Credit empowerment to promote the quality and quantity of foreign trade

General Secretary Xi Jinping pointed out that "we will negotiate and sign high standard free trade agreements with more countries" and "accelerate the promotion of international mutual recognition and cooperation of 'certified operators'".

From May 8 to 10, the 6th Global AEO (Certified Operators) Conference, hosted by the World Customs Organization and co organized by the General Administration of Customs and the Shenzhen Municipal People's Government, was held in Shenzhen, which was the first time that the conference was held in China. The theme of the conference is "giving play to the advantages of the AEO system to promote inclusive and sustainable global trade". More than 1200 representatives from customs, international organizations, enterprises and other members of the World Customs Organization from more than 100 countries and regions discussed in depth, and gathered consensus to promote international mutual recognition of AEO and promote trade growth.

During the conference, the General Administration of Customs of China signed AEO mutual recognition arrangements with the Taxation Bureau of the Republic of Burundi and the Taxation and Customs Administration of Iceland. So far, China has signed AEO mutual recognition agreements with 28 economies such as Singapore, the European Union, and South Korea, covering 54 countries (regions). The number of mutual recognition agreements signed and the number of countries (regions) recognized each other rank first in the world.

Credit supervision and trade facilitation

As the core system of the World Customs Organization's Framework of Standards for Global Trade Security and Facilitation, The AEO system is used by the customs to certify the credit status, law-abiding degree and security level of enterprises. By the end of April this year, there were 5882 AEO enterprises nationwide, The import and export volume of AEO enterprises accounts for 36.30% of the total import and export volume of the country.

"More confidence" in market development. "For enterprises, AEO advanced certification not only means convenient customs clearance, but also a business card. " Sun Yunsong, the customs affairs manager of Shunfeng International Supply Chain, said that with the help of Qianhai Customs under Shenzhen Customs, the enterprise finally obtained the AEO advanced certification certificate. Enterprises that have passed the certification are equivalent to obtaining the highest credit rating of the customs, and can enjoy convenient measures such as fast customs clearance, low inspection rate, and international mutual recognition, AEO is also known as the "green passport" and "golden signboard" in international trade.

The clearance speed is "one step faster". Under the guidance of Kunming Customs, Yuxi Watson Biotechnology Co., Ltd. passed AEO certification in November 2023. "The frequency of goods being inspected has been significantly reduced, and the overall export time has been reduced from nearly one month to about three days, which has significantly improved the competitiveness of enterprises in the international market," said Yin Guoqing, head of the company's international cooperation department.

Trade costs are "lower". On May 6, under the supervision of Suzhou Industrial Park Customs, Youda Optoelectronics (Suzhou) Co., Ltd. successfully shipped a batch of LCD panels to Egypt by air. "As an AEO enterprise, we have enjoyed the preferential enterprise guarantee policy issued by the senior certification enterprise in the whole process, reducing the annual capital pressure of about 6.5 million yuan," said Yin Mingjun, the company's customs affairs manager.

In recent years, the Chinese Customs has implemented high-quality AEO facilitation measures, promoted the improvement of supervision and service efficiency, and made honest and law-abiding enterprises unimpeded, cost reduced and efficiency increased. Wang Lingjun, Deputy Director General of the General Administration of Customs, introduced at the opening ceremony of the conference that the customs had steadily increased the benefit sharing measures for AEO enterprises, and formed a list of 28 measures in five categories, including reducing the proportion of inspections, reducing the frequency of supervision, and giving priority to the handling of formalities. In the past two years, The average inspection rate of AEO enterprises was only 0.33%, which was 1/5 of that of enterprises under conventional management. It helped AEO enterprises complete 1.53 million priority services.

Joint incentives to stabilize the basic foreign trade market

Recently, in the office of Shandong Weida Machinery Co., Ltd., Song Zhanyou, the person in charge of the company, received the good news that more than 5 million yuan of tax refunds had been received

The "new way" in the words of comrades in arms of Song refers to the linkage between Qingdao Customs, local tax authorities and banks to achieve mutual recognition, sharing and sharing of credit. Through joint incentives, after the enterprise has been tutored to become an export tax rebate enterprise, the export tax rebate will be reported for immediate review and refunded upon review. "The tax refund of more than 5 million yuan used to require more than ten days of review, but now it can be paid in one day," said Song Zhanyou.

How to give better play to the efficiency of AEO system?

On the one hand, the General Administration of Customs has built an AEO system with high standards, combined AEO international rules with the construction of domestic credit system, optimized and formed a certification system of "general standards+single standards", established 94 certification standards covering four dimensions of internal control, law-abiding status, financial norms and trade security, and measured the credit status of enterprises from all aspects.

On the other hand, we strengthened cross sectoral joint incentives. The General Administration of Customs signed a memorandum of cooperation on joint incentives for AEO enterprises with more than 30 departments, such as market supervision and taxation. Senior certified enterprises can enjoy more than 40 incentive measures, such as "green channel", loan interest rate discount and simplified procedures, provided by multiple departments, to provide integrity and law-abiding enterprises with convenient services throughout their life cycle.

In order to allow more foreign trade enterprises to enjoy the preferential treatment of AEO system, the first AEO training base in China was officially opened in Shenzhen Customs on October 31, 2019. In April 2024, the base will be newly unveiled as China Customs AEO Training Base (Shenzhen). The upgraded base will cover an area of 3000 square meters. It is estimated that 50 foreign trade enterprises will be cultivated every year to obtain customs AEO qualification.

Relying on this base, Shenzhen Customs has successfully cultivated more than 200 AEO enterprises, and participated in the international mutual recognition and cooperation of AEO with Serbia, Brazil and other countries and regions.

Open cooperation and cultivate new competitive advantages

AEO system is an important measure for customs to explore credit supervision, and promoting international mutual recognition of AEO is the proper meaning of institutional openness. After signing the AEO mutual recognition agreement, the AEO enterprises recognized by one party can enjoy the same customs clearance facilitation treatment of the mutual recognition party, which greatly reduces the barriers to trade cooperation and promotes the growth of international trade.

During the 6th Global AEO Conference, China signed AEO mutual recognition arrangements with Burundi and Iceland. According to the agreement, AEO enterprises in China and Brazil and China and Iceland will enjoy four facilitation measures, including lower inspection rate of imported goods, priority inspection, designated customs liaison services, priority customs clearance after international trade is interrupted and resumed.

Frederic Manilam Bona, Director of the Burundian Customs Department, said that this agreement shows the common desire of the two countries to strengthen ties, promote customs clearance security and trade facilitation cooperation, and the two sides will jointly create a safer, more efficient and predictable business environment for AEO enterprises.

China is Iceland's largest trading partner in Asia, and the signing of the China Iceland AEO Mutual Recognition Arrangement marks that China Iceland customs cooperation has reached a new level. Snory Olsen, Director of the Icelandic Tax and Customs Administration, said that although the geographical distance between the two countries was ten thousand miles apart, it could not hinder the development of the friendly relationship.

After obtaining the AEO qualification of China Customs, the inspection proportion of Glory Terminal Co., Ltd. was reduced by 80%, the customs clearance efficiency was increased by 85%, and the overseas market increased by 160% in 2023. "In the process of globalization, we have enjoyed the efficiency improvement and convenience policies brought by the AEO system for enterprises, and we are the beneficiaries and witnesses of the AEO system." Song Yiwen, president of Glory Supply Chain, said at the meeting that he hoped that customs of all countries would expand the international mutual recognition of AEO, continue to improve trade facilitation, and create a more open and cooperative AEO system, Bring benefits to all participants in world trade and achieve win-win results.

Lin Jiantian, Director of the Department of Enterprise Management and Inspection of the General Administration of Customs, said that he hoped the customs of the members of the World Customs Organization would promote the implementation of the AEO system in a wider range and more countries (regions), promote the mutual recognition of AEO enterprises among more countries (regions), and provide more policy dividends for enterprises.