Customs guide China

The Landed Cost This refers to the final price of a good upon import. It comprises the value of the goods, transport and insurance costs, customs duties, value added tax and any applicable excise taxes.

• Value of goods (FOB vs. CIF). China differentiates between valuation methods during customs clearance. FOB (Free on Board) Tax ID No. (Cost, Insurance, Freight). At the FOB value Only the cost of goods is taken into account; insurance and transport costs are excluded – this calculation is primarily used for small shipments for private use. CIF value Transport and insurance costs are also included, which increases the taxes.

• De minimis thresholds. There is a [regulation/regulation] for private import shipments. Duty-free and tax-free threshold of 50 RMB (approx. 6–7 EUR)If the FOB value is below this amount, no duties are levied. For commercial purposes However, there is no de minimis threshold for e-commerce shipments. – Every shipment, regardless of value, will be subject to customs duties and taxes starting from the first yuan.

• Cross-border e-commerce regulation. Simplified tax rules apply to cross-border orders placed via registered e-commerce platforms: Since 2019, purchases up to 5,000 RMB per order and 26,000 RMB per year Exempt from import duties; VAT and any excise taxes will be added. 70% of the regular rate Charges are levied. If the order or annual volume exceeds these limits, the normal rates apply.

• Cross-border taxes. The Chinese value added tax (VAT) has three standard rates of 13%, 9% and 6% (as well as reduced rates for certain products). Additionally, there are Consumption taxesCustoms duties, which can range from 1% to 56% for some product groups, vary depending on the tariff number but are often between 2% and 20%.

• Growth in cross-border e-commerce. According to data from the Chinese Ministry of Finance, the volume of cross-border online trade rose to 2,63 trillion RMB (approximately 340 billion EUR) in 2024 – an increase of 10,8% compared to 2023. Exports accounted for the majority at 2,15 trillion RMB and grew by 16,9%. Government agencies expect further growth in 2025.

• Pilot zones and positive list. The number of cross-border e-commerce pilot zones has been expanded to 178 by 2025. These zones offer simplified customs clearance and store goods in bonded warehouses until the buyer places an order. Only products on a positive list of 1,476 product categories are permitted. As of 2023, there were already 165 such zones, and the Chinese government has announced plans to further expand the logistics infrastructure.

• Logistics infrastructure. The number of national logistics centers has increased from 95 in 2023 to a planned 150 centers by 2025. In major cities, 24-hour delivery times are now standard, and popular products are often delivered within a few hours. Smart logistics solutions such as bulk shipping and optimized cold chains reduce costs and improve delivery quality.

• Cost example for an e-commerce shipment (CIF calculation). Assume the goods value (FOB) is €200, the transport and insurance costs are €40, the customs duty rate is 10%, and the VAT rate is 13%. This results in...

  • Customs duty: 10% on €240 = €24

  • VAT: 13% on (€240 + €24) ≈ €34,32

  • Excise tax: varies depending on the product (assumed here to be €0)

  → Total costs: €200 + €40 + €24 + €34,32 = €298,32

By consolidating shipments via pilot zones, transport and customs clearance costs can be reduced; companies should therefore calculate their prices including all additional costs to avoid unpleasant surprises.

China levies a value-added tax (VAT) on imported goods and an excise duty on certain products. The tax rates depend on the type of goods.

• Standard VAT rates are 13%, 9%, and 6%. The 13% rate applies to most goods, particularly manufactured goods and many consumer products. The reduced rate of 9% applies to agricultural products, water, natural gas, and certain public services; 6% applies to services such as financial, IT, and logistics services. Small taxpayers with an annual turnover of less than RMB 5 million pay a flat VAT rate of 3%.

• Consumption Tax. China levies a consumption tax of 1% to 56% on luxury goods and selected products such as alcohol, tobacco, cosmetics, jewelry, motor vehicles, and spirits, depending on the product category. This tax is charged in addition to value-added tax (VAT).

• Tax breaks for cross-border e-commerce. For purchases made through registered cross-border platforms below the limits of 5,000 RMB per order and 26,000 RMB per year, import duties are waived; VAT and excise duty are levied at only 70% of the regular rate.

• Tax-exempt personal shipments. Private individuals can import goods worth up to 50 RMB (FOB value) duty-free and tax-free; above that amount, the usual VAT and customs regulations apply.

For retailers, this means that adhering to the correct HS codes and taking into account the respective VAT rates is crucial for calculating total costs. It is worthwhile to utilize the tax benefits of the CBEC program to reduce the burden on the end customer.

Chinese import duties are based on the customs tariff and calculated on the basis of the CIF value (Cost, Insurance, Freight). China distinguishes between several customs categories:

• General Duty (General Customs Rate). This is applied to imports from countries with which China has no trade agreement or preferential treatment.

• Most-Favoured-Nation Duty (MFN). As a WTO member, China grants other WTO countries preferential treatment; the tariffs are lower than under the General Duty.

• Conventional Duty (Treaty Duty). For countries with bilateral agreements or economic partnerships, so-called conventional customs duties apply.

• Special Preferential Duty. Countries and regions with special preference programs (e.g., developing countries) may receive even lower tariffs.

• Tariff Rate Quota (TRQ). Certain products such as wheat, corn, rice, sugar, wool, cotton, and fertilizers are subject to quota allocation. Within the quota, reduced tariffs apply; exceeding the quota is subject to significantly higher rates.

• Provisional duty (temporary tariff). China can impose temporary tariffs to offset market distortions or stabilize the economy.

According to Zonos, the average import duty rate is around 12,5%, but can vary from 2% to over 20% depending on the product. CBEC shipments within the tax limits (5,000 RMB per transaction) are completely exempt from duties.

China is continuously expanding its network of free trade agreements. According to data from the business magazine China Briefing, the country will have signed 23 free trade agreements covering 30 countries and regions by 2025; another 10 agreements are under negotiation and 8 are in the process of being finalized. Planningg. Among the most important are the Regional Comprehensive Economic Partnership (RCEP) with the ASEAN states, Australia, New Zealand, Japan and South Korea, as well as bilateral agreements with countries such as Singapore, Australia, New Zealand, Chile, Peru and Georgia.

Companies importing goods from these countries can benefit from reduced or even duty-free rates. Currently, there is no comprehensive free trade agreement with the European Union, so regular MFN tariffs usually apply. However, China is working on further bilateral agreements (for example, with Israel and Canada). It is worthwhile to consult the applicable preferential tariff lists to identify potential tariff savings.

Competent authorities and sources

• General Administration of Customs (GACC). The central customs authority conducts import controls, publishes regulations, and manages the cross-border e-commerce program. Information is available at [website address] (in Chinese and partially in English).

• The State Postal Bureau (SPB) is responsible for overseeing courier services and express parcel delivery. In April 2025, the SPB released data showing that 50 billion parcels had already been delivered by April 11, 2025 – 18 days earlier than the previous year. Approximately 500 million parcels are transported daily.

• The Ministry of Commerce and the Ministry of Finance regulate the positive list and tax rates for cross-border e-commerce. Since 2019, transactions up to RMB 5,000 per order and RMB 26,000 per person per year are duty-free; VAT/excise duty is levied at 70%.

• Cross-border e-commerce pilot zones. In 2014, China launched six pilot zones; by 2023, their number had increased to 165, and by 2025 to 178. These zones provide tied warehouses and facilitate customs clearance through electronic data transmission.

• Positive List. Only products on this list can be imported via cross-border e-commerce without an additional import license. 1,476 product categories have been permitted since the 2022 update. Items not on the list must be imported through the standard customs procedure.

customs formalities

1. Customs declaration (CN23) and commercial invoice. Each shipment requires a detailed description of the goods (preferably in English and Chinese), the value of the goods, the quantity, and the customs tariff number (HS code). Two copies are often required for commercial shipments.

2. Packing list and certificates. For high-value or regulated products (e.g., electronics, cosmetics, medical devices), additional certificates such as CCC (China Compulsory Certification) or CFDA certificates may be required. Without this documentation, customs may refuse import.

3. E-customs declaration. Order data (order, payment, shipping) is transmitted electronically to the customs authorities via registered cross-border platforms. Only if this data is available does the buyer benefit from tax breaks; otherwise, flat parcel taxes of 13%, 20%, or 50% are levied.

When shipping to China, the authorities distinguish between simplified express customs clearance and comprehensive formal customs clearance. Depending on the type of goods, value, and purpose of the shipment, various documents must be submitted:

• Air waybill and commercial invoice. Every shipment must be accompanied by an air waybill (or parcel label) and a detailed commercial invoice. These documents contain information about the sender, recipient, description of goods, quantity, value, HS code, and origin. A packing list is also required for consolidated shipments.

• Proof of payment and identification. For private shipments in Express Category B, customs requires proof of payment (e.g., online payment receipt) and a copy of the recipient's identification; for commercial shipments, providing the order details is usually sufficient.

• Additional documents for formal clearance. For regulated or high-priced goods (Category D), additional documents such as CCC or CFDA certificates, safety data sheets, import license, sales contract, insurance policy and – if relevant – written authorization from the end user are required.

• E-customs declaration and customs broker. In cross-border e-commerce, order data must be transmitted electronically to the customs authorities. Freight forwarders and customs brokers often handle this transmission; incorrect or delayed data causes delays and can lead to penalty fees.

Accurate and complete documentation is crucial to reduce processing time and avoid additional costs.

Express vs. Formal Processing

China distinguishes between expedited express customs clearance and full formal customs clearance for imports. FedEx categorizes shipments into four groups:

• Category A – Documents (Express). Shipping of papers and printed materials. These shipments are released quickly; customs duties are rarely incurred.

• Category B – Personal Goods and Gifts (Express). Personal effects, gifts, and online orders below certain value limits are processed with minimal documentation. However, proof of payment and proof of identity of the recipient are required.

• Category C – Samples and low-value goods (Express). Trade samples, promotional gifts, and small consignments can be imported under simplified conditions. Customs requires a detailed product description; the value of the goods is limited.

• Category D – Regulated or high-value goods (Formal clearance). High-value or regulated goods (e.g., cosmetics, food, toys, electronics) and shipments exceeding certain value limits must undergo formal clearance. These procedures require additional documentation such as safety certificates, import licenses, certificates of conformity, and inspection reports.

Selecting the correct category speeds up processing. Incorrect declarations lead to delays and can result in fines.

China's customs authority is working to expedite processing. Express shipments are typically released within 24 hours, provided the documentation is correct. For formal customs clearances, the processing time is at least 24 hours after receipt of all required documents.

Anyone who submits documents late or changes information after the fact should expect a delayed declaration fee. Chinese customs charges a daily fee, calculated as a percentage of the customs value. The exact rates vary depending on the customs office; they should be clarified with the freight forwarder or the relevant authority in advance. To avoid additional costs and delays, it is recommended to submit all documents completely and on time.

China is continuously expanding its network of free trade agreements. According to data from the business magazine China Briefing, the country will have signed 23 free trade agreements covering 30 countries and regions by 2025; another 10 agreements are under negotiation and 8 are in the process of being finalized. Planningg. Among the most important are the Regional Comprehensive Economic Partnership (RCEP) with the ASEAN states, Australia, New Zealand, Japan and South Korea, as well as bilateral agreements with countries such as Singapore, Australia, New Zealand, Chile, Peru and Georgia.

Companies importing goods from these countries can benefit from reduced or even duty-free rates. Currently, there is no comprehensive free trade agreement with the European Union, so regular MFN tariffs usually apply. However, China is working on further bilateral agreements (for example, with Israel and Canada). It is worthwhile to consult the applicable preferential tariff lists to identify potential tariff savings.

E-commerce law and registration requirement

Since the 2018 E-Commerce Law, all online retailers, including foreign ones, selling goods in China must register their business. Platforms like Tmall Global and JD Worldwide require comprehensive trademark registration, company documentation, and product certificates before a shop can open. Failure to comply with these requirements can lead to shop closure and fines.

Cross-border special codes 9710/9810

China uses specific customs codes to identify cross-border online purchases. Code 9710 represents cross-border B2C retail trade via registered platforms; code 9810 applies to B2B2C trade via tied warehouses. Using these codes is a prerequisite for benefiting from reduced tax rates.

Positive list and market adaptation

The positive list for cross-border e-commerce currently comprises 1,476 product categories and is regularly updated. Inclusion on this list saves foreign companies the time-consuming process of applying for an import license. However, all products must comply with Chinese standards (e.g., the CCC mark for electrical appliances). Products not on the positive list are subject to regular customs procedures and may be subject to higher duties.

Trade agreements and tariffs

China is a member of the WTO and has concluded several regional agreements, such as the Regional Comprehensive Economic Partnership (RCEP). However, there is no comprehensive free trade agreement with the EU, so regular tariffs apply. Business models should factor these tariffs into their calculations and check whether certain goods are eligible for preferential treatment under bilateral agreements.

Tax and customs refund

In certain cases, companies can claim refunds on customs duties and taxes, for example, if goods are refused or re-exported. However, this requires complete documentation and processing through the freight forwarder or customs broker. The State Post Bureau points out that a refund is only possible if the application is submitted within the deadline.

When shipping to China, the authorities distinguish between simplified express customs clearance and comprehensive formal customs clearance. Depending on the type of goods, value, and purpose of the shipment, various documents must be submitted:

• Air waybill and commercial invoice. Every shipment must be accompanied by an air waybill (or parcel label) and a detailed commercial invoice. These documents contain information about the sender, recipient, description of goods, quantity, value, HS code, and origin. A packing list is also required for consolidated shipments.

• Proof of payment and identification. For private shipments in Express Category B, customs requires proof of payment (e.g., online payment receipt) and a copy of the recipient's identification; for commercial shipments, providing the order details is usually sufficient.

• Additional documents for formal clearance. For regulated or high-priced goods (Category D), additional documents such as CCC or CFDA certificates, safety data sheets, import license, sales contract, insurance policy and – if relevant – written authorization from the end user are required.

• E-customs declaration and customs broker. In cross-border e-commerce, order data must be transmitted electronically to the customs authorities. Freight forwarders and customs brokers often handle this transmission; incorrect or delayed data causes delays and can lead to penalty fees.

Accurate and complete documentation is crucial to reduce processing time and avoid additional costs.

Courier services and logistics

China's logistics sector is impressive: In 2024, 174,5 billion parcels were transported, a 21% increase compared to 2023, and the sector generated revenue of 1,4 trillion RMB (approximately 193 billion USD). Shipment volume is projected to reach 190 billion parcels by 2025 (SPB forecast, not directly quoted). Key points:

• Delivery network and speed. In Tier 1 cities like Beijing or Shanghai, delivery times of 24–48 hours are standard. Thanks to smart logistics, frequently ordered goods can even arrive on the same day. In second- and third-tier cities, additional gateway facilities and new international freight routes improve delivery speeds. Courier services such as SF Express, Cainiao (Alibaba), JD Logistics, China Post EMS, DHL, FedEx, and UPS dominate the market.

• Shipping models:

  • Direct Mail: Individual orders are shipped directly from abroad to the end customer. Advantage: reduced warehousing costs. Disadvantage: longer delivery times and higher taxes for products not on the approved list.

  • Bonded warehousing: Goods are imported in large quantities into special bonded warehouses. Only after an order is received are individual items presented to customs and taxed. Advantages: shorter delivery times, deferred tax payment, and simplified clearance.

  • Bulk Shipping: Multiple orders are combined into one large shipment and cleared through customs together. This reduces freight costs and speeds up processing.

Shipping provider and shipping costs

China has a wide range of logistics providers. In addition to local providers, international couriers play an important role. The following examples show typical shipping costs and transit times (as of 2025):

• International carriers. Services from DHL, FedEx, UPS, and USPS are available for express and standard shipping. A 2-lb package shipped from the US to China costs approximately $28–$35 with USPS First-Class International (10–20 days), $52–$65 with Priority Mail International (6–10 days), and $75–$85 with Priority Express International (3–5 days).waytronsc.com. UPS Worldwide Saver (3–5 days) charges $80–95 for 2 lb; FedEx International Priority (3–5 days) $78–90; DHL Express charges around $70–85 for 2 lb and $110–130 for 5 lb with delivery times of 3–5 working days.

• Air freight and sea freight. For larger quantities, air freight (2–7 days) is the most economical option at approximately USD 4–6 per kilogram, with a minimum weight of 50–100 kg. Sea freight takes 20–35 days: LCL (Less Than Container Load) costs around USD 80–120 per cubic meter, and a 20-foot container costs USD 2,200–3,000.

• Local service providers. Chinese companies like SF Express, Cainiao (Alibaba), JD Logistics, and China Post EMS deliver millions of packages daily and have dense networks in major cities like Shanghai, Beijing, and Shenzhen. For international retailers, collaborating with local fulfillment partners can lead to shorter delivery times and lower costs.

• Additional fees. Courier services often charge tracking fees, transport insurance, fuel surcharges, presentation fees, and signature fees in addition to the basic postage costs. These surcharges should be taken into account when calculating the final price.

Companies that regularly ship to China can negotiate framework agreements with international carriers and thereby achieve significant volume discounts.

Payment transactions and customer requirements

Mobile payment providers dominate Chinese online commerce. According to statistics, the vast majority of consumers use digital wallets, with Alipay and WeChat Pay together holding over 90% market share. A recent market analysis puts the number of digital shoppers in China at around 915 million, representing 64% of the population; the average per capita spend is USD 2,058, and 64% of e-commerce transactions are conducted via smartphone, with digital wallets handling 59% of all payments. This makes China a global leader in mobile payments.

Compliance in shipping

• Electronic pre-notification. All e-commerce shipments must be registered electronically via a recognized system (e.g., the courier service's platform) before dispatch. Missing or incorrect information will result in delays or penalty fees.

• Recipient's identity card. For private shipments, a copy of the Chinese ID card or a digital proof of identity is required, as customs verifies the recipient's identity.

• Prohibited and restricted goods. Weapons, hazardous chemicals, certain medications, publications with sensitive content, and agricultural products may only be imported with a permit or are completely prohibited. Foodstuffs and cosmetics are also subject to strict regulations and may need to be registered in advance.

The Chinese customs authority distinguishes between prohibited and strictly regulated (restricted) goods. Prohibited goods include, among others, weapons, ammunition, explosives, counterfeit currency, censored publications, certain chemicals, and animals or plants posing a risk of disease.

Restricted products may only be imported with authorization. The list includes, among others:

• Food and beverages. For food, alcoholic beverages, or dietary supplements, certification from the Chinese Food Safety Authority is often required.

• Medical devices, pharmaceuticals, and cosmetics. These products must be registered with the CFDA (China Food and Drug Administration); import will be refused without registration.

• Lithium batteries and electronic devices. Battery-powered products (e.g., power banks, drones, e-scooters) require safety approval and must comply with strict packaging regulations.

• Cultural goods and antiques. Works of art, antiques, coins and collectibles are subject to export restrictions and may require an export certificate.

• Plants, seeds and agricultural products. Plant protection certificates or veterinary certificates are required for seeds, seedlings, animal products or animal by-products.

• Chemicals and hazardous substances. Paints, varnishes, sprays and other dangerous goods may only be imported with the appropriate permit and require special labeling.

Foreign shippers should check in advance whether their products require special permits or are even prohibited from being imported. Customs regularly updates its list of prohibited items, and many carriers offer advisory services.

stipulations for certain goods

In addition to the generally restricted goods, some product groups are subject to additional quantity or packaging regulations. These include, among others:

• Spirits, tobacco, and perfume. Maximum limits apply per shipment (e.g., a maximum of two liters of alcoholic beverages), and the goods must be sent in their original packaging.

• Gift shipments. For private individuals, gift shipments are limited to a low value and may not be sent in batches.

• Second-hand goods and used electronics. The import of used goods is heavily regulated and requires a special permit – this is only granted in exceptional cases.

The exact regulations are updated regularly. UPS and other carriers publish lists of current limitations; it's worth checking these resources before each shipment.

China is continuously expanding its network of free trade agreements. According to data from the business magazine China Briefing, the country will have signed 23 free trade agreements covering 30 countries and regions by 2025; another 10 agreements are under negotiation and 8 are in the process of being finalized. Planningg. Among the most important are the Regional Comprehensive Economic Partnership (RCEP) with the ASEAN states, Australia, New Zealand, Japan and South Korea, as well as bilateral agreements with countries such as Singapore, Australia, New Zealand, Chile, Peru and Georgia.

Companies importing goods from these countries can benefit from reduced or even duty-free rates. Currently, there is no comprehensive free trade agreement with the European Union, so regular MFN tariffs usually apply. However, China is working on further bilateral agreements (for example, with Israel and Canada). It is worthwhile to consult the applicable preferential tariff lists to identify potential tariff savings.