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ARTICLE · 03 DECEMBER 2019

Milestone ─ China Customs Self-Disclosure Mechanism Development

Early in 2016, the State Council of PRC issued Order No. 670, the Decision on the Amendments to the Regulations of the People's Republic of China on Customs Audits (Customs Audit Regulations).

ChinaInternational Law

Overview 

Early in 2016, the State Council of PRC issued Order No. 670, the Decision on the Amendments to the Regulations of the People’s Republic of China on Customs Audits (Customs Audit Regulations). The amended Customs Audit Regulations introduced a self-disclosure mechanism provision which provides that “where a company directly related to import or export of goods voluntarily reports its violations to the Customs and assumes the corresponding consequences, it should be eligible to receive leniency or reduced administrative penalties.”

In response to China Customs’ recent reform focusing on promoting cross-border trade facilitations and improving the business environment, this October, the General Administration of Customs (GAC) issued Announcement No. 161, the Announcement on the Handling of Relevant Matters for Self-disclosure Cases involving Violations with Duty Implications (New Announcement) which provides clarifications and guidance to those companies

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