Goods may be imported into Australia duty-free for a temporary period if they are for display purposes in a
trade show certified by the Australian Customs Service. The ATA Carnet is a special international customs
document accepted in 46 countries used for temporary imports/exports, particularly professional equipment
and commercial samples. The Carnet, issued in lieu of the usual customs documents, eliminates value-added taxes, duties and temporary import bonds.
Commodities temporarily imported for a specified period that will be re-exported or used for processing, are exempt from import duties.
Temporary import permits must be renewed after one year. Failure to do so risks forfeiture of the duty free status and full assessment of duty with penalties back to the time of initial import.
Goods that are allowed to be stored at a bonded warehouse, for up to one or two years, are limited to: materials and components to be used for domestic processing subject to re-exportation; goods imported under special Customs approval on terms of suspending the payment of import duties and VAT; goods in transit; spare parts for free maintenance of foreign products within the period of warranty.
At the end of the two-year period, the goods must be imported for processing and re-exported, licensed for
import, or disposed of by Customs. Customs duties and VAT may be assessed depending upon the degree
of processing done in China. Goods imported under normal import contracts are not allowed to be stored in
bonded warehouses.
Work tools used to complete repair work can be brought into China under an
ATA carnet. However, please note that China will only accept these ATA
carnets for items that will be used at "fairs and exhibitions".
In other words, China does not officially allow for commercial samples and tools
of the trade to be imported temporarily under a carnet. That said,
officials with the USCIB in New York City have indicated that Chinese customs
broadly interprets the term "fairs and exhibitions". This broad
definition can allow tools of the trade and commercial samples to be brought
into China using a carnet. For further details, please contact Anna Zhang
at the USCIB at 212-354-4480 (ext.5057)
In cases where there is not enough time to obtain a carnet before leaving for
China, the following steps can be taken to minimize the risks of having to pay
duties and taxes on theses tools/items. Specifically, the person should be
prepared to present to Chinese customs a copy of contract/service agreement
pursuant to which they are providing these repair services. In addition,
they might also present a copy of the letter of invitation which they presented
when applying for a Chinese work visa. This documentation will demonstrate
to Chinese customs that these tools/items are necessary to perform the repairs,
and that they will not remain in China once the repairs are performed and the
person returns to the U.S.
There are no problems for most products which are not subject to any Hong Kong duties or taxes. For
alcohol, cigarettes and fuel, companies must fill out a duty waiver form which can be obtained from Hong
Kong Customs at the address above.
India's drive to attract U.S. investment is hampered by a difficulty faced by potential investors in determining
if there is, in fact, a market in India for their products. Allowing temporary imports for test marketing at
substantially lower tariff rates will allow these companies to analyze the market and then make informed
investment decisions. U.S. companies understand and accept the need for such test marketing to be
allowed on a restricted, time-bound basis.
At present, imports for demonstration and test marketing are allowed only for Indian Trade Promotion
Organization-approved trade events, and then against a required bank guarantee. However, successful
demonstration of a product to a customer often requires placement in his premises or elsewhere other than
a trade event. There are no differential tariffs for test marketing. Approvals for imports for test marketing
should be part of the company's investment application to the Foreign Investment Promotion Board (FIPB), a federal government agency, which makes the decision.
The government encourages foreign investors who export to locate in bonded or export processing zones
(EPZ). There are a number of EPZs in Indonesia, the most well-known being Batam Island, located 20 km.
south of Singapore. Indonesia also has several bonded zones or areas that are designated as entree ports
for export destined production (EPTE). Companies are encouraged to locate in bonded zones or industrial
estates whenever possible. Other free trade zones include a facility near Tanjung Priok, Jakarta's main port,
and a bonded warehouse in Cakung, also near Jakarta.
There is a duty drawback facility (BAPEKSTA) for exports located outside the zones. Producers located
within the bonded areas are allowed to sell up to 15% of their product into the local market.
Japan is a member of the International Convention to Facilitate the Importation of Commercial Samples and
Advertising Materials under the ATA Carnet System.
Advertising materials, including brochures, films and photographs, may enter Japan duty free. Articles
intended for display but not for sale at trade fairs and similar events are also permitted to enter duty free in
Japan only when the fair/event is held at a bonded exhibition site. These bonded articles must be re-exported after the event, or stored at a bonded facility. A commercial invoice for these goods should be
marked "no commercial value, customs purposes only" and "these goods are for exhibition and are to be
returned after conclusion of the exhibition." It is also important to identify the name of the trade show or
exhibition site, including exhibition booth number (if known), on shipping documents.
Pursuant to Korean Customs Law, advertising material and samples of merchandise are exempt from
customs duties, provided that such items are used solely for that purpose and are valued at less than
100,000 won (about $75). Some U.S. firms, however, have reported problems in receiving duty exemptions.
In practice, duty-free entry of these items is left to the discretion of the customs officials at the port of entry.
Valuable samples or goods for re-export may be admitted temporarily on a duty-free basis under deposit for the amount of the duty. Careful documentation and handling of samples are essential to minimize problems.
With rare exceptions, Korean Customs allows free customs entry of goods brought into Korea that are
hand-carried by foreign business persons (such as laptop personal computers) for use during their stay in
Korea. In such a case, Korean Customs makes a note on the travelers' passport and then requires the
traveler to take them out of Korea.
Goods entering Korea for exhibition purposes must be stored in a bonded area. For example, the Korea
Exhibition Center (COEX) is a bonded area. Exhibition goods will be kept without charge at COEX during
the exhibition period, after which they must be either: 1) reshipped directly out of Korea without payment of
duty; 2) presented at Customs for payment of regular duty on value declared at time of entry; or, 3)
transferred to the Seoul Customs house bonded storage area. Goods stored in a bonded warehouse can
incur, if applicable, storage costs, customs brokerage charges, local transportation costs, and moving
equipment fees.
Macau customs authorities may enforce strict regulations concerning temporary
importation into or export from Macau of items such as firearms, ivory, certain
categories of medications, and other goods. Please see the
Macau Customs Service
website for further information.
Malaysia is a signatory to the conventions governing ATA (admission
temporaire) Carnets. Therefore, Malaysia allows temporary import of exhibition goods, advertising materials, commercial samples, etc. from
other signatory countries of ATA Carnets without payment of duty and with minimum restrictions.
New Zealand admits samples of negligible value duty free. Small shipments of trade catalogs and price lists
printed outside New Zealand and advertising products produced abroad are admitted duty free if they bear
the name and address of the foreign manufacturer and are not designed to advertise the sale of those
products by any company, firm or individual with a business established in New Zealand. Temporary,
duty-free admission of advertising films is also permitted, provided the films relate to the product or
equipment offered for sale and meets other specified conditions.
Samples of commercial value may be imported temporarily under bond or deposit of the duty amount to
which they are liable. Such samples are subject to the same customs regulations and duties in New Zealand
as are ordinary commercial shipments of the commodities represented. Trade catalogs, price lists, posters,
circulars, handbills, programs, calendars, play bills, and fashion plates other than those listed above are
dutiable. There is no provision for the prepayment of such duties in the United States.
The import of certain specialized capital equipment is exempt from duty. Such equipment must not be readily available in PNG and can be imported only on a temporary basis for a specific purpose and a
specific time. The importer must satisfy the Commissioner General of Internal Revenue that the
equipment will be used on an approved project and a security must be lodged for the period of temporary
importation. The importer must undertake to re-export the equipment at the end of the specified activity.
Many articles that enter the Philippines on a temporary basis are exempted from import duties. Section 105 of the
Tariff and Customs Code of the Philippines lists articles exempted from the payment of import duties if such
articles will be exported. The list include:
1. equipment for use in the salvage of vessels or aircraft
2. articles brought into the Philippines for repair, processing or reconditioning to be re-exported upon completion
of the repair, processing or reconditioning
3. articles used exclusively for public entertainment, and for display in public expositions, or for exhibition or
competition for prizes, and devices for projecting pictures and parts
4. articles brought by foreign film producers directly and exclusively used for making or recording motion picture
films on location in the Philippines
The Bureau of Customs requires a bond, usually amounting to one and one-half times the ascertained duties,
taxes and other charges on the article, on the condition that the article will be exported. The duties, taxes and other
charges will have to be paid within six months from the date of the import entry. The Commissioner of Customs
may extend the time for exportation or payment of duties, taxes and other charges.
The Commissioner of Customs with the approval of the Secretary of Finance prescribes the requirements for
temporary goods entry.
For goods entering Singapore on a temporary basis, companies may apply for an ATA Carnet with the
Singapore International Chamber of Commerce. The ATA Carnet serves as a guarantee against payment of
import duties/taxes should the temporary admission period be exceeded. Goods imported under a carnet
may not be sold and must be re-exported within the temporary admission period. If the items to be imported are subject to controls, companies must obtain endorsement/approvals from the relevant Government agencies before importing the goods into Singapore.
Alternatively, U.S. firms may apply for exemption with the Customs and Excise Department under the
"temporary import scheme". Details may be found at their website, http://www.sgdi.gov.sg/
.
Bona fide trade samples (excluding liquors and tobacco) of a total value not exceeding S$400 may be
imported without payment of duty and/or GST. No Customs or TDB permit is required for the importation.
However, supporting documents eg. invoice, bill of lading/airway bill are required to be produced to Customs at the entry point for verification.
Import of Goods under ATA Carnet
Import permits are not required for goods imported under ATA Carnet. However, if the goods to be imported are under import control (refer to list of controlled goods), you must obtain the endorsement/approval from the relevant competent authority before the arrival of the controlled goods in Singapore.
You must present the ATA Carnet (endorsed by Customs) to the carrier's agent to take delivery of the goods. The B/L No. or AWB No. should be indicated on the top right hand corner of the ATA Carnet. The carrier's agent will:
retain a copy of the ATA Carnet.
indicate in the manifest, the ATA Carnet No. against the item which was imported under
the ATA Carnet.
Where some or all of the goods are not re-exported, you must also obtain the necessary import
permit(s).
French customs authorities may enforce strict regulations concerning
temporary importation into or export from French Polynesia of some items. Please
contact the Embassy of France in
Washington, D.C., or one of the
French consulates in
the United States for specific information regarding customs requirements.
Taiwan is not a member of ATA Carnet system due to the lack of diplomatic relations with ATA Carnet
countries. However, Taiwan has signed bilateral agreements with 24 nations, including the United States,
Canada, Switzerland, South Africa, Singapore, South Korea, New Zealand, Australia, Japan and 15 EU
countries, to implement ATA Carnet. These agreements grant temporary customs exemptions for a wide
range of products such as test instruments, scientific equipment, exhibition goods, etc., which are brought
into Taiwan for sales promotion and exhibition purposes on a temporary basis. Upon conclusion of the event, items must be shipped out of Taiwan within a year to avoid imposition of harbor taxes and tariffs.
The agreement with the United States to implement the TECRO/AIT Carnets was signed in December 1999.
Like the ATA Carnet, TECRO/AIT Carnets are valid for up to one year and allow U.S. exporters to avoid duties and taxes when entering Taiwan. The
TECRO/AIT Carnets issued exclusively for Taiwan are very similar to the traditional ATA Carnets, but must be applied for separately (due to the U.S.'s lack of diplomatic recognition of Taiwan). For example, if traveling to both Taiwan and China, one would have to apply for an ATA and a
TECRO/AIT Carnet. Questions regarding the application process for the TECRO/AIT Carnets should be directed to the ATA Carnet Customer Service Department of U.S. Council for International Business at 1212 Avenue of the Americas, New York, N.Y. 10036-1689, Tel: 212-354-4480 or
atacarnet@uscib.org, Fax: 212-944-0012, Internet:
www.uscib.org .
Thailand has joined the ATA Carnet System. Therefore, products for exhibitions or demonstration can be imported for up to 6 months without
payment or custom duties and value-added tax. Businesses must obtain a
bank guarantee for the value of the imports. If the product is not re-exported within six months, duties and tax will then be levied. The
entry of exhibit materials can be handled by freight-forwarding companies for customs clearance and other required procedures. For further
information, please contact the Bangkok International Airport Customs House tel: (662) 535-1550, Public Relation Sub-Division, Customs Department
tel:
(662) 249-9017, 249-3298.
Goods, which are exported or imported as samples or for the purpose of advertising,
are subject to export or import duty. Exemption from duty is granted to goods, which are permitted to be
temporary exports or imports for exhibitions. At the end of the exhibition, they must be re-imported into
Vietnam in the case of temporary exports, or re-exported from Vietnam in the case of temporary imports.
Documents required for exemption for exhibitions include a notification of or invitation to the exhibition and
an export or import license from Ministry of Trade for goods under quota by the government. Vietnam does
not recognize the International Carnet.
