2013-10-28
Proposed Customs Act Amendment Includes Three Major Deregulations
The Executive Yuan has reviewed proposed amendments to the Customs Act (Amendment) and added a number of deregulations on October 14, 2013. The first deregulation under the Amendment will include freight forwarders as the regulated objects under the Customs Act, such that freight forwarders will be able to solicit cargo from Singapore, Hong Kong, and China for shipment to Taiwan and to re-set cargos for value-added logistics, if the Amendment are adopted and enacted.
The second deregulation provides that if bonded factories import machinery and equipment for self-own use, they may be exempted from tariffs. However, if the imported machinery and equipment is to be exported to a taxed zone within five years, it shall be subject to tariff duties. This one measure is expected to potentially benefit 295 bonded factories in Taiwan.
Third, the seals affixed to containers can be self-prepared by container business operators. In the past, seals affixed to containers had to be provided by Customs. In the future, an authorization seal will be designated and the container business operators, while conducting autonomous management, can prepare the seals for affixation to the containers. This measure, if adopted and enacted, will allow container business operators to save on related costs.