Tariff Rates: China Customs assesses and collects tariffs. Import tariff rates are divided into six categories: general rates, most-favored-nation (MFN) rates, agreement rates, preferential rates, tariff rate quota rates, and provisional rates. As a member of the WTO, imports from the United States are assessed at the MFN rate.
Customs Valuation: The dutiable value of an imported good is its Cost, Insurance, and Freight (CIF) price, which includes the normal transaction price of the good, plus the cost of packing, freight, insurance, and seller’s commission. Note: China Customs is tasked with assessing a fair valuation to all imports.
Taxes: On top of normal tariff duties, both foreign and domestic enterprises are required to pay value-added taxes (VAT) and business taxes. VAT is assessed on sales and importation of goods and processing, repairs, and replacement services.
Export Controls: The U.S. imposes export controls to protect national security interests and promote foreign policy objectives. The U.S. Export Administration Regulations (EAR) controls certain exports, reexports, or in-country transfers of purely commercial items and dual-use items. U.S. exporters should consult the EAR for information on how export license requirements may apply to the sale of their goods to China.
Source: The International Trade Administration (ITA), U.S. Department of Commerce www.export.gov