China re-export control will be introduced in 2020. This has far-reaching consequences for exporting companies.
The extraterritorial control of re-exports repeatedly leads to difficulties in practical implementation and increases not only the costs, but also the risks of violations.
Who is affected?
The previous draft of the law intends that the law can be applied not only to exports from China, but also worldwide to re-exports from other countries, if it concerns goods of Chinese origin or products with a component of Chinese origin. Numerous organizational units in the company are affected, including sales, logistics & purchasing.
How are violations punished?
Comprehensive penalties for violations, exorbitant fines and a public listing are mentioned as consequences for violations.
What are the effects of China re-export control on companies?
- The complexity of export control increases considerably.
- Business costs will increase.
- The company’s export control system must be adapted.
- Employees must be trained and sensitized accordingly.
- Reorganization of the supply chains.
- Risk in foreign trade increases.
Bild: Urheber MicroStockHub
Bild Urheber: Prasit Rodphan
The customs and foreign trade experts from AWOR quickly show you your deficits and the resulting fields of action.
We determine the current status of your export control processes.
We analyze your risks.
We propose prioritized measures.
We support you in the implementation.
Ravensburger St. 30
+ 49 7544 / 951948-0
+ 49 7544 / 951948-9