Are Products from Contract Manufacturing Considered Imports? Let's Discuss!

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I have a question. My company commissioned a foreign enterprise to manufacture products. After production, the products are directly shipped back to China for domestic sale. In this situation, are these contract-manufactured products considered imports? Because this involves a series of issues such as customs declaration and taxes/fees, I'm not sure how to define them. If they are considered imports, is the customs declaration process the same as for regular imported products? I hope knowledgeable friends can provide a detailed explanation. Thank you very much!
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Emma Zhao
Emma ZhaoYears of service:3Customer Rating:5.0

Export Documentation SpecialistStart a Chat

Whether contract-manufactured products are considered imports depends on factors such as product ownership and the goods' movement path. If the foreign enterprise is only responsible for manufacturing and product ownership always belongs to the domestic company, with goods shipped directly from the foreign production site to China, this situation is usually considered an import. This is because the goods cross national borders, and the place of production is abroad.

The customs clearance process is similar to that for regular imported products, but attention must be paid to providing documents that prove the contract manufacturing relationship, such as a contract manufacturing agreement, to clarify the product's origin and related responsibilities and obligations. Regarding taxes and fees, in accordance with relevant import regulations, customs duties, value-added tax, etc., must be paid. The specific tax rate is determined by the product's HS code. In summary, as long as goods enter China from abroad, they are generally treated as imports, and all relevant procedures must be handled in accordance with regulations to avoid affecting customs clearance and subsequent sales.

References: Industrial Equipment Import, Truly a Lifesaver for Manufacturing?
Kevin Huang
Kevin HuangYears of service:3Customer Rating:5.0

E-Commerce Export AdvisorStart a Chat

If products manufactured by an agent are produced abroad and then enter China, from a customs supervision perspective, they can generally be considered imports. They need to be declared according to import procedures, and conventional documents such as contracts, invoices, and packing lists should be prepared.

Thomas Li
Thomas LiYears of service:7Customer Rating:5.0

Import Licensing AdvisorStart a Chat

It's highly probable that they are considered imports, after all, the place of production is abroad. However, if there are special trade arrangements during the product's manufacturing process, such as the application of some bonded policies, then the procedures and taxes/fees might differ and require specific analysis.

Linda Guo
Linda GuoYears of service:3Customer Rating:5.0

Trade Dispute MediatorStart a Chat

To determine if it's an import, the main criterion is whether the goods enter China from abroad. If contract manufacturing meets this point, it should be treated as an import. When declaring customs, simply declare the product information and contract manufacturing details truthfully.

Michael Zhang
Michael ZhangYears of service:10Customer Rating:5.0

Customs Clearance SpecialistStart a Chat

Generally, they are considered imports. They must be declared to customs as imported goods, and customs will review based on the declared information and relevant regulations to determine whether to release them and how much tax to levy.

Robert Tan
Robert TanYears of service:5Customer Rating:5.0

International Market Development AdvisorStart a Chat

In this situation, they are very likely considered imports. It's important to note that imported products must comply with relevant domestic standards, otherwise, it may affect import clearance and sales.

Sophia Wang
Sophia WangYears of service:6Customer Rating:5.0

International Logistics CoordinatorStart a Chat

From a practical operational perspective, contract-manufactured goods produced abroad and then shipped back to China are considered imports. It's important to understand customs policies in advance, prepare all necessary documents, to ensure smooth customs clearance.

Olivia Liu
Olivia LiuYears of service:6Customer Rating:5.0

Foreign Exchange Risk ManagerStart a Chat

They are considered imports. During the customs declaration process, there might be additional scrutiny regarding contract manufacturing. Communicate with your freight forwarder or customs broker in advance; preparing sufficient documentation can improve efficiency.

Daniel Kim
Daniel KimYears of service:4Customer Rating:5.0

Commodity Inspection and Quarantine ConsultantStart a Chat

As long as products are manufactured abroad and then enter China, they are generally deemed imports. Taxes and fees are calculated based on product category, and specific tax rates can be found on the customs official website.

Richard Wu
Richard WuYears of service:8Customer Rating:5.0

Global Trade Operations ExpertStart a Chat

Judging by the direction of goods flow, contract-manufactured products moving from abroad to China are considered imports. Follow the import procedures, and for anything unclear, consult professional agencies like Zhongmaoda.

User-submitted questions and answers reflect personal opinions, not the official stance of this website.

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