Expert Interpretation in January 2019

1.Notice of the Customs Tariff Commission of the State Council on Adjustment Plans such as Temporary Tariff Rate for Imports and Exports in 2019

Most Favoured Nation Tax Rate

706 items are subject to temporary import tax rates; Starting from July 1, 2019, the provisional import tax rates for 14 information technology products will be abolished.

Tariff Quota Rate

We will continue to implement tariff quota management on wheat, corn, rice, rice, sugar, wool, wool tops, cotton and chemical fertilizers, with the tax rate unchanged. Among them, the temporary import tariff rate of 1% will continue to be applied to the tariff quota rates of urea, compound fertilizer and ammonium hydrogen phosphate three kinds of fertilizers.

Conventional Tariff

The agreement tax rates of China with New Zealand, Peru, Costa Rica, Switzerland, Iceland, South Korea, Australia, Georgia and Asia Pacific Trade Agreement countries are further reduced. When the MFN tax rate is lower than or equal to the agreement tax rate, it shall be implemented in accordance with the provisions of the relevant agreement (if the applicable rules of the agreement are met, the agreement tax rate shall still be applied)

Preferential Tax Rate

According to the provisions of the Asia – Pacific Trade Agreement, preferential tax rates under the Asia – Pacific Trade Agreement will be further reduced.

1.New provisional tax rate: 10 miscellaneous meals (items 2305, 2306 and 2308); Other new fur of the whole piece (id 4301.8090);

2.Reducing Temporary Import Tax: Raw Material Drugs (Important Raw Materials Urgently Needed to Be Imported for Domestic Production of Drugs for Treating Cancer, Rare Diseases, Diabetes, Hepatitis B, Acute Leukemia, etc.)

3.Cancellation of temporary import tax: solid waste (manganese slag from smelting iron and steel, manganese content greater than 25%; Waste copper motor; Waste copper motor; Ships and other floating structures for disassembly); Thionyl chloride; Lithium ion battery for new energy vehicles;

4.Expand the scope of temporary tax: rhenate and perrhenate (tax code ex2841.9000)

2.Announcement of the Tariff Commission of the State Council on Suspending Tariff Levy on Automobiles and Parts Originating in the United States

Announcement of the Tariff Commission of the State Council on Imposing Tariffs on US $ 50 Billion of Imports Originating in the United States (Announcement of the Tariff Commission (2018) No. 5) For 545 commodities such as agricultural products, automobiles and aquatic products, a tariff increase (25%) will be implemented as of July 6, 2018.

Announcement of the Customs Tariff Commission of the State Council on Imposing Tariffs on Imports Originating in the United States with an Amount of US $ 16 Billion (Announcement of the Tax Commission [2018] No. 7) The tariff increase (25%) will be implemented from 12: 01 on August 23, 2018.

Announcement of the Customs Tariff Commission of the State Council on Imposing Tariff Increases on Imports Originating in the United States with a Value of About US $ 60 Billion (Announcement of the Tax Commission ( 2018 ) No. 8 ) For the goods listed in the goods subject to customs duties imposed on the United States and Canada annexed to the announcement [ 2018 ] No. 6 of the tax Committee, a tariff of 10% will be imposed on the 2,493 items listed in annex 1, the 1,078 items listed in annex 2 and the 974 items listed in annex 3 and 662 items listed in annex 4 starting from 12: 01 on September 24, 2018.

Announcement No. 10 [2018] of the Tax Committee. From January 1, 2019 to March 31, 2019, the tax levy of 25% on some commodities in announcement (2018) No. 5 of the Tax Committee will be suspended. Suspend the levy of the 25% tariff on some commodities in Announcement No.7 of the Tax Committee (2018); Suspension of Tariff Commission Announcement No.8 (2018) Imposing 5% Tariff on Some Commodities.

3.U.S. Delays Tariff Imposition on 200 Billion U.S. Dollars of Commodities to March 2

On September 18, 2018, the United States announced that it would impose a 10% tariff on US $ 200 billion worth of Chinese products imported into the United States starting from September 24. From January 1, 2019, the tariff will be increased to 25%. The U.S. Trade Representative Office said it expected to approve tariff exemptions for 984 Chinese – made goods. Exempted products include spark ignition engines for ship propulsion systems, radiation therapy systems, thermostats for air conditioning or heating systems, vegetable dehydrators, conveyor belts, mold roller machines, stainless steel knives, etc.

Exempted Chinese imported products will be exempted from an additional 25% of additional duties within one year after the announcement of exemption. Exempted goods are not limited to specific exporters and manufacturers.

4.Announcement on Application of Tariff Guarantee Insurance to Aggregate Taxation

Stage one (2018.9 – 10)

1.10 customs offices directly under the central government will carry out pilot projects.

2.Enterprises with demand and credit rating of general credit or above; Business;

3.Excluding General Tax Guarantee

Stage Two (2018.11 – 12)

1.Pilot Customs to Expand to National Customs

2.The business is extended to the general guarantee of tax revenue.

3.Announcement No. 155 of 2018 of the General Administration of Customs

Stage three (2019.1 -)

1.Tax payment period guarantee recycling

2.Tax Collection by Policy General

3.Administration of Customs Announcement No. 215 of 2018

Post time: Dec-19-2019