Detailed Explanation of General Trade Customs Clearance: Process Steps, Document Requirements, and Clearance Time Guide

1. What is General Trade?

1.1 Definition

General Trade (Customs Supervision Method Code 0110) refers to a trade method in which enterprises within China with import and export rights engage in unilateral import or unilateral export. It is the most basic and commonly used type of customs supervision method and is the main component of import and export trade statistics.

At the legal level, general trade corresponds to the supervision system for "general import and export goods" in the "Customs Law"—after goods complete declaration, inspection, tax payment, and release at the import/export stage, they are no longer subject to customs supervision (as opposed to later-stage supervision methods such as "bonded goods").

1.2 Regulatory Characteristics of General Trade

1.3 General Trade vs. Processing Trade vs. Other Trade Methods

2. Applicable Scenarios for General Trade

2.1 Export Scenarios

• Domestic manufacturers export self-produced products (clothing, electronics, machinery, etc.)
• Trading companies source domestically and export to overseas buyers
• Agricultural and sideline product exports
• Bulk commodity exports (steel, non-ferrous metals, chemicals, etc.)

2.2 Import Scenarios

• Manufacturing enterprises import raw materials, parts, and equipment
• Trading companies import finished goods for domestic sale
• Research institutions import scientific equipment
• Medical institutions import medical equipment

2.3 Outsourced OEM Export

This is one of the most common scenarios in the Pearl River Delta region. Chinese companies receive orders from overseas brands, purchase raw materials for processing/production, and export finished goods via general trade. Although raw materials are partly sourced domestically, general trade applies as long as the title transfers to the overseas buyer.

2.4 Industry Scenario Examples

3. Complete General Trade Customs Clearance Process

3.1 Flow Chart

Step 1        Step 2          Step 3               Step 4                 Step 5          Step 6          Step 7
Prepare Docs → E-Declaration → Customs Review → Inspection (~3%) / Tax → E-Release → Cargo Shipment → Case Closure
  │              │                │                   │                   │               │
  └── 1-2 days   └── 10min       └── secs-hours       └── 1-2 days        └── Instant    └── 1-3 days

3.2 Detailed Steps

Step 1: Prepare Documents

Prepare core documents (see Section 3):

Step 3: Customs Review

Customs review has automatic system and manual review levels:

System Automatic (vast majority): - System compares declared data vs pre-set rules - Green channel: no anomalies -> auto release (~30 sec) - Yellow channel: tax or simple parameter issues -> manual review - Red channel: system flags for control/inspection

Manual Review (~5-10%): - Manual review at the review center - Focus items: HS code accuracy, price reasonableness, C/O compliance, regulatory docs completeness

Step 4: Inspection / Tax Payment

Inspection (see manual 5.3 Responding to Customs Inspection): - Non-intrusive (X-ray/can scan): no unboxing (~60-70%) - Physical inspection: unpack and verify (1-2 days) - Overall rate: general companies ~3-5%, AEO Advanced certified ~0.5%

Tax Payment (rarely applies to export general trade; below for import scenarios): - E-tax note generated -> pay online (single window or bank portal) - Taxes: Duty (based on HS & origin) + VAT (13% or 9%) - Releases automatically after payment

Steps 5-7: Release -> Shipment -> Closure

• Release: Customs sends e-release instruction; wharf/aircraft loads accordingly
• Shipment: Goods physically loaded and depart
• Case Closure: Customs confirms goods left, badge updates (required for tax rebates and forex manual verification)

3.3 Timeline Summary

Note: Times are typical. Actual speed depends on port congestion, goods sensitivity, and application quality. Plan at least 2 working days for exports; 3-5 working days for imports.

4. Key Documentation Requirements for General Trade Customs

4.1 Commercial Invoice Filling Checklist

4.2 HS Code Accuracy

General Trade requires HS codes precis to 8 digits (Chinese tariff subhead). Errors >> RS might cause: - Wrong section -> returned for review - Wrong license -> 3C issues / false declaration - Lose eligible tax rebate

Methods for checking correct codes: see Chapter 4 of our manual.

4.3 Price Declaration Principles

General Trade must be actual traded value. Export = FOB (ex retail and Insurance costs possible) Import = cIF including o