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China Foreign Investment in China General Information China’s Pilot Program for Facilitating Foreign Exchange Receipts and Payments under Trades
KNOWLEDGE|
(1) |
Optimizing verification of foreign exchange receipt and payment documents for trade. The banks shall handle foreign exchange businesses for trade in goods in accordance with three principles of “knowing your customer”, “understanding your business” and "due diligence”. |
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(2) |
Foreign exchange receipts from trade are not required to go through accounts pending verification. Foreign exchange receipts of pilot enterprises under authentic and legitimate trade in goods can be entered into foreign exchange settlement account under the current account or settled directly. |
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(3) |
Abolishing special re-exchange business registration formalities. Overdue re-exchange and re-exchange via routes other than the original one can be handled with a bank directly |
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(4) |
Simplifying import declaration verification. If a bank can confirm that foreign exchange payment for trade is authentic and lawful, the electronic information verification formalities for import declaration can be waived. |
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(1) |
Registered in Shenzhen, handle foreign exchange receipts and payments of trade in goods/services with the pilot bank for more than three consecutive years, and have real needs for pilot measures. |
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(2) |
The trade balance of goods/services is reasonable, receipts and payments is reasonable and stable. The receipts and payments of trade in goods of last year is USD100 million or more. The receipts and payments of trade in service of last year is USD10 million or more. |
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(3) |
The operation of the enterprise is stable and complying with the law. No abnormal record of false trade and have not been punished by Shenzhen Branch of the State Administration of Foreign Exchange in the last three years. The enterprise applying for pilot measures on trade in goods shall be classified as Category A in the last three years. |
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(4) |
Have measures to ensure the compliance of trade of goods/services and have assigned dedicated personnel to supervise and evaluate the pilot business. |
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(5) |
The enterprise shall operate prudently. The trade credit and trade financing of the enterprise shall be reasonable. |
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(6) |
Other requirements set out by the pilot banks for risk prevention purposes. |
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(1) |
For enterprises applying for pilot measures on trade in goods, the receipts and payments of trade in goods of last year shall be USD200 million or more. For those enterprises registered in Free Trade Zone, it shall be USD100 million or more. |
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(2) |
For enterprises applying for pilot measures on trade in services, the receipts and payments of trade in services of last year shall be USD50 million or more. |
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Disclaimer All information in this article is only for the purpose of information sharing, instead of professional suggestion. Kaizen will not assume any responsibility for loss or damage. |
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