General Administration of Customs, Assessment of the Dutiable Value of Imported and Exported Commodities Measures

Promulgated: December 31 2001
Effective: January 1 2002
Interpreting authority: General Administration of Customs

Main contents: The dutiable value of an imported commodity shall be assessed on the basis of its transaction price plus all freight, packing and other related costs incurred prior to its unloading at the entry point in the PRC (Article 3). Where a special relationship exists between the buyer and the seller, the transaction may still be acceptable to customs if customs determines that such relationship has had no effect on the transaction price or if the consignee of the goods is able to demonstrate that the transaction price approximates at arm's length the transaction price of identical or similar goods in the PRC (Article 6). Where customs cannot assess the dutiable value of an import commodity by the transaction price method as provided in Article 3, customs may make its assessment by use of the identical goods method, the similar goods method, the deductive value method, the computed value method or another reasonable method, in that order, although the order of the deductive value method and the computed value method may be reversed at the option of the consignee, subject to the consent of customs (Article 7). Each of these methods is detailed in the Measures (Articles 8 to 11). The Measures also provide for the methods of assessing special imports such as commodities imported for the processing trade or on lease (Part Three). For exported commodities, their dutiable value shall be also assessed on the basis of their transaction price, but customs may use other assessment methods if the transaction price cannot be determined (Articles 21 and 22). A separate part of the Measures is devoted to the calculation of freight, insurance and other related costs in the assessment of dutiable value (Part Five).
Related legislation: PRC, Customs Law and PRC, Import and Export Duties Regulations
Repealed legislation: PRC Customs, Assessment of the Dutiable Value of Import and Export Goods Measures, Aug 10 1992, CLP 1993 No.3 p6 and PRC Customs, Determination of the Dutiable Value of Imported Commodities for the Processing Trade Measures, May 26 1999, CLP 1999 No.7 p7