Process of export from People's Republic of China (PRC) | How to export from China?

People's Republic of China (PRC) is the largest exporter in the world. China exports a large number of products, such as automobiles, computers, mobile phones, electronic circuits (ICs), electrical equipment, machineries, plastic articles, iron or steel articles, furniture, toys & games etc.

In this article, we shall explain step by step process of export shipment from China.

Let's understand the process in detail.
 
Step 1: Obtain Export License
In PRC (China), exporters needs to obtain export license from government. To obtain this license exporters needs to be registered at local Administration for Industry and Commerce (AIC), after that they can get Export Registration Certificate.
 
Step 2: Finalize the product and determine the HS code
First exporter needs to finalize the product, which he wants to export and then he needs to find the HS code (Harmonized System Code) of that product.
 
Step 3: Finding buyer, negotiation & signing contract
Exporter/seller needs to find a genuine buyer in overseas countries, after negotiation price will be finalized and contract will be signed between seller and buyer.
 
Step 4: Law of the land (importing country)
Exporter needs to check for the rules and regulations of the importing country, they need to follow the rules and arrange for the documents or certifications as per the requirements. Exporter will also check if any special requirements are there in importing country for packing of goods, fumigation treatments etc.
 
Step 5: Shipment execution
Based on incoterms rules transportation needs to be arranged by exporter or importer. Either exporter or importer needs to arrange road transportation, sea freight/air freight.
Step 6: Customs Declaration and Inspection
Exporter needs to prepare and submit custom declaration forms to custom authorities, the declaration contains information such as details of goods, exporter, importer, value etc. After that goods will be inspected by custom officials.
 
Step 7: Duties & Taxes
If any tax or duty applicable, exporter needs to pay the amount to the customs to proceed further.
 
Step 8: Documentation
Exporter needs to arrange export documents based on the requirements, the documents are: invoice, packing list, bill of lading, certificate of origin, Phytosanitary certificate etc.  
 
Step 9: Custom clearance
After inspection of cargo and documents if everything found satisfactory custom officials will issue custom clearance certificate. Once the clearance received, goods can be loaded into the vessel and the shipment can sail.
 
This is the general process for export from People's Republic of China. The process may vary and there may be few extra steps involved in case of special goods.