Recent Strengthening of Customs Oversight
In the past few weeks, Chinese customs authorities have intensified their scrutiny on export goods, focusing on issues such as underreporting, misreporting, inaccurate declarations, and illegal shipment practices. Regardless of the size of the company, any violations will lead to immediate re-export measures as part of efforts to maintain trade order and security.
Focus on Hazardous and Wooden Goods
Hazardous materials and wooden goods are under particularly close inspection. When submitting cargo lists, it is crucial to provide all necessary details to avoid fines or re-export due to unclear information. For hazardous materials, the required documentation includes:
1. Hazardous Material Packaging Performance Test Report: Ensure that the packaging data meets or exceeds the customs declaration requirements.
2. Hazardous Material Packaging Usage Identification Report: Separate reports are necessary for different items.
3. Product Description: Provide both Chinese and English versions.
4. Export Declaration Form: Include invoices, packing lists, customs declaration authorization, and the export declaration form.
Proper organization and submission of these documents are essential for declaring goods to maritime authorities and ensuring the smooth submission of the shipping declaration to the shipping company or its agent.
Strict Scrutiny on Steel Products
Steel products, such as wire and nails, are also facing strict inspection. Goods lacking proper purchase invoices are at risk of being detained, with over a hundred containers already seized. In 2023, China’s steel exports reached 90.26 million tons, marking a 36.2% year-on-year increase. However, the removal of most steel export tax rebates has led some companies to engage in illegal practices to obtain subsidies, resulting in tax losses and stricter regulations.
The Grey Area of “Buy and Export”
The practice of “buy and export,” where companies without import and export licenses use third-party documentation to clear customs, carries significant legal risks. While it may help circumvent certain restrictions, the increasing stringency of regulations means that compliance should be a top priority for companies to avoid severe penalties.
U.S. Customs Inspection Policies
The U.S. Customs and Border Protection (CBP) has recently emphasized that all international parcels sent to the U.S. with inaccurate or unclear recipient address information could be detained. Inspection rates are rising nationwide, with specific areas of focus at various ports:
• Miami: Focus on valuation, intellectual property infringement, EPA, and DOT issues.
• Chicago: Increased inspection rates, focusing on valuation, CPS, and FDA issues, with higher risks for goods transiting through Canada.
• New York: Random inspections, focusing on valuation, CPS, and FDA issues.
• Los Angeles: Increasing inspection rates, focusing on valuation and importer issues.
• Oakland: Random inspections, with inspection delays of about a week.
• Detroit: Random inspections, focusing on valuation and importer issues.
• Dallas: Focus on valuation, importer, EPA, and CPS issues.
• Houston: Increasing inspection rates, focusing on valuation and importer issues.
• Seattle: Random inspections, with delays of 2-3 weeks.
• Atlanta: Random inspections, focusing on valuation issues.
• Norfolk: Random inspections, focusing on valuation issues.
• Jacksonville: Increasing inspection rates, focusing on valuation and importer issues.
• Savannah: Increasing inspection rates, focusing on valuation and importer issues.
Enhancing Supply Chain Flexibility
Given these evolving external conditions, utilizing third-party overseas warehouse services has become a key strategy for enhancing supply chain flexibility. By pre-stocking goods in local warehouses within the target market, sellers can quickly respond to consumer demands, enabling immediate order picking, packing, and delivery. This significantly reduces delivery times and boosts customer satisfaction.
The Importance of Compliance
China’s rigorous customs inspections are designed to protect national economic security and ensure the fair enforcement of international trade rules. Exporters should proactively adhere to relevant laws, regulations, and customs requirements, maintaining integrity and conducting cross-border trade legally. By doing so, businesses can navigate the complexities of global trade, ensuring sustainable and healthy growth.
Comments