Important Notice on Improving Duty-Free Shop Policy in China

TapTechNews August 27th news, the Ministry of Finance, the Ministry of Commerce, the Ministry of Culture and Tourism, the General Administration of Customs, and the Taxation Administration have jointly issued the 'Notice on Improving the Policy of Duty-Free Shops in the City' (hereinafter referred to as the 'Notice' by TapTechNews).

The 'Notice' clearly states: Starting from October 1, 2024, the management of duty-free shops in the city will be standardized in accordance with the 'Interim Measures for the Management of Duty-Free Shops in the City' (hereinafter referred to as the 'Measures'), to promote the healthy and orderly development of duty-free shops in the city.

The 'Notice' points out that there is no shopping limit for passengers purchasing duty-free goods in duty-free shops in the city, but it should comply with the customs regulations that passengers' carrying of luggage and articles entering and leaving the country should be limited to personal use and a reasonable quantity.

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According to the 'Notice', the 6 duty-free shops in the city currently operated by China Duty Free Group Co., Ltd. in Beijing, Shanghai, Qingdao, Dalian, Xiamen, and Sanya will apply the 'Measures' from the date of implementation of this notice.

The 12 foreign exchange commodity duty-free shops currently operated by China International Travel Service Corporation Limited in Beijing, Shanghai, Qingdao, Dalian, Nanjing, Chongqing, Hefei, Nanchang, Kunming, Hangzhou, Zhengzhou, and Harbin, as well as the Harbin foreign exchange commodity duty-free shop currently operated by China Travel Service Hong Kong Limited, will be transformed into duty-free shops in the city within 3 months from the date of implementation, and start business after passing the customs acceptance and be applicable to the 'Measures'; if the transformation of the foreign exchange commodity duty-free shop is not completed by the due date, it will be closed, and the original operating entity of the duty-free shop should apply to the customs for terminating the operation and handling the relevant cancellation procedures. After the implementation of this notice, no more foreign exchange commodity duty-free shops will be established.

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