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Measures of the People's Republic of China on Admi
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1991.06.01
CUSTOMS GENERAL ADMINISTRATION
MEASURES OF THE PEOPLE'S REPUBLIC OF CHINA ON ADMINISTRATION BY THE
CUSTOMS OF DUTY-FREE FOREIGN EXCHANGE GOODS BUSINESS
(Promulgated by Decree No.20 of the Customs General Administration on
April 24, 1991)
Article 1 In order to ensure the smooth operation of the duty-free
foreign exchange goods business and to strengthen supervision and
administration by the customs, these measures are formulated  in
accordance with the Customs Law of the People's Republic of China and
relevant provisions of the State Council on the business of duty-free
foreign exchange goods.
Article 2 The business of duty-free foreign exchange goods means the
import of and sale to Chinese citizens travelling abroad, overseas
Chinese, Chinese having foreign nationality, Taiwan compatriots, Hong
Kong and Macao compatriots, Chinese citizens visiting overseas relatives
and foreign diplomats resident in Chinese duty-free foreign exchange
goods by approved units.
Article 3 The conducting of the business of duty-free foreign exchange
goods must be approved by the State Council. Business activities of the
approved operating units shall abide by these measures.
Article 4 When conducting the business of duty-free foreign exchange
goods, the type of customers, variety of goods and supply stations (or
service stations, duty-free shops, hereafter shall be referred to as
"the sales departments") established by the operating units across China
shall be submitted to the Customs General Administration for approval.
Article 5 Operating units of duty-free foreign exchange goods and their
sales departments shall set up places of business and bonded warehouses
that meet the conditions of customs supervision and administration and
shall designate customs declaration officers who shall be examined and
licensed by the customs.
In the event that sales departments change the addressees of their
places of business and boned warehouses, they shall apply to their local
customs concerned for approval and shall file with the Customs General
Administration.
Article 6 Operating units shall collectively organize order and  import
of duty-free foreign exchange goods. Their sales departments shall be
responsible for the sale of the goods and may complete customs clearance
on behalf of their operating units.
When importing duty-free foreign exchange goods, the operating units
shall prior to the conclusion of contracts submit their procedurement
plan (including description, specification, mode and price) to local 
customs concerned for approval.
Article 7 Operating units shall conduct the import and storage of duty-
free foreign exchange goods in accordance with the administrative
provisions of the customs regarding the goods under supervision and
administration and bonded warehouse. When each lot of goods arrive, the
operating units or sales departments shall fill out Declaration Form of
Imported Goods according to the variety, quantity and price of the goods
actually arrived, and shall declare to the local customs of import
together with relevant documents. After the verification, inspection and
imposition of supervision and administration fee, the goods shall be
stored in the bonded warehouse and be subject to the supervision and
administration of the customs.
Article 8 Sale of duty-free foreign exchange goods shall be proceeded
according to relevant provisions of the customs and special vouchers
approved by the customs shall be used.
Article 9 When taking duty-free foreign exchange goods out of the bonded
warehouse, officer in charge at the warehouse shall release the goods
upon presentation of special vouchers with customs' stamp or other
documents with customs' stamp.
Article 10 Operation units and sales departments shall prepare a list of
imports, sales and inventories on a monthly basis, and shall complete
the verification and cancellation formalities at the customs with the
list and the "Retrieving Goods" section of the special voucher for those
goods delivered. The customs may inspect and examine relevant books and
records from time to time to check the inventories.
Article 11 When duty-free foreign exchange goods are to be distributed
to another location, prior consent must be obtained from the customs at
the designated place of shipment, the customs shall process the
formalities pursuant to the relevant provisions concerning the shipment
of goods from one customs to another customs.
Article 12 The customs may station at the shops to process the
examination and release of the goods vouchers when it deems necessary.
The sales department shall provide all necessary offices and office
supplies.
If a sales department requests that officers be despatched by the
customs to the area outside the

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