[Supporting policies] General Administration of Customs "Hainan Free Trade Port Import "Zero Tariff" Raw and Auxiliary Materials Customs Supervision Measures (Trial)"

Article 3 Enterprises engaged in "zero tariff" raw and auxiliary materials business shall establish a management system and computer management system that meets the requirements of customs supervision, realize the full tracking of "zero tariff" raw and auxiliary materials consumption and other information, and ensure that the data is true, accurate and valid.
Article 4 Enterprises engaged in "zero tariff" raw and auxiliary materials business shall set up special electronic account books.
Article 5 Enterprises engaged in "zero tariff" raw and auxiliary materials business may independently register electronic account book commodity information, independently verify consumption, and truthfully declare to the customs, go through verification procedures, and independently pay taxes. Enterprises are responsible for the self-reported data and bear the corresponding legal responsibilities.
Article 6 When an enterprise imports "zero tariff" raw and auxiliary materials, it shall submit a bonded verification list to the customs in accordance with regulations and then go through the declaration procedures for the customs declaration form (record list).
Article 7 When an enterprise imports "zero tariff" raw and auxiliary materials and voluntarily pays the value-added tax and consumption tax at the import stage, it shall apply at the time of customs declaration, and shall declare the "zero tariff" raw and auxiliary materials that voluntarily pay the value-added tax and consumption tax at the import stage separately from other "zero tariff" raw and auxiliary materials.
Article 8 When "zero tariff" raw and auxiliary materials are imported and exported, finished products are exported, and sold domestically, the supervision method shall be declared in accordance with "processing with imported materials (non-counterpartial contract)" (code 0715) and related supervision methods. Among them, if the "zero tariff" raw and auxiliary materials are exempted from import tariffs, value-added tax and consumption tax at the import stage when they are imported, the nature of taxation and exemption shall be filled in as "zero tariff raw and auxiliary materials" (code 591); if the value-added tax and consumption tax at the import stage are voluntarily paid, the nature of taxation and exemption shall be filled in as "partial taxation of raw and auxiliary materials" (code 592).
Article 9 "Zero tariff" raw and auxiliary materials are limited to production and use by enterprises in Hainan Free Trade Port, subject to customs supervision, and shall not be transferred within the island or exported. If the enterprise really needs to transfer or export the materials due to bankruptcy or other reasons, it shall pay the taxes in advance and complete the customs formalities in accordance with the law.
Article 10 For goods processed and manufactured with "zero tariff" raw and auxiliary materials, if they are sold within the island or sold to the mainland, the enterprise shall pay the import tariffs, import value-added tax and consumption tax of the corresponding imported "zero tariff" raw and auxiliary materials in advance, and complete the customs formalities.
Article 11 For the export of goods processed and manufactured with "zero tariff" raw and auxiliary materials or the direct export of "zero tariff" raw and auxiliary materials, there is no need to pay taxes, and the relevant tax policies on export goods shall be implemented in accordance with the current tax policies.
Article 12 Parts used for aircraft and ship maintenance (including related parts maintenance) that meet one of the following conditions shall be subject to the "zero tariff" raw and auxiliary materials policy and exempt from import tariffs, import value-added tax and consumption tax:
(i) Used to repair aircraft and ships (including related parts) that enter the country from abroad and are re-exported;
(ii) Used to repair aircraft (including related parts) operated by aviation companies with Hainan as their main operating base;
(iii) Used to repair ships (including related parts) operated by shipping companies registered in Hainan with independent legal person status and with ports in Hainan Province as their port of registry.
Enterprises that use the above-mentioned parts to carry out maintenance business shall record the use of parts and be able to form a corresponding relationship with the aircraft and ships (including related parts) being repaired.
Article 13 Other matters related to the tax collection and management of "zero tariff" raw and auxiliary materials shall be handled in accordance with the relevant provisions of the customs on tax collection and management of processing trade goods for domestic sales.
Article 14 The customs shall implement customs statistics on "zero tariff" raw and auxiliary materials in accordance with the law.
Article 15 This Measures shall come into force on December 1, 2020.