On December 28, 2022, the State Council Tariff Commission issued the Announcement on the 2023 Tariff Adjustment Plan (Commission Announcement No. 11 of 2022), stating that to fully implement the spirit of the 20th CPC National Congress, advance Chinese modernization, thoroughly and accurately implement the new development philosophy, accelerate the construction of a new development paradigm, focus on promoting high-quality development, better leverage the role of tariffs, balance development and security, and organically combine the implementation of the strategy to expand domestic demand with deepening supply-side structural reforms, a more proactive opening-up strategy will be adopted. In accordance with the Customs Tariff Regulations of the Peoples Republic of China and related provisions, adjustments will be made to import and export tariffs on certain goods effective January 1, 2023, including:import and exportImport Tariff Rates
Export Tariff Rates
Provisional import tariff rates:Provisional import tariff rates will be applied to 1,020 categories of goods (excluding tariff-rate quota commodities). For 7 categories of coal products, the provisional import tariff rates will be implemented until March 31, 2023, after which the Most-Favored-Nation (MFN) rates will be reinstated from April 1, 2023. For 1 category of Information Technology Agreement (ITA) expansion products, the provisional import tariff rate will be implemented until June 30, 2023, after which the MFN rate of zero will be applied from July 1, 2023.
Most-Favored-Nation (MFN) rates:Starting from July 1, 2023, the eighth step of tariff reduction will be implemented for MFN rates on ITA expansion products listed in the annex of the Amendment to the Schedule of Tariff Concessions of the Peoples Republic of China upon Accession to the World Trade Organization. The calculation method for MFN rates on certain frozen chicken products will be adjusted.
Tariff-rate quota (TRQ) rates:Tariff-rate quota management will continue to be applied to 8 categories of commodities including wheat, with unchanged rates. Among these, the provisional TRQ rate of 1% will continue to be applied to three types of fertilizers: urea, compound fertilizers, and ammonium hydrogen phosphate. The sliding duty will continue to be applied to out-of-quota imports of cotton within certain quantities.
Preferential tariff rates:(a) In accordance with the free trade agreements and preferential trade arrangements signed and in effect between China and relevant countries or regions, preferential tariff rates will be applied to certain imported goods originating from 29 countries or regions under 19 agreements: First, further tariff reductions will be implemented in accordance with Chinas free trade agreements with New Zealand, Peru, Costa Rica, Switzerland, Iceland, South Korea, Australia, Pakistan, Mauritius, and Cambodia, as well as the Regional Comprehensive Economic Partnership Agreement (RCEP). According to relevant provisions, the China-Switzerland Free Trade Agreement will lower preferential tariff rates on certain ITA expansion products starting from July 1, 2023. Second, the free trade agreements between China and ASEAN, Chile, Singapore, and Georgia, as well as the Closer Economic Partnership Arrangement (CEPA) between Mainland China and Hong Kong/Macau and the Cross-Strait Economic Cooperation Framework Agreement (ECFA), have completed tariff reductions and will continue to implement preferential tariff rates. Third, the Asia-Pacific Trade Agreement will continue to be implemented, with preferential tariff rates on certain ITA expansion products being lowered starting from July 1, 2023. (b) In accordance with RCEP provisions and the agreements entry into force for Indonesia, preferential tariff rates applicable to ASEAN member states in 2023 will be applied to certain imported goods originating from Indonesia starting from January 2, 2023. (c) When the MFN rate is lower than or equal to the preferential tariff rate, the provisions of the relevant agreement shall apply if specified; if not specified, the lower rate shall apply.
Special preferential tariff rates:Zero-tariff treatment will continue to be granted to 44 least-developed countries that have established diplomatic relations with China and completed the exchange of notes, implementing special preferential tariff rates with unchanged applicable product scope and rates.
Tariff Items
Export tariffs will continue to be imposed on 106 categories of goods including ferrochrome, while export tariffs on aluminum and certain aluminum alloys will be increased.
Tariff Classification
Based on domestic needs, adjustments will be made to certain tariff lines and notes. After adjustment, the total number of tariff lines in 2023 will be 8,948.
Regarding the implementation timeline
The above measures will be implemented from January 1, 2023, unless otherwise specified.