China Import & Export Toolkit
China is the largest trading nation on earth. This hub covers LC cost in CNY and USD, MFN vs FTA duty rates, 13% import VAT with input-credit mechanics, CIQ inspection requirements and Incoterms best practice for Chinese counterparties.
Free calculators for China trade
- · Shanghai (Yangshan / Waigaoqiao) - world's #1 container port
- · Ningbo-Zhoushan
- · Shenzhen (Yantian, Shekou, Chiwan)
- · Guangzhou (Nansha)
- · Qingdao
- · Tianjin
- · Xiamen
- · Dalian
- · Electronics & integrated circuits
- · Machinery
- · Textiles & apparel
- · Steel & aluminium products
- · Vehicles & EVs
- · Solar panels & batteries
- · Furniture & toys
- · Crude petroleum & LNG
- · Iron ore
- · Integrated circuits
- · Soybeans
- · Copper ore & refined copper
- · Machinery
- · Cars (luxury)
Trade finance in China
- · CNY LC usance interest is quoted ACT/360. Onshore (CNY) and offshore (CNH) rates diverge - be explicit which currency the LC settles in.
- · SAFE (State Administration of Foreign Exchange) rules govern all cross-border payments. Advance payments and deferred payments beyond 90 days trigger registration.
- · Chinese banks typically quote 0.10-0.20% per quarter for LC issuance. G7 confirmation on top-tier Chinese bank risk is inexpensive (0.10-0.30%).
- · Bank Acceptance Drafts (银行承兑汇票) are a parallel domestic instrument - not to be confused with LCs. Discounting rates are set daily by Shanghai commercial paper exchange.
Customs & duty in China
- · China uses a 10-digit HS extension of the 6-digit WCO HS. Digits 7-8 are the CN tariff sub-heading; 9-10 are statistical/regulatory.
- · CIQ (China Inspection & Quarantine, now merged into Customs) inspection is mandatory for food, cosmetics, medical devices, and many consumer goods. GACC registration is required for food exporters to China.
- · Customs value = CIF. Duty is applied first, then consumption tax (if any), then 13% VAT on the combined base.
- · China Compulsory Certification (CCC) applies to 100+ product categories - vehicles, electrical products, toys, medical devices. Without CCC, goods cannot clear customs.
Incoterms 2020 practice in China
- · FOB China port dominates export contracts. Buyers should insist on FCA for container cargo to align risk transfer with CY handover, not vessel rail.
- · DDP into China is complex - the seller must have a Chinese entity or bonded importer of record to reclaim VAT. Most sellers stop at DAP or DPU.
- · EXW is common with domestic Chinese trading companies but transfers export clearance burden to the buyer - impractical for most foreign counterparties.
HS commodity guides for China
Classification, duty and worked landed-cost examples for the commodity families most active on China's trade lanes.
Commodities linked to China
China appears in the trade lanes for the commodities below. Each hub covers grades, specs, benchmark pricing and HS code references.
China's key trading partners
Frequently asked questions
CIF value → MFN or preferential duty → consumption tax (on select goods) → 13% VAT on (CIF + duty + consumption tax). VAT is creditable; duty and consumption tax are not.
CNY is the onshore renminbi, quoted in mainland China and subject to PBoC daily fixing. CNH is the offshore renminbi, freely traded in Hong Kong, Singapore and London. The two typically trade within 100-300 pips of each other but can diverge in stress periods.
You need a customs-registered importer of record with a China Customs code. Foreign sellers usually work through a Chinese trading agent or set up a WFOE (Wholly Foreign Owned Enterprise) or FTZ company.
General Administration of Customs China registration is mandatory for overseas food and cosmetics manufacturers exporting to China (Decree 248/249). Without it, food consignments will be rejected at the port.