Ministry of Foreign Trade and Economic Cooperation and General Administration of Customs, Administration of Automatic Export Licenses for Mechanical and Electrical Products Implementing Rules

Issued: December 20 2001
Effective: January 1 2002
Interpreting authority: Ministry of Foreign Trade and Economic Cooperation (MOFTEC)
Applicability: The Rules shall apply where mechanical and electrical products subject to automatic import licensing are imported into China (Article 2). The Rules shall also apply where a foreign investment enterprise imports such products for sale in the domestic market or for production of other products to be sold in the domestic market or where a foreign investment enterprise imports used mechanical and electrical products (Article 11). The Rules do not apply if the foreign investment enterprise imports such products as part of its capital investment or for its own use (Article 12).

Main contents: The Rules state that MOFTEC and the General Administration of Customs shall formulate, adjust and publish a catalogue of mechanical and electrical products subject to automatic import licensing and a list of licensing authorities (Article 3). Before importing mechanical and electrical products subject to automatic import licensing, the importer shall complete the required licensing procedures with the relevant authority and obtain an Automatic Import Licence (Article 6). The importer shall then present the licence to the bank for foreign exchange settlement and customs for customs clearance (Article 7). An Automatic Import Licence is valid for one year (Article 8).
Related legislation: PRC, Foreign Trade Law (Revised), Apr 6 2004, CLP 2004 No.4 p34; PRC, Administration of Import and Export of Commodities Regulations; Administration of Import of Mechanical and Electrical Products Procedures and Administration of Automatic Import Licensing of Commodities Procedures, Dec 31 2001, CLP 2002 No.1 p22