ANNOUNCEMENT 31 Dec 2008

In December 2008, the government of China announced an altered export prohibition.

NUMBER OF INTERVENTIONS

1

  • 0 harmful
  • 0 neutral
  • 1 liberalising
Inception date: 01 Feb 2009 | Removal date: open ended
Still in force

Export ban

On 31 December 2008, the Ministry of Commerce (MOFCOM) and the General Administration of Customs issued the Notice on the Adjustment to the Catalogue of Products Restricted for Processing Trade. 1730 products, inter alia, plastic products, wood products and textiles, (10-digit level) are deleted from the restricted export list. After the adjustment, a total of 500 products remain on the list, including 106 export bans and 394 import bans. The new list will be effective on 1 February 2009.

Processing trade refers to the business activity of importing all or part of the raw and auxiliary materials, parts and components, accessories, and packaging materials from abroad in bond, and re-exporting the finished products after processing or assembly by enterprises within the mainland China.
 
According to the Opinion on Improving the Tax Garuantee System of Processing Trade (Guobanfa '1999' No.35), products restricted from processing trade list in the relevant 'Catalogue' are generally required to actually deposit into the specific bank account the amount equivalent to the customs duties and other VAT levied on the imported products as guarantee, which increases the financial burdens of the producers.
 
 

AFFECTED PRODUCTS

 
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