Statutory Reduction and Exemption

Statutory Reduction and Exemption refers to the reduction or exemption of customs duties granted to specific imported and exported goods and articles in accordance with national laws and regulations (such as the Customs Law, Regulations on Import and Export Duties, etc.). Its characteristics lie in its statutory nature, mandatory enforcement, and universal applicability; customs must execute it in accordance with the law without case-by-case approval. Common scenarios include: advertising materials and samples of no commercial value, materials donated free of charge by foreign governments, necessary fuel and materials carried by inbound and outbound means of transport during the journey, and exported goods returned for some reason. Points to note: enterprises need to provide relevant supporting documents, such as donation certificates, sample descriptions, etc., and ensure that the use of the goods meets the statutory conditions; if the use is subsequently changed or the goods are transferred, duties may need to be paid retroactively. Unlike 'specific reduction and exemption,' statutory reduction and exemption is based on direct legal provisions, while specific reduction and exemption usually targets specific regions, enterprises, or uses and requires approval; compared with 'temporary reduction and exemption,' statutory reduction and exemption has long-term stability. Foreign trade practitioners should distinguish them accurately to avoid compliance risks caused by misuse.