ANNOUNCEMENT 11 Dec 2019
December 11th, 2019 - The Chinese customs authority announced a new tax-free import policy for certain sectors.
NUMBER OF INTERVENTIONS
PRC General Administration of Customs, December 11th, 2019. (海关总署公告2019年第196号（关于执行《产业结构调整指导目录(2019年本)》的公告）)
On December 11th, 2019, the Chinese General Administration of Customs released Announcement 2019/196 (hereafter, 'Announcement'), which contained information on implementing actions arising from a new 'Industry Restructuring Guidance Catalogue' released in November of the same year (see related act).
The Announcement stated that for companies that successfully attain recognition as being in the 'encouraged' category of industry, they would be given permission to import 'equipment and spare parts' for self-use, in line with another industrial policy relating to the importation of 'major technical equipment' (see other related act).
The December 2019 Announcement extends this tax-free import policy to any such equipment imported by firms in the 'encouraged' category, even if not included in the tax-free imports catalogue.
The measures contained in the Announcement went into effect from January 1st, 2020.
The Chinese General Administration of Customs (GAC) announced in December 2019 that, in order to carry out the directives in the 'Industry Restructuring Guidance Catalogue', it would be implementing a tax-free import policy for firms registered as being in the 'encouraged' categories of that catalogue (please see related act for detailed information on the catalogue).
While the GAC's December 2019 announcement reduced the import taxes for some firms, it is sector-dependent, representing a discriminatory treatment targeted at firms in these sectors, hence the red evaluation of this intervention.
Along with the catalogue mentioned above, this policy went into effect from the beginning of 2020.
There were a total of 821 specific 'sectors' in the original announcement. This intervention that list using the CPC code system, as per GTA standards.