In international trade, the management of customs duty exemption categories is crucial. These categories classify imported and exported goods for preferential tariff treatment and are applied in customs declaration automation systems and EDI clearance systems. This system not only provides accurate statistical data for customs but also serves as the foundation for establishing tariff databases.
I. Classification of Duty Exemption Categories
Duty exemption categories are divided into five main types:
- Statutory taxation
- Statutory duty exemption
- Special duty exemption
- Other duty exemptions
- Provisional tariff rates
The special duty exemption category is further subdivided based on region, purpose, trade nature, enterprise type, and funding source.
II. Code Structure for Duty Exemption Categories
Each duty exemption category is represented by a three-digit code. The first digit indicates the category type, while the last two digits represent the specific exemption item within that category.
III. Detailed Explanation of Duty Exemption Categories
1. General Taxation for Import/Export Goods
This refers to goods subject to standard tariffs and value-added taxes according to China's Customs Law and related regulations. Code: 101 . Applies to goods subject to regular taxation.
2. Import Materials for Free Assistance
Goods provided as free aid by foreign governments or international organizations. Code: 201 . Includes items provided under government agreements or international aid programs.
3. Other Statutorily Exempt Import/Export Goods
Goods qualifying for exemption under specific laws and regulations. Code: 299 . Includes non-commercial samples, returned goods, and compensation goods without cost.
4. Goods Imported for Use in Special Zones and Export Goods
Goods imported for use in special economic zones (including Shanghai and Suzhou) enjoy duty-free policies. Code: 301 .
5. Bonded Zone Import Materials for Own Use
Special taxation policies for bonded zones. Code: 307 . Applies to infrastructure construction or production equipment imports by bonded zone enterprises.
6. Export Goods from Other Special Policy Areas
For export goods from high-tech industrial development zones and other special areas. Code: 399 .
7. Scientific and Educational Articles Imported by Research Institutions and Schools
Materials for scientific research and education purposes. Code: 401 . Includes items needed by major research institutions and educational facilities.
8. Import Goods for Enterprise Technological Transformation
Equipment imported to promote technological upgrades. Code: 403 . Applies to technological transformation projects.
9. Import Goods for Major National Projects
Includes equipment imports for major construction projects approved by the State Council. Code: 406 .
10. Infrastructure Construction Import Equipment
Equipment imported to promote infrastructure development in communications, transportation, etc. Code: 412 .
11. Special Equipment for Disabled Persons and Export Products
Supports rehabilitation and daily life needs of disabled persons. Code: 413 .
12. Self-caught Aquatic Products by Ocean Fishery Enterprises
Aquatic products caught by marine fishery enterprises. Code: 417 .
13. Imported Parts for Designated Automobile and Camera Manufacturers
Complete knock-down parts for automobiles or video camera manufacturers. Code: 418 .
14. Import Goods for Offshore and Onshore Oil Exploration
For petroleum exploration projects. Codes: 606 (offshore) and 608 (onshore).
15. Disaster Relief Donation Import Materials
Disaster relief materials donated from abroad. Code: 801 .
16. Processing Trade Equipment Provided Free by Foreign Investors
Processing equipment provided free by foreign investors. Code: 501 .
17. Import Goods for Processing and Assembly Trade
Raw materials and products imported for foreign trade processing. Code: 502 .
18. Import Goods for Processing Trade
Raw materials imported by foreign trade companies and foreign-invested enterprises. Code: 503 .
19. Import Goods for Border Small-Scale Trade
Small-scale barter or cash trade in border areas. Code: 506 .
20. Import/Export Goods for Sino-Foreign Joint Ventures
For joint ventures and cooperative enterprises. Codes: 601 (joint ventures) and 602 (cooperative).
21. Import/Export Goods for Wholly Foreign-Owned Enterprises
For wholly foreign-owned enterprises. Code: 603 .
22. Import Equipment Using Foreign Government/International Financial Organization Loans
Approved imports using foreign government or international organization loans. Code: 609 .
23. Import Equipment for Nationally Encouraged Development Projects
For projects approved under national policies. Code: 789 .
24. Import/Export Goods with Special State Council Approval
Goods with special duty exemptions approved by the State Council. Code: 898 .
25. Exceptional Duty Exemption Import/Export Goods
Goods that cannot be classified elsewhere. Code: 999 .
26. Import/Export Goods Subject to Provisional Tariff Rates
Goods taxed according to provisional rates. Code: 998 .
Understanding these customs duty exemption codes helps businesses better manage import/export operations and accurately navigate customs policies, gaining significant advantages in international trade.
