Accepting the customs’ materials for processing

It means the foreign investors will provide all or part of the materials, parts, sets and packages, and if necessary the machinery. The Chinese party will process and product according to the foreign investors requirements, and give the finish productions to foreign investors and get the processing fees from them.

But in fact, the foreign investors provide all the imported materials, parts, sets and packages, and all the machineries and business fund. The foreign investors will directly manage the business, while the Chinese party only provide the necessary assistance and collect the fees. The foreign investors are in the major place in production and management.

The imported materials needn’t be paid by foreign money, and the exported goods are only charged for manufacture fees. If the productions belong to the customs, they should be exported again. The imported and exported goods of the accepting will not be managed by the importing and exporting permission and not be charged by imported and exported taxation.

The accreditation of the contract registration

For the contracts of accepting the customs materials for processing, the enterprises should apply the customs to arrange the accreditation procedures of the contract registration with relevant documents in 1 month beginning with the permission day. After verifying the documents, the customs will give the processing imported and exported goods registration manual with the contract accreditation special chop and number. The declarants will arrange the procedures for importing the materials and machinery in the contract and exporting the finish goods to enter the customs.

The declaration of the accepting customs material for processing

   Declare

   Accept verification.

   Pay the taxation

   Allow to be transported

   Cancel the contract

The regulations for selling the goods in domestic market

The finish goods should be exported again, and not be in the domestic market. For those that should be sold in the domestic market or be used to product the productions sold in the domestic market with special reasons, the enterprises should apply for the permission of the managing party. The customs will charge the taxation of the imported materials and the interests of the taxation according to the permission of the managing party. The term for counting the interests is from the day of declaring the import to the day of pay the taxation.

If the imported materials are the commercials that are managed by the import quota license or registration, the enterprises should hand over the import license or registration certificate for the productions that are used to sell in the domestic market or to produce the productions sold in the domestic market.

Without the permission and the customs’ verification, the enterprises cannot sell the productions in the domestic market by themselves or they will be punished by the customs.