【Regulation Type】Customs Regulations

【Content Category】Other

【Document Number】Decree No. 180 of the former General Administration of Quality Supervision, Inspection and Quarantine of the P.R.C.

【Issuing Authorities】Former General Administration of Quality Supervision, Inspection and Quarantine of the P.R.C.; Ministry of Commerce of the P.R.C.;former State Administration for Industry and Commerce of the P.R.C.

【Date of Publication】2016-01-26

【Date of Effectiveness】2016-05-01

【Validity】Valid

【Validity Explanation】

Measures for Import and Export Commodity Inspection and Appraisal Institutions Management (Decree No. 180 of the former General Administration of Quality Supervision, Inspection and Quarantine of the P.R.C.)

Measures for Import and Export Commodity Inspection and Appraisal Institutions Management

(Promulgated by the General Administration of Quality Supervision, Inspection and Quarantine of the People's Republic of China, the Ministry of Commerce of the People's Republic of China, and the State Administration for Industry and Commerce of the People's Republic of China on January 26, 2016)

Chapter 1 General Provisions

Article 1: In order to strengthen the management of import and export commodity inspection and appraisal institutions, maintain market order in the field of import and export commodity inspection and appraisal, protect the legitimate rights and interests of all parties involved in import and export trade, and promote the development of foreign trade, these Measures are formulated in accordance with the "People's Republic of China Import and Export Commodity Inspection Law" and its implementing regulations, and other relevant laws and regulations.

Article 2: These Measures apply to the licensing and supervision of institutions engaged in import and export commodity inspection and appraisal business within the territory of the People's Republic of China.

Article 3: The term "import and export commodity inspection and appraisal institutions" in these Measures refers to Chinese-invested import and export commodity inspection and appraisal institutions and their branches, as well as Sino-foreign joint ventures, Sino-foreign cooperative, and wholly foreign-owned import and export commodity inspection and appraisal institutions and their branches (hereinafter referred to as foreign-invested import and export commodity inspection and appraisal institutions) that have been licensed by the General Administration of Quality Supervision, Inspection and Quarantine of the People's Republic of China (hereinafter referred to as the AQSIQ), and are entrusted by foreign trade-related parties or domestic and foreign inspection agencies and other relevant units to handle import and export commodity inspection and appraisal business in accordance with relevant laws, regulations, and these measures.

Article 4: Domestically funded import and export commodity inspection and appraisal institutions shall obtain the approval of the AQSIQ before they can conduct import and export commodity inspection and appraisal business.

Foreign-invested import and export commodity inspection and appraisal institutions shall obtain the approval of the AQSIQ and the provincial-level department in charge of commerce before they can conduct import and export commodity inspection and appraisal business.

No Import and export commodity inspection and appraisal institutions that have not completed business registration and obtained the necessary licenses from relevant authorities shall undertake commissioned import and export commodity inspection and appraisal business.

Article 5: Import and export commodity inspection and appraisal institutions shall comply with China's laws, regulations, and relevant provisions of the AQSIQ. They shall conduct their import and export commodity inspection and appraisal business independently and impartially as a third-party entity within their scope of services, and shall assume corresponding legal responsibilities.

Article 6: The AQSIQ, the Ministry of Commerce, and the State Administration for Industry and Commerce shall manage import and export commodity inspection and appraisal institutions according to their respective responsibilities and in accordance with the law.

The AQSIQ delegates to its provincial entry-exit inspection and quarantine bureaus (hereinafter referred to as "provincial inspection and quarantine bureaus") located across the country to handle the approval applications for the establishment of import and export commodity inspection and appraisal institutions. The provincial inspection and quarantine bureaus shall publicly disclose relevant information regarding the acceptance of delegated administrative approvals.

Chapter 2 Establishment of Chinese-invested Import and Export Commodity Inspection and Appraisal Institutions

Article 7: Applicants seeking to establish domestic import and export commodity inspection and appraisal institutions shall meet the following conditions:

(1) The investor or the party making the investment shall be a legal entity or individual who has been engaged in inspection and appraisal business as a third-party entity within China for more than 3 years in accordance with the law.

(2) Possess appropriate testing conditions and technical resources commensurate with their engagement in inspection and appraisal business, and have a fixed residence/office, testing facilities, and corresponding scale.

(3) Have a quality management system that meets relevant general requirements.

(4) Meet other conditions stipulated by laws and administrative regulations.

Article 8: Applications for the establishment of Chinese-invested import and export commodity inspection and appraisal institutions shall be submitted to the local provincial inspection and quarantine bureau.

Article 9: Applicants for the establishment of Chinese-invested import and export commodity inspection and appraisal institutions shall submit the following materials:

(1) Application documents for establishing import and export commodity inspection and appraisal institutions.

(2) Business license.

(3) Proof of ownership or usage rights for the residence/office and testing facilities.

4) Materials regarding testing conditions and technical capabilities.

(5) Quality management documents.

(6) Proof of engagement in inspection and appraisal business within China as a third-party entity for more than 3 years.

(7) Identification of the legal representative (copy).

(8) Other documents stipulated by laws and administrative regulations.

Article 10:The AQSIQ shall complete the review within 20 working days from the date of acceptance by the provincial inspection and quarantine bureau and issue a written decision for approval or disapproval. If approval is granted after the review, the "Qualification Certificate for Import and Export Commodity Inspection and Appraisal Institution" shall be issued, and if the application is rejected, the reasons shall be provided. If the decision cannot be made within 20 working days, with the approval of the responsible person of the AQSIQ, an extension of 10 working days may be granted, and the applicant shall be informed of the reason for the extension.

The AQSIQ shall organize expert evaluation of the submitted materials and, if necessary, conduct on-site inspections. The time required for expert evaluation and on-site inspections shall not be counted within the time limit specified in this article.

Chapter 3 Establishment of Foreign-Invested Import and Export Commodity Inspection and Appraisal Institutions

Article 11: Applicants seeking to establish foreign-invested import and export commodity inspection and appraisal institutions shall meet the following conditions:

(1) The foreign investor of the foreign-invested import and export commodity inspection and appraisal institution shall be a legal entity or individual who has been independently registered and engaged in inspection and appraisal business in their home country for more than 3 years.

(2) For Sino-foreign joint ventures and Sino-foreign cooperative import and export commodity inspection and appraisal institutions, the Chinese investor or the party making the investment shall be a legal entity or individual who has been engaged in inspection and appraisal business as a third-party entity within China for more than 3 years.

(3) Possess appropriate testing conditions and technical resources commensurate with their engagement in inspection and appraisal business and have a fixed residence/office and testing facilities.

(4) Have a quality management system that meets relevant general requirements.

(5) Meet other conditions stipulated by laws and administrative regulations.

Article 12: Applicants seeking to establish foreign-invested import and export commodity inspection and appraisal institutions shall apply for the pre-approval of the institution's name to the administrative department for industry and commerce.

Article 13: Applicants for the establishment of foreign-invested import and export commodity inspection and appraisal institutions shall submit the following materials to the provincial-level department in charge of commerce:

(1)     Notice of consent on pre-approval application for the institution's name issued by the administrative department for industry and commerce.

(2) Application documents for establishing import and export commodity inspection and appraisal institutions.

(3) Opinions from the local department in charge of commerce or relevant authorities in charge of large enterprises under the State Council on the application for establishing foreign-invested import and export commodity inspection and appraisal institutions.

(4) List of members of the board and their appointment letters.

(5) Project proposal for establishing foreign-invested import and export commodity inspection and appraisal institutions.

6) Credit certificates of the investing parties, registration certificates (copies), and identification of the legal representative (copies).

(7) Feasibility study reports, contracts, and articles of association signed by the investing parties.

(8) Other documents stipulated by laws and administrative regulations.

Article 14: The provincial-level department in charge of commerce shall review the submitted materials and make a written decision on approval or disapproval within 20 working days. If approved, the "Approval Certificate for Foreign-Invested Enterprises" shall be issued; if disapproved, the reasons shall be provided.

Article 15: The applicant for the establishment of foreign-invested import and export commodity inspection and appraisal institutions shall register with the administrative department for industry and commerce based on the approval document issued by the provincial-level department in charge of commerce and related materials.

Article 16: Applicants seeking to establish foreign-invested import and export commodity inspection and appraisal institutions shall apply to the local provincial inspection and quarantine bureau and submit the following materials:

(1) Application documents for establishing import and export commodity inspection and appraisal institutions.

(2) Business license.

(3) Feasibility study reports signed by the investing parties.

(4) Materials regarding testing conditions and technical capabilities.

(5) Quality management documents.

(6) Proof of ownership or usage rights for the residence/office and testing facilities.

(7) Certificates issued by the local government or relevant departments in the home country of the investing parties, proving that they have provided inspection and appraisal business for more than 3 years.

(8) Identification of the legal representative (copy).

(9) Other documents stipulated by laws and administrative regulations.

Article 17: The AQSIQ shall complete the review within 20 working days from the date of acceptance of the application and issue a written decision for approval or disapproval. If approval is granted after the review, the "Qualification Certificate for Import and Export Commodity Inspection and Appraisal Institution" shall be issued, and if rejected, the reasons shall be provided.

If the decision cannot be made within 20 working days, with the approval of the responsible person of the AQSIQ, an extension of 10 working days may be granted, and the applicant shall be informed of the reason for the extension.

AQSIQ shall organize expert evaluation of the submitted materials and, if necessary, conduct on-site inspections. The time required for expert evaluation and on-site inspections shall not be counted within the time limit specified in this article.

Chapter 4 Supervision and Management

Article 18: In the event of significant events such as mergers, separations, or transfer of equity in import and export commodity inspection and appraisal institutions, a new application shall be submitted in accordance with these Measures.

Article 19: If there are changes in the items specified in the "Qualification Certificate for Import and Export Commodity Inspection and Appraisal Institution," the institution shall apply to AQSIQ for a replacement certificate. In case of bankruptcy, dissolution, or closure of import and export commodity inspection and appraisal institutions, the institution shall complete the procedures for canceling the qualification certificate with the AQSIQ.

Article 20: The establishment of branch institutions by import and export commodity inspection and appraisal institutions shall be subject to the approval procedures.

Resident representative offices or executive offices established by foreign inspection and appraisal institutions and domestic import and export commodity inspection and appraisal institutions shall not engage in import and export commodity inspection and appraisal business within China.

Article 21: The entry-exit inspection and quarantine bureaus (hereinafter referred to as the inspection and quarantine bureaus) established in various places by the AQSIQ are responsible for the daily supervision and management of import and export commodity inspection and appraisal institutions. If necessary, they may conduct supervision and inspections jointly with the local department in charge of commerce, the administrative department for industry and commerce, or other relevant departments.

Article 22: The main contents of the daily supervision and management of import and export commodity inspection and appraisal institutions include:

(1) Approval procedures for the establishment and changes of institutions.

(2) Business operation conditions.

(3) Testing conditions and technical capabilities.

(4) Management and internal control.

(5) Compliance with relevant laws, regulations, and these Measures in conducting business activities.

Article 23: The "Qualification Certificate for Import and Export Commodity Inspection and Appraisal Institution" is valid for 6 years. Import and export commodity inspection and appraisal institutions shall apply for a replacement certificate from the AQSIQ within 3 months before the expiration of the certificate's validity period.

Article 24: Import and export commodity inspection and appraisal institutions shall truthfully submit business reports, financial reports, and annual audit reports for the previous year to the local provincial entry-exit inspection and quarantine bureau by May 30 each year. The submitted materials should be authentic, complete, and accurate.

Article 25: When the AQSIQ and the provincial inspection and quarantine bureaus conduct supervision and inspections on import and export commodity inspection and appraisal institutions, they may inspect the establishment and implementation of the institution's management documents and the quality of inspection and appraisal work. They may also conduct random inspections of inspected goods and have access to examine and copy relevant materials of the parties involved. The inspected import and export commodity inspection and appraisal institutions must cooperate with the inspection.

Article 26: The inspection and appraisal results of import and export commodity inspection and appraisal institutions shall be truthful, objective, and fair. If suspected violations or irregularities are found through reporting, complaints, or other means, the inspection and quarantine bureaus may conduct investigations and review the inspection and appraisal results.

Article 27: Personnel from the AQSIQ and the inspection and quarantine bureaus have the obligation to keep commercial and technical secrets confidential, which they become aware of during the performance of their duties in licensing and supervising import and export commodity inspection and appraisal institutions.

Article 28: Personnel from the AQSIQ and the inspection and quarantine bureaus shall not abuse their powers for personal gain.

Article 29: The AQSIQ and the provincial inspection and quarantine bureaus shall establish a system for information dissemination and notification regarding the supervision and management of import and export commodity inspection and appraisal institutions.

Chapter 5 Legal Liabilities

Article 30: Anyone who violates the provisions of these Measures and engages in import and export commodity inspection and appraisal business without the approval of the General Administration of Quality Supervision, Inspection and Quarantine (AQSIQ) shall be ordered to cease illegal operations by the inspection and quarantine bureau, and the illegal gains shall be confiscated. Additionally, a fine of one to three times the illegal gains may be imposed.

Article 31: Import and export commodity inspection and appraisal institutions that exceed their business scope or engage in the following acts that disrupt the inspection and appraisal order, shall be ordered to rectify the situation by the inspection and quarantine bureau in accordance with the provisions of the "Implementation Regulations of the Import and Export Commodity Inspection Law".They may also be fined up to 100,000 RMB, and the AQSIQ or the inspection and quarantine bureau may suspend their inspection and appraisal business for up to 6 months. In cases of severe violations, the AQSIQ may revoke their administrative license:

(1) Providing false annual documents and information.

(2) Issuing false inspection results and certificates or providing reports with significant errors.

(3) Failing to handle relevant change procedures according to these Measures when changes occur in the institution.

(4) Establishing branch institutions without permission.

(5) Resident representative offices or offices of import and export commodity inspection and appraisal institutions engaging in import and export commodity inspection and appraisal business without authorization.

(6) Handing over its blank inspection and appraisal certificates or reports to other inspection and appraisal institutions for use through cooperation, entrustment, transfer, or other means, as well as entrusting relevant business to other inspection and appraisal institutions not approved by the AQSIQ.

(7) Engaging in other acts that disrupt the inspection and appraisal order.

Article 32: Import and export commodity inspection and appraisal institutions engaging in other violations of laws and regulations shall be dealt with in accordance with relevant provisions.

Chapter 6 Supplementary Provisions

Article 33: Investors from the Hong Kong Special Administrative Region, Macau Special Administrative Region, and Taiwan region who invest in the establishment of import and export commodity inspection and appraisal institutions in other areas of China shall follow the provisions of these Measures regarding foreign-invested import and export commodity inspection and appraisal institutions.

Article 34: The General Administration of Quality Supervision, Inspection and Quarantine (AQSIQ), the Ministry of Commerce, and the State Administration for Industry and Commerce, are responsible for the interpretation of these Measures according to their respective duties.

Article 35: These Measures come into effect on May 1, 2016. The "Measures for the Administration of Import and Export Commodity Inspection and Appraisal Institutions" promulgated by the AQSIQ, the Ministry of Commerce, and the State Administration for Industry and Commerce on September 4, 2003, shall be simultaneously abolished.