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Import Trade Statistics

The total value of Chinas import and export in June 2023 was USD 500.02 billion, a decrease of 0.3% compared with May this year, and a decrease of 10.1% compared with June last year; for export, the value of export in June was USD 285.32 billion, an increase of 5.0% compared with May this year, and a decrease of 12.4% compared with June last year; for import, the value of import in June was USD 2 14.70 billion U.S. dollars, compared with May this year decreased by 1.3%, compared with June last year decreased by 6.8%. The goods trade surplus was US$70.62 billion, with a cumulative total of US$408.69 billion from January to June.

Chinas imports of electromechanical products in June 2023 were 5,645.8 (exports 1,163.62) billion yuan, and the cumulative imports of electromechanical products from January to June were 2.9 (exports 6.6) trillion yuan, a decrease of 11.6 (export growth of 6.3) per cent compared with the same period last year; among them, imports of integrated circuits in June were 41.34 (exports 24.15) billion units valued at 2, 16.49 (exports 78.33) billion yuan, 1 to June imports of 1,119.4 (exports 436.10) billion yuan, compared with last years year-on-year decrease of 17.0 (exports decreased by 12.0) per cent. medical equipment imports of 8.37 (exports 10.84) billion yuan in June, 1 to June imports of 47.46 (exports 60.95) billion yuan. This represents an increase of 2.2 (exports up 3.3) per cent over the same period last year.

1.General Administration of Customs Announcement No. 74 of 2023 (Announcement on the Implementation of China-Costa Rica Customs Mutual Recognition of Accredited Operators (AEO))

Issuance Date: 2023-06-26

Effective Date: 2023-07-01

In January 2023, the Customs of China and Costa Rica formally signed the "Arrangement between the General Administration of Customs of the Peoples Republic of China and the Customs Administration of the Republic of Costa Rica on Mutual Recognition of the Enterprise Credit Management System of the Customs of China and the System of Costa Ricas Customs for "Certified Operators"" (hereinafter referred to as the "Arrangement on Mutual Recognition"), which was implemented on 1 July 2023. (hereinafter referred to as the "Mutual Recognition Arrangement"), decided to be formally implemented from 1 July 2023 onwards. The following announcement is made in relation to the relevant matters:

According to the Mutual Recognition Arrangement, China and Colombia mutually recognise each others customs "Authorized Economic Operator" (AEO) and provide customs clearance facilities for goods imported from each others AEO. The Costa Rican Customs recognises the "Authorized Economic Operator" ("AEO") of the other Customs, and facilitates the customs clearance of goods imported from the other AEO. Among them, Costa Rica Customs recognises enterprises certified by China Customs as Authorised Economic Operators (AEOs), while China Customs recognises enterprises certified by Costa Rica Customs under the AEO system as Authorised Economic Operators (AEOs).

In customs clearance of imported goods, the Chinese and Colombian customs authorities shall grant the following customs clearance facilitation measures to each others AEO enterprises: applying lower inspection rates; giving priority to the inspection of goods that require physical inspection; designating customs liaison officers responsible for communicating with and dealing with problems encountered by AEO enterprises in customs clearance; and giving priority to the customs clearance of goods after international trade has been interrupted and resumed.

When exporting goods to Costa Rica, Chinese AEO enterprises need to inform Costa Rican importers of the AEO code (AEOCN + 10-digit enterprise code registered and filed with the Chinese Customs, for example, AEOCN1234567890), which will be declared in accordance with Costa Rican Customs regulations, and Costa Rican Customs will confirm the status of Chinese Customs as an AEO enterprise and give relevant facilitation Measures.

When Chinese enterprises import goods from Costa Rican AEO enterprises, they need to fill in the Costa Rican AEO enterprise code in the column of "Overseas Consignor Code" in the "Overseas Consignor" section of the import declaration and in the column of "Consignor Code" in the water and air cargo manifests respectively. AEO enterprise code" column in the "foreign consignor" column of the customs declaration and "consignor code" column in the water and air cargo manifest, fill in the Costa Rica AEO enterprise code. Fill in the form: "Country code (CR) + AEO enterprise code (12 digits)", for example, "CR123456789012". China Customs confirms the status of Costa Ricas AEO enterprise and grants relevant facilitation measures.

LINK：

http://www.customs.gov.cn/customs/302249/302266/302267/5124529/index.html

2.General Administration of Customs Announcement No. 75 of 2023 (Announcement on Matters Relating to Further Regulating the Management of Bonded Warehouses and Export Supervision Warehouses)

Issuance Date: 2023-06-28

Effective Date: 2023-07-01

In order to further standardize the management of bonded warehouses and export supervised warehouses (hereinafter collectively referred to as "two warehouses"), according to the Provisions of the Customs of the Peoples Republic of China on the Administration of Bonded Warehouses and the Goods Stored in them (promulgated by Order No. 105 of the General Administration of Customs), In accordance with the General Administration of Customs Decree No. 198, No. 227, No. 235, No. 240, No. 263 revised), the Customs Administration of the Peoples Republic of China on the Administration of Export Supervised Warehouses and the Goods Stored in them (promulgated by General Administration of Customs Decree No. 133), Pursuant to Order No. 227, No. 235, No. 240, No. 243, No. 263 of the General Administration of Customs (as amended), the relevant matters are hereby announced as follows:

I. Layout requirements

In order to promote the orderly construction and healthy development of two warehouses, the Customs and Excise Department directly under the Customs and Excise Department will carry out scientific layout, plan the total quantity, control the increment and optimise the stock of two warehouses, and release it to the public. Enterprises applying for the establishment of two warehouses shall meet the layout requirements.

(i) Adapting to local conditions and scientific planning.

In conjunction with local economic development planning, and from the perspective of being conducive to the implementation of the national economic development strategy, connecting the domestic and international markets, and high-quality development, it supports the construction of two warehouses by modern logistics enterprises that have standardised management, good creditworthiness, and information technology systems that meet the requirements of customs supervision.

(ii) Needs-based and integrated.

Taking into account the current situation of the development of the two warehouses and the future incremental demand, coordinating the development and staggered layout with the special customs supervision areas and bonded logistics centres to ensure a reasonable functional positioning, boosting the extension and iterative development of the international logistics chain, and driving the transformation and upgrading of the domestic logistics industry.

(iii) Orderly progress and dynamic management.

Customs to establish a scientific and standardised dynamic management mechanism to encourage enterprises to set up and cancel two warehouses reasonably, to avoid waste of resources and homogeneous competition; the two warehouses of the lower utilization rate of the region does not support the establishment of new warehouses, and guide enterprises to make full use of the existing bonded warehousing resources.

II. Regulating operations

(a) In addition to the storage of bulk commodities and liquid goods in two warehouses, the entry and exit of goods in two warehouses should be sent to the Customs to confirm the arrival of the information. Warehouse operators in the two warehouses within 24 hours of the completion of the actual entry and exit of goods, through the bonded logistics management system of the second phase of the Golden Pass to the Customs to report to the arrival of the confirmation of the release of the checklist. If it takes more than 24 hours to report, it shall take the initiative to explain the relevant situation to the Customs. If the Customs deems it necessary to strengthen its management, it may require the enterprises operating the two warehouses storing bulk commodities and liquid goods to carry out arrival confirmation in accordance with the above requirements.

(b) Bonded warehouse goods have been completed customs procedures or export supervision warehouse goods have been completed to import procedures, the consignee or consignor should be completed within 20 days from the date of the relevant procedures to withdraw from the warehouse. Under special circumstances, with the consent of the Customs and Excise Department can be postponed, after the extension of the cumulative time limit shall not exceed three months.

(c) If the two warehouses apply for cancellation, the warehouse operator shall complete the procedures for the import of goods for taxation, reshipment, return of goods to the country, return of goods to the warehouse, departure from the country or destruction of goods from the warehouse, and complete the procedures for the cancellation of the list of nodules, the business declaration form, the entry and exit slips, the guarantees and other documents.

III. Setting norms

For the new application for the establishment of two warehouses, in accordance with the "Bonded Warehouses, Export Supervision Warehouses Setting Specification" (see Annex for details, hereinafter referred to as the "Setting Specification") for the construction. For the two warehouses established before 1 July 2023, if there is inconsistency with the "setup specifications", it should be rectified in a timely manner and completed before 30 June 2025 (during the expiry of the certificate of registration of the warehouse, upon application by the enterprise, in line with the provisions of the extension in addition to the "setup specifications", it will be extended first), if not completed, the certificate of registration of the warehouse will not be extended upon expiry of the validity period.

LINK：

http://www.customs.gov.cn/customs/302249/302266/302267/5130705/index.html

3.General Administration of Customs Announcement No. 76 of 2023 (Announcement on the Adjustment of the Requirements for Technical Characteristics Related to the Import and Export Commodity Classification of Small Sedans and Off-road Vehicles)

Issuance Date: 2023-06-28；

Effective Date: 2023-07-01；

According to the national standard "Terminology and Definitions of Automobiles, Trailers and Automobile Trains" (GB/T 3730.1-2022, which will be implemented on 1 July 2023, hereinafter referred to as "the new standard of 2022"), the technical characteristics requirements to be met for the classification of small cars and SUVs in the "Annotations to National Subheadings of the Import and Export Tariff of the Peoples Republic of China (2017 Adjusted Part)" (Annex 1 of Announcement No. 16 of the General Administration of Customs 2017) are adjusted as follows (Adjusted Part 2017) (Annex 1 of General Administration of Customs Announcement No. 16 of 2017), the technical characteristic requirements to be met for the classification of small cars and buggies are adjusted as follows:

Small cars classified under tariff code number 8703.2361 shall fulfil the technical characteristics requirements of the new standard for 2022 under the headings "a)" and "b)" of "4.1.1 Sedans", notes 1 to 3, and the requirements of the new standard for 2022 under the headings "4.1.1 Sedans". (b) "a)" and "b)", notes 1 to 3 of the new standard for 2022.

Off-road vehicles classified under tariff code 8703.2362 shall fulfil the technical characteristics requirements of the new 2022 standard under "4.1.3 Off-road passenger vehicles", "a)", "b)", "c)", "d)", Note 1, and "4.1.4 Off-road passenger vehicles". "c)" "d)", Note 1.

LINK：

http://www.customs.gov.cn/customs/302249/302266/302267/5130724/index.html

4.Ministry of Commerce General Administration of Customs Announcement No. 23 of 2023 (Announcement on Export Controls on Gallium and Germanium Related Items)

Issuance Date: 2023-07-03

Effective Date: 2023-08-01

In accordance with the relevant provisions of the Export Control Law of the Peoples Republic of China, the Foreign Trade Law of the Peoples Republic of China and the Customs Law of the Peoples Republic of China, and in order to safeguard national security and interests, it has been decided, with the approval of the State Council, that export controls will be imposed on gallium and germanium-related items. The relevant matters are announced below:

I. Items that fulfil the following characteristics may not be exported without a licence:

(i) Gallium-related items.

1. Gallium metal (monomers) (Reference Customs Commodity Numbers: 8110929010, 8112929090, 8112999000).

2. Gallium nitride (including but not limited to wafers, powder, scrap and other forms) (refer to Customs Commodity Numbers: 2850001901, 3818009001, 3825690001).

3. Gallium oxide (including but not limited to polycrystalline, monocrystalline, wafers, epitaxial wafers, powder, scrap and other forms) (refer to Customs Commodity Nos. 2825909001, 3818009002, 3825690002).

4. Gallium phosphide (including but not limited to polycrystalline, monocrystalline, wafers, epitaxial wafers and other forms) (refer to Customs Commodity Numbers: 2853904030, 3818009003, 3825690003).

5. Gallium arsenide (including but not limited to polycrystalline, monocrystalline, wafers, epitaxial wafers, powder, crushed materials and other forms) (Reference Customs Commodity Numbers: 2853909026, 3818009004, 3825690004).

6. Indium Gallium Arsenic (Reference Customs Commodity Numbers: 2853909028, 3818009005, 3825690005).

7. Gallium selenide (including but not limited to polycrystalline, monocrystalline, wafers, epitaxial wafers, powders, crushed materials and other forms) (refer to Customs Commodity Nos. 2842909024, 3818009006, 3825690006).

8. Gallium antimonide (including but not limited to polycrystalline, monocrystalline, wafers, epitaxial wafers, powders, crushed materials and other forms) (refer to Customs Commodity Nos. 2853909029, 3818009007, 3825690007).

(ii) Germanium-related items.

1. Metallic germanium (monomers, including but not limited to crystals, powders, fragments and other forms) (Reference Customs Commodity Numbers: 8112921010, 8112921090, 8112991000).

2. Zone-fused germanium ingots (Reference Customs Commodity Number: 8112921090).

3. Zinc phosphogermane (including but not limited to crystals, powder, crushed material and other forms) (refer to Customs Commodity Numbers: 2853904040, 3818009008, 3825690008).

4. Germanium Epitaxial Growth Substrate (Reference Customs Commodity Number: 8112921090).

5.Germanium Dioxide (Reference Customs Commodity Numbers: 2825600002, 3818009009, 3825690009).

6.Germanium tetrachloride (Reference Customs Commodity Numbers: 2827399001, 3818009010, 3825690010).

Secondly, export operators shall apply for export licences in accordance with the relevant provisions, submit applications to the Ministry of Commerce through the competent provincial commerce departments, fill in the application forms for the export of dual-use items and technologies and submit the following documents:

(i) The original of the export contract or agreement or a copy or scanned copy consistent with the original;

(ii) Technical description or test report of the items to be exported;

(iii) End-user and end-use certification;

(iv) Importer and end-user profiles;

(e) Proof of identity of the applicants legal representative, main business manager and the person in charge.

III. The Ministry of Commerce shall, from the date of receipt of the export application documents for examination, or in conjunction with the relevant departments for examination, and within the statutory time limit to make a decision on the granting or denial of licences.

The Ministry of Commerce, together with the relevant departments, shall report to the State Council for approval the export of items listed in this announcement that have a significant impact on national security.

IV. The Ministry of Commerce shall issue licences for the export of dual-use items and technologies (hereinafter referred to as export licences) if such licences are granted after examination.

V. The procedures for the application and issuance of export licences, the handling of special cases and the retention period of documents and information shall be implemented in accordance with the relevant provisions of Decree No. 29 of 2005 of the Ministry of Commerce and the General Administration of Customs (Measures for the Administration of Import and Export Licences for Dual-use Items and Technologies).

Sixth, export operators shall issue export licences to the Customs, in accordance with the provisions of the Customs Law of the Peoples Republic of China for customs procedures, and accept customs supervision. The Customs shall handle the inspection and release procedures with the export licences issued by the Ministry of Commerce.

VII. If an export operator exports without a licence, exports beyond the scope of the licence or commits other violations, the Ministry of Commerce or the Customs and Excise Department or other departments shall impose administrative penalties in accordance with the provisions of the relevant laws and regulations. If it constitutes a crime, criminal responsibility shall be investigated according to law.

VIII. The present bulletin shall come into operation on 1 August 2023.

LINK：

http://www.customs.gov.cn/customs/302249/2480148/5135006/index.html

Policy Analysis:

As one of the third-generation semiconductor materials, gallium nitride, and excellent semiconductor germanium, are important strategic metal resources, in the semiconductor materials, new energy and other fields, gallium is known as the "semiconductor industry, the new food". And China is also gallium, germanium metal in the worlds largest producer, exporter.

According to the announcement, items meeting the following characteristics shall not be exported without permission: firstly, gallium-related items, including gallium metal, gallium nitride, gallium oxide, gallium phosphide, gallium arsenide, indium gallium arsenic, gallium selenide, gallium antimonide; and secondly, germanium-related items, including germanium metal, germanium ingots with zone melting, germanium-zinc phosphide, germanium epitaxial growth substrates, germanium dioxide, germanium tetrachloride.

According to public information, at present, Chinas gallium metal consumption areas include semiconductor and photovoltaic materials, solar cells, alloys, medical devices, magnetic materials, etc., of which the semiconductor industry has become the largest consumer of gallium, accounting for about 80% of the total consumption. With the rapid development of gallium downstream application industry, especially the semiconductor industry and solar cell industry, the future demand for gallium metal will also grow steadily.

In addition to gallium, germanium is also an excellent semiconductor, can be used as a high-frequency current detection and rectification of alternating current. Public information shows that germanium has a variety of special properties, in the semiconductor, aerospace measurement and control, nuclear physics detection, optical fibre communications, infrared optics, solar cells, chemical catalysts, biomedicine and other fields have a wide range of important applications, is an important strategic resource. It can also be used as a catalyst in the electronics industry, in alloy pretreatment, and in the optical industry.

In terms of national production, China accounts for the highest share of global gallium production. As of 2021, Chinas share of global gallium production has exceeded 90%. Some data show that in the world, the reserves of gallium is about 279,300 tonnes, Chinas reserves up to 190,000 tonnes, occupying 72% of the total, ranking first in the world, but the product is mostly exported as a primary processed product.

5.Notice of the General Administration of Customs on the Public Consultation on the Announcement of the General Administration of Customs on Matters Relating to the Handling of Proactive Disclosure Violations (Exposure Draft)

Issuance Date: 2023-06-29

Effective Date: 2023-06-29

In order to further optimise the business environment, better stimulate the innovation vitality of enterprises, and continuously release the policy dividend of "stabilising the scale and optimising the structure" of foreign trade, the General Administration of Customs (GAC) has drafted the Announcement of the General Administration of Customs on Matters Relating to the Handling of Proactive Disclosure of Non-compliant Behaviours (draft for comments). In order to better protect the legitimate rights and interests of citizens, legal persons or other organisations, and in accordance with the provisions of the Circular of the General Office of the State Council on Strengthening the Formulation and Supervision and Management of Administrative Normative Documents (Guo Ban Fa 【2018】 No. 37), it is hereby solicited for extensive comments from the public. The public can put forward modification opinions and suggestions through the following ways and means:

I. Log on to the website of the General Administration of Customs (website: http://www.customs.gov.cn), and enter the system of "Home > Interactive Communication > Collection of Opinions" to submit opinions.

II. E-mail: yangxiaotong@customs.gov.cn.

Thirdly, the correspondence should be addressed to the Department of Inspection of the General Administration of Customs, No. 6Jianguomennei Street, Beijing, China, Postal Code: 100730, and the surface of the envelope should be marked with "Suggestions on the Announcement of the General Administration of Customs on Matters Relating to Handling of Proactive Disclosure of Irregularities" (draft for comments).

The deadline for feedback on the proposals is 29 July 2023.

LINK:

http://www.customs.gov.cn/customs/302452/302329/zjz/5128347/index.html

Policy Analysis:

The revision is centred around three main points:

First, the scope of application of proactive disclosure should be further expanded.

Secondly, the time limit for proactive disclosure is further relaxed.

Thirdly, further relaxation of the conditions for the "same" customs violation to be disclosed to the Customs on its own initiative again.

6.The State Council issued Several Measures on Piloting International High Standards and Promoting Institutional Liberalisation in Conditional Pilot Free Trade Zones and Free Trade Ports

Issuance Date: 2023-06-30

Effective Date: 2023-06-30

The State Council has recently issued Several Measures on Pilot Docking to International High Standards and Promoting Institutional Liberalisation in Conditional Pilot Free Trade Zones and Free Trade Ports (hereinafter referred to as Several Measures), taking the lead to pilot docking to international high standards and economic and trade rules and steadily expanding institutional liberalisation in conditional Pilot Free Trade Zones and Free Trade Ports of Hainan, such as those in Shanghai, Guangdong, Tianjin, Fujian, Beijing, and so on.

Guided by Xi Jinpings Thought of Socialism with Chinese Characteristics for a New Era, the Certain Measures give full play to the role of the comprehensive test platform for reform and opening-up of the pilot free trade zones and free trade harbours, deepen reforms in key areas in line with international high-standard rules on economy and trade, and actively promote institutional innovations, so as to explore paths for opening-up at a higher level and accumulate experience.

The Certain Measures focus on six areas, including trade in goods, trade in services, temporary entry of business people, digital trade, business environment, risk prevention and control, and propose specific pilot measures and risk prevention and control initiatives.

First, promoting the innovative development of trade in goods. These include the launching of pilot projects for the import of remanufactured products in key industries, the exemption of tariffs on aircraft and ships temporarily exported for repair and reshipment into the Hainan Free Trade Port, the temporary exemption of specific goods from tariffs and import-related value-added and consumption taxes, the expeditious decision on extension applications before the expiry of the validity period of advance rulings, and the implementation of measures such as the self-declaration of supply-side compliance with the relevant standards for imported information technology equipment and products.

Second, promoting the free and convenient trade in services. These include measures such as allowing financial authorities to make decisions on applications by financial institutions to carry out relevant financial services within 120 days in accordance with the principle of internal and external consistency, allowing foreign-funded financial institutions to carry out new financial services of the same kind as those provided by Chinese-funded financial institutions, allowing relevant enterprises and individuals to purchase a certain number of types of offshore financial services across the border in accordance with the law, and establishing and improving procedures for the evaluation and assessment of the competence of offshore professionals.

Third, facilitating the temporary entry of business personnel. These measures include allowing the accompanying spouses and family members of experts transferred within foreign-invested enterprises to enjoy the same entry and temporary stay periods as those of the experts, and relaxing the entry and temporary stay periods for senior managers and accompanying spouses and family members of the relevant foreign enterprises.

Fourth, promoting the healthy development of digital trade. These include measures to improve the system for protecting the rights and interests of consumers in online commercial activities, and measures to prevent relevant departments and their staff from requiring the transfer of, or access to, the source code of mass-market software as a condition for importation and sale.

Fifthly, efforts to optimise the business environment have been stepped up. This includes specific measures to optimise the business environment in areas such as government procurement, intellectual property rights, competition policy and environmental protection.

Sixth, improving the risk prevention and control system. This includes the establishment of a sound system for the identification of major risks and the prevention of systemic risks, the development of a sound safety assessment mechanism, the strengthening of risk prevention and mitigation, the implementation of risk prevention and control responsibilities, and the strengthening of pre-event and post-event supervision and other measures.

LINK:

http://www.mofcom.gov.cn/article/xwfb/xwrcxw/202306/20230603419304.shtml

Policy Analysis:

The Certain Measures specify that the pilot areas shall allow all transfers related to the foreign investors investment that are genuine and legitimate to be freely remitted to and from the pilot areas without delay. Such transfers include: capital contributions; profits, dividends, interest, capital gains, royalties, management fees, technical guidance fees and other fees; proceeds from the sale of the investment, in whole or in part, or from the liquidation of the investment, in whole or in part; payments made pursuant to a contract, including a loan agreement; compensation or reimbursement received in accordance with the law; and payments arising from dispute resolution.

In order to promote the innovative development of trade in goods, the Several Measures propose to support pilot regions to carry out pilot projects for the import of remanufactured products in key industries. Relevant imported products are not subject to Chinas relevant measures to prohibit or restrict the import of old products, but should comply with all applicable national technical requirements for equivalent new products (including but not limited to quality characteristics, safety and environmental performance, etc.) and the relevant provisions of the remanufactured products, and prominently marked with the words "remanufactured products".

The Certain Measures specify that the accompanying spouses and family members of experts transferred within a foreign-invested enterprise in the pilot region are allowed to enjoy the same period of entry and temporary stay as that of the expert. The validity period of the temporary entry stay of the relevant senior management personnel of foreign enterprises that intend to set up branches or subsidiaries in the pilot region is relaxed to two years, and the accompanying spouses and family members are allowed to enjoy the same period of entry and temporary stay as they do.

The Several Measures propose that, in promoting the healthy development of digital trade, for the import, distribution, sale or use of mass-market software (excluding software used for critical information infrastructure) and software products containing such software, the relevant departments and their staff shall not require as a condition the transfer of, or access to, the source code of the relevant software owned by an enterprise or individual. Pilot regions are supported in improving consumer protection systems and prohibiting fraud and commercial fraud that cause damage or potential damage to consumers in online commercial activities.

The Measures also require that the pilot areas should establish and improve systems for the identification of major risks and the prevention of systemic risks, and that the Ministry of Commerce, in conjunction with the relevant departments, should strengthen coordination, guidance and assessment, enhance analysis and judgement of various types of risks, and strengthen the investigation, dynamic monitoring and real-time early warning of security risks.

In addition, to improve the security assessment mechanism, the Ministry of Commerce, in conjunction with relevant departments and localities, will follow up on the progress of the pilot project in a timely manner, analyse and assess new situations and problems in the light of changes in the external environment and the trend of the international situation, and, depending on the level of risk, will take measures to adjust, suspend or terminate the pilot project, so as to continuously optimize the pilot project implementation measures.

7.CNCA Announcement No. 10 of 2023 "CNCA Announcement on the Issuance of Rules for the Implementation of Compulsory Product Certification of Electronic Products and Safety Accessories".

Issuance Date: 2023-06-28

Effective Date: 2023-06-28

According to the "General Administration of Market Supervision on the optimization of the mandatory product certification catalogue announcement" (No. 18 of 2020), "General Administration of Market Supervision on the part of electronic and electrical products are no longer mandatory product certification management announcement" (No. 34 of 2022), "General Administration of Market Supervision on the implementation of mandatory product certification management of lithium-ion batteries and other products announced" (No. 10 of 2023) to the Electronic products and safety accessories mandatory product certification scope of adjustment and optimisation results, CNCA formulated the "Implementation Rules for Compulsory Product Certification Electronic Products and Safety Accessories" (CNCA-C09-01: 2023) (see annex, hereinafter referred to as the new version of the rules). The relevant requirements are announced as follows:

First, the new version of the rules from 1 August 2023 onwards. The Implementing Rules for Compulsory Product Certification for Audio and Video Equipment (CNCA-C08-01:2014), the Implementing Rules for Compulsory Product Certification for Information Technology Equipment (CNCA-C09-01:2014), and the Implementing Rules for Compulsory Product Certification for Telecommunications Terminal Equipment (CNCA-C16-01:2014) are repealed at the same time.

Second, the relevant designated certification body shall be based on the new version of the rules and mandatory product certification general implementation rules, the development of the corresponding certification and implementation details, to the national commission for the record before the new version of the rules in accordance with the implementation of the certification and the issuance of certificates.

Third, previously issued a valid compulsory product certification can continue to use the certificate of conversion to take the expiry of the certificate, product changes, standards and other natural transition to complete.

LINK:

https://www.cnca.gov.cn/zwxx/gg/2023/art/2023/art_6d451c4883ca4251b56097b04e06e108.html

8.General Administration of Customs Announcement No. 82 of 2023 (Announcement on Matters Relating to the Upgrading of the Electronic Networking of China and New Zealand of Origin)

Issuance Date: 2023-07-04

Effective Date: 2023-07-05

In order to further facilitate the customs clearance of goods under free trade agreements, the upgraded function of the China-New Zealand Electronic Information Exchange of Origin System (EIEOIS) has been put online since 5 July 2023, fully realising the electronic data exchange of certificates of origin and declarations of origin (hereinafter collectively referred to as "certificates of origin") issued by New Zealand under the Regional Comprehensive Economic Partnership (RCEP), the China New Zealand Free Trade Agreement (hereinafter referred to as "China-New Zealand FTA"), and fully realise the electronic data transmission of certificates of origin and declarations of origin (hereinafter referred to as "certificates of origin") issued by New Zealand under RCEP and the China-New Zealand Free Trade Agreement (hereinafter referred to as "CNZ FTA"). The relevant matters are announced as follows:

If the consignee of imported goods or its agent (hereinafter collectively referred to as importer) applies for enjoyment of RCEP or the agreed tariff rate of the China-New Zealand FTA with the certificate of origin issued by New Zealand at the time of importation of the goods, it is not necessary to file the declaration through the "Declaration System for Preferential Trade Agreements Elements of Origin" or upload the certificate of origin electronically, if the "declaration system for Preferential Trade Agreements Elements of Origin" is selected as the "Paperless Customs Clearance" according to the provisions of the Announcement of the General Administration of Customs No. 34 of 2021. When choosing the "paperless customs clearance" mode of declaration in accordance with Notice No. 34 of 2021 of the General Administration of Customs, it is not necessary to fill in the electronic data of the certificate of origin and the commitment matters of the direct transport rules through the "Preferential Trade Agreements Declaration System of Elements of Origin", or upload the certificate of origin electronically.

For those cases where the system prompts that there is no electronic information on the certificate of origin, during the period from 5 July 2023 to 31 December 2023, the importer may, in accordance with the relevant provisions of General Administration of Customs Announcement No. 34 of 2021, enter the electronic information on the certificate of origin and direct transport rules commitment matters and upload the certificate of origin by electronic means through the "Preferential Trade Agreements Elements Declaration System"; from 1 January 2024 onwards, the importer shall apply for the corresponding tax guarantee procedures in accordance with the regulations. The importer can enter the electronic information of the certificate of origin and the direct transport rule commitment matters through the "Declaration System of Elements of Preferential Trade Agreement" and upload the certificate of origin electronically; from 1 January 2024 onwards, the importer shall apply for the corresponding tax guarantee procedures in accordance with the regulations.

The importer chooses "paper customs declaration" mode of declaration, in the declaration of imports should be submitted to the certificate of origin paper documents.

Export declarations are handled in accordance with General Administration of Customs Announcement No. 34 of 2021.

This Notice shall come into operation on 5 July 2023. As of the date of implementation of this Notice, General Administration of Customs Notice No. 84 of 2016 is repealed.

LINK:

http://www.customs.gov.cn/customs/302249/2480148/5137436/index.html

9.Announcement of the Ministry of Finance, the State Administration of Taxation and the Ministry of Industry and Information Technology on the Continuation and Optimisation of Vehicle Purchase Tax Reduction and Exemption Policies for New Energy Vehicles

Issuance Date: 2023-06-19

In order to support the development of new energy automobile industry and promote automobile consumption, the following announcement is made on matters relating to the continuation and optimisation of the vehicle purchase tax exemption and reduction policy for new energy automobiles:

New energy vehicles with acquisition dates between 1 January 2024 and 31 December 2025 are exempted from vehicle acquisition tax, of which the tax exemption amount does not exceed 30,000 yuan per new energy passenger vehicle; new energy vehicles with acquisition dates between 1 January 2026 and 31 December 2027 are subject to a 50% reduction in vehicle acquisition tax, of which the tax reduction amount does not exceed 15,000 yuan.

The date of acquisition is determined in accordance with the date of issuance of a valid document such as a uniform motor vehicle sales invoice or a special customs duty payment certificate.

New energy vehicles enjoying the vehicle purchase tax reduction and exemption policy refer to pure electric vehicles, plug-in hybrid (including programmable) vehicles and fuel cell vehicles that meet the technical requirements for new energy vehicle products. The technical requirements for new energy vehicle products are formulated by the Ministry of Industry and Information Technology, in conjunction with the Ministry of Finance and the State Administration of Taxation, in accordance with the technological progress of new energy vehicles, the development of the standard system and the changes in vehicle models.

New energy passenger vehicle means a new energy vehicle designed, manufactured and technically characterised primarily for the carriage of passengers and their accompanied baggage and/or temporary goods, with a maximum of nine seats, including the drivers seat.

Second, when the seller sells new energy vehicles in the "power exchange mode", if the new energy vehicles without power batteries and the power batteries are accounted for separately and invoiced separately, the tax excluded price set out in the Unified Motor Vehicle Sales Invoice obtained by the vehicle purchaser for the purchase of new energy vehicles without power batteries will be used as the taxable price of the vehicle purchase tax.

New energy vehicles in the "power exchange mode" should meet the technical standards and requirements related to power exchange, and new energy vehicle manufacturers should be able to provide power exchange services for users on their own or on behalf of a third party.

Thirdly, in order to strengthen and standardize the management, the Ministry of Industry and Information Technology and the General Administration of Taxation have implemented the management of new energy vehicle models enjoying the reduction or exemption of vehicle purchase tax through the issuance of the Catalogue of New Energy Vehicle Models with Reduced or Exempted Vehicle Purchase Taxes (hereinafter referred to as "the Catalogue"). After the issuance of the Catalogue, the purchase of new energy vehicles listed in the Catalogue will be entitled to the vehicle purchase tax reduction and exemption policy in accordance with the regulations.

For new energy vehicles that have been included in the Catalogue, when uploading the Certificate of Conformity of the Motor Vehicle or the Vehicle Electronic Information Sheet of the Imported Motor Vehicle (hereinafter referred to as the electronic information of the vehicle), the new energy vehicle manufacturer or the distributor of the imported new energy vehicle (hereinafter referred to as the automobile enterprise) shall mark "Yes" (i.e., tax relief marking) in the "Whether it is a Power Exchange Mode new energy vehicle". (i.e. tax exemption and reduction mark); for new energy vehicles with "power exchange mode" that have been listed in the Catalogue, the "whether it is a power exchange mode new energy vehicle" should also be marked in the "whether it is a power exchange mode new energy vehicle" field. For new energy vehicles that have been listed in the Catalogue with "power switching mode", the field "whether it is a new energy vehicle with power switching mode" should also be marked with "yes" (i.e., the logo of power switching mode). The Ministry of Industry and Information Technology verifies the tax exemption mark and the power exchange mode mark in the electronic information of the vehicle uploaded by the automobile enterprise, and transmits the information that has passed the verification to the State Administration of Taxation. The tax authorities will handle the vehicle purchase tax reduction or exemption procedures based on the verified tax exemption mark, power exchange mode mark and the unified motor vehicle sales invoice (or valid vouchers) of the Ministry of Industry and Information Technology.

Fourth, automobile enterprises shall ensure that the electronic information of vehicles is consistent with the vehicle products, and the seller shall issue invoices truthfully, and any loss of vehicle purchase tax due to the provision of false information or data shall be dealt with in accordance with the Law of the Peoples Republic of China on Administration of Taxation and Collection and its implementing rules.

LINK:

http://www.chinatax.gov.cn/chinatax/n371/c5205526/content.html

Policy Analysis:

The announcement proposes to exempt vehicle purchase tax from 1 January 2024 to 31 December 2025, i.e., the first two years will continue to be exempted; and to reduce vehicle purchase tax by half from 1 January 2026 to 31 December 2027, i.e., the second two years will be reduced by half. At the same time, a reduction or exemption limit is set for the reduction or exemption of vehicle purchase tax for new energy passenger cars. For new-energy passenger vehicles with an acquisition date between 1 January 2024 and 31 December 2025 that are entitled to exemption from vehicle acquisition tax, a limit of 30,000 yuan has been set; for new-energy passenger vehicles with an acquisition date between 1 January 2026 and 31 December 2027 that are entitled to a 50% reduction in the levy, a limit of 15,000 yuan has been set.

The current policy focuses on supporting and encouraging mass consumption. Preliminary estimates indicate that, with the implementation of the extended policy, the total scale of vehicle purchase tax reductions and exemptions from 2024 to 2027 will reach RMB 520 billion. By dynamically raising the technical threshold for enjoying the vehicle purchase tax reduction and exemption policy and improving catalogue management measures accordingly, the incentive effect of taxation can be better brought into play to support the high-quality development of new energy vehicles.

10.Pakistan lifts import restrictions to meet IMF requirements

Issuance Date: 2023-06-24

The State Bank of Pakistan (SBP) issued a notification on 24 June lifting all the countrys import restrictions on food, energy, industry and agriculture sectors to meet the requirements of the International Monetary Fund (IMF) for resumption of lending. The federal government has allowed banks to provide remittance services for all imports.

In addition, Pakistan will revise its budget for the next fiscal year to appease the International Monetary Funds concerns over taxes. Pakistans Finance Minister Ishaq Dar said in parliament on Saturday that after three consecutive days of discussions with the IMF, the country plans to introduce new taxes that will raise revenues by 215 billion rupees ($750 million) to 9.4 trillion rupees.

LINK:

https://baijiahao.baidu.com/s?id=1769596878545665619&wfr=spider&for=pc

Policy Analysis:

The State Bank of Pakistan (SBP) issued a notification on 24 June lifting all the countrys import restrictions on food, energy, industry and agriculture sectors to meet the requirements of the International Monetary Fund (IMF) for resumption of lending. At the same time, Pakistan has also withdrawn its directive requiring prior permission for the import of various products. The federal Government has allowed banks to provide remittance services for all imported products.

At present, China is Pakistans first major source of imports and the second largest export destination. However, Pakistans high domestic inflation, the economy is in trouble, the current foreign exchange reserves are only enough to meet the four weeks of imports, with which there are trade transactions of foreign trade enterprises, should pay attention to the control of trade risks, especially the risk of receipt and payment.

11.General Administration of Market Supervision on the implementation of the "measurement of quantitatively packaged goods supervision and management measures" related to the situation of the announcement

Issuance Date: 2023-06-19

Effective Date: 2023-06-19

On 16 March 2023, the State Administration of Market Supervision and Administration Order No. 70 published the Measures for the Supervision and Administration of the Measurement of Quantitatively Packaged Commodities, which will come into force from 1 June 2023 onwards. In order to further improve the convergence of the implementation of the regulations, and reduce packaging waste in the production and business activities of enterprises, is now for the net content of less than 1g of goods, based on the original date of implementation of the transition period of 12 months. Commodities produced or imported before the end of the transition period can be sold until the end of the shelf life.

LINK:

https://www.samr.gov.cn/zw/zfxxgk/fdzdgknr/fgs/art/2023/art_5b4a4de8487d4e1b8e07e0ffeb26f75e.html

12.China International Trade Single Window Updated Goods Declaration Version 20 June 2023

Issuance Date: 2023-06-20

According to the requirements of the operational departments of the General Administration of Customs, the function of declaration of imported goods subject to trade remedy measures (anti-dumping, countervailing and safeguard measures) is optimised as follows:

1. Add the category "00000017 -- Export Certification Letter" to the accompanying documents.

2. For commodities involved in trade remedy measures, add a prompt to fill in the requirements according to the announcement in the interface of declaration elements.

3. For trade remedy measures involving price commitment agreement goods, add "whether in line with the price commitment" column fill in the rules of entry prompts.

4. Add a prompt to upload the attachment of the "export certification letter" for goods subject to automatic dutiable trade remedies involving price commitment agreements.

5. For commodities involving trade remedy measures, add a prompt to upload the attachment of "certificate of origin".

LINK:

https://www.singlewindow.cn/#/detail?breadNum=bc13&articleId=dec001202306200001

Policy Analysis:

The optimisation is mainly reflected in the accompanying documents to increase the "00000017-export certification letter" category, in addition, if the anti-reverse goods fill in the wrong, there will be a leakage of taxes leading to the risk of administrative penalties by the Customs, so the single window and increase the implementation of trade remedies for imports of standard declaration of the rules for filling in the input Tips.

13.Customs Commodity Code Adjustment (effective 1 July 2023)

Effective Date:  2023-07-01

HS codes involved in this adjustment

New code added:

According to the announcement of the State Drug Administration, the Ministry of Public Security and the National Health and Wellness Commission on the adjustment of the catalogue of narcotic drugs and psychotropic substances (No. 43 of 2023) (see the announcement attached at the end of this document), there are four new customs commodity codes, all of which are related to the customs control condition "I: Narcotic Drugs and Psychotropic Substances Import/Export Permit":

2933790051 Pirempanel

2933990096 etazocine

2934999094 Oxybutynin, Suvorexant

3004909042 Tramadol combination (dosed or in retail packs)

Merge coding:

In addition, "8531809010 Strobe lights, warning assemblies for aircraft" and "8531809090 Other electrical acoustic or visual signalling devices (combustible gas alarms)" were merged into " 8531809000 Other electrical acoustic or visual signalling devices".

Modification Code: Change of Regulatory Condition

3004490093 Oxycodone Hydrochloride Extended-Release Tablets (dosage dispensed or made into retail packages), customs control conditions adjusted from the original "Q: Imported Drugs Customs Clearance" to "I: Narcotic Drugs and Psychotropic Substances Import/Export Permit".

The customs control condition code for 2844439040 Yttrium 【90】 Microsphere Injection (Anti-cancer drug) has been adjusted from "Nil" to "2: Import Licence for Dual-use Items and Technologies".

LINK:

https://mp.weixin.qq.com/s/2pBR_gNU48kp9mSVuWCZ2w

14.Circular of the General Administration of Market Supervision and Other Departments on the Clean-up of Policies and Measures Impeding Unified Markets and Fair Competition

Issuance Date: 2023-06-28

Effective Date:  2023-07-05

Peoples governments of provinces, autonomous regions and municipalities directly under the Central Government, and the ministries and commissions of the State Council, as well as agencies directly under the Central Government:

In order to thoroughly implement the important deployment of the Twentieth National Congress of the CPC on building a national unified market, perfecting the economic foundation system for a fair competitive market, and eliminating local protection and administrative monopolies, and in accordance with the Opinions of the Central Committee of the Communist Party of China and the State Council on Accelerating the Construction of a National Unified Market and other relevant requirements, the State Council has agreed to carry out a clean-up of policies and measures hindering the unification of the market and fair competition, and has notified the following:

I. Defining the scope of the clean-up

The scope of this clean-up is regulations, normative documents and other policy measures formulated by departments of the State Council and local peoples governments and their subordinate departments at or above the county level before 31 December 2022 that are currently in force and relate to the economic activities of business entities. Other policy measures include other policy documents that do not belong to regulations and normative documents but involve the economic activities of business entities, as well as specific policy measures in the form of "one-issue discussion". The focus is on clearing up various regulations and practices that impede the building of a nationally unified market and fair competition, including:

(i) Obstructing market access and exit. Includes, but is not limited to:

1. Setting unreasonable or discriminatory entry and exit conditions, such as requiring enterprises to register in a certain place without clear provisions in laws and regulations, and setting up obstacles to enterprises inter-regional operation or relocation; and setting in violation of the law qualification, technical and commercial conditions that are not compatible with the specific characteristics and actual needs of bidding and tendering and government procurement projects.

2. Setting up franchises in violation of the law or granting franchises to operators without fair competition.

3. Restricting the operation, purchase or use of goods and services provided by specific operators, such as unlawfully restricting or designating specific patents, trademarks, brands, parts and components, places of origin and suppliers.

4. Setting up no legal and regulatory basis for examination and approval, prior filing procedures or window guidance and other procedures of an administrative licensing nature, such as filing, annual inspection, recognition, designation, requirements for the establishment of branch offices and other forms of setting up or disguised barriers to entry; turn government services into intermediary services, there is no legal and regulatory basis in the government services before the requirements of enterprises to test, inspection, certification, appraisal, notarisation and the provision of proof. Providing proofs, approval in disguise, and paid services.

5. In the field of market-oriented investment and operation, setting up approval procedures for industries, fields and businesses other than those on the negative list for market access.

(ii) Impeding the free movement of goods and factors. Including but not limited to:

1. Discriminatory pricing and discriminatory subsidy policies for foreign and imported goods and services, such as discriminating against foreign and foreign-funded enterprises, and various types of preferential policies for local protection.

2. Restrictions on the entry of foreign and imported goods and services into the local market or obstacles to the export of local goods and services, such as the lack of uniformity in the technical requirements and inspection standards for goods and services, and the erection of barriers between local and foreign countries.

3. Excluding or restricting foreign operators from participating in local bidding and tendering and government procurement activities, such as unlawfully restricting the location, form of ownership or form of organisation of suppliers, or setting other unreasonable conditions to exclude or restrict operators from participating in bidding and tendering and government procurement activities.

4. Excluding, restricting or compelling foreign operators to invest or establish branches locally.

5. Discriminatory treatment of local investments or branches set up by foreign operators, which infringes on their legitimate rights and interests, such as setting qualification requirements, technical requirements, testing standards or evaluation standards for foreign enterprises that are significantly higher than those for local operators.

(iii) Affecting the cost of production and operation. Including, but not limited to:

1. Illegal granting of preferential policies to specific operators, such as illegal granting of tax concessions, non-payment or underpayment of taxes through illegal conversion of the form of organisation of the operator, etc.

2. Arranging, in violation of the law, for financial expenditures to be linked to taxes or non-tax revenues paid by enterprises.

3. Illegal exemption of specific operators from social insurance contributions.

4. Requiring the operator to provide or withholding various types of security deposits from the operator outside the provisions of the law.

5. Acts of unhealthy competition in investment attraction that impede the construction of a unified national market.

(iv) Behaviour affecting production and operation. Includes, but is not limited to:

1. Forcing the operator to engage in monopolistic behaviour prohibited by the Anti-Monopoly Law of the Peoples Republic of China.

2. Disclosing in violation of the law or requiring the operator to disclose sensitive information on production and operation, and facilitating the operator to engage in monopolistic behaviour.

3. Government pricing beyond pricing authority.

4. Unlawful interference in the price level of goods and services subject to market regulation.

For regulations, normative documents and other policy measures formulated before 31 December 2019 that have already been cleaned up in accordance with the "Notice of the General Administration of Market Supervision and Other Four Departments on the Clean-up of Policies and Measures Obstructing Unified Markets and Fair Competition" (State Market Supervision and Anti-Monopoly 【2019】 No. 245), the clean-up may not be repeated.

II. Strengthening the main responsibilities

Departments of the State Council and local peoples governments at all levels and their subordinate departments organise and carry out clean-up work in accordance with the principle of "who formulates, who cleans up", and strengthen supervision and guidance to ensure that "everything should be cleared up". Regulations, normative documents and other policy measures formulated by departments under the State Council, as well as normative documents and other policy measures formulated by departments under local peoples governments at or above the county level, shall be cleaned up by the departments in charge of the formulation; if a department formulates a joint project or involves the responsibilities of more than one department, the lead department shall be responsible for organising the clean-up; if the department in charge of the formulation is withdrawn or its powers and functions have been adjusted, the department continuing to exercise its powers and functions shall be responsible for the clean-up. (c) The departments shall be responsible for clearing up the regulations. For regulations, normative documents and other policy measures formulated by local peoples governments at or above the county level, the implementing department or the department leading the implementation shall put forward its views on cleaning up and report them to the peoples government at its own level for decision.

III. Grasping the phases

(i) Work preparation phase: early-mid June 2023.

Departments of the State Council and local peoples governments at all levels and their subordinate departments shall study and implement in depth the decision-making and deployment of the CPC Central Committee and the State Council on accelerating the construction of a national unified market and promoting the implementation of the fair competition policy in depth, so as to refine the work programme, clarify the timetable and roadmap for completing the tasks, and lay a solid foundation for the smooth implementation of the clean-up work.

(ii) Sorting out phase: mid-late June - August 2023.

Departments of the State Council and local peoples governments at all levels and their subordinate departments, in accordance with the criteria and priorities of the clean-up, will carry out an item-by-item examination of the policies and measures formulated by their own departments and regions, and sort out the list of policies and measures that need to be cleaned up and abolished.

(iii) Revision and repeal phase: September-October 2023.

Departments of the State Council and local peoples governments at all levels and their subordinate departments form conclusions on the handling of the policies and measures sorted out and initiate repeal or revision in accordance with procedures. Where the main content of a policy measure contradicts the requirements of a unified market and fair competition, it shall be repealed in accordance with the relevant procedures; where part of the content contradicts the requirements of a unified market and fair competition, it shall be revised in accordance with the relevant procedures.

Some of the policies and measures, although there are circumstances that impede the construction of a national unified market and fair competition, but are in line with the Opinions of the State Council on Establishing a Fair Competition Review System in the Construction of the Market System (Guofa 【2016】 No. 34) and the Implementing Rules for the Fair Competition Review System (State Municipal Supervision and Anti-money Laundering Regulation 【2021】 No. 2) exceptions, they can be retained in force, but the specific implementation shall be clearly defined period, and explain it in the clearance results.

For policies and measures whose immediate termination would have a significant impact or whose repeal and revision cannot be completed in the short term, a reasonable transition period should be set, explained in the results of the clean-up, and announced to the public in a timely manner.

(iv) Summary submission stage: November 2023.

Departments belonging to local peoples governments at or above the county level shall promptly report the results of the clean-up to the peoples governments at their own level. The peoples governments at the municipal and county levels shall promptly report the results of the clean-up of their own governments and their subordinate departments to the local peoples governments at the next higher level. The peoples governments of provinces, autonomous regions and municipalities directly under the Central Government and the departments under the State Council shall, by the end of November 2023, submit to the General Administration of Market Supervision (GAMS) a summary of the clean-up work of the region and the department, as well as a Statistical Table of the Clean-up Situation of Regulations, Normative Documents and Other Policy Measures. The General Administration of Market Supervision will summarise the above clean-up situation and report it to the State Council in a timely manner, and copy it to all relevant departments of the State Council.

The clearance of confidential policy measures is handled in accordance with the relevant confidentiality provisions.

IV. Getting organised

(a) Compacting responsibilities at all levels. Departments of the State Council and local peoples governments at all levels and their subordinate departments should have a deep understanding of the importance and urgency of the clean-up work, give full play to the coordinating and supervisory and guiding roles of the fair competition review agencies, strengthen work collaboration, promote information sharing, form work synergies, correct untimely and inappropriate clean-ups, and ensure that clean-ups are promoted in accordance with the timeframe. Where districts and departments are carrying out clean-up of policies and measures in accordance with other deployments, they should do a good job of coordinating and linking up with this clean-up work.

(ii) Strengthening social supervision. Adhere to the principle of combining self-cleaning and social supervision, adhere to the principle of opening the door to clean up, fully listen to the views of all parties in society on the clean-up work, play the role of social supervision, and form a clean-up situation led by the government departments and with the orderly participation of society.

(c) Vigorous publicity and advocacy. All regions and departments should make full use of various communication channels to carry out a variety of publicity activities, widely publicise the significance of the clean-up work and the progress and effectiveness of the work to all sectors of society, and create a favourable climate of public opinion and working environment for the clean-up work.

(d) Improving long-term mechanisms. The clean-up work should be used as an opportunity to map out the status and effectiveness of the fair competition review work carried out by various regions and departments, further improve the working mechanisms for reviewing major policies and measures and third-party assessments, and promote the accelerated construction of a unified national market.

LINK:

https://www.samr.gov.cn/zw/zfxxgk/fdzdgknr/fldj/art/2023/art_6e48555bf6e04079bbabe2c358867cdf.html

Policy Analysis:

The scope of this clean-up covers regulations, normative documents and other policy measures formulated by departments of the State Council and local peoples governments at all levels above the county level and their subordinate departments before 31 December 2022 that are currently in force and relate to the economic activities of business entities, with a focus on cleaning up regulations and practices that impede the construction of a nationwide unified big market and fair competition by hampering access to and exit from the market, hindering the free flow of commodities and factors, affecting the cost of production and operation, and affecting the behaviour of production and operation. The main focus of the clean-up is on regulations and practices that hinder market access and exit, the free flow of commodities and factors, production and business costs, production and business behaviour, and so on, which impede the building of a unified national market and fair competition. In accordance with the principles of "who drafts, who cleans up", "who implements, who cleans up" and hierarchical clean-up, policies and measures whose main content contradicts the requirements of a unified market and fair competition shall be repealed in accordance with the relevant procedures, and those whose partial content contradicts the requirements of a unified market and fair competition shall be abolished in accordance with the relevant procedures. Where the main content of a policy measure contradicts the requirements of a unified market and fair competition, it shall be repealed in accordance with the relevant procedures; where part of the content contradicts the requirements of a unified market and fair competition, it shall be revised in accordance with the relevant procedures, so as to ensure that it is "cleared to the fullest extent".

As a next step, the General Administration of Market Supervision will work with relevant departments to effectively organise and implement the special clean-up work, resolutely break down barriers and hidden barriers that affect the fair competition of all types of business entities and impede the smooth flow of commodity factor resources, actively create a first-class business environment that is market-oriented, rule of law-oriented, and internationalised, and push forward the construction of a large, unified market that is highly efficient and standardised, fair and competitive, and fully open to the whole country, so as to promote the sustained economic rebound and upward trend. The Government has been actively creating a first-class business environment that is efficient, standardised, fair, competitive and fully open.