Rather than being a certification, the import and export license is more like a licensing process in which a company undergoes qualification review and registration with government departments to legally conduct import and export of goods or technology. In the following sections, Hongda will provide you with a detailed introduction to the three steps that will enable you to meet the conditions for conducting import and export business operations locally. Typically, the information on the import and export license mainly includes the name, specifications, quantity of the goods, the country of the importer/exporter, the validity period, the total value, the mode of transportation, the trade method, and the payment method. Therefore, import and export enterprises must strictly follow the stipulated trade methods and other content specified in the license to import and export specific goods.
In addition, the import and export license is also used for customs inspection and clearance, as well as for banks to handle foreign exchange settlements and other foreign trade-related businesses. One of the most important aspects is that after you carry out the corresponding international trade business, you must use the import and export license to apply for import and export tax refunds from the tax authorities. If you want to know more about the relevant content of enterprise import and export tax refunds, please click on our enterprise tax refund service page.
Process for an Import/Export License Application
Step 1: Customs Registration
First, your company must submit essential products to local customs and register in accordance with customs requirements. Customs will provide you with a unique Customs Registration Code (also known as a CR Code) once you have successfully registered. The CR Code is typically a 10-digit code that serves as the sole identifier for import and export businesses recognized and regulated by China Customs. It serves as the foundation for all import and export firms' international trade activity. All import and export businesses must receive this code in order to make import and export declarations, ask for customs duty exemptions, handle foreign exchange settlements, and manage customs inspections and releases. You can also use the English name of your company during the customs registration process, which can be beneficial to your marketing activities.
Step 2: Apply for an Electronic Port IC Card
China Customs has launched the Electronic Port IC Card, a smart card that can be used for data sharing, electronic signatures, identity verification, and other purposes on the Electronic Port Platform for import and export business runners. The Electronic Port IC Card should be stored safely to avoid loss since, once filed and obtained, it serves as the enterprise's online identity and seal.
Step 3: Foreign Exchange Registration
After completing the above two steps, you need to register with the State Administration of Foreign Exchange (SAFE). Due to China's foreign exchange control system, registration with the local foreign exchange management department to conduct lawful cross-border fund transfers is needed. This is a need to apply for tax benefits as well as a legal need for managing foreign exchange income and expenses and cross-border capital flows. Your business will not be able to manage tax information correctly or submit an application for import and export tax refunds without foreign exchange registration.
Necessary Conditions for Applying for Import and Export License
The Chinese government has specific legal requirements for applying for an import and export license. Your company must meet certain conditions to qualify for the application. If you have already established a company in China, you need to check whether your company meets the conditions summarized by Hongda below to successfully apply for an import and export license.
Condition 1: Legally Registered in China
If you wish to apply for an import and export license in China, your company must be a legally registered enterprise with the Administration for Industry and Commerce in China. If you are considering engaging in international trade activities in China but have not yet established your own company, you can choose Hongda’s WFOE setup service package. We will provide comprehensive services from company establishment, selection of business scope, to staff recruitment, ensuring that your company meets the relevant requirements for applying for an import and export license from the beginning.
Condition 2: Company Basic Information Compliance
To apply for an import and export license, your company needs not only to be legally registered but also to have successfully opened a basic RMB bank account in China. If you have not yet opened a Chinese bank account, you can click to learn about Hongda’s Chinese bank account opening service.
In addition, the basic information of your company, including the registration capital and business scope, will be reviewed by the government, and you may not be able to get approval if that does not meet the requirements. For example, if your company’s business scope does not include "import and export of goods," you may need to add this to your business items. You can click our "China Company Information Change" service page (link to China Company Information Alteration page) to learn more.
Condition 3: Qualified Personnel
International trade involves submitting various materials to multiple government departments, so your company needs qualified and experienced import and export professionals to handle related business. These staff members should be familiar with customs declaration procedures and understand the regulations for import and export management. You can choose Hongda's HR management services to help you find suitable candidates and provide payroll management services once they are employed.
Food Import and Export License Application: A Case Study from Hongda's Client
In this section, Hongda will introduce a real case of one of our clients mainly engaged in sugar syrup imports (classified as low-risk food). We hope this will give you a general understanding of our service items and related charges. Please note that the process for obtaining an import and export license differs based on the kind of items you plan to import and export. This case study is meant only as general guidance. For further information, please arrange a free consultation appointment with us if you would like to use Hongda as your partner for submitting an import and export license application.
|
Service Item |
Description |
Contents |
Service Fee (USD) |
Government Fee (USD) |
| Chinese Product Label Generation |
Customs Registration and Chinese Label Application for Imported Products |
|
250 |
150 |
| GACC Filing and Registration | Register the manufacturer, distributor, and other relevant entities for the purchased products with the General Administration of Customs (GACC). |
|
-- |
-- |
|
-- |
600 |
||
|
-- |
800 |
||
| Hongda’s All-in-one Business Solution Package | ||||
|
Chinese Representative Agent Services |
As the authorized representative in China, we communicate with upstream parties of the imported products to obtain necessary documents and assist in resolving issues during the application process. |
|
3500 (not including government fees) |
|
