On December 22nd, the Joint Acceptance Group formed by the General Administration of Customs, Ministry of Finance, State Administration of Taxation and State Administration of Foreign Exchange declared in Xiangyang that the Xiangyang Bonded Logistics Center (Type B) has passed its acceptance check and will be officially put into operation, marking a substantial step in the construction of the Xiangyang Block of Hubei Pilot Free Trade Zone. Xiangyang Deputy Party Secretary and Mayor Qin Jun unveiled the Xiangyang Bonded Logistics Center (Type B), and Vice Mayor Zhang Xiaofan signed the Minutes of Acceptance of Xiangyang Bonded Logistics Center.
It is understood that ‘bonded logistics center (Type B)’ means a place subject to the centralized supervision of relevant customs, approved by relevant customs and run by an enterprise legal person in China, in which many enterprises can be stationed and handle bonded warehouse and logistics businesses, as well as a logistics gathering area with a certain scale and service functions that bridges domestic and foreign markets.
Located in Wanghuchong Village of Mizhuang Town in the Xiangyang Hi-tech Zone, adjacent to the entrance of the Hankou-Shiyan Expressway in the north, 12 km from Dengcheng Avenue in the south, 4 km from North Xiangfan Marshaling Station in the west and 17 km from Xiangyang Airport in the east, Xiangyang Bonded Logistics Center (Type B) covers an area of 0.281 km2. It is a modern logistics park with conditions for the multimodal transport of ‘waterway, highway, railway and airway’.
At present, the construction of the bonded logistics warehouses, Customs inspection yards, Customs supervision warehouses, comprehensive service building, large-sized parking lot and other service facilities of the Xiangyang Bonded Logistics Center (Type B) has been completed, and it is able to meet logistics production and operation requirements of 1.6 million tons per year (including warehousing of 800,000 tons).
Relevant information shows that the Bonded Logistics Center (Type B) will mainly carry out such businesses as bonded warehousing, international logistics distribution, simple processing and value-added services, import and export trade and entrepot trade, port functions, logistics information processing and consulting services, etc. The Center is equipped with a network operating environment and information system meeting customs supervision requirements, and a relevant enterprise data exchange platform for enterprises to realize fast and highly efficient connected customs declaration and paperless customs clearance. So far, more than 70 famous enterprises have declared their intent to be stationed in the Center and concluded more than 40 agreements, including Dongfeng Nissan and Dongfeng Cummins.
The completion and operation of the first bonded logistics center (Type B) in Xiangyang will powerfully fuel the rapid development of the export-oriented economy in Xiangyang and Northwest Hubei, which will be of great significance for further perfecting the urban functions, improving the investment environment, enhancing the comprehensive competitiveness of the city and speeding up the economic development of Central and Western China.
It is understood that the enterprises in the Center will be able to enjoy two conveniences in customs clearance for import and export: 1. Lower cost of funds for import enterprises; enterprises can store goods imported from foreign countries in the Bonded Logistics Center as required without payment of import tariff and relevant VAT and consumption tax, and finally pay the corresponding taxes after completing the customs declaration. 2. Accelerated funds turnover for export enterprises; the policy of ‘tax rebate upon warehousing’ is applicable to the Bonded Logistics Center, namely that the rebate can be applied for as soon as the export goods enter the Center, thereby speeding up the funds turnover of enterprises.
According to an introduction by Lugang Bonded Logistics Co., Ltd. Vice General Manager Wang Huaqiang, through the flexible application of such favorable policies of the Bonded Logistics Center as ‘incoming/outgoing service and tax suspension & rebate’, foreign trade enterprises can cut down on their import and export costs by about 20%, thus improving their competitiveness in the international market. For the people, the Bonded Logistics Center (Type B) can serve as a cross-border e-commerce incoming/outgoing passage, enabling citizens to buy more and better foreign commodities in the local market.