MOFCOM’s Statement on the Supervision Arrangement of Products Imported Through Cross-Border E-Commerce after the Grace Period

On March 17, 2017, the Spokesman of MOFCOM made a statement on the supervision arrangement of products imported through cross-border e-commerce after the grace period.

Approved by the State Council, in May 2016, China released the policies of the grace period regarding the supervision requirements of products imported through cross-border e-commerce. In November 2016, the grace period was further extended to the end of 2017. In order to make the arrangements go smoothly after the grace period and to accord with the requirements of the State Council, MOFCOM, together with the National Development and Reform Commission (NDRC), Ministry of Finance (MOF), General Administration of Customs (Customs), State Administration of Taxation (State Tax), General Administration of Quality Supervision, Inspection and Quarantine (AQSIQ) and China Food and Drug Administration (CFDA), have carried out extensive researches and considered the views of local government, industries and enterprises, and actively conducted further research to develop the new cross-border e-commerce supervision mechanism through which the products have the attributes of trade, personal use and low price.

For the smooth development of cross-border e-commercial, it is approved by the State Council that at the current stage, we should maintain the stability of the cross-border e-commerce supervision model, and temporarily supervise the cross-border e-commerce imported products as personal items. Based on this, the responsibilities of e-commerce entities should be increased and the supervision measures will be optimised, quality safety control will be conducted. A risk emergency processing mechanism will be established. With regards to the import products that have a relatively greater quality risk, further measures will be taken.  In the future, the supervision will be further updated as necessary based on the E-commerce Law and the development of the cross-border retail import.

In order to promote the “first act and first trial” of cross-border e-commerce and to control risk, the new supervision mechanism will be performed within the approved trial cities of cross-border e-commerce retail imports and the cross-border e-commerce business comprehensive trail zone,which includes 15 cities (Hangzhou, Tianjin, Shanghai, Chongqing, Hefei, Zhengzhou, Guangzhou, Chengdu, Dalian, Ningbo, Qingdao, Shenzhen, Suzhou, Fuzhou and Pingtan).

The above new supervision mechanism will be performed from 1 January 2018.  Before January 1, 2018, the supervision of grace period will remain the same. Next step, competent authorities will issue the relevant detailed enforcement regulations based on its functions to promote the healthy development of the cross-border e-commerce.

MOFCOM’s Statement on the Supervision Arrangement of Products Imported Through Cross-Border E-Commerce after the Grace Period