Measures of China Customs for the Classified Management of Enterprises Ⅳ

Article 26 Where an enterprise only changes its name or registered customs ID, it may continuously be subject to its original management category; however, if it is under any of the following circumstances, its management category shall be adjusted in the following methods: 

（1） In case the enterprise is split off, and the surviving enterprise after split-off will inherit main rights and obligations or main creditor's rights and debts of the enterprise before split-off, it shall be subject to the management category of the enterprise before split-off; and other enterprises produced through the split-off shall be regarded as enterprises of initial registration;

（2） In case an enterprise is split up, the enterprises produced through the split-up shall be regarded as enterprises of initial registration;

（3） In case an enterprise is merged, it shall be subject to the management category of the surviving enterprise after merger; and

（4） In case an enterprise is consolidated, the consolidated enterprise shall be regarded as an enterprise of initial registration.

Chapter IV Implementation of Management Measures

Article 27 Where a declaration enterprise engages in declaration business on behalf of a consignee or consigner of import or export goods, the Customs shall separately implement corresponding management measures in light of the management categories applied by the declaration enterprise and the consignee or consigner of import or export goods.

In case the management measures to be implemented over the enterprises in different management categories are conflicting with each other, the Customs shall implement management measures in the following methods:

（1） In case the declaration enterprise or the consignee or consigner of import or export goods is in the category of C or D, the corresponding management measures for the lower management level shall be implemented; and

（2） In case both the declaration enterprise and the consignee or consigner of import or export goods are in the management category of B or above, the corresponding management measures for the management category of the declaration enterprise shall be implemented.

Article 28 Where the management category of a processing and trading enterprise is different from that of a production enterprise undertaking commission processing, the Customs shall implement corresponding management measures for the lower management level to the foresaid processing and trading business.

Chapter V Supplementary Rules

Article 29 The time of the crime of smuggling shall be the day when the criminal judgment made by the people's court enters into force.

The time of smuggling, import or export of goods infringing on intellectual property rights or violation of the provisions on customs supervision and control shall be the day when the written decision on customs administrative punishment enters into force.

Article 30 The warning and the fine of less than 10,000 Yuan for an act against the provisions on customs supervision and control may not be taken as the records for appraisal of the management categories of enterprise.

Article 31 The meanings of the following terms and expressions used in these Measures are:

The term "other enterprises" refers to the enterprises engaging in businesses directly related to the import and export activities as prescribed by the General Administration of Customs, excluding the consignees and consigners of import or export goods and the declaration enterprises as registered at the Customs.

The expression "central and western regions" refers to the regions other than the eastern region which includes Beijing Municipality, Tianjin Municipality, Shanghai Municipality, Liaoning Province, Hebei Province, Shandong Province, Jiangsu Province, Zhejiang Province, Fujian Province and Guangdong Province.

The expression "defaulted taxes" refers to the sum of the import and export customs duties and the taxes vicariously collected by the Customs during the import and export process on the import and export goods and articles, which have not been paid for three months after expiration of the time limit, including the taxes other than the fines that need to be paid where the Customs affirms any violation of the provisions on customs supervision and control.

The expression "defaulted fines" refers to the fines, illegal proceeds as confiscated and smuggled goods and articles etc. as recovered by the Customs, which have not been delivered to the Customs for three months after expiration of the time limit as prescribed in the customs administrative punishment decision.

The expression "gross import and export value" includes the customs' trade statistics and statistical data for single items, of which the customs statistics shall prevail and the relevant data shall only be used for the customs' classified management of enterprises.

The expression "error rate of declaration" refers to the percentage of dividing the total times of scoring made by all the declarers by the gross amount of declaration forms in the previous year.

The term "one year" refers to the consecutive twelve months.

The word "year" refers to one Gregorian calendar year.

The term "more than" includes the figure itself.

The term "less than" excludes the figure itself.

Article 32 The General Administration of Customs shall be responsible for the interpretation of these Measures.

Article 33 These Measures shall enter into force as of April 1, 2008. The Measures of the Customs of the People's Republic of China for Implementing Classified Management over Enterprises promulgated by Decree No.71 of the General Administration of Customs on March 31, 1999 and the Provisions on Examination and Approval of the Application of Convenient Customs Clearance Measures to Large-scale High and New Technology Enterprises promulgated by Decree No.86 of the General Administration of Customs and the Ministry of Foreign Trade and Economic Cooperation on July 20, 2001 shall be simultaneously abolished .