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Online CBA: What is Entry-exit Inspection and Quarantine Management Based on Enterprise Credit?

Photo: Entry-exit inspection and quarantine management
Photo: Entry-exit inspection and quarantine management

Q: What is Entry-exit Inspection and Quarantine Management Based on Enterprise Credit?

A: According to China’s Measures for Entry-Exit Inspection and Quarantine Management Based on Enterprise Credit, the credit ratings of export enterprises and import enterprises are classified into five categories, namely AA, A, B, C and D.

Export enterprises and import enterprises include exporters and distributors outside China, and domestic importers of imported food; enterprises producing food for export and food exporters; domestic consignees of imported cosmetics; and enterprises producing cosmetics for export and export cosmetics consignors. Enterprises of different categories receive differential treatment when their goods go through customs clearance. Assessments of category A, B, C and D enterprises are normally conducted once a year.

Category AA enterprises: extremely low credit risk. These enterprises strictly abide by laws and regulations, highly value enterprise credit, strictly honour commitments, have in place a sound quality control system, are consistently stable in product or service quality, have a strong sense of social responsibility, and play a leader role in credit rating.

Category A enterprises: very low credit risk. These enterprises abide by laws and regulations, value enterprise credit, strictly honour commitments, have in place a rather sound quality control system, and are stable in product or service quality.

Category B enterprises: relatively low credit risk. These enterprises abide by laws and regulations, generally honour commitments, have in place a rather sound quality control system, and are basically stable in product or service quality.

Category C enterprises: relatively high credit risk. These enterprises have certain ability in guaranteeing product or service quality, occasionally honour commitments, are unstable in product or service quality or have committed acts of violating laws and regulations, but have not caused major hazards or losses.

Category D enterprises: very high credit risk. These enterprises have committed serious acts of violating laws and regulations, or have caused major hazards and losses to society, consumers and import-export trade as a result of their product quality.

(The HKTDC provides one-on-one China Business Advisory Service free of charge to assist companies in resolving problems encountered when doing business in China. For enquiries and appointments, please call (852) 1830 668 or register online.)

Content provided by Picture: HKTDC Research