866/Default.aspx

Shanghai: http://shanghai.customs.gov.cn/Default.aspx?tabid=5771

Guangzhou: http://guangzhou.customs.gov.cn/tabid/4028/Default.aspx

Shenzhen: http://service.customs.gov.cn/default.aspx?tabid=12293


Sample Paperwork – Import


Content Page

DP-DHL Overview


DHL Express

DHL Global Forwarding

DHL Supply Chain

Custom Clearance

Order 33 & 43

Import Regulations

Export Regulations


Content Page

DP-DHL Overview


Custom Clearance

Order 33 & 43

Import Regulations

Export Regulations


China Customs Regulations in Express Industry – Export

At the National Government level Customs regulations are clear but at field level they are subject to local interpretation and execution…


Special Notes on Formal Export Clearance

Formal export declaration is required when value is above CNY5,000 (around US$700.00).

Shipper should have EOR (Exporter of Record) status (i.e. a CR number) with Customs for

formal export declaration, and the following paperwork need to be provided:

- Power of Attorney (with EOR information)

- Export Declaration Form (not more than 5 line items per form)

- Customs Handbook (where applicable)

- Export License (where applicable)

Formal export declaration takes 1 business day, however for shipments originated from East

China cities, same day uplift can be achieved if shipment is collected before cutoff time.

Some customers might have special request to do formal export declaration on their informal

shipments (for tax return or payment remittance purpose), then the 24 hours processing time for

export formality will apply.

When shipper is located in FTZ (Free Trade Zone) or EPZ (Export Processing Zone),

additional FTZ/EPZ declaration and bond transfer with extra charges will be required.


Sample Paperwork – Export


End

Date post:	07-Mar-2018
Category:	Documents
Upload:	dangque
View:	221 times
Download:	3 times

DHL Express in China Overview and China Customs regulations/media/IE Singapore/Files/Events... ·...

Documents