Preface
Since the implementation of the Regulations on Issuance of Certificates of Origin for Export Goods of the People's Republic of China (HGZSL No. 270, hereinafter referred to as the "Regulations") on September 1, 2024, it has not only standardized the issuance of certificates of origin (CO) for export goods but also put forward new requirements for export enterprises regarding the standardized completion and compliant application procedures of CO. This article addresses common errors and frequently asked questions encountered by enterprises in applying for CO over the past year, focusing specifically on the submission of shipping documents.
According to Article 11 of the Regulations: "An applicant may apply to the issuance authority for a supplementary CO within 1 year from the shipment date of the export goods, and submit the shipping documents such as bills of lading (B/L) at the same time."Enterprises that fail to apply to the issuance authority for a CO before or at the time of shipment and need to apply for a supplementary one shall submit shipping documents such as B/L as required. To ensure that the logistics and transportation information stated in the supplementary CO is consistent with the actual situation, export enterprises shall fill in the relevant columns of the CO based on formal and valid shipping documents issued by logistics companies, freight forwarders, or other institutions when applying for supplementary CO, and upload the shipping documents as required for review by the issuance authority. Formal and valid shipping documents usually include B/L marked with "Original", "Telex Release (Surrendered)", "Seaway Bill", and "Way Bill", which are important evidence of the actual export of goods. Shipping documents only marked with "Copy", "Draft", or "Proforma" may be inconsistent with the actual logistics situation and fail to confirm the actual export of the goods. Therefore, it is recommended to submit formal and valid documents to the issuance authority when applying for supplementary CO.
Due to the diversity of transportation methods, B/L or other shipping documents issued by logistics companies, freight forwarders, etc., vary in form under different logistics scenarios. This has led some export enterprises to have questions about which shipping documents to submit when applying for COs and how to fill in the relevant columns of the CO based on the shipping documents. In response, the following Q&A summarizes and explains some common issues encountered by export enterprises in the process of submitting shipping documents.
1. Is it mandatory to submit shipping documents when applying for a CO after shipment?
According to the Regulations, shipping documents must be submitted when applying to the issuance authority for a supplementary CO. Different types of COs have different provisions on supplementary issuance: most COs issued with a date later than the shipment date are deemed supplementary. However, some free trade agreements (FTAs) stipulate that COs issued within a certain period after shipment are still normally issued. If an enterprise applies for the relevant CO within the specified special issuance time limit after shipment, it is not considered a supplementary CO, and no shipping documents need to be submitted.
The types and requirements of COs with special issuance time limits under some FTAs are shown in the table below.
2. Must the shipper on the shipping documents be exactly the same as the shipper on the CO?
Generally speaking, the shipper on the shipping documents should be exactly the one on the CO. In international trade practice, there may be cases where an overseas third-party enterprise arranges logistics and transportation and is listed as the shipper (Shipper or Exporter) on the shipping documents, resulting in inconsistency between the shipper on the shipping documents and that on the CO. In such cases, when applying for a supplementary CO, the export enterprise shall fill in the third-party information in accordance with the relevant provisions of the CO. In addition to submitting the third-party invoice and shipping documents, it is also necessary to submit documents such as the commercial invoice between the export enterprise and the third-party enterprise to prove the trade relationship.
For example: A Chinese export enterprise sells goods to Company A in Singapore, which then resells the goods to Company B in Vietnam. Company A arranges for the goods to be shipped directly from China to Vietnam, and the shipper on the B/L is Company A. When applying for a supplementary China-ASEAN Free Trade Area Certificate of Origin, the shipper on the CO shall be the Chinese export enterprise, and Company A shall be filled in as the third party on the CO. Meanwhile, the third-party invoice issued by Company A, the B/L, and the official proof of the trade relationship between the export enterprise and Company A shall be submitted.
3. Must the consignee on the shipping documents be exactly the same as the consignee on the CO?
Generally speaking, the consignee on the shipping documents should be exactly the one on the CO. A special case is that under letter of credit (L/C) payment terms, the consignee (Consignee) on the shipping documents may be the issuing bank of the L/C rather than the actual consignee, resulting in inconsistency between the consignee on the shipping documents and that on the CO. The actual consignee is often the notify party (Notify Party) on the shipping documents. In such cases, the consignee on the CO may be inconsistent with that on the shipping documents, but it should generally be consistent with the notify party on the shipping documents.
4. How to provide shipping documents for goods transported by courier?
International courier documents for logistics can be provided. If there is a transportation method column on the CO, the courier transportation method can be filled in, such as "BY EMS", "BY FEDEX", "BY DHL", etc., along with the courier tracking number. Since courier documents contain limited information that is difficult to correspond to the relevant information on the CO, the customs declaration code can be entered on the CO application interface when necessary to facilitate verification by the issuance authority.
Disclaimer：The above content is translated from Chinese version of China Customs Magazine. The China Customs Magazine version shall prevail.
