State Administration of Foreign Exchange, Circular on Issues Relevant to Improving Current Account Related Foreign Exchange Control in Zones under Special Customs Surveillance

2. Organisations may deposit offshore their export revenues that have genuine and lawful transaction backgrounds.

3. The control of the payment of foreign exchange in connection with the trade in goods by Organisations shall be simplified.

4. An Organisation may, based on its genuine and lawful need for the payment of foreign exchange in connection with imports, purchase foreign exchange in advance and deposit it into its current account related foreign exchange account.

5. The control of the conversion of foreign exchange in connection with the trade in goods by Organisations shall be simplified.

6. Foreign exchange control in connection with the trade in services by Organisations shall be simplified.

7. A foreign exchange control authority shall carry out offsite monitoring of the foreign exchange receipts and expenditures of Organisations in connection with the trade in goods in accordance with regulations for the trade in goods, and carry out on-the-spot verification or on-the-spot investigations of irregular or suspicious occurrences and effect administration by category based on the results of such verifications or inspections.

Related legislation: Measures for Foreign Exchange Control in Zones under Special Customs Surveillance, Apr 23 2013

Issued: May 22 2013

Effective: June 1 2013

Main contents: With a view to improving the control of the receipt and expenditure of foreign exchange on the current account in zones under special customs surveillance, supporting foreign trade upgrading and transitioning, and promoting stable growth in foreign trade, the State Administration of Foreign Exchange is further improving foreign exchange control on the current account in zones under special customs surveillance:

1. Organisations in zones under special customs surveillance (Organisations) shall not be required to obtain a Foreign Exchange Registration Certificate for a Bonded Zone under Customs Surveillance (Registration Certificate) or undergo annual inspections of such Registration Certificates.

2. Organisations may deposit offshore their export revenues that have genuine and lawful transaction backgrounds.

3. The control of the payment of foreign exchange in connection with the trade in goods by Organisations shall be simplified.

4. An Organisation may, based on its genuine and lawful need for the payment of foreign exchange in connection with imports, purchase foreign exchange in advance and deposit it into its current account related foreign exchange account.

5. The control of the conversion of foreign exchange in connection with the trade in goods by Organisations shall be simplified.

6. Foreign exchange control in connection with the trade in services by Organisations shall be simplified.

7. A foreign exchange control authority shall carry out offsite monitoring of the foreign exchange receipts and expenditures of Organisations in connection with the trade in goods in accordance with regulations for the trade in goods, and carry out on-the-spot verification or on-the-spot investigations of irregular or suspicious occurrences and effect administration by category based on the results of such verifications or inspections.

Related legislation: Measures for Foreign Exchange Control in Zones under Special Customs Surveillance, Apr 23 2013