Navigating Customs Voluntary Disclosure Reforms

China Customs has been actively developing a customs voluntary disclosure system suited to its environment since the launch of the pilot project on enterprise self-regulation management in 2014.

The primary goal of this system is to implement the management concept of "promoting integrity, and punishing dishonesty" at the legislation level for enterprises, aiming to encourage responsible behaviour by the enterprise.

In line with this objective, the General Administration of Customs ("GAC") has issued Announcement No. 161 of 2019 and Announcement No. 54 of 2022 ("Announcement No. 54"), respectively. These two Announcements have been instrumental in clarifying the requirements and regulations on voluntary disclosure by the Customs step by step. Equally, the rules on voluntary disclosure of non-compliance will be revised with the issuance of the Circular on Relevant Matters Concerning the Handling of Voluntary Disclosure of Violations by the GAC on 28 June 2023