Clearing Customs on Laser Equipment

Overseas procurement of laser equipment requires particular attention to customs classification and VAT calculations. From the selection of the correct HS code to the preparation of complete customs clearance documents, every step has a direct impact on cost and time.When it comes to actually operating the business, you have to have a thorough understanding of the equipment and technology, and you have to keep abreast of the latest customs policy. You also have to make advance preparations for price comparisons and contingency plans.Keeping in constant contact with customs brokers and dealing with any inspection requirements in a timely fashion are the keys to ensuring that equipment can be cleared smoothly and put into production.

What are the various kinds of taxes involved in importing laser equipment?

When we were buying the laser marking machine, the biggest problems we ran into were tariffs and value-added taxes.For example, the tax rate on a 30-Watt fiber laser might be around 8 %.There's a little trick to this: You can avoid the hassle of making mistakes by checking the customs code in the customs code search system in advance.

Special cases require special attention.

If the equipment includes a software control system, remember to separately report the value of the software.Last year, a colleague of mine was asked to pay an additional 15 % of the total price for not declaring this information.If you can get the certificate of origin, it's possible you can enjoy tariff reductions.

The whole process of overseas procurement is broken down.

From placing an order to having the equipment in hand, there are six steps.First you have to get the form invoice and packing list. These documents are like the "ID cards" of the equipment. The customs broker will be looking at them.It is suggested that you confirm with the logistics company in advance the method of transportation. While sea transport is cheap, if you encounter customs inspection you will have to wait ten to 15 days.

Details that are easily overlooked.

Don't forget to fumigate the wooden crates. Last year a shipment was held up at quarantine for this reason.It's also best to have the equipment specifications in both Chinese and English, so that you can save time in communication with a customs official who's particularly conscientious.

Sharing experiences of customs clearance.

When you are inspected, don't panic. The most important thing is to have ready the equipment schematic and technical specifications.One practical solution is to take a picture of the key component and store it on your phone. Showing this to customs officials on site is much more effective than any written description.The process can be fast or slow, so it's advisable to leave a two-to-three-week buffer.

Saving Money on Food.

Choosing to store in a bonded warehouse in a free trade zone can defer tax payments, especially when goods must be shipped out in batches.If you're lucky enough to catch the window when the government is promoting cross-border e-commerce, you might even be able to save a few thousand dollars in taxes.